8lends and Cointelegraph Research release report on addressing Europe’s €39B SME funding gap with onchain private credit

8lends and Cointelegraph Research have published a comprehensive report addressing the €39 billion funding gap currently facing European small and medium-sized enterprises (SMEs). The analysis highlights how onchain private credit can serve as a critical alternative to traditional banking, which has increasingly restricted lending to smaller firms. By leveraging blockchain technology, the report argues that tokenized private credit can enhance liquidity, transparency, and accessibility for both institutional investors and capital-starved businesses. The findings suggest that decentralized finance protocols can bridge the efficiency gap by automating underwriting and settlement processes. This shift represents a significant evolution in the RWA sector, moving beyond simple asset tracking toward active, yield-generating credit markets. As European regulatory frameworks like MiCA mature, the integration of onchain credit is positioned to become a standard tool for institutional portfolio diversification. Ultimately, the report underscores the potential for blockchain-based lending to stabilize SME operations while providing investors with exposure to high-quality, real-world debt instruments.