On Wednesday, collateral markets platform Symbiotic unveiled Core V2, an infrastructure upgrade that enables applications across insurance, credit, and tokenized asset liquidity draw on shared collateral infrastructure. It clearly lays out each vault’s risk and terms, and at the same time, allows capital to stay productive in lending markets where it is not actively needed.
Symbiotic launches Core V2
Backed by major crypto early-state investment firms like Coinbase Ventures, CyberFund, Pantera Capital, and Paradigm, Symbiotic has earned a name for itself for shared security or restaking solutions.
However, an increasing number of applications have been leveraging the product to back financial obligations instead of securing networks. Core V2 is geared toward formalizing that shift.
As of July 2026, over $7 trillion sits parked in U.S. money market funds. However, most of these assets are merely earning a single rate and doing a single job. While capital can be used to back more than 1 obligation at once, the privilege is currently only limited to the largest institutions.
Symbiotic’s Core V2 aims to democratize this phenomenon, since capital deployed through Symbiotic vaults can be roughly 70 percent more efficient than standalone liquidity pools. Specifically, Core V2 turns collateral into a shared base that applications across insurance, credit, and tokenized asset liquidity can draw from.
Each vault has its own risk terms and enforcement, resulting in capital to be reused across the system instead of locked into one single-purpose pool. The capital backing an obligation earns continuously – generating returns across base lending yield, premiums, and redemption spreads.
Leveraging the Capital Facilities framework
The vault architecture is powered by Capital Facilities, the framework that coordinates how vault capital is made available, used, and recalled. Curators can route the capital into whitelisted protocols like Aave and Morpho, where it can earn a base yield while remaining bound to its Symbiotic obligations. Commenting, Misha Putiatin, co-founder of Symbiotic, said:
“Collateral markets are not a new financial idea. What is new is making them composable, enforceable, and capital-efficient onchain. Onchain finance cannot scale if every application has to rebuild its own capital pool. It needs collateral that can move through DeFi rails, support real obligations, and execute by predefined rules. Core V2 is a major step toward turning onchain finance into market infrastructure capable of supporting institutional-scale capital flows through programmable collateral.”
It’s worth a recall that Liquid Lane – launched in June 2026 – is one of the first applications built on Core V2. In addition, Nexus Mutual plans to use Symbiotic for additional DeFi cover capacity, while Cap uses it for credit guarantees. Benjamin Sarquis Peillard, Founder and CEO, Cap, remarked:
“Cap brings real, sustainable yield onchain by scaling institutional credit beyond the limits of traditional overcollateralized models. The breakthrough enabling that has been shared collateral: infrastructure combines more efficient access to capital for borrowers with enforceable guarantees for the market. That is what Symbiotic makes possible, and why it has become core to how Cap is building.”
Available now, Core V2’s security audits are complete and has its contracts already deployed to the mainnet. Builders can integrate collateral-backed applications and access the shared capital base, curators can configure and launch vaults under the updated framework, and capital providers can allocate to a broader set of capital deployment strategies.
