Avalanche Powers FIS and Intain to Launch Digital Liquidity Gateway for U.S. Banks

FIS and Intain Markets have launched the Digital Liquidity Gateway on Avalanche, a blockchain-based marketplace that enables U.S. regional and community banks to buy, sell, and securitize loan portfolios with greater efficiency and transparency.

This platform allows smaller financial institutions—roughly 2,000 across the United States—to access institutional-grade liquidity traditionally available only to large banks. Built on Intain’s Avalanche Layer 1 blockchain and integrated with FIS’s core banking systems, it aims to make asset-backed finance faster, verifiable, and more transparent.

A Direct Bridge

The Digital Liquidity Gateway connects local lenders with large-scale investors, allowing them to digitally trade loan portfolios, such as small business and commercial real estate loans—onchain.

In traditional finance, banks pool and sell loans to free up capital for new lending. This process often involves manual data handling, complex structuring, and multiple intermediaries. With the new platform:

• Loan data is recorded on Avalanche’s blockchain for instant verification.
• Settlements occur programmatically using stablecoins like USDC.
• Loans are tokenized as non-fungible tokens (NFTs) to ensure traceability and prevent double-pledging.

The result is a streamlined secondary market where community banks can participate in securitization without needing specialized structuring expertise.

Modernizing Asset-Backed Finance

FIS and Intain describe the Digital Liquidity Gateway as a modernization of asset-backed finance—the process through which banks convert loans into tradable securities.

How It Works

• AI-driven automation replaces manual reconciliation, validating loan data before tokenization.
• Each loan is represented as an NFT on Avalanche, embedding verifiable data and ownership history.
• Settlements use stablecoins such as USDC, providing near-instant payment and reducing counterparty risk.
• Integration with FIS’s core banking systems, used by over 20,000 institutions globally, allows seamless connection between banks and the blockchain marketplace.

This approach enhances trust among participants. “We’re automating manual processes and delivering transparency for all participants,” said Siddhartha, CEO of Intain Markets.

Expanding Access to Capital for Local Banks

Regional and community banks are key lenders for small businesses and local projects, yet they rarely access institutional funding channels. Digital Liquidity Gateway closes this gap by giving these banks:

• A transparent platform to connect directly with institutional investors.
• Automated onboarding and verification processes for faster due diligence.
• The ability to redeploy capital into new loans more efficiently.

“By combining deep integration with FIS core banking systems, blockchain-enabled transparency from Avalanche, and AI-driven automation from Intain, we’re unlocking capital markets access for thousands of institutions,” said John Omahen, Head of Digital Assets at FIS. “This means more lending capacity for small businesses, more competitive loan products for consumers, and a more resilient banking sector that can better serve Main Street America.”

According to Avalanche’s announcement, the platform is onboarding banks and investors nationwide, with hundreds of millions of dollars in loan transactions expected by year-end. Early transactions between institutional partners have already shown smoother interactions and more reliable data exchange.

Initial asset pools include commercial real estate and aviation finance loans, both sectors that require verified asset-level data and consistent settlement tracking.

Technical Infrastructure: Built for Compliance and Scale

The Digital Liquidity Gateway operates on Intain’s Avalanche Layer 1 blockchain, supported by AvaCloud—Avalanche’s deployment framework for custom institutional networks.

This design enables:

• Purpose-built, compliant blockchain networks for financial institutions.
• Integration with existing FIS infrastructure for end-to-end connectivity.
• Auditability and data integrity, essential for regulatory and institutional standards.

Avalanche’s architecture offers sub-second finality and deterministic settlement, both crucial for tokenized assets and real-world asset (RWA) tokenization.

Asset managers and banks are increasingly placing loans, securities, and funds onto blockchain networks for more efficient tracking and trading.

While most RWA efforts have targeted large institutions, the Digital Liquidity Gateway focuses on the long tail of smaller banks that form the foundation of local economies.

By tokenizing loans as NFTs, each asset gains a unique digital identity tied to immutable loan data. Blockchain traceability ensures no double-pledging or data tampering, improving investor confidence and regulatory oversight.

Strengthening Local Economies

According to Avalanche, by improving liquidity for smaller banks, the Digital Liquidity Gateway indirectly supports job creation, credit expansion, and local development. The ability to free up bank capital more efficiently leads to:

• More lending to small businesses
• Improved loan terms for borrowers
• Greater stability for regional financial systems

Similar models have emerged globally. In October, a Japanese IT firm launched a tokenization platform for banksusing AvaCloud infrastructure, underscoring how blockchain-backed marketplaces are being adopted in multiple jurisdictions.

Conclusion

The Digital Liquidity Gateway represents a tangible shift in how financial institutions use blockchain—not as speculation, but as infrastructure. Built on Avalanche and integrated with FIS’s banking systems, it creates a transparent, automated channel for loan securitization and liquidity access.

The platform brings small and mid-sized banks into blockchain-based capital markets, showing how Avalanche can modernize asset-backed finance without compromising compliance or trust.

Resources:

1. Avalanche X platform: https://x.com/avax

2. Announcement - FIS and Intain Choose Avalanche to Power the Digital Liquidity Gateway: https://www.avax.network/about/blog/fis-intain-avalanche-digital-liquidity-gateway

3. Intain, FIS Roll Out Tokenized Loan Marketplace on Avalanche for Small Banks - report by CoinDesk: https://www.coindesk.com/business/2025/11/10/intain-fis-roll-out-tokenized-loan-marketplace-on-avalanche-for-small-banks

4. TIS Deploys Multi-Token Platform on AvaCloud to Modernize Japan’s Financial Infrastructure: https://avacloud.io/blog/tis-deploys-multi-token-platform-on-avacloud-to-modernize-japan-s-financial-infrastructure