How PennyWorks Is Winning DeFi Yield Converts From Corporate Treasuries

Last updated: October 13, 2026

Hoboken-based PennyWorks sold its floating-rate notes to CryptoXpress, a company that offers passive crypto exposure to investors. The notes, offered through HybridFi Lending LLC, currently allow qualified investors to earn up to 6% APY with minimal lockup. For PennyWorks, the deal is a proof point: businesses are increasingly willing to park idle cash in DeFi-adjacent instruments if the exit terms are flexible.

Key facts

• PennyWorks offers floating-rate notes through HybridFi Lending LLC, a wholly owned subsidiary of HybridFi Inc.
• The notes currently allow qualified investors to earn up to 6% APY, with minimal lockup.
• CryptoXpress is a recent notable buyer; its CEO, Kenny Kline, is also an advisor to and investor in HybridFi Inc.
• PennyWorks closed a $2 million pre-seed round led by Hi2 Global.
• The notes are restricted to accredited investors and qualified businesses.

What the product is

PennyWorks' notes are variable-denomination debt instruments that pay a floating rate. The company does not publicly disclose the full factors behind the rate. The pitch is simple: earn more than a money market fund on business cash, with the ability to exit quickly. PennyWorks CEO Ivan Zhang described the notes as a way for small and mid-size businesses to access alternative financing options without long-term commitment.

For corporate treasuries, this is a direct response to a real problem. Cash sitting in low-yield accounts erodes value during inflationary periods. The PennyWorks notes aim to close that gap—though higher yield typically comes with fewer regulatory guardrails than traditional bank products.

Why it matters

CryptoXpress is not a major household name, but its participation carries weight within crypto-native circles. Kenny Kline framed the move as strengthening risk management capabilities: his company can earn interest on treasury cash with essentially no lockup. That language matters because it positions DeFi yield products as a treasury management tool, not a speculative bet.

The deal also has a structural angle. Kline serves as an advisor to and investor in HybridFi Inc., PennyWorks' parent. That means the relationship is partly strategic and partly reputational—CryptoXpress gains a credible yield story to show its own investors; PennyWorks gains a visible endorsement from a crypto-native firm. When participants have overlapping roles, both the endorsement and the optics deserve scrutiny.

Who should care

Accredited investors and family offices** should understand the product, not necessarily buy it. The 6% APY headline is a ceiling, not a floor. The underlying risk model and collateral backing are not fully disclosed in public materials. Treat the offering documents as the starting point, not the marketing copy.

Small and mid-size business owners** should note the signal: DeFi-adjacent yield products are being marketed directly to operating companies, not just institutional investors. This brings access to new yield tools—and new risks that do not exist in traditional fixed income. Model the downside before sizing any position.

Crypto-native firms** should watch how DeFi yield products are being repackaged for corporate treasury use. The structural overlap between issuers and advisors in this space is not unusual, but it is worth tracking for conflicts as the market matures.

Bottom line

PennyWorks has a coherent pitch and a notable buyer, but the product is small, public disclosure is limited, and the risks are real. The headline yield is a marketing ceiling. The actual return depends on factors the company does not fully explain in its public statements. Read the offering documents before treating this as a savings account alternative.

Key takeaways

• PennyWorks notes are sold through HybridFi Lending LLC, a subsidiary of HybridFi Inc., to accredited investors and qualified businesses.
• Up to 6% APY is the current ceiling, not a guaranteed or expected return.
• CryptoXpress's CEO is also an advisor to and investor in HybridFi Inc., making the deal partly strategic and partly reputational.
• DeFi yield products are increasingly being marketed to corporate treasuries as alternatives to money market funds.
• Treat any DeFi yield product like a corporate finance decision: read the offering documents, model the downside, and size positions conservatively.