Pencil Finance completed a fully on-chain student loan cycle on July 10, 2025, deploying $1 million through EDU Chain, a layer-3 blockchain built on Arbitrum for educational financing. The cycle financed about 6,600 students across 118 schools and universities in Southeast Asia, including roughly 1,050 who received direct funding. Pencil said the borrowers were underserved by traditional lenders; 50% were female and 93% came from lower-income households. The bundle, funded in July 2025 by Animoca Brands, Open Campus and New Campus, comprised a $750,000 senior tranche paying a fixed 15% annual percentage yield and a $250,000 junior tranche with variable returns and first-loss exposure. ErudiFi manages underwriting and student-facing lending in the Philippines and Indonesia, while Pencil Finance oversees the capital structure and on-chain reporting. The deployment followed $10 million in liquidity commitments secured in April 2025 and an initial loan to HackQuest. No native Pencil Finance token had been confirmed as of the report.