If you’re like me and you love crypto, you probably HATE selling your crypto. Knowing the potential of its exponential growth compared to its value in fiat. That’s why SALT is one of my faves.
The SALT Lending Platform allows you to leverage your blockchain assets as collateral for cash loans. This presents blockchain asset holders the chance to gain quick liquidity without having to sell their cryptocurrency. Blockchain-backed loans are a convenient solution if you have to pay for an unanticipated expense by giving you the opportunity to access liquidity quickly without having to sell off your cryptocurrency assets. This is the first lending platform of its kind.
SALT is made up of a community of lenders and borrowers, led by CEO Shawn Owen. The community grew from a few hundred members to over 65,000 members in less than a year. The lending platform differs from traditional loans in several ways. You can use the loans for any kind of personal or business expense. Moreover, SALT never asks for credit score information. You also need to have a membership to use the platform. This applies to both borrowers and lenders.
There are three levels of SALT membership: Base, which costs 1 SALT/year; Premier, which costs 10 SALT/year; and Enterprise, which costs 100 SALT/year. You can borrow more money at the higher levels than you can at the lower levels. The Basic membership allows to get USD loan up to $10,000. The Premier membership allows you to get USD, EUR, GBP, JPY, or RMB loans up to $100,000. The Enterprise membership enables you to take a loan of a $1 Million+, and gives you access to an Ad Hoc currency selection. To become a member, you first have to go through KYC (Know Your Customer), which is a simple identity verification process that helps the platform curtail money laundering and other misuses.
SALT uses a streamlined lending method, which makes the loan process a lot simpler than what you would expect from a traditional car or house loan. The lender selects the terms they are willing to lend you based solely on the value of the cryptocurrency you are willing to put up as collateral. As a borrower, you will be given a variety of terms available to you and you can pick the one that best suits your needs. Once you and the lender have agreed on the terms, the cash is deposited directly into your bank account. You will have to make monthly payments on the loan, and once the loan is fulfilled the cryptocurrency assets are returned to you.
The SALT Token is the token you spend to become a member, whether as a borrower or as a lender. The token, however, has additional benefits. You can use the tokens to shop on SALT’s online store and to gain access to better interest rates. You can purchase SALT at Binance, Bittrex, and Huobi, as long as you have Bitcoin or Ethereum to trade with. You can also buy SALT on Gemini using fiat currency. Once you are a member, you can purchase additional tokens from the member dashboard on the SALT website.
Overall, SALT is a pioneering platform that allows lenders who are wary of working with cryptocurrency the opportunity to accept blockchain assets as collateral through a secure third party, while providing borrowers the chance to access liquidity without selling their digital assets. This is especially useful since the fluctuating nature of most cryptocurrencies means that your blockchain assets could increase in value down the line, so selling them might not be the best option when you need to free up extra cash.