The SALT cryptocurrency project offers customers the opportunity to get conventional currency loans and use cryptocurrency as collateral. SALT Coin the most popular lending platform right now, but is it the future of crypto lending?
Why Would You Use SALT?
SALT is the largest and most established crypto lending platform in the space and the SALT project has seen all-time market cap highs of nearly a billion dollars. Being a leader in crypto lending matters because customers are likely to trust the biggest platform more than others.
SALT enables anyone with cryptocurrency to get a conventional currency loan quickly and easily. No credit check is required and borrowers only need to supply 4 pieces of information:
- First name.
- Last name.
- A copy of their ID.
This ease of use is a massive attraction for borrowers. Gone are the days of having to wait days to have your loan application approved. What is even better, is that there are no early repayment fees on SALT.
If you believe that cryptocurrency is going to be a massive market in the future, then it’s likely that many investors are going to be crypto rich and conventional currency poor. Investors who have done well from crypto face several problems and SALT helps solve them:
- If a crypto millionaire wants to treat themselves to a Lambo, they could sell their cryptocurrency to buy one. The problem is that selling crypto for conventional currency could mean tax payments. The act of selling means crystallizing their gains and tax authorities usually see that as a taxable event.
- Also, if the investor thinks Bitcoin will still increase in price then selling their Bitcoin costs them further potential gains. SALT provides customers with the option of getting their hands on conventional currency, whilst still being able to benefit from further rises in cryptocurrency prices.
What Else Is SALT Working On?
SALT already have a working product and have processed thousands of loans. They are currently working on launching a crypto loan fund, which could prove popular amongst investors. We will be interested to see if this works out similar to P2P loans and if it will provide another way for investors to get exposure to cryptocurrency markets.
SALT is also planning to launch their own credit card. This is a massive deal, as it will enable cryptocurrency investors to potentially live conventional currency free. Right now, conventional currency is required to pay for everyday items. A SALT credit card should mean that users can pay their utility bills, food and rent with cryptocurrency. Being able to do this means that people actually have the option of truly being their own bank. It also means that people without a bank account can access services that they were previously excluded from. Banks have been necessary for so long that without a bank account you are effectively excluded from participating in society. SALT will offer people an alternative ‘bank free’ option.
The SALT team are also working on expanding their range of altcoin collateralized loans. These will enable customers to borrow and retain exposure to their favorite cryptocurrency. TotalCrypto expects the extension of collateralized loans to more altcoins to be exceptionally popular amongst cryptocurrency holders.
Will Crypto Lending Be Big Business In The Future?
As long as there is a cryptocurrency market and crypto is not the dominant currency in the world, then it’s likely there will always be demand for crypto lending. If Twitter CEO Jack Dorsey is correct in his prediction that: “The world ultimately will have a single currency, the internet will have a single currency. I personally believe that it will be bitcoin”, then there will be no need for crypto backed loans at all. Instead everywhere will accept cryptocurrency as a form of payment and it will just become ‘money’.
In a world where everyday items cannot be freely bought with cryptocurrency, there will be a demand for crypto backed loans. If cryptocurrency markets continue to grow, then it’s exceptionally likely that companies such as SALT will benefit from this newly created crypto wealth. If cryptocurrency experts like John McAfee are correct and Bitcoin reaches $1M, then it’s safe to say that crypto lending will be a truly massive business.
SALT has an interesting roadmap and is certainly looking at adding more products. Although SALT perhaps has a head start over competitors such as ETHlend, it will not be allowed to have this lucrative opportunity to itself. Most people would agree that SALT is the front-runner in the crypto lending market right now. But things change quickly in crypto and it is more than possible that it can be usurped by a new crypto lending solution. If you see the potential in SALT, now might not be a bad time to buy SALT coin.