[Flaws.]

Would really advise taking a look at https://nexo.com/, they've been offering loans with crypto as collateral for quite some time, I utilize this fairly often especially with their "credit" feature on their physical card I have for my account, can go around and spend whatever in credit mode which takes out credit against your crypto automatically, really neat

[Omniscient]

Would really advise taking a look at https://nexo.com/, they've been offering loans with crypto as collateral for quite some time, I utilize this fairly often especially with their "credit" feature on their physical card I have for my account, can go around and spend whatever in credit mode which takes out credit against your crypto automatically, really neat

Nexo doesn't serve US citizens.

[SUI-3183372]

Nexo doesn't serve US citizens.

Nexo are also Bulgarian criminals. They've been raided and fined more times than I can count. I'm genuinely surprised they still exist.
https://www.cityam.com/crypto-exchange-n...-withdraw/

[Zovers]

I think the biggest obstacle to a loan backed by crypto is the volatility of the asset backing the loan. When valuations can fluctuate so wildly the loan inherently becomes riskier and begets the higher interest rate.

Additionally, using crypto to back the loan insinuates that it is an asset rather than a liquid currency. Why would you not just exchange the coin for cash and then buy it back when you’re ready? That expected change in value of a currency is the same reason you’re being hit with the higher interest rate on the loan. Compare that with a standard securities back loan where the expected change in value comes from an ownership or debt structured stake in a company.

I would not ever expect to get a low interest rate loan backed by crypto unless the value recached a consistent level more inline with the inflation rate; but at that point, why wouldn’t you just use the cash?

[Omniscient]

I think the biggest obstacle to a loan backed by crypto is the volatility of the asset backing the loan. When valuations can fluctuate so wildly the loan inherently becomes riskier and begets the higher interest rate.

Additionally, using crypto to back the loan insinuates that it is an asset rather than a liquid currency. Why would you not just exchange the coin for cash and then buy it back when you’re ready? That expected change in value of a currency is the same reason you’re being hit with the higher interest rate on the loan. Compare that with a standard securities back loan where the expected change in value comes from an ownership or debt structured stake in a company.

I would not ever expect to get a low interest rate loan backed by crypto unless the value recached a consistent level more inline with the inflation rate; but at that point, why wouldn’t you just use the cash?

While there is volatility it's the same with margins in the stock market. If the value if your portfolio goes below certain levels you either pay down the loan with cash or your add more crypto for collateral to balance it.

And the reason you don't just sell the asset for cash is because Bitcoin continues to go up. It's going to depend on the size and time-length of you loan. For instance I would want $100k with 3-5 years to pay it back. In that time the Bitcoin is very likely going to increase in value, so why would I sell it when I can get a loan from it?

[.Infinity.]

Coinbase has been offering these for a very long time, with much better rates and LTV. A couple years ago you could do 85% LTV at 5% interest. Not sure about current rates but just log in and check.

There I saved you thousands, now give me back my ub3r upgrade that was stolen over 10 years ago thanks!

[Omniscient]

Coinbase has been offering these for a very long time, with much better rates and LTV. A couple years ago you could do 85% LTV at 5% interest. Not sure about current rates but just log in and check.

There I saved you thousands, now give me back my ub3r upgrade that was stolen over 10 years ago thanks!

Coinbase closed my account. You saved me nothing.

[Tyr]

Coinbase closed my account. You saved me nothing.

It's okay. Just pay them the $40 monthly ransom fee they ask for in order to get your account back via 24/7 customer support even tho they make you wait on hold for 5 hours. I am sure if you did something against their TOS they'll make an exception.

Coinbase literally held onto 3/4 of what I had invested for years. Their premium program is the biggest excuse and waste of money I have ever came across in my life and the advanced trading options for triggers when market price goes below x seemingly love to come as a notification 2 days late.

It's a good thing they made the money they did and were able to get a legal team together with the whole 700 employees they have

i hate cb man

[Omniscient]

It's okay. Just pay them the $40 monthly ransom fee they ask for in order to get your account back via 24/7 customer support even tho they make you wait on hold for 5 hours. I am sure if you did something against their TOS they'll make an exception.

Coinbase literally held onto 3/4 of what I had invested for years. Their premium program is the biggest excuse and waste of money I have ever came across in my life and the advanced trading options for triggers when market price goes below x seemingly love to come as a notification 2 days late.

It's a good thing they made the money they did and were able to get a legal team together with the whole 700 employees they have

i hate cb man

They're not that amazing. I use other services which are better.

[Tyr]

They're not that amazing. I use other services which are better.

I was being sarcastic man. They're absolute garbage for the price.