Genesis Global Trading, a crypto-credit platform, recently shared a snapshot of its credit activities for the period 2018-2019. According to the report, the company has granted a $ 1.53 billion loan after its release in March 2018.
NewYork Times reported that billions of dollars show the growing demand for the emerging market for credit card loans. However, Genesis Global has provided funds to institutional borrowers, including hedge funds and other financial companies. The New York Times reported that;
Institutional borrowers, such as hedge funds and other financial companies, have used crypto assets for short digital currencies, hedging investments, or for financing business operations.
Although the reports reveal $ 1.53 billion, the total amount of the loan for the year, the company estimates it has generated 425 million dollars in loans for the fourth quarter of the year alone. In addition, Genesis Trading reported the $ 425 million figure in the first quarter, which is 15% of the total figures by the end of 2018.
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Michael Moro, Genesis of Trade CEO, talks about the rising rate of digital assets and the smaller platform that offers a similar Genesis service. He said there were very few platforms and now we expect more players to come out of the market and thus cut interest rates.
"We expect more new market participants, and interest rates on loans are proportionally lower. But as this space is still so new, I think strong growth will last for quite some time,
While Bitcoin did not perform well, as it was at the end of 2017, the institutional borrower jumped up in 2018 and the first quarter of 2019. Genesis Trading is the largest brokerage firm that reportedly has $ 183 million of active loans are listed in Battlefield (BTC), Ethereum (ETH), XRP, Bitcoin Cash (BCH), etc.
The reports state that BTC is denominated a 68% loan, 6.7% for XRP, 3.6% for ETH and LTC.
Credits denominated in the Cripp are another means of potential profitability, according to Moro. He says that;
This is an additional way to potentially improve returns.