Genesis Global Capital to Report on Q1 Values

Main customers of Genesis Global Capital, crypto lender firm, are the exchanges and OTC platforms, which prefer to keep users' funds in cold stores
26 April 2019   551

Genesis Global Capital, a division of the brokerage company Genesis Global Trading from the business empire of Barry Silbert, processed $425M in cryptocurrency loans in the first quarter of 2019. Since launch in March 2018, a total of $ 1.53 billion has passed through the firm.

Since the end of last year, active loan book of the company has grown by 17% to $ 181 million, but the average maturity is still six weeks long. The share of loans in Bitcoin was 68%, XRP - 6.7% and Ethereum - 3.6%.

At the same time, the share of shortsists among borrowers significantly decreased - up to 3-5% of the total number. Thus, the main customers of Genesis Global Capital are the exchanges and OTC platforms, which prefer to keep users' funds in cold stores, and to provide trades with borrowed coins.

The company itself takes the coins from large players at 4-5% per annum, and gives them a loan at 6.5-7.5%.

Meanwhile, the direction of fiat loans is still in development phase and it makes only 10% of the company's turnover. Such loans are secured by cryptocurrencies in the amount of 120% of the loan, and margin call occurs when the value of these assets falls below 105%.

It's worth noting in 2018, Genesis Global Capital processed $ 1.1 billion in cryptocurrency loans, with the most active being the last three months of the year, which accounted for more than $ 500 million.

Lightning Labs to Raise $10M

As reported, the raised funds will be allocated to enforce the team with developers and commercial speciaslists
06 February 2020   255

Lightning Labs attracted $ 10 million investment during the A-series financing round, and also introduced a beta version of its payment service for outlets that work with bitcoin.

If bitcoin is going to reach its potential as a viable global currency, it’s going to need to scale beyond the base layer. Similar to how Visa relieves banks from handling all fiat currency traffic, Lightning relieves the base bitcoin chain from handing all transactions, thus bring more speed and fee efficiency to the network.

 

Brian Murray

Managing Director at Craft Ventures

With the help of the raised funds, the company intends to hire more developers and commercial specialists, so that it will be able to convey the applied solutions to users. In 2018, Lightning Labs unveiled a beta version of its LND scaling solution and received $ 2.5 million investment from several investors, including Twitter CEO Jack Dorsey and Litecoin creator Charlie Lee.

Now a beta version of the new Lightning Loop service has been launched, with the help of which outlets can more effectively manage payment channels and maintain liquidity in them. Several customers have already become interested in this tool, including the developer of the Fold shopping application, which processed approximately 1,600 transactions through the Lightning Network during the holidays in 2019.

We’re growing fast and Lightning Labs’ loop service makes it simple to manage our lightning node’s liquidity, letting our team focus on building out great user experiences that bring lightning to the world.

 

Will Reeves

Fold

According to Lightning Labs, this year the company will be developing tools for working with larger payment channels. We are talking about both individual channels, which individually can hold more than $ 1,500, and multidirectional ones, which break down payments into smaller parts.