Genesis Global Trading to Launch Crypto Lending

A market maker set up a lending business, that will allow investors and businesses to borrow cryptocurrencies
01 March 2018   127

Genesis Global Trading Inc., a big institutional market maker for digital currencies announced the launch of Genesis Global Capital – Institutional Digital Currency Lending.

Global Capital will allow investors and businesses to borrow cryptocurrencies in quantities of $100,000 or more for two weeks up to six months. The currency of loans will be in bitcoin, ether, ether classic, XRP, bitcoin cash, zcash, and etc.

According to a press release, the lending service will increase general liquidity in the marketplace, encourage new financial institutions to participate in a two-sided market and increase the working capital that companies use to scale their cryptocurrency-centric businesses.

Global Capital suggest investors to use the company’s lending capacity to hedge total portfolio risk or take speculative short positions or for other cases.

Some companies, such as BlockTower Capital and DV Chain are already interested in the lending service.

The majority of trading volume in several cryptocurrencies is denominated in bitcoin, which has created a need for a bitcoin lending market.

Garrett See

DV Chain CEO

20 % of University Students gain Cryptocurrency with Aid

The Student Loan Report along with Pollfish interviewed 1,000 university students with related loan debt
23 March 2018   157

It took them for 4 days to collect the data (from March, 16 till March, 20 of this year). All the participants were to ask the following question: Have you ever use student loan money to invest in cryptocurrencies like bitcoin?

The results were remarkable. The poll revealed that 21,2  % of current students with the loan debt have used aid money in order to fund a cryptocurrency investment. So, over one-fifth answered in the affirmative.

Drew Cloud, the leader of the Student Loan Report, clarified that the younger Americans are more active investors as they are rather optimistic about cryptocurrency. Therefore the students want to get involved in this subject in any way possible. Drew Cloud sincerely thought the percentage would be lower. He considers that any college student's budget is thin and limited, therefore some extra money may be used on rest, groceries, or books.

The Student Loan Report approved: student loan debtors would be to pull off such a manipulation as they are given their remaining loans to be used on “living expenses”. From time to time they borrow more than they end up needing for studies. College debtors`spending of the money is not officially tracked and this allows the leftover means to be spent in the way preferred by the student. Another important factor is loan debt payments often do not occur until after graduation, and generally 6 months after.

Mr. Cloud claimed that cryptocurrency was the most prevalent investment of 2017. The young Americans consider that digital money is a savvy way to spend their refund checks. Some students even suggest that they would be able to quickly pay their debts off (because “not long ago every virtual currency was experiencing seemingly unstoppable growth”).

A significant shortcoming from the survey are data concerning how much the average student of the university spent of their financial aid on cryptocurrency. It also would have been interesting to know what types of digital means students favoured.