Australian-Licensed Helio Lending To Start Issuing Loans With Crypto As Collateral

Australian-Licensed, Helio Lending, To start Issuing Loans With Crypto As Collateral

There is no denying that the current crypto situation is somewhat discouraging to the startups and individuals looking to invest in the crypto space. However, not everyone is deterred by the reduced price performance that has led many to shy away from adoption crypto customers into cryptocurrency.

More startups and individuals in Australia's crypto space are increasing their crypto holdings to triple during the year. And as more people buy into crypto, related services are also expanding the opportunities to leverage their innovations.

Helio Lending, a Melbourne-based financial firm, is now embarking on offering loans using cryptocurrency holdings as collateral to its customers. According to the company's founder, John O'shea, the licensed entity will be the first firm to leverage cryptocurrency and allow holders to borrow fiat money in return. With estimates suggesting cryptocurrency transactions reaching $2.8 million in daily value, the CEO believes there is a massive market for digital assets in Australia.

In an interview with, he states:

“We provide finance to both individuals and businesses through cryptocurrency asset-backed lending. This means that clients who hold Bitcoin, Ethereum, Litecoin, or Ripple can use their assets as collateral for loan financing.”

O'Shea further indicated that Australia lacks enough service firms that could enhance or support the growing market for lending against digital assets. As such, Helio Lending seeks to capitalize on an industry that is highly sought after, yet still underserviced.

Basics To The Lending

The Helio Lending platform currently provides accepts Bitcoin core (BTC), Ethereum (ETH), Litecoin (LTC), and Ripple (XRP) as collateral for loans. The lending period varies depending on the loan amount and the customer's corresponding value. The maximum loan period is 48 months with 17 to 20 percent charged as the annual percentage rate.

There are also other loan options where customers get to choose their loan-to-value (LTV) ratio of between 30, 40 and 50 percent. If the borrower seeks to obtain an AUD 10,000 loan with a 30 percent LTV, he or she would have to put up 7.19 BTC as collateral. On the other hand, the monthly payment necessary would be 350 Australian dollars with an APR of 17 percent.

If this seems confusing, Helio's website has taken the liberty to provide a loan calculator that can facilitate different configurations. The platform provides for a minimum borrowing amount of 1,000 Australian dollars. To apply, customers will need to provide a valid email address from where they will get a confirmation link to complete their signup.

A KYC and AML checks are the first steps to the confirmation with the lending agreements the following suit. Once the personal details are confirmed, Helio insures the collateral in a secured and insured wallet. In the event of a default or hack, the service can sell the coins to make up for the losses.

About Helio Lending

Helio Lending is a licensed and regulated cryptocurrency lender in Australia. The service issues loans under an Australian Credit License (ACL) from the Australian Securities and Investments Commission (ASIC).

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