BlockFi Lender to Provide Gemini Stablecoin (GUSD) & Litecoin (LTC) Backed Loans
Gemini Stable Coin (GUSD) & Litecoin (LTC) Included in BlockFi’s Digital Asset Collateral List!
Litecoin (LTC) & Gemini’s stable cryptocurrency (GUSD) just got better prospects following an announcement by BlockFi to support the two blockchain projects. BlockFi specializes in crypto to USD lending services as the market gradually accommodates such loans.
— BlockFi (@TheRealBlockFi) October 16, 2018
The move will see GUSD & LTC included among the list of allowed cryptocurrency collaterals, the peers in this group are top 10 altcoins in market cap.
This milestone will mutually benefit all the players involved; BlockFi’s dependency on banking hours to process loans will greatly reduce given the decentralized nature of crypto coins. Earlier in September, Gemini’s team had announced that its stable cryptocurrency (GUSD) is ERC20 compliant. The GUSD is currently backed in USD & is audited every month by a legally recognized accounting entity known as BPM LLP.
According to BlockFi CEO & co-founder, Zac Prince, the company plans on scaling its services to the global markets;
“We’re excited to add support for GUSD and LTC and to welcome the Litecoin community to our platform. BlockFi is already the lowest-cost crypto-backed lender in the U.S. and we’re planning to expand our services to more collateral types and geographies in the short term.”
In future, BlockFi will increase the number of digital assets supported within its lending ecosystem as a strategy to increase liquidity & capture a larger market. The company’s VP & co-founder, Flori Marquez, emphasized on the importance of this milestone;
“This announcement is a big step towards BlockFi’s global expansion, which has been a part of our vision since the company’s founding. It’s easy to forget that people in many parts of the world do not have access to low-cost credit. We look forward to providing that stability to residents of countries with less-stable currencies.”
So far, BlockFi has been successful to raise over $50 million within the course of 2018. This was the pioneer investment in digital asset backed loans & was transacted by Galaxy Digital Ventures, LLC.