CoinLoan, Paytomat Allow Mainstream Investors To Dabble In Tokens Without Necessarily Spending Crypto
CoinLoan And Paytomat Collabo Has Made It Possible For Mainstream Investors To Dabble In Tokens Without Necessarily Spending Crypto
Putting your money in one of the many promising up-and-coming blockchain-powered startups is now possible without you having to exchange your hard-earned crypto assets for them. This is courtesy of CoinLoan, which offers an all-exclusive lending platform that is dedicated to acquiring tokens while still HODLing assets. The idea was initially borne out of the need of doing the same sometimes back when ushering the long-awaited IEO token sale by Paytomat. Paytomat is a cryptocurrency asset and digital payments and compensations solutions company.
The token acquisition or exchange model that Coinloan proposes is centered around offering all participants of the trade a choice to borrow fiat cash rather than them spending directly their own cryptocurrency assets. Because of this, the chief investor remains relatively insured against many kinds of an unforeseen drop in the initial token price, which is not an uncommon phenomenon in the digital asset and capitalization market. It is such nature of reinsurance that generally works towards restoring investor confidence as far revitalizing the market and token sales go.
What's more, this type of IEO ( Initial Exchange Offering ) distribution model proves to be more beneficial to the investor than the owners of the ICO. Not only does it shield the buyer/investor from a number of pertinent risks but it also hastens the general process of acquiring tokens in the first place.
That said, unlike conventional ICOs that assume local listing of the involved token post factum, this IEO model is tailored around allowing participants to potentially begin trading almost immediately. This implies that while the ICO releases tokens as soon as funding is completed, the project that is running the original IEO works to generate the needed tokens before sending them to the main trading platform. The platform, in exchange, stands as the additional factor of netting investor confidence. In other words, it eliminates scams by conducting its own thorough research on some of the major risks, prevailing market conditions and the general financial position.
In conclusion, the chief goal or objective of the Paytomat and Coinloan partnership is to become the first native IEO offering that has the possibility of borrowing capital instead of using the investor's or buyer's existing crypto assets. And if the investment does not make sense or considered to be below the expected threshold, the investor's ETHs or BTCs will remain absolutely intact.