Nexo, a platform for crypto-backed loans, announced partnership with UTRUST, a secure payment platform with a native ERC20 token.
The UTRUST model for payments is unique in that the transaction fees get lower with growing amount of transactions a user makes via the UTK token. UTRUST is a project of UTRUST Switzerland AG that fully sold out their ICO in November 2017 and now trades on major digital asset platforms such as OKEx, KuCoin or EthFinex.
- UTRUST platform: utrust.com
Nexo is a project of Credissimo, Bulgarian fintech company that is under EU banking supervision since 2007. The company is audited by Deloitte. The main product of Nexo for consumers is the crypto-backed credit card where users can borrow fiat currencies without the need to sell cryptoassets. Lending is possible only for accredited investors which can be private individuals or businesses such as crypto exchanges. The cryptocurrency storage is provided by BitGo.
- Nexo platform: nexo.io
PayPal Credit for Crypto Industry
What the partnership of UTRUST and Nexo brings about is the functionality of delayed payments for consumers making a purchase with their crypto assets on the UTRUST network. Essentially this is the equivalent of PayPal Credit.
“One of the barriers to cryptocurrencies’ mainstream adoption is inadequate payment infrastructure and merchant network, limiting consumers’ buying choices,” said Georgi Shulev, Nexo’s Managing Partner. “The partnership between Nexo and UTRUST intends to empower both buyers and merchants.”
Why Crypto-Backed Loans?
The concept of borrowing money with backing of crypto assets is not entirely new, same idea powers the now established market for loans backed by luxury items such as jewelry.
The alternative with cryptocurrency backing was anticipated to come around by legacy finance experts since Bitcoin started rapidly gaining value in 2017 and consequently alternative cryptocurrencies followed.
Last but not least there is also the ethos in the crypto community that one spends the fiat currencies and “HODLs” the crypto to retain the upside of the asset.
However, the availability of crypto-backed loans with Nexo has an important implication for the markets as well: An important type of clients interested in such loans are ICO companies and crypto miners who consequently don’t need to sell their crypto funds on the open spot market.
What UTRUST adds to this concept other than payment network with low transaction fees is also a much-needed consumer protection layer.
Data is beautiful
Comparing Forex Market with Cryptocurrency Markets (Infographic)
One of the few metrics that cryptocurrency markets have in common with the forex markets in 2018 is the high percentage of total trades being located on few most popular markets.
Blockchain Technology 101: Blockchains, Blocks and the Role of Price [Infographic]
Blockchain technology 101: What is blockchain, what types of blockchains exist and what role does the cryptocurrency price play.
Real-world companies that accept crypto payments [Infographic]
Infographic - Graphic map of businesses that let customers pay in bitcoin.
Infographic: Blockchain Hacks & Crypto Trading Platform heists 2018 vs 2017
Blockchain infographic comparing the biggest crypto heists of 2018 and 2017. In 2017 the focus lied more on ICOs, smart contracts and wallet.
15 crypto kings that are making history with their engagement in the field of cryptocurrencies
Coining The Bucks With Cryptocurrencies Have you ever wondered how much masters of the cryptocurrencies are worth? Like the guy who founded Ethereum, or the one who started Ripple, for example. The answer, in short,...
The Good And The Bad Of ICOs
Infographic: The good and bad of ICOs - Which token sales raised the most money in 2018?
Industry News Releases
Open Data Exchange announced an important milestone: a commitment of more than 60 MM USD...Read >>
- Zilliqa announced blockchain grants for technology developers
- Wyre acquired Hedgy, platform for smart contracts on Bitcoin
- Etheremon launches new game mode that gives players full control of their in-game assets
- Fintech company Nexo offers to buy SALT Lending
- Universal Protocol - new platform for practical interoperability of blockchains - gets backing of capital asset management firms
- Blockchain KYC Platform traceto.io Partners with Yincubator
Also by JMT
Released on September 18, 2018 11:42:09 AM by JMT Read >>
Released on September 04, 2018 07:37:16 AM by JMT Read >>