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RE: The Banking System: Cryptocurrency's True Threat

in LeoFinance2 years ago

Interesting stuff. I am still trying to fully wrap my head around this idea of using crypto as collateral. I think I commented on another post that it seems to be a no lose prospect when many people talk about it. I know that can't be the case though, but I am not seeing the other side of it I guess.

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Depends upon what is being collateralized. The challenge with crypto as collateral, for the most part, is volatility. That makes it bad for that use case. Of course, it is still small. With size comes stability.

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Yeah, I know they were talking about loans and collateral in polycub. That seems like it would be a bit more stable. Plus if you can just use your harvests to pay it off, it feels like a win win.