Publication | BRG
Cash Is King—Even in Crypto
Mark Renzi, Brett Witherell, and Michael Canale
For most people and companies, “Cash is king.”
Having liquidity helps aid some basic necessities, at home and for companies small and large. As Fintech continues to evolve, innovators have found additional ways to blend crypto technology with lending to facilitate alternative means of liquidity.
In the simplest form, the process is as follows: if you own a cryptocurrency and need liquidity in the short term, you can borrow against your cryptocurrency used as collateral without having to sell your current position. Pioneers in the crypto lending space have uncovered many opportunities for investors and borrowers, but regulation has not kept up. What comes next in this market likely will be a blend of more innovators, investors, and regulations. Lending will be a natural extension and a key component of broad acceptance.