YouHodler allows its users to borrow money against their cryptocurrency so they do not have to worry about divesting from their cryptocurrency just to make some spending decisions.
https://twitter.com/YouHodler/status/1116640061074833408 Users will now be able to borrow in EUR, USD, or Stablecoin against their Dash as well as use the site to covert Dash to any crypto or fiat on the platform and withdraw to their crypto or fiat wallet. If a user enters their credit/debit card on the platform then they can “convert DASH to fiat and instantly withdraw that amount onto their personal cards, adding a unique “real world” utility for crypto”.
The platform is currently offering a “‘Crypto Spring’ tariff option” special where, “for a limited time, all platform users can receive a 90% LTV on all loans”, which is higher than the normal 55% to 80% Loan-to-Value requirement ratios. YouHodler allows users to automatically get $30,000 through pre-designed loan structures and higher amounts pending approval on an individual basis. They have a 8-day, 50-day, and 120-day repayment term periods that have varying interest rates of 5% to 13% and also varying degrees of LTV ratios. The platform accepts repayment in all major credit/debit cards, bank wires, and USDT.
Advancing cryptocurrency financial structure
One of the main criticisms of cryptocurrency is that consumers cannot use it to the same degree as fiat money. While this statement is changing for use at select merchants, it is still relatively true. Thus, some cryptocurrency users are left with the unfortunate choice of either keeping their cryptocurrency and not making payments or selling their cryptocurrency for fiat and making payments and/or taking out loans that require fiat down deposits. These crypto lending platforms provide a solution so users can get the fiat-exchange value of their coins without having to sell their coins and only by paying a borrowing fee. This now allows consumers to simultaneously stay invested in the cryptocurrency world, while also meeting obligations in the old financial world during the transition to digital money.
Another added feature of these lending platforms is that some, such as SALT and Celsius, which both now offer Dash lending, allow individuals to deposit their cryptocurrency to lend and receive interest returns on their savings. This historically occurred at traditional banks when they would pay depositors interest for the privilege of letting the bank lend out their money, but because the Federal Reserve has manipulated interest rates to such a low rate, this is now virtually non-existent. Additionally, cryptocurrency lending offers numerous cost savings over traditional banking, which allows more savings to benefit savers and borrowers.
Dash penetrating as many usability markets as possible
The Dash community has been working hard to get Dash accepted in as many usability scenarios as possible in an attempt to maximize utility for early adopters. This includes direct merchant adoption, POS devices, exchanges, lending platforms, and more so no matter where a consumer or merchant is located or whatever business that they are in, they still have the option to use Dash as a solution to their pain-points. By expanding Dash’s presence in the lending sector, more early Dash adopters, including masternode operators on the SALT platform, will be able to hold onto their Dash if they ever need fiat in a bind for larger purchases where cryptocurrency is not currently accepted. This further helps Dash adoption by not making users choose one or the other and helps keep early investors involved in Dash, whom often have a high passion for the project.