Financial Firm Offers 'Almost Instantaneous' Loans Up to $30,000 With Crypto as Collateral

A financial company is giving crypto holders the opportunity to take out cash loans while using their digital assets as collateral.

YouHodler - whose name is inspired by the term "HODL" - says its product gives the community a way of accessing money without selling their investments.

The platform offers loans from $100 to up to $30,000 - also payable in euros and Tether - with a maximum loan-to-value of 80 percent, a ratio which YouHodler claims is one of the highest currently available in the industry.

The company's loans are offered over three timeframes: eight days, 50 days and 120 days.

In an attempt to distinguish itself from the "Unfairly biased" financial system that exists at present, YouHodler says interest rates are not going to be determined by how much collateral a borrower offers.

Repayments are made using euro and dollar bank transfers, USDT and major credit and debit cards - and once this process is complete, YouHodler says collateral is returned in full, even if it has increased in value.

Learn more about the YouHodler platform hereOver the course of 2019, YouHodler is planning to diversify its offering further through a credit card and app, giving its customers access to their loans on a Mastercard.

YouHodler believes its product helps traders leverage their crypto portfolio with additional cash in order to buy further digital assets.

Its website goes on to state that it has already processed more than $3.5 million in loans on behalf of 1,250 customers, primarily from Germany, France, the United Kingdom and Italy.

In explaining where the company sees itself within the current financial ecosystem, CEO Ilya Volkov said YouHodler has no plans to compete with traditional banks and argues that attempting to do so wouldn't be helpful for society.