Crypto lending and high-yield interest income accounts have seen rapid growth in the past two years. According to a report by Credmark, the crypto lending market reached $8 billion in total lifetime loan originations as of Q4 2019. Celsius Founder and CEO Alex Mashinsky stated, “Everyone calls us ‘crypto lending’, but there’s two very distinct and separate businesses: interest income and lending. If the crypto lending markets can maintain high single digit interest rates, millions of users will organically enter the crypto ecosystem. For retail borrowers, loans are often over-collateralized, meaning users need to post crypto-collateral with value greater than the loan value.

Source: Forbes May 26, 2020 13:50 UTC