Cryptocurrency

Startup canada offers loans in DAI backed by bitcoins | Breaking News

Key facts:

Ledn looking for users to access services Defined in Ethereum, using bitcoin.Those who do not have us dollar account can receive transfers in an asset with a value equivalenteLa startup canadian Ledn, specializing in providing financial products based bitcoins (BTC), he added the stablecoin DAI to his platform as one of the assets that users can choose to receive loans colateralizados. The service is active since last Tuesday 29 of October, as reported to Breaking News the co-founder of the company, Mauricio Di Bartolomeo.Ledn are aligned with the project MakerDao, creator DAI, a token of value anchored to the us dollar, with the aim of extending the scope of their service of loans backed by bitcoins to a greater number of people. According to said Di Bartolomeo, the incorporation of the stablecoin will allow users who have difficulties to receive transfers in dollars, obtain a loan based on their possessions of BTC.The startup had already been offering the service of loans in fiat currency, specifically in canadian dollars and us dollars, guaranteed by a deposit in bitcoins. In the middle of this year, they expanded the service to various countries of Latin america, among which are Mexico, Venezuela, Colombia, Argentina, Panama, Peru and Costa Rica. Currently, 51% of the company’s users are located in Latin america.However, a part of the users of the region do not have access to bank accounts in dollars, or face some kind of problem to receive the transfers, as limits in the amounts for deposits. “The new option that we offer with DAI, is the possibility of transfer in this stablecoin, on the dollar fiat, our customers are not able to receive bank transfers,” said the co-founder of the company. The loans contractually are still expressed in dollars, but the token DAI works to the beneficiaries to receive the value and also to repay the debt.Mauricio Di Bartolomeo explained that the procedure is simple: “once approved the loan of a user who chooses to receive DAI, Ledn will buy DAI automatically with the funds in dollars of the loan and shall send the DAI to the user’s address”.“Many users use our services when they need liquidity in dollars or DAI and do not want to sell their bitcoin,” said Mauricio. The system devised by the startup involves placing an amount of bitcoins in escrow, an amount that will provide a guarantee to receive loans of up to 50% of the deposit.The executive said that several users had requested the startup to receive transfers in DAI directly to their accounts in exchange houses in cryptocurrencies, to facilitate the purchase of new bitcoins. Some other users expressed interest in using DAI for access to different services DeFi (finance decentralized).Another advantage for the user is that the contract of loan is concluded between directly between Ledn and the beneficiary, which implies that it is not affected by variable interest rates of the system MakerDAO. Mauritius stressed that the startup, is the sole issuer and administrator of the loan.