SALT Lending is a pioneering platform offering Blockchain-Backed Loans, allowing users to leverage cryptocurrency holdings as collateral for cash loans. This solution caters to individuals seeking liquidity without selling their digital assets—ideal for covering unexpected expenses or major purchases.
How Does SALT Lending Work?
Core Mechanism
SALT specializes in Blockchain-Backed Loans, where borrowers pledge crypto assets (e.g., Bitcoin, Ethereum) as collateral to secure traditional currency loans. Unlike conventional loans, these funds can be used for any purpose without credit checks—approval hinges solely on collateral value.
Key Features:
- Collateral Flexibility: Supports major cryptocurrencies.
- No Credit Checks: Loans are secured by asset value.
- Quick Funding: Cash disbursed directly to bank accounts.
👉 Explore SALT Lending’s loan options
Membership Updates
Initially, SALT required paid memberships (Base, Premier, Enterprise) with tiered benefits like higher loan limits and exclusive perks.
Current Model:
- Membership purchases are paused.
- Loans are accessible without SALT tokens, though staking tokens may improve rates.
Table: Original Membership Tiers
| Tier | Cost (SALT/year) | Benefits |
|------------|------------------|-----------------------------------|
| Base | 1 | Basic loan access |
| Premier | 10 | Multi-currency loans, better terms|
| Enterprise | 100 | Priority support, debit cards |
Loan Process
- Borrower Application: Submit collateral details.
- Lender Offers: Choose from available loan terms.
- Smart Contract Execution: Collateral locked; funds transferred.
- Repayment: Monthly installments; collateral returned upon completion.
SALT Oracle: Automates loan management, tracking collateral value and loan-to-value (LTV) ratios. If LTV exceeds thresholds, borrowers must add collateral or repay partial amounts.
SALT Lending Team & Progress
Leadership
- Former CEO Shawn Owen (hospitality background) stepped down in 2018; CTO Bill Sinclair assumed leadership.
- Advisor Erik Voorhees (ShapeShift CEO) adds industry credibility.
Milestones
- 2018: Launched loans for top-tier members; facilitated $50M+ across 70,000 loans.
- Expanded support to Litecoin and Dogecoin.
Competitors: ETHLend and Elix offer decentralized alternatives, but SALT targets institutional lending with a compliant framework.
SALT Token
Utility
- Originally: Paid memberships, loan interest, and platform perks.
- Arbitrage Opportunity: Tokens once had higher platform value ($27.50) vs. market price, enabling profitable loan repayments. This loophole is now closed.
Market Performance
- ICO Price: $3–$7 (2017).
- All-Time High: $17 (December 2017); current value ~$0.25.
- Trading Pairs: Available on Binance and Bittrex (BTC/ETH pairs).
👉 Learn about SALT token storage
Where to Buy & Store SALT
Purchasing
- Exchanges: Binance, Bittrex (requires BTC/ETH).
- Fiat On-Ramps: Buy BTC/ETH via Gemini, then trade.
Storage
- Hot Wallets: MyEtherWallet, Jaxx (recommended by SALT).
- Hardware Wallets: Trezor, Ledger Nano S (most secure).
FAQ
1. Can I use SALT without holding tokens?
Yes—loans are now token-optional, though staking SALT may secure better terms.
2. What happens if my collateral’s value drops?
The Oracle triggers a margin call; you must add collateral or repay a loan portion to restore LTV.
3. Is SALT lending available globally?
Limited by regional regulations; check SALT’s website for supported countries.
Conclusion
SALT Lending bridges crypto illiquidity with institutional-grade loans, backed by a seasoned team. While the token’s utility has diminished, the platform remains a viable tool for accessing cash without selling assets.
Last Updated: December 2018
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