Invest in Crypto Trading and Take a Loan Against Deposits

An increase in crypto trading in the globe paves the way for the setting up of crypto-based banks within the globe. Read on to find more about investing in cryptocurrency.

There has been a buzz when it comes to setting up crypto-based banks. In this case, the customers can easily maintain their cryptocurrency savings account. Besides getting interested in depositing cryptocurrency, customers can also opt for monetary loans against cryptocurrency. Additionally, various crypto platforms have already tied up with the United multistate credit cooperative society to provide savings accounts and cash loans to Crypto investors.

With that being stated, the crypto will serve as collateral in this case. Thus, the question, “If banks begin accepting cryptocurrencies, will the prohibition on Crypto trading within the globe (crypto trading is still prohibited in some countries of the globe) entirely lifted?” arises.

Considering the prospect of the global crypto banking system, Raj Chowdhury, Managing Director of PayBito, commented, “In the upcoming 6–12 months, we believe that cryptocurrency banking will turn out to be a reality. One of the significant causes behind this is that banks worldwide are already getting started to provide cryptocurrency services. Various FinTech giants have already announced their cryptocurrency service offerings, and many are already providing Crypto services to their customers.”

Crypto experts believe that several banks will begin providing cryptocurrency services to their consumers. One of the significant use cases of cryptocurrency as an asset class is that it can be utilized as collateral for monetary loans. Moreover, it is already happening when it comes to the decentralized finance ecosystem sector. Anyone in the globe can participate by utilizing their Crypto-assets as collateral for taking cash loans.

With that being stated, in light of the Indian crypto market, it is also believed that the system of taking cash loans by using cryptocurrency as collateral will start within the Indian banking sector. Here, cryptocurrency will be considered as collateral when a customer wants to take a loan. Various Indian startups are already focused on giving loans to Indians against Crypto. Thus, the time is not far when all global Crypto traders can use their Crypto assets to take loans.