Comment on Blockchain lender Figure valued at $7.6 billion as shares jump in Nasdaq debut (Sept 11)
Assassassin@lemmy.world 5 days ago
“Figure developed the Provenance blockchain to originate, verify and process home-equity loans, positioning itself at the intersection of housing finance and crypto. Cagney told Reuters that 10 out of the top 20 mortgage companies use Figure’s technology to originate loans.”
Hold the fucking phone. Not only are we barely regulating crypto, we’re using it for fucking HELOC loans now? I don’t see any way that this could possibly backfire.
shortwavesurfer@lemmy.zip 5 days ago
A lot of crypto backed loans, where they will give you fiat for crypto, are actually over collateralized. So for example, if you want a $10,000 loan, you have to deposit $20,000 worth of crypto. That actually makes the loans quite safe, and if the price of crypto falls, you will lose your crypto unless you deposit more collateral.