It was the year 2009, when the first bitcoin was sold. It was year 2010, when a pizza was bought for 10000 bitcoins. Today bitcoin and other related currencies have failed the very purpose, that they were made for. To have a digital currency, that could be used just like the normal fiat currency, for sale and purchase. Over a period, most of these currencies have grown in value, and, today even if you want to spend a bit of your digital portfolio FOMO sets in, making you wonder if the product that you are buying with your digital asset is even worth the price. Would you lose out in the long run as your portfolio may grow double or triple in no time.
The odd thing about digital currencies till date has been that although they are considered as assets by most people, no bank or financial institution would be willing to give out a loan against them. You either sell them, thus loosing value of your portfolio, or hold them no matter how dire your need may be. It is one thing to be a millionaire on paper and other to be in the real world. What if there was some thing that was kind of a middle path. Some thing that would loan you real fiat or fiat backed crypto currency against your digital portfolio. A loan that you could repay and hence keep you digital portfolio intact.
Introducing money token. Money token takes out all the risks from crypto currency and aims to create a stable lending model where crypto currencies will be used as security deposits. All this will be backed by the block chain technology, so you can go and buy your favorite lambo without loosing your sleep over how much that lambo was going to cost in bitcoins a year later. If you can and that you will, pay back the loan and have your crypto balance intact the next year. The idea is simple and yet effective.
What money token intends to do is nothing new and from the very beginning of human civilization, articles of value have been kept as collateral against loans. Money token has just taken the game a step further, where the digital world assets can be used for loans. This will be extremely beneficial for people who are involved in crypto mining and often find it difficult to raise a loan against their digital portfolios, to enhance their mining capabilities.
More information on the legal aspect of the money token can be read in their whitepaper at https://moneytoken.com/doc/MoneyTokenWP_ENG.pdf or their website at https://moneytoken.com/
What I find interesting about this whole concept is that it gives a new twist to the age old business of lending and borrowing. While we all want to be a part of the change money token is one company that is indeed trying to bring in this change where it is willing to keep crypto as collateral despite its fluctuating nature bringing a true meaning to adoption of cryptocurrency .
https://bitcointalksearch.org/user/sidjain-1341944
Topic: Money Token - Now you don't have to sell crypto to buy Lambo !!! (Read 138 times)
Jump to: