Many modern entrepreneurs fit this description perfectly, but there are few platforms that allow you to convert long-term hodling into operating capital. The New York subsidiary of Dominion Capital plans to fill this niche. Dominion is known for helping financial start-ups secure loans.
As it turns out, Dominion has been involved in cryptocurrency for a long time. The company believes that it is time to show everyone the real value of this asset class by expanding the services offered in this sector.
Essentially, this service allows entrepreneurs to take out a loan against cryptocurrency, rather than converting cryptocurrency into fiat. Mikhail Gurevich, CEO of Dominion, believes the idea could attract many large ICOs that have raised millions in crypto assets but are unable to use them. According to him, Dominion will initially only provide loans secured by Bitcoin, but with the development of altcoins, this situation may change.
How does it work?
The key to realizing this idea will be Dominion's partners, whom the company plans to attract when launching the project. Gurevich believes that the cryptocurrency market lacks banks. “We want to attract a number of strategic investors who will help us implement our idea,” says Gurevich.
At the moment, Dominion has already spent about $1 million of its own funds on developing a minimum viable product. The first version of the platform will be available in a couple of weeks, it will be aimed at raising $5 million, which will be spent on further development and hiring a team. After the working beta version appears, the developers plan to raise $100 million to finance loans. Gurevich plans to raise this amount with the help of large hedge funds or a public issue of bonds.
“We believe that our product will be popular as we see the existing demand for similar services. I hope our initiative will help legitimize the entire field.”
According to https://www.coindesk.com
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