Management at SALT sees a global opportunity to capitalize on the rapid adoption of distributed ledger technology, also known as blockchain technology, as a means of commerce, by providing credit providers with a technology platform from where they can offer consumers a means to borrow against a tokenized asset, in a secure manner, with managed risk. Blockchain based commerce enables faster trade settlement, greater auditing transparency, reduced costs, and less friction as compared to traditional trade settlement corridors.
It is management’s belief that due to the superior nature of blockchain based commerce, more and more assets over time will have their provenance of ownership tokenized, enabling trade and authentication over a blockchain. Not only will physical assets be traded on a blockchain, but new, digitally native asset classes will be created. This will allow potential borrowers to increase the productivity of their digital asset by enabling it to act as collateral for a loan. This permits the customer to maintain their investment in the underlying asset, while monetizing its value via a cash-based loan.
In almost every other realm of financial services, collateral-backed lending exists.
Our long-term vision at SALT is to use cutting edge technology, built around the core features of blockchain transactions and smart contracts, to offer new, valuable services to existing credit market participants and investors.