Borrowing against a portfolio rather than selling it is a long established private banking service. A newer set of platforms is applying the same idea to digital assets, letting a holder draw liquidity against crypto and tokenised equities and spend it on a card, rather than selling the position to raise cash.
XPlace is one of them. The Fintech Times put written questions to Artem Ponomarev, founder and chief executive of XPlace, on what makes the model different from securities lending, how liquidation should be designed so that a spending product does not force
selling in a downturn, and what separates this generation of crypto-backed credit from the lenders that collapsed in the last cycle.
