It’s important to understand that there are between 8-10 private placement trade platforms that exist. Maybe the number one reason you or your clients may think that there’s actually a higher number, is because there’s many ways to access these platforms via a range of different institutions, but ultimately the trade programs always end up with the same 8-10 private placement trade platforms.
Given that there are numerous ways to access these same 8-10 trade platforms, this logically means there are numerous institutions and agents presenting their own packages and creative ways on how to initiate a trade program. Providing the collateral is in place and secured, the Principal passes all AML, KYC, and due diligence, and a trade agreement is signed, a Principal can then enter a trade program.
It's the asset part of the puzzle which makes the difference when using Bitcoin as collateral. The institution that we can connect you to, will use your Bitcoin as collateral. The Principals Bitcoin will be requested to be moved to a custodial wallet whereby the custodian has total control over the wallet. The Bitcoin is never at risk plus it’s still under the full ownership of the Principal. The institution taking on the Bitcoin as collateral will then monetise the collateral at approximately 80% LTV, and then use the loan funds as leverage and enter a trade program in the stabdard way. There is a $5 Million minimum entry level for this program. But remember this… your Bitcoin is never at risk and is securely held by a custodian throughout the term of the trade program.
If you would like to find out more about a Private Placement Trade Program For Bitcoin BTC in Hong Kong, or would like to request a call, contact GTES.
