In an announcement posted on their blog , SALT lending has officially confirmed that Dogecoin can now be used as collateral for users requesting loans on its platform.
The move sees DOGE become the fourth cryptocurrency on the SALT platform, following the additions of BTC, LTC, and ETH. SALT, the creator of “Blockchain-Backed Loans,” gives users the ability to receive loans in USD, GBP, or JPY that use cryptocurrency as collateral.
The organization believes adding support for more cryptocurrencies will add users and liquidity to its platform. This means HODL’ers can leverage their digital assets to obtain tangible funds in real world cash.
The process of receiving a loan on the platform, according to the organization’s website, is simple. Applicants can go to SALT’s website and apply for the loan. Once approved, the cryptocurrencies are held in a multi-sig wallet for the duration of the loan.
Payments can be sent using automatic ACH transfer, and SALT does not charge origination, servicing, or prepayment fees. Loans must be at least $5,000 and interest rates start at 5.99%.
A Historic Cryptocurrency
Created in 2013 by Jackson Palmer , dogecoin has built a reputation as a fun, easy cryptocurrency, that was built from the Bitcoin code base. Mined using the Scrypt hash algorithm, it features low fees and fast transaction times.
DOGE’s high supply means that each Dogecoin is worth less than a penny, although its market cap is currently at over $520 million. One DOGE is currently trading at about $0.0044
Notably, dogecoin has cemented its name in the crypto space’s history, as its community has supported various charitable projects. These included taking the Jamaican bobsled team to the 2014 Winter Olympics in Sochi, Russia, and raising funds to build a well near the Tana river basin in Kenya.