Uphold and Salt Partner to Bring Liquidity to Millions Using Crypto-Backed Loans

Together, the two plan to provide users with cash or stablecoin loans using cryptocurrencies as collateral.

Uphold's 1.7 million users can now secure loans through Salt against their holdings in Bitcoin, Ether, Litecoin, Bitcoin Cash, Dash, and XRP. The integration of the two platforms provides enhanced access to liquidity, enabling users to unlock additional value in their crypto holdings.

The integration streamlines the lending experience for both Uphold and Salt users through collateral transfer and loan proceed payouts.

The potential of crypto-backed loansCrypto-backed loans from Salt ultimately allow Uphold users the ability to keep their crypto and receive cash, providing an easy solution to unlock the value of their assets without having to sell them on an exchange.

It's important to note that Salt is a centralized cryptocurrency loan platform, providing loans to users in select jurisdictions.

Unlike traditional financial institutions, Salt allows customers to use their crypto assets as collateral to secure a cash or stablecoin loan in just 24 hours.

"When applying for a loan through SALT, Uphold users can customize their loan by choosing their preferred loan type, loan amount, duration, and Loan-to-Value ratio. SALT currently offers Loan-to-Value ratio options of 30%, 40%, 50%, 60% and 70% for crypto-backed loans and does not require customers to undergo a credit or income check," Rob Odell, VP of product and marketing at Salt, told Cointelegraph.

"If an individual who holds crypto wants to adopt a child, but does not have enough cash to pay for the adoption, they can borrow against their crypto holdings to secure a U.S. dollar loan from SALT to cover adoption costs," said Odell.

"A crypto mining company that holds a significant amount of crypto needs fiat currency to cover operational costs, including purchasing more mining equipment and paying its employees. Given the company does not want to sell its crypto holdings for cash, the company takes out a business loan with SALT and uses a portion of its crypto holdings to secure the loan."

Uphold aims to solve this for many of its users by providing liquidity through crypto-backed loans.