If you're considering taking loans against your crypto assets, safety should be a top priority. DeFi is popular, but there's a custodial service approach that offers more security and insurance. Here's why you might consider this option.
Specialises in securing your digital assets.
Your assets aren't used for high-risk yield generation.
There's a fee for vault security, varying by the size of your holdings.
Recommendation: Aim for a 50-60% LTV due to crypto's volatility.
You get a "first right of refusal" during capital calls, unlike in DeFi, where your assets can be automatically liquidated if values drop.
If you're looking for a safer, insurable way to take loans against your crypto, this custodial service is a strong alternative to DeFi. With robust insurance, lower risks, and "first right of refusal," it's an option worth discussing.
If you want to action this custody solution and you have more than $500k in digital assets, book your discovery call with Lewis today.