SALT Lending, the digital currency lending platform, has announced its decision to add Dash support on its platform as loan collateral. Additionally, it will also be adding masternode support. The official announcement was made yesterday through SALT Lending’s blog post.
As per the post, SALT Lending considered adding Dash support as the team thought that Dash not only possessed impressive adoption in the present day but was also viable in the long-term. Moreover, Dash’s 2-tier network and utilization of masternodes to sustain their blockchain’s health were added reasons why it was chosen by SALT Lending.
We're happy to announce Dash (@dashpay) as our latest loan collateral type. Read more about this newest addition: https://t.co/IvbF9jkx9Z Welcome aboard Dash enthusiasts! @Dash_Nation @AmandaB_Johnson @RTaylor05 @KennETHbosak @mattmeek_dash #dash pic.twitter.com/6Ivqo7myzu
— SALT (@SALTLending) April 9, 2019
The official announcement also stated that the digital currency lending platform completely supports the mission and the community of Dash.
Like other digital currencies, Dash allows anyone to make easy, cheap and quick payments whenever they please, regardless of their geographical location, without requiring any kind of central authority.
Earlier, only a few digital currencies were supported by SALT for the purpose of collateral deposits where Dash was available through ShapeShift. However, that has changed as going forward, Dash collateral will have direct support without the need for prior conversion.
What’s more is, when Dash users will be using Dash as collateral, the SALT will let them run masternodes.
What must be noted here is the fact that SALT has not just added Dash as another loan collateral option but it has extended direct support for utilizing a masternode as a collateral while keeping them operational. The statement from Dash read,
“Better yet, if you own DASH that’s being used for a masternode, we’ve also developed a way for you to maintain your masternode status, voting rights and payouts and still use it as loan collateral. To do so, follow these instructions before you deposit your DASH into your SALT collateral wallet.”
For those who come in late, in order to operate Dash masternodes, users were required to own a minimum of one thousand Dash. When they operated the node, users were allowed to vote on the treasury proposals as well as earn recurring rewards. But if one moved the collateral, the node was brought offline. With the new system by SALT, things have changed. Now, users can keep their masternodes operational, carry on with voting on proposals, and also continue receiving masternodes’ recurring rewards, everything while they are using the connected funds as loan collateral.
The addition of Dash support as an option for collateral along with masternode support will only facilitate Dash utilization further as an absolute currency. In the real world when anyone wants to apply for bitcoin loans or leases, they are often asked to present evidence of resources, bank balance and other financial elements which act as a guarantee. When it comes to digital currency, this is not quite possible to achieve and often crypto holders may decide to sell off their cryptos to obtain evidence of resources. So enabling users to use Dash as collateral for a loan will facilitate its substitution for fiat money. At the same time, preserving masternodes in synchrony with SALT would allow the holders of masternode to easily keep their investments all while receiving the recurring rewards, acquiring loans, and much more.