+1.40% Bitcoin (BTC) 102435.7 EUR
+0.60% Ethereum (ETH) 2562.84 EUR
-0.86% Litecoin (LTC) 81.44 EUR
-0.59% B-Cash (BCH) 433.72 EUR
-0.75% Ethereum (ETH) 0.02525 BTC
-2.21% Litecoin (LTC) 0.00080194 BTC
-1.63% B-Cash (BCH) 0.00424907 BTC
+0.55% Bitcoin (BTC) 121007.5142 USDC
+0.83% USD Coin (USDC) 0.85 EUR
-0.10% Chainlink (LINK) 13.59 EUR
-1.06% Chainlink (LINK) 0.00013303 BTC
-1.42% Dogecoin (DOGE) 0.17 EUR
-2.33% Dogecoin (DOGE) 0.00000167 BTC
+5.73% Uniswap (UNI) 7.88 EUR
+4.82% Uniswap (UNI) 0.00007696 BTC
-1.49% Cardano (ADA) 0.63 EUR
-2.83% Cardano (ADA) 0.00000618 BTC
-0.12% Tron (TRX) 0.26 EUR
-1.55% Tron (TRX) 0.00000254 BTC
-0.69% Shiba Inu (SHIB) 0.00001147 EUR
+0.59% Zcash (ZEC) 37.16 EUR
0.00% Zcash (ZEC) 0.0004242 BTC
0.00% TradeFlow (TFLOW) 0.12216892 BUSD
-3.61% Arbitrum (ARB) 0.4028 USDC
-0.87% Chainlink (LINK) 15.78 USD
-1.05% Chainlink (LINK) 15.79158 USDC
+4.99% Uniswap (UNI) 9.12 USDC
-1.31% Ondo (ONDO) 0.76 EUR
-2.25% Ondo (ONDO) 0.89461 USDC
-2.55% Gala (GALA) 0.01 EUR
-3.98% Gala (GALA) 0.01687 USDC
-0.57% Wormhole Token (W) 0.06 EUR
-1.35% Wormhole Token (W) 0.0803 USDC
-1.91% Chiliz (CHZ) 0.03 EUR
-2.50% Chiliz (CHZ) 0.04013 USDC
-3.48% Sand (SAND) 0.26 EUR
-4.17% Sand (SAND) 0.3087 USDC
+0.79% Aave (AAVE) 268.46 EUR
+0.09% Aave (AAVE) 313.71 USDC
+6.46% Curve DAO (CRV) 0.6 EUR
+4.51% Curve DAO (CRV) 0.7088 USDC
-1.61% Immutable X (IMX) 0.45 EUR
-2.84% Immutable X (IMX) 0.5266 USDC
0.00% Skale (SKL) 0.07 USDC
-1.83% Beam (BEAM) 0 EUR
-2.44% Beam (BEAM) 0.00678 USDC
0.00% Axelar (AXL) 1.05 USDC
+1.78% Livepeer Token (LPT) 5.76 EUR
+0.35% Livepeer Token (LPT) 6.694 USDC
+4.87% Compound (COMP) 41.96 EUR
+3.86% Compound (COMP) 48.97 USDC
0.00% Coti (COTI) 0.04 EUR
0.00% Coti (COTI) 0.0573 USDC
0.00% Portal (PORTAL) 1.1 USDC
0.00% Sushi (SUSHI) 0.6 EUR
0.00% Sushi (SUSHI) 0.7169 USDC
0.00% Pepe (PEPE) 0 EUR
0.00% Pepe (PEPE) 0.00001242 USDC
0.00% Optimism (OP) 0.56 EUR
0.00% Polygon (MATIC) 0.2 EUR
0.00% Solana (SOL) 138.14 EUR
0.00% Solana (SOL) 0.0013696 BTC
0.00% Solana (SOL) 0.054363 ETH
0.00% USD Coin (USDC) 0.73 GBP
0.00% USD Coin (USDC) 1 USDT
0.00% USD Coin (USDC) 145.58 JPY

El Salvador Plans to Offer Crypto-Based Loans for SMEs

01-21-2022

The government of El Salvador plans to offer small and medium-sized companies (SMEs) $10 million in crypto-based loans as of the first quarter of 2022.

 

Acumen, a Solana-based lending and borrowing platform, will provide U.S. dollar funding to El Salvador's National Commission for Micro and Small Enterprises (Conamype), a government entity that plans to allocate financing to local informal entrepreneurs and self-employed workers, Conamype's president Paul Steiner told CoinDesk. Acumen's loans will have an annual interest rate of 6% to 7%, although it could reach up to 10%, Acumen's project manager Andrea Gómez told CoinDesk.

 

According to Steiner, 86% of the companies in El Salvador operate in the informal sector and do not have access to banking services. Of that percentage, 98% rely on unregistered lenders offering loans at annual interest rates of 2,300%, on average, he added. "They are loan sharks charging between 20% and 25% per month. That is what we want to avoid," Steiner said.

 

According to Steiner, the government has been in talks with Acumen since October 2021, following the approval of bitcoin as legal tender in the Central American country. In parallel, it holds negotiations with different crypto lending platforms looking to provide loans to Salvadoran SMEs, Steiner said, adding that, if signed, the agreements could total $200 million.

 

Acumen will convert crypto to stablecoins — USDC or tether — and send U.S. dollars to Conamype, which plans to deliver U.S. dollars to Salvadoran SMEs and entrepreneurs through the state-owned bank Banco Hipotecario, Steiner said.

 

Vice versa, Salvadorans will pay capital and interests in U.S. dollars and the government will return U.S. dollars to Acumen, Steiner said. El Salvador's government and Acumen are still defining details of the agreement, said Gomez, who added that the product will be ready in the first quarter of the year.

 

Source: Coindesk