Helio Lending

People today have a plethora of assets to choose from and allocate their funds. Money has already started changing tracks and is gradually moving towards newer assets from the typical assets offered at Wall Street. The tech revolution has definitely played a key role in the aforementioned transition. An average investor today is most likely to look at non-sovereign stores of value that are not currency derivates.  Amongst the host of crypto assets available in the market, Bitcoin is the most appealing asset to MicroStrategy’s CEO Michael Saylor.  Elucidating the same in a recent podcast, Saylor said, “I go on a stampede for the most liquid the most liquid, most compelling potential non-currency derivative and I find Bitcoin .” He added, “I view Bitcoin as an economic imperative because everyone needs a non-sovereign store of value inflation hedge. I view it as a technology imperative because I think the most powerful idea is putting digital property into 8 billion iPhones and...

  DeFi assets are gradually capturing the spotlight, even as ranging price patterns dominate the crypto space. After a few minor hindrances, the concept of decentralized finance appeared more intriguing as an array of assets, such as Aave, were welcomed into the industry. Aave is one of the few altcoins that has retested its support and has successfully started heading in an upward direction afterwards. To continue pushing this momentum, the leading DeFi lending company plans to launch Aave Pro later this month.   A new protocol  Aave is a decentralized lending platform giving users the ability to lend, borrow, and earn interest on cryptocurrencies. They can do so without the involvement of a third party. The protocol mostly operates on the Ethereum blockchain, with their recent Polygon network integrations generating successful results. According to Binance, the largest crypto exchange in the world, Aave traded at approximately $321.14 with a $383 million daily trading ...

  What is a Loan Write-Off ?” In the financial industry, be it taxes, investments, or loans, a term that is periodically tossed around is “write-off.” We often hear this in the context of taxes (ex. “You will even get a tax write-off!”), but some are not familiar with what it actually means. What does it mean? When an investment, like a loan, becomes delinquent (i.e. payments are late) or in default and is deemed uncollectible, the lender has a choice to make concerning the outstanding investment amount. They can either charge it as an expense or a loss. It is an accounting action that diminishes an asset’s value while simultaneously debiting a liabilities account. It is commonly used by businesses looking to account for unpaid receivables, unpaid loan obligations, or losses on stored inventory. Generally speaking, it can be seen as something to help decrease an annual tax bill. The core idea is to use the money in conducting business, which was initially put aside at the time of l...

  “What is a Recourse Loan?” For borrowers, one type of loan they can acquire is a secured facility. This is a debt that requires collateral, which is an asset that a borrower puts down as security. The lender can seize this asset and sell it to placate the debt should the borrower default. From here, a recourse loan comes into play. What is it? A “ recourse loan ” refers to a type of loan that assists a lender in recouping their investment. Specifically, if a borrower doesn’t pay and the underlying asset’s value does not cover it. The best way to describe a recourse loan is it’s a form of secured financing. It allows the lender to pursue the debtor’s other assets that were not used as loan collateral. Alternatively, the lender can take legal action in the event of a default in order to fully pay off the debt. A recourse loan is a secured debt typically found in real estate and automobile loans. They provide lenders with substantial power due to having fewer limits on what lenders ...

“Aave is Soaring to New Heights” DeFi assets are gradually capturing the spotlight, even as ranging price patterns dominate the crypto space. After a few minor hindrances, the concept of decentralized finance appeared more intriguing as an array of assets, such as Aave, were welcomed into the industry. Aave is one of the few altcoins that has retested its support and has successfully started heading in an upward direction afterwards. To continue pushing this momentum, the leading DeFi lending company plans to launch Aave Pro later this month. A new protocol Aave is a decentralized lending platform giving users the ability to lend, borrow, and earn interest on cryptocurrencies. They can do so without the involvement of a third party. The protocol mostly operates on the Ethereum blockchain, with their recent Polygon network integrations generating successful results. According to Binance, the largest crypto exchange in the world, Aave traded at approximately $321.14 with a $383 million d...

Over the past few years, Bitcoin and other cryptocurrencies have experienced a surge in both interest and value. This has led to significant returns on investments for those who got in early. Financial institutions are paying attention and are now looking into cryptocurrency lending options, which could radically change how commercial banking works. The Rapid Growth of the Bitcoin Industry Bitcoin has been around for more than a decade, and its growth did not occur overnight. In fact, Business Insider estimates that it took almost 11 years per bitcoin coin to reach a whopping $20,000 in 2017 for the first time. In January 2021, the price then doubled twice in less than 30 days. Heavy investors are driving a big portion of the demand and growing prices. Economists credit MicroStrategy with attracting wealthy investors and corporations when it bought $425 million worth of bitcoins. Since then, several other companies have made multi-million-dollar investments in bitcoin, includi...

The next wave of crypto adoption in the region is likely to come from citizens in unstable autocracies or those facing crushing inflation in countries like Iran and Lebanon. Although several Middle Eastern countries continue to restrict cryptocurrency trading and mining, digital transformation in the region has proceeded at a rapid rate. From Dubai’s first-of-its-kind Bitcoin Fund listing to the Bank of Israel’s trial of a digital shekel, enthusiasm among authorities and citizens is spreading, even as certain governments remain openly hostile to  bitcoin  (BTC, +0.87%)  and other digital assets. Despite the majority of blockchain startups choosing to set up shop in crypto-friendly territories such as the United Arab Emirates (UAE), the next wave of crypto adoption is likely to come from citizens in unstable autocracies, as well as those in countries suffering from crushing inflation – Iran and Lebanon to name but two.  Bitcoin blueprint A template for ...

When you borrow money, it is not income for tax purposes because you have to pay it back. When you lend money, you get no tax deduction or other taxable event. You just changed your money into a promise that the borrower will pay you back. So, to the IRS not much has happened. Sure, there may be interest paid or interest received. Plus, if you are relieved of the obligation to pay  back  a loan, that  is  income in the amount of the debt forgiven. Mostly, though, loans can be neutral from a tax viewpoint. How about loans in Bitcoin or other digital currency? Loans and taxes That’s not so clear. With loans in dollars, money is fungible. When you receive a loan in cash, the lender usually knows that you will invest or spend the money. Everyone understands that you will pay the lender back with  other  money. But the IRS says cryptocurrency is property. Say you lend your car to another person. If the borrower returns a  different  car,...

As   crypto holders   worldwide increase, more people are looking for alternative ways to earn passive income with crypto, while others want to take advantage of crypto-backed loans. More and more crypto exchanges and products offer crypto loans and interest-earning vehicles, such as Binance, BlockFi, Crypto.com, Celsius, and Nexo. These platforms are not only attractive from an investment point of view but there could also be interesting tax advantages. Today we cover all the tax implications of taking crypto backed loans, but first, let’s explore more about them. What are Crypto loans? A crypto loan works similarly to a traditional loan. On one side, you can put your crypto holdings to work by generating interest on locked funds into interest-earning platforms. On the other side, you can use some of your crypto holdings as collateral to borrow cash (e.g., USD) or other cryptocurrencies. Why take Crypto loans? Using crypto earning platforms, you can borrow money at an interes...