U.S. cryptocurrency firm Genesis Global Trading has confirmed that its lending business has issued $1.53 billion in digital currency loans to institutional borrowers since its launch last March, Reuters reports. In a report published online, the company said that lending was dominated by Bitcoin, which represents 68 percent of its loan portfolio.
The report revealed that lending passed the $1 billion mark last year, and continued at a brisk pace in the first quarter of 2019:
At the end of 2018, we had crossed $1 billion in total originations with an active loan book of $153 million. Since then, we originated an additional $425 million in Q1, bringing our total originations to $1.53 billion since launching the lending business in March 2018. Our current active loan book rose to $181 million at the end of Q1, a 17% increase from the end of 2018.
Genesis suggested that April’s lending activity points to continued growth in the second quarter of 2019. The report also noted recent signs of a crypto market rally and a corresponding “acceleration of crypto and cash loans” as positive signals. Genesis Trading CEO Michael Moro acknowledged emerging competition in the lending space but expressed confidence in his firm’s continued growth. In an email to Reuters, he said:
“We expect more new entrants into the marketplace, and lending rates to correspondingly decrease. But since this space is still so new, I think the strong level of growth will continue for quite some time.”