A Bloomberg crypto analyst, Ethereum (ETH) and two other altcoins are creating unprecedented financial opportunities for emerging markets, he says.
Koinfinans.com As we reported at Blockchain analyst Jamie Coutts said on social media platform says.
“Public blockchains have tremendous potential to empower global citizens. The $850 billion private loan market is just the beginning. There are currently $568 million in active loans issued through loan funds on platforms like Ethereum, Polygon, and Solana. Who is investing? Demand originates primarily from equatorial regions, particularly emerging markets (EM), with minimal participation from developed markets (DM).
Historically, private credit was reserved for accredited investors. But now, thanks to the rise of public blockchains and stablecoins, inflation-plagued and yield-hungry regions can benefit from private lending opportunities in US dollars. “While Bitcoin is rightfully the leading asset and network of this movement, other blockchains will offer invaluable opportunities to a global population that is underserved and deliberately excluded from the mainstream economy and its outdated regulatory guardians.”
Coutts also says the private credit market involves risks and transparency from issuers is vital to protect investors.
“Private credit is not risk-free. Just last month, Goldfinch (decentralized lending platform) suffered a depreciation in its fund. “However, as long as issuers maintain transparency and risks are well communicated, private investors from all walks of life can access this traditional asset class in a contemporary and inclusive way.”
