🤝 Genesis has loaned $553 million in crypto since March

In a recently released report OTC trading firm Genesis revealed that it had loaned $553 million worth of cryptoassets to institutions since March. As of September, the firm had more than $130 million in active loans, with more than 60 percent of that amount denominated in Bitcoin ($BTC). Genesis noted that some of the largest loans were made in Ethereum ($ETH) to hedge funds which typically use the borrowed assets for short positions. As of the end of the first quarter ETH based loans made up 42 percent of outstanding balances, but the amount fell to only 4 percent as of the end of the third quarter following an 80 percent decline in ETH prices. Genesis pays between 5 percent and 7 percent to borrow cryptocurrencies and then charges about 10 percent or 11 percent to lend.