When Lendo’s founders were designing the platform concept and planning the ICO, a robust strategy for the Lendo token was of primary importance. They wanted to ensure that when investors placed their faith in the platform that those people would be amply rewarded.
So, let’s look at the seven reasons why the Lendo ELT token will rise in value and be valuable in other ways as well.
• The value of crypto coins tends to rise as real world companies adopt them. Lendo has somewhat reversed that process by obtaining real world adoption by its FCA regulated lending partners before offering the tokens.
• As with other Cryptos, the eco-system will contribute to value. The tokens will also be accepted as payment by a range of merchants. There will be a Lendo card, which can be used to draw down on loans made by Lendo, wherever major credit cards are accepted.
• Anyone wanting to use their Crypto as security for a loan must first deposit their collateral in the Lendo vault. The vault fees are payable in Lendo tokens ONLY, so the tokens have a natural market and an inherent value.
• The Lendo token provides revenue for token holders, by way of a loyalty bonus. 30% of the vault fees in ELT will be distributed quarterly in ELT to token holders pro-rata to their holding at the time.
• Inherent increase in value is driven by the vault fees too, because with each transaction 70% of the tokens used to pay the fees are taken out of general circulation, meaning that over time the supply is reduced.
• Token holders will have the option to earn a passive income by depositing their tokens in the Lendo vault for a fixed period of 6 months. This will benefit all token holders by reducing the supply and ensuring the deposited tokens are not sold. In return, additional tokens equal to 5% of the deposited tokens will be paid as a reward at the expiry of the 6 months. The deposit scheme will be reviewed 2 years after the ICO closes, and the reward may be varied at the company’s discretion.
• Finally, Lendo Platform Limited will make profits from its lending and other operations. Commencing 6 months after the end of the ICO and for a minimum of 2 years, the company will allocate 30% of profits to supporting the token price including by buying back tokens at the prevailing rate on exchanges. This benefits token holders in two ways. 1) Token holders are guaranteed a market. 2) The supply of tokens in circulation will further decrease.
As you can see, there are multiple ways in which owning Lendo ELT tokens will provide you with value and profitability. Now all you have to do is own some.