Genesis Capital Breaks Previous Quarter Record With 870M in New Loan Originations in Q3

Digital asset lending firm, Genesis Capital has reported significant and sustained growth in its Q3 report which highlights a growing demand for cash and an stablecoin lending.

Genesis Capital released its quarterly report on Oct.30, reporting that the institution had added $870 million in new loan originations which marks a sixth consecutive quarter of sustained growth for the firm.  

Demand Rises For Cash and Stablecoins

The firm reported that its loan portfolio had largely sustained its value through increased cash (USD and stablecoin) loan issuance offset by a decrease in the notional value of outstanding cryptocurrency loans. Q3 cash loans represented 31.2% of the firm’s active loan portfolio, an increase from Q2 where cash loans represented 23.5%.

Genesis has continued to experience strong demand from the international community to borrow USD, as mentioned in their Q2 report. A large portion of the cash demand translated into stablecoins like USDC(USD Coin) and PAX (Paxos Standard Token).

Demand For BTC Loans Fall
The report indicated that the new USD issuance in Q3 mostly took share away from active BTC loans, marking a slight demand increase for altcoins—which grew in popularity in Q3. Bitcoin loans fell from 68.1% in Q1 to 50.2% in Q3, with Ether having increased to 7.5% from less than 4% in the previous quarter. 

Image via Shutterstock