Head Of BitMEX Gets Interested In Issuing BTC Bonds
Arthur Hayes, the head of the BitMEX cryptocurrency exchange, hinted that in the near future, the company may begin to offer short-term debt BTC bonds. The idea already exists, but it hasn't been worked out to the end yet, he said in the Venture Coinist podcast.
Hayes notes that bitcoin holders will be able to generate income natively using bonds. Currently, this is quite difficult to do as one has to borrow his crypto to someone, which is already unsafe, and the risk of not getting it back is also extremely high, the BitMEX head said.
Companies, engaged in issuing bonds, receive in return funds that they can spend for their needs. From an economic point of view, using the borrowed money is more rational than using the retained earnings.
Hayes is considering issuing short-term (for example, 30-day) bitcoin bonds with a particular interest rate that would cover credit risk. Thus, the company will receive an almost risk-free percentage curve for loans in BTC.
At the same time, various speculative projects may want to take advantage of this opportunity. To give them a debt bond or not — is left to the discretion of the company, Hayes stressed. In any case, the head of BitMEX is convinced that such a mechanism will push for broader adoption of bitcoin since people will borrow the cryptocurrency and create businesses with its help.
Previously, traders eliminated 6500 BTC on the Bitfinex exchange.