Diogo Mónica, Co-Founder and President at Anchorage Digital, a leading crypto platform for institutional investors, has revealed that they are offering institutional Ethereum-backed loans via Anchorage Financing.
Mónica confirmed in a blog post, dated June 3, 2021, that institutional clients at Anchorage now have access “to a USD line of credit” that’s backed by Ethereum (ETH) via their partnership with “forward-thinking” commercial bank BankProv.
As mentioned in the update from Anchorage, BankProv is the tenth-oldest banking institution in the US, operating for more than 200 years as The Provident Bank before its “modern rebrand” last year.
Mónica noted:
“Since the beginning, Anchorage has carefully anticipated institutional needs, solving first for secure custody and building a suite of institutional products including financing, brokerage, staking, and governance. Anchorage Financing’s loans help institutions, who are rightfully wary of posting collateral outside the security of Anchorage’s cutting-edge custody, obtain efficient access to capital without compromise.”
Dave Mansfield, CEO of BankProv, added that they are pushing their full-service product offering for the crypto community to “the next level.”
Mansfield also mentioned that they “firmly” believe in their mission and belief that the cryptocurrency market should be “afforded the same access and rights to traditional financing tools as any other legal, well-capitalized and compliant business in America.”
Mansfield further noted that Anchorage’s collateral management technology is “world class” and that makes them “a trusted partner in the banking industry.”
As stated in the update:
“For crypto-native funds who have investments in Ethereum and a need for capital, Anchorage Financing brings a simple way to put their Ether to work while staying put, bringing them USD to meet their needs without liquidating their holdings.”
The Anchorage team added that they believe the future of digital asset infrastructure will be “forged by cutting edge technology and mutually beneficial partnerships.”
They company’s management added that they are looking forward to working with BankProv, whose “long commitment to connecting enterprise tech and strong record for regulatory compliance aligns with our own.”
If you want to pledge Ethereum (ETH) or would like to learn more about other forms of collateral accepted by Anchorage Financing, check here.