Good stuff, thanks!
I own a small slice of Coinmotion. I consider it important to mention that everyone understands I have a vested interest.
I think it’s good that expertise in this field is growing in Finland and Europe. I still see the future of cryptocurrencies as somewhat unclear, but their visibility and monitoring, at least in the news flow, are already so extensive that the probability of them becoming established is no longer necessarily zero. You only need to turn on the TV, and at least the value of Bitcoin appears on the ticker right after gold and oil. I think it’s a positive thing that the only options for service providers for private, institutional, and governmental actors are not American or outside Europe.
You asked @Verneri_Pulkkinen in the interview about monetization, which currently relies on trading fees. This is a very relevant question, as wasn’t one of the core ideas of the whole thing (mainly Bitcoin) to get rid of banks, intermediaries, and credit card companies, which always take their own, ever-growing, slice from the movements and storage of fiat currency?
When considering the monetization of cryptocurrencies, services related to storage, regulation, tax reporting/planning, etc., come to mind – largely the same as with fiat currencies. If one thinks big and considers whether these could challenge Nordea in the coming decades, then probably only the loan market is where expansion, in the big picture, could shake up the order of the financial world. Cryptocurrencies can already be used as collateral for loans, but do you think one can speculate with the idea that in decades, the loan/credit market would have increasingly shifted to cryptocurrencies? First, perhaps small consumer loans, a few crises from usury, and then more established, regulated activity through regulation…
I find the idea fascinating – I apply for a mortgage (mainly) from a domestic bank, and, for example, a stock portfolio serves as collateral for the loan. If a crypto portfolio is used as collateral for a loan, a smart contract could be made, even in stablecoin terms, with other actors. Anyone – an individual or a company – anywhere and anytime can grant a loan. The interest rate is not determined locally but globally. If this were to spread, what impact would it have on financial markets (and banks, which seem to consider it a winning strategy to put all their eggs in the basket that this won’t happen)?
A fascinating thought, that the loan you use to buy your home might in the future be granted by an African rock star, or you yourself might finance an American student’s credit card usage.
I asked AI what kind of price I would get for money if I had managed to save a crypto portfolio the size of one Bitcoin. This is what came back:
” Summary
• Bank loan against Bitcoin in Finland: practically not possible.
• On CeFi platforms: 30–60% of BTC’s value, interest rate 5–12%/year.
• In DeFi protocols: 30–50%, interest rate 2–5%/year, but higher technical risk.
In practice, you would get approximately €20,000–30,000 in loans against one Bitcoin, if you are willing to take the liquidation risk and accept the terms of the crypto service.”
Bonus question: if a crypto-positive scenario were to materialize and Coinmotion were listed on the stock exchange, which Finnish bank would most likely buy it out as part of its own business? 