As crypto tends to appreciate over time in contrast to the eroding value of Fiat currency, the HODL (or “buy and hold”) strategy has become deeply entrenched within the crypto community. To the average crypto user, lending temporary Fiat for payment purposes against their long-term crypto holdings is far more rational — and this is exactly what the Collateral Pay Debit Card enables.
Concept Project – What is Collateral?
Collateral is the next-generation payment gateway built on Polkadot and accessed through an interoperable crypto wallet, granting access to spending power by using crypto as collateral at the point of sale. The platform allows users to pay instantly by using crypto as collateral, giving its global user base access to funds and the ability to pay and spend crypto instantly anytime, anyplace, anywhere.
What is the project trying to achieve?
Collateral aims to deliver a bridge between fiat and Defi with a unique range of products that can unlock the value of crypto assets and realize it by enabling payments at the point of sale in a growing network of global merchants and retailers.
Collateral aims to be the market leader in facilitating purchases by using crypto as collateral through a worldwide network of merchants and to become as recognizable as Worldpay, Visa, and Mastercard.
What is the unique selling point?
Is that users get access to instant spending power at the point of sale by using their crypto assets as collateral.
The Collateral Protocol automatically calculates at the point of sale the amount of crypto that needs to be locked in the smart contract to facilitate the payment and once locked, the FIAT equivalent is instantly sent to the merchant to finalize the transaction.
Collateral’s unique payment gateway protocol opens up benefits across several product use cases and a native token utility, managed via the Collateral wallet app:
- Collateral Merchants
- Collateral Pay
- Collateral Loan
- Collateral Save
- Collateral Govern
COLL is the native utility token of the Collateral ecosystem. COLL holders benefit from impressive staking APRs and receive a share of the fee derived from merchant fees and sold COLLs. On top of this, COLL tokens can be used to earn COLLG — a secondary token used for platform governance.
COLL staking pools will be available on the same day as TGE, ensuring users can stake their tokens to earn a reward from day 1.
- Ticker: COLL
- Token type: ERC20
- Fundraising Goal: Token
- Total Tokens: 50,000,000
- Initial Circulating Supply: 2,800,000
- Initial Market Cap: $1,120,000
Token Use Case
- Stake your tokens to earn Governance Tokens.
- Stake LP Tokens to provide liquidity to the ecosystem and earn rewards.
- Stake your stable coins, which are lent through the Protocol & secured by crypto collateral.
- Stake and Lock your Collateral Tokens to earn more Collateral Tokens. The longer they are locked, the higher reward you earn.
- Use the Governance token to decide on future improvement to the protocol
- Take advantage of lower Collateral To Value (CTV) the more tokens you hold the lower the CTV
- Revenue generated from merchants are distributed back to token holders
- Transfer taxes are redistributed to token holders rewarding loyal token holders.
How to own the token?
$COLLG is available to buy now on Uniswap here.
Market and Community
The Collateral Marketplace is the first in a suite of products leading up to the launch of the Collateral Pay Ecosystem. The Marketplace will have limited product lines, to begin with, however, merchants will be able to add products. The goal is to demonstrate the use case of Collateral in a real-world scenario and create awareness of the brand.
The Collateral Marketplace will also determine the utility of the $COLL token. In order to use your crypto as collateral on the Collateral Marketplace, buyers will need to hold $COLL. Each $COLL token held, will allow $10 of spending power within the Marketplace, as an example if you wanted to purchase something for $10,000 you would need to hold 1,000 $COLL tokens in addition to the crypto used as collateral for the purchase.
They value your vote. Their community is part of their DNA. They want their $COLLG Token holders to feel empowered to be able to shape decisions. Over the coming months and beyond, they will have lots of decisions to make, and they want to be able to do that together. These are important topics that $COLLG Token holders will be able to vote on. The more $COLLG Tokens you hold, the more voting rights you will have.
The emergence of crypto debit cards is an exciting and attractive prospect for consumers, but can sometimes be a confusing world to navigate. Let me know what your thinking?
Find more information about Collateral