SALT Lending is a blockchain-based lending platform that provides cryptocurrency-backed loans to its users. Participants can deposit various accepted tokens, such as Bitcoin (BTC), Ether (ETH), Litecoin (LTC), Dogecoin (DOGE), DASH (DASH), or SALT (SALT), as collateral to obtain a loan in either fiat currency or stablecoin. SALT Lending features a native token, SALT, which can be used to lower the interest rate on a loan and serve as a secondary form of loan collateral. At present, SALT is redeemable at a value of $7.50 for interest reductions on loans, though this policy and valuation are subject to change. Founded in 2016, the company operates under Salt Blockchain Inc., a for-profit entity, and Salt Lending LLC: Salt Master Fund II, LLC – NMLS 1711910.

SALT was established in 2016 in Denver, Colorado by a team of Bitcoin enthusiasts and finance professionals. Their goal was to introduce a product that allowed users to leverage their cryptocurrency holdings to secure cash loans, all while retaining ownership of their digital assets. By introducing asset-backed lending, SALT brought the first blockchain-backed loan to the cryptocurrency marketplace, offering digital asset holders a new level of versatility in accessing liquidity. Today, SALT has evolved into a regulated and licensed company that not only develops crypto-backed lending technology but also offers scalable, insured, institutional-grade crypto custody and blockchain monitoring solutions. The company now boasts a team of over 40 core employees, technical developers, and advisors with expertise across various fields.

According to its whitepaper, SALT was the pioneering provider of cryptocurrency-backed loans, establishing a niche in the lending market. The company is regulated and possesses numerous licenses for lending, collection, and loan servicing. SALT offers multi-collateral loans featuring fixed rates, flexible terms, and various loan-to-value (LTV) ratio options. Loans can be paid out in either cash or stablecoin. There are no prepayment penalties or traditional bank origination fees. The maximum loan-to-value (LTV) ratio varies from 30% to 70%. Interest rates are dependent on the chosen loan term and LTV. Additionally, the platform serves as an insured cold storage wallet and offers its own SALT token, which users can utilize to lower loan interest rates, among other benefits. The company extends its lending services within the United States and internationally, catering to both individuals and institutional entities such as mining operations and hedge funds. The company provides live customer support and first-rate compliance programs to fulfill the needs of its clients. The SALT Platform was developed with the volatility of cryptocurrency and the goal of wealth preservation in mind. In the event of a margin call, assets are automatically converted to stablecoin rather than being liquidated, a distinctive feature in the lending industry. Here's the process: * When a loan hits a forced liquidation LTV, instead of promptly selling collateral assets to maintain the loan’s health, the SALT Platform converts a portion of the collateral assets into stablecoin, thereby preserving collateral value. * After the loan's health is restored, the borrower can request the conversion of loan collateral back to the original cryptocurrency assets, such as BTC, ETH, LTC, etc. * This feature allows users the chance to convert assets as the market improves, offering the potential to not only preserve but also grow wealth. The SALT Platform includes a loan health notification system, offering email, phone, text, and app alerts, available on both iOS and Android. Although there is a general policy to provide borrowers with notice of a margin deficiency, the system may liquidate or convert pledged assets without prior notice to borrowers to ensure compliance with the loan's minimum maintenance requirements. Liquidation or conversion of pledged assets could lead to negative tax consequences. SALT recommends that borrowers consult their tax advisor to fully understand the tax implications associated with using digital assets as loan collateral.

SALT has a fixed supply of 120,000,000 tokens. The native token of the SALT Lending platform is SALT. It serves various user-related functions and is freely tradable outside the platform. SALT conducted an initial coin offering (ICO) in 2017. About 67% of the token supply was distributed through the presale and crowdsale, with the remainder currently held in treasury by SALT Blockchain Inc. In September 2020, SALT paid a $250,000 fine and reached a settlement with the SEC concerning an investigation into its ICO. Consequently, SALT Blockchain Inc. agreed to publicly register the SALT token as a class of security under Section 12(g) of the Securities Exchange Act of 1934 and to notify ICO purchasers of their right to submit a claim to recover the consideration paid, alongside other settlement terms.

The Salt Platform manages assets within insured cold storage and ensures the security of its networks and user funds. Keys within the Salt Platform are generated, stored, and transactions signed offline, which the company indicates significantly reduces cybersecurity threats, as keys are never exposed to a network-connected device. The multi-signature security process guarantees that no single entity can move user funds. Key encryption and layers of distribution protect user funds against threats both internal and external. The Salt Platform employs a custody framework to safeguard crypto assets through a combination of people, processes, and technology. The native token, SALT, is an ERC-20 token issued on the Ethereum blockchain, meaning that any on-chain SALT transactions are validated and secured by the Ethereum mainnet. Miners compete with one another to add new blocks to the blockchain, and a consensus of the majority of nodes in the network is required to validate a record before it is posted.