YouHodler vs SALT Lending: A Crypto Lending Battle of Adaptability...

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The great naturalist, geologist, and biologist Charles Darwin once said “it is not the strongest of the species that survives, nor the most intelligent that survives. It is the one the is most adaptable to change.” The reason for bringing this quote up in the discussion of YouHodler vs SALT Lending is that we have two different FinTech platforms here. One has adapted to change quite nicely within the crypto industry, evolving it’s services and features constantly to meet the need of the community. The other, once a strong leader in the space is resisting the trend, resiting evolution, and perhaps falling by the wayside as a result. By the end of this feature-to-feature comparison, you’ll be able to easily decipher which one is which.

YouHodler vs. SALT Lending: Crypto loans
Both YouHodler and SALT Lending got their start in crypto-backed loans. SALT, first opening in 2016 was one of the early adopters of crypto lending and since then, has successfully found a community of crypto HODLers in the U.S.A that want access to cash without having to sell their crypto assets. YouHodler, starting in 2018 is a relative newcomer to the scene but in the past two years, has expanded vigorously throughout Europe and South America offering their unique brand of crypto financial services.

However, since crypto loans are where both platforms started off, let’s compare the two. According to SALT Lending’s loan calculator, users can enjoy:

  • 12 different cryptocurrencies as collateral.
  • Loans between $5,000 - $25 million USD
  • Loan terms of 3 - 12 months
  • Loan to value ratio (LTV) of 30% - 70%
  • Repayment options of interest only or principal + interest
  • Loan interest rates of 5.95% - 11.95%
  • Get loans in USD only

Loan calculator from SALT Lending

As with most lending platforms, no credit checks are required to apply for a loan, and SALT states that “borrowers in certain jurisdictions can expect approval within as little as 24 hours. The origination of each loan will vary from case to case and is largely dependent on your jurisdiction and loan type.”

As for availability, SALT offers its services to the following countries: United States, Bermuda, Brazil, Hong Kong, New Zealand, Puerto Rico, United Arab Emirates, Vietnam, Switzerland, and the United Kingdom.

Now let’s see how YouHodler stacks up with its crypto loan offerings. According to their site, users can enjoy the following:

  • 14 + different cryptocurrencies as collateral options
  • Loans between $100 - $30,000 (higher amounts available upon request)
  • Loan terms of 1 month - 6 months
  • LTV from 50% - 90%
  • Interest rates from 1.70% - 7.50% (paid one time at the end of the loan term)
  • Get loans in USD, EUR, GBP, CHF, USDT, and BTC

YouHodler loan calculator

Like SALT, YouHodler does not require credit checks, and loans are approved and delivered instantly to the client. YouHodler is available worldwide but states they cannot service the following countries:

USA, Bangladesh, China, Iraq, Pakistan, Crimea, Cuba, Iran, North Korea, Sudan, Syria.

YouHodler vs SALT Lending: Cryptocurrency savings accounts

In previous reviews, we typically put each platform in a head-to-head deep-dive analysis of each feature. However, SALT Lending is unique compared to its competitors. Unique in that it failed to evolve (remember our friend Darwin’s quote up above). Where platforms like YouHodler continue to evolve, adding in-demand features like savings accounts, exchange capabilities, margin trading tools, and more, SALT seems resistant. At the time of writing this article, SALT does not offer anything beyond the classic, crypto-backed loans. Hence, from this point forward, we will do our best to offer a comparison given the information provided.

Perhaps one of YouHodler’s most famous features is the platform’s cryptocurrency savings accounts. They offer to compound interest rates up to 12% on stablecoins, higher than any other platform in the industry. Users can choose from 14 different crypto coins/tokens and stablecoins to earn interest on with limits up to $100,000.

What’s unique about their savings accounts is that they are fully integrated directly into the wallet itself. Therefore as soon as you deposit into the platform, you immediately start earning interest. Interest payments are calculated every four hours and paid out weekly. Another innovative aspect of YouHodler savings accounts is that users can actually earn interest on amounts above the $100,000 limit using their “Multi HODL” tool.

Simply put, if you have $100,000 in a savings account and open a Multi HODL position worth $20,000, that means you can earn interest on the full $120,000 while the Multi HODL deal is open. Confused on what a Muti HODL is? Let’s move on to that.

YouHodler vs SALT Lending: Crypto multiplication tools

Screenshot of YouHodler’s Multi HODL tool

Once again, SALT Lending will not be featured in this segment because they do not have such tools. YouHodler, on the other hand, offers 100% original innovations like Multi HODL and Turbocharge. Both features are based on the “chain of loans” principle. Instead of taking a loan and using that loan to go buy more crypto on an exchange to use as collateral for another loan manually, YouHodler decided to automate this entire process using these two features.

With the click of a button, users can initiate a chain of loans that helps them either buy more crypto or sell more crypto depending on the market direction at the time. So whether it’s a bear market or a bull market, users can creatively take advantage of volatility and multiply their portfolio. Included in features are several management tools to help one manage their position better. Users can set their “multiplier” amount to increase or decrease the number of loans in the chain and also manage the loans with automatic “Close Now” “Take Profit” and “Adjust Margin Call” capabilities.

YouHodler vs SALT Lending: Insurance
SALT offers comprehensive crime insurance over users’ collateral and cyber liability insurance that protects users in the event of an internet-based attack in regards to private information. SALT does not say any specific amount for their insurance plan but on the site, they do say all “assets are 100% covered as long as they’re on our platform. Plus, as the holder of the policy, we have the ability to increase our insurance coverage as our company grows, meaning we can stay true to our commitment to ensure your assets 100%.” As for crypto storage, SALT states that all funds are stored in offline, cold storage vaults.

According to YouHodler, “We use industry best practices when it comes to crypto storage. Funds are never stored 100% in hot wallets. Instead, we use a mixture of both hot and cold wallet storage which are secured to protect users’ funds. In addition, YouHodler is proud to say that we incorporate Ledger Vault’s technology into the platform which produces advanced custody options for all users.”

YouHodler’s cooperation with Ledger Vault brings its users $150 million in pooled, customized crime insurance. This insurance program covers a wide variety of risks such as employee theft, third-party theft, physical breach of hardware security and theft of private keys/master seeds
YouHodler vs SALT Lending: Affiliate programs/refer-a-friend

Both platforms offer an affiliate program/refer-a-friend program in some capacity. Let’s review. SALT has a relatively straightforward refer-a-friend program. Simply share your referral code or link with a friend and SALT will send you and your friend $50 in Bitcoin as soon as that friend takes an active loan.

YouHodler’s affiliate program is a bit more advanced and seems targeted towards progressional affiliate marketers. They use an independent platform that helps you better monitor your referrals behavior and track your earnings in real-time. There are a few different options one can choose from, all offering a plethora of marketing creatives to help you advertise YouHodler in your style and get paid for it. YouHodler pays crypto or cash for every person that follows your link and becomes an active client. Depending on which plan you choose, affiliates can earn up to $100 for each active client. Payouts are automatically deposited every 30 days.

YouHodler vs SALT Lending: The Final Verdict
Let’s start with the positives of both platforms. It’s very encouraging to see both platforms take security and insurance so seriously. It goes without saying that this is a top-three concern for most people in the crypto market. We’ve all heard the horror stories of CEO’s faking their own death and sailing off into the sunset with millions of Bitcoin. However, that seems highly unlikely with these two platforms as they have a good reputation, solid partnerships, and strong security measures to prevent any such event from happening.

As for the crypto-backed loans, SALT is the platform for the whales, offering far higher loan amounts than YouHodler. That being said, they cannot compete with YouHodler’s industry best 90% LTV, lower interest rates, and a larger amount of collateral options. So if you’re a whale, living in the USA, then SALT is for you. For everyone else, YouHodler prevails in this category.

As for the rest of the features, SALT really can’t compete since they do not offer savings accounts like YouHodler’s 12% stablecoin savings accounts nor do they offer any sort of trading/multiplication tools like YouHodler’s Multi HODL, Turbocharge and exchange features. It’s pretty difficult to give SALT a fair review in this case.

SALT does one thing and they do it really well. However, they failed to evolve with its competitors in the market and create a more diverse financial platform. YouHodler has done that and more and because of their ability to adapt and innovate, they are the superior platform in this case.

Read Next: YouHodler vs Celsius Network

Author: Ryan Kalbari
Toronto Newsdesk

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