Business Model
Last updated
Last updated
FERO CASH's business model is to provide instant crypto loans that unlock the value of clients' digital assets. The process is straightforward and can be broken down into a few simple steps:
The client transfers crypto assets to the FERO Protocol. Once the blockchain confirmations are received, the Oracle automatically calculates the loan limit and sets up the loan.
Step 2: Receive Instant Loan in FEUSD The loan limit is instantly available in FEUSD. Clients can choose the most convenient method to access the funds via the FERO CASH CEX, selecting their preferred fiat currency. The loan limit is based on the market value of the crypto assets, and if the crypto increases in value, the Oracle adjusts the loan limit accordingly.
Option 1 - FERO CASH Exchange: The loan is issued and can be processed through the FERO CASH Exchange, which is powered by Konto.com. The borrower receives cash instantly in exchange for their crypto assets.
Option 2 - FERO CASH Liquidity Pool: Alternatively, the loan is issued and can be swapped through the FERO CASH liquidity pools. This pools includes USDT, USDC and PYUSD and can be send to exchanges like Binance, Kraken, and Coinbase, offering a quick way for the borrower to access cash.
Both options ensure that the borrower receives their cash quickly, secured by the collateral provided, and processed seamlessly within the FERO Protocol.
Step 3: Repay the Loan Clients can repay the loan via bank transfer, fiat, or cryptocurrency by buying FEUSD and sending it to the FERO Protocol. Discounts are offered for payments made with FERO tokens. No minimum monthly payments are required as long as the balance is within the available loan limit. Once repaid, the Oracle updates the loan limits.
Step 4: Withdraw Crypto Assets from the FERO Protocol If the crypto assets meet the required loan limits, clients can withdraw part or all of their assets. Once the loan is fully repaid, clients can withdraw all crypto assets from the FERO Protocol.
