Behind The Scoop: An inside look at Genesis’ lending business

Quick Take

  • Moro provided an update to outstanding loan book figures published in the Q1 lending snapshot stating they grew by more than 40% in the first three weeks of April (vs. BTC which saw a +25% move during that time) to over $250 million in loans
  • $250m worth of outstanding loans gives it an estimated 2/3 share of the total outstanding crypto loan pie
  • Genesis has seen its total USD value of borrows increase 35% QoQ in 1Q19, vs. lending protocols which saw a ~20% decline; Genesis total borrow volumes were almost an order of magnitude greater than all of borrows on lending protocols in 1Q19
  • Moro expressed wariness over new entrants dipping too far down the credit box in pricing for risk in order to drive higher volumes
  • Genesis Capital is close to “full” in how many clients they expect to do business with, at 75 – 100 borrowers
  • Moro is fascinated by the experiment of open lending protocols, but views it as a retail solution rather than institutional

Behind The Scoop offers Genesis subscribers a summary of what we learned from our podcast guests, and profiles research to further the discussion beyond the latest episode.

In this episode of The Scoop, Frank Chaparro and Ryan Todd interview Michael Moro, Chief Executive Officer at Genesis Trading / Genesis Capital.