- Bnk to the Future is looking to bounce back after backing failed crypto lender Celsius
- SALT paid SEC fees in September 2020 through a $47 million token sale
Crypto lender SALT is looking to buy nearly two years after it was indicted by US securities regulators for operating an unregistered initial coin offering (ICO).
Secured Automated Lending Technology (SALT), which allows users to take crypto-backed loans, said there this is in talks with digital asset and fintech investment platform Bnk To The Future (BF).
BF has signed a letter of intent to acquire SALT, the company said in a statement. The deal is subject to definitive agreements and regulatory approvals.
SALT said the deal would increase its product. The Denver-based lender noted its loan terms, investment security and customer service will remain unchanged as it seeks to eliminate those terms with BF.
Blockworks attempted to contact both companies to better understand the terms of the deal, but has yet to hear back.
SALT launched in October 2017 – the peak of ICO mania – as bitcoin was on its way to $20,000 for the first time.
Beginning running around with the Securities and Exchange Commission (SEC) in September 2020, when it was charged with operating an unregistered ICO since June 2017, which by December of that year had raised $47 million.
The company settled the charges and agreed to pay a $250,000 civil penalty and return the money to the investor who initiated the claims process. SALT has since become a registered entity with the SEC, which means it must now file regular financial statements.
SALT’s original token of the same name has more than doubled since word of the potential acquisition first broke on Friday, trading for $0.077 – down 75% over the past year and more than 99% below its record low of $17.22. upper Posted in December 2017.
As for BF, it was founded in 2011 by former investment banker turned bitcoin advocate Simon Dixon. It helps qualified investors to send money to companies, funds and other products focused on the future of finance.
BF is a major investor in crypto lender Celsius, which filed for bankruptcy in July, almost a month after the frozen withdrawal of funds. It is reported that more than 1,000 BF users were affected by the Celsius collapse, with Dixon himself being one of the top savers on the platform.
The Cayman Island-listed company claims to have invested more than $1.7 billion over the years.
David Canellis contributed reporting.
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