January AMA Recap: Top 10 Highlights


Dan Schatt Chats Live with the Cred Community

On January 22, 2020, CEO and Co-Founder Dan Schatt held Cred’s first AMA for our Telegram community. We have listed the top 10 highlights discussed during the live event below. Have more questions? Don’t worry, Dan will be back for Cred’s next AMA on February 19, 2020. Make sure to watch for updates in our Telegram channel.


Q: Are there incentives to hold more than 10k LBA?
A: LBA is a global utility token that gives customers exclusive access to our premium financial services. Cred attracts those who wish to lend or borrow with the most competitive rates on the market, knowing that their assets are safe with a fully insured, licensed, and secure company. As our mission is rooted in fairness, we encourage everyone to take advantage of the high rates, while they’re available. Learn more about LBA Utility here.

“Thanks Dan. Thanks for delivering my new wealth growth system” – Cred Community Member

Q: Is there a Cred mobile app?
A: The Cred business model was developed to support industry-leading companies in the crypto and fintec space. We enable partners to offer premium financial services to their customers, which includes lending, borrowing, state licenses, regulatory risk, hedging, merchant solutions, KYC and AML. Top companies turn to Cred, as these products are very costly for individual companies to develop on their own. Instead of a Cred mobile app, those looking to grow their digital assets, can visit any of Cred’s top partners to explore their app options.

Q: What role does LBA play in the point of sale device, Cred Merchant Solutions? Is the Cred Merchant Solution in production?
A: Great question!. We have several legal options on LBA to be used in the US as a utility token, specifically as a translation utility token to facilitate merchant services. As a licensed lender, we can leverage LBA and stablecoins as part of our Cred Merchant Solution. While there have been live demonstrations, the product is set to be released later this year.

Q: Will Cred consider a tiered LBA system for higher staking amounts?
A: It’s a great question and we’ve considered it, but it doesn’t align with our mission statement of providing fair, inclusive, and equitable financial services. We don’t want to cater to only those who hold significant LBA. Those who hold a lot of LBA do so because they believe in Cred, Cred’s adoption, and how LBA will be leveraged.

Q: Is Cred planning to utilize the Omisego Network?
A: Yes, Cred and the Universal Protocol Alliance hope to leverage the Omisego Network in the future through the Cred Merchant Solution. Cred also currently supports earning a return on OMG through Uphold. All OMG holders can go to the partner platform with Uphold now to earn a return. Cred will share important news about further partnerships with OMG as soon as we have that information available.

Q: Is Cred decentralized?
A: That’s a fair question. I actually don’t think there is a fully decentralized solution available today, including Cred. Would you entrust your holdings to a truly decentralized custodian or trust having your loans matched with a borrower, without employing judgment of how those funds will be utilized? I believe we are all on a continuum, moving from centralized to decentralized. Through blockchain technology, we are creating tremendous efficiencies that can support everyone with better rates, better services, and more.

“I think crypto isn’t about decentralization strictly anymore; It’s about higher efficiency tech combined with new value saving business models.”- Cred Community Member

Q: Referral Program for CredEarn?
A: At Cred, we empower our partners around the world to offer CredEarn. By working with our partners, they are able to offer special incentives for their customers to use CredEarn.

Q: Does anyone here know what happened to ab953 as mentioned here?
A: AB 953 was introduced by Assemblymember Phil Ting and sponsored by the Blockchain Advocacy Coalition. Cred is a founding board member of the Coalition and helped craft this piece of legislation that could solve California’s cannabis banking issue. AB 953 would allow cannabis businesses to remit taxes via stablecoin. The bill was ‘two-yeared’ and is expected to be re-introduced in the upcoming month.

Q: Will there be more CredEarn states?
A: At Cred, we successfully acquire complex state lending licenses, so that our partners don’t have to. We work closely with state regulators to educate them on the way our product works, how we offer our returns, and the way our legal entity is structured. Cred continues to push for more licenses and will announce new states as available. To learn more about the process, click here.

Q: Why is Cred missing from popular crypto asset loan interest aggregators despite having seemingly been operating longer?
A: Cred can only be accessed through partner sites, and as such, this model doesn’t always fit with how others categorize the service.

“I am so thankful you all are asking these questions and care about Cred. I promise we won’t shy away from the hard questions — and we will be doing this on a monthly basis! We have a bunch of stuff coming up — quite a few things to announce in February. I will definitely be back, and we’ll make a concerted effort to continue to address all your questions! In the meantime, please feel free to reach out to Cred Concierge. Have a great month and we will be back in touch soon. Thanks again everyone!”
— Dan Schatt, CEO and Co-Founder, Cred



Disclaimer: CredEarn is the trade name for a service offered to non-US persons by Cred LLC, which is an entity distinct and separate from Cred (US) LLC. CredEarn allows you to extend a loan to Cred LLC. The purpose of the loan is to allow you to earn an enhanced yield on your crypto assets, such as Bitcoin. Cred LLC is not a bank and CredEarn services are not insured by the FDIC. CredBorrow and C-LOC™ are trade names for lending products of Cred (US) LLC, a licensed lender and a wholly-owned subsidiary of Cred LLC. Loans, loan amounts, terms, and rates are not available in every jurisdiction, or for every collateral type. The availability of rates, crypto types, loan amounts, and other terms are subject to change. Loan applicants are subject to AML and KYC screening. Terms, conditions, and restrictions apply. Loans made or arranged pursuant to California Finance Lenders Law License 60DBO - 91480.