P2P lending at Silverbullion

[Hegemon]

Has anyone tried this?
Basically you have gold in storage with them (which can be purchased with crypto).
You borrow money from another user at an annual rate (3.5% is common) and you have money you can transfer to your bank account.
You can pay the money back selling gold or transferring to Silver's bank account.

I got interested in this due to a few banks already telling me they don't want to touch crypto. My only question is, wouldn't the banks go postal if you receive money from a bank in Singapore and say it's a loan, collateralized with gold you hold with that company, that you purchased with bitcoin?

Alternatively, could the loan be used to purchase property from a third party (physical person, not a company)? Would buying property in this way in Europe be realistic? Or would I be subject to the same scrutiny?

 

[Gediminas]

Hey,

My only question is, wouldn't the banks go postal if you receive money from a bank in Singapore and say it's a loan, collateralized with gold you hold with that company, that you purchased with bitcoin?

A bank that complies with regulations will ask about the source of funds. In your case, the SOF would be bitcoin, so they would ask where you got it.

In the end, it will be the same hassle, so I would recommend finding a crypto-friendly bank.

 

[369]

Anyone maybe know a singaporian silver vault with p2p lending option where you can receive GBP

 

[Liam13]

Thank you for this thread as I was thinking of the same. I already have some gold with them.
My understanding is the bank could stop at "oh you got the money from a loan", to "where is the collateral from" to "how did you pay for it and where is the BTC from". A bank once asked me for a proof that my transfer comes from a trading platform, without asking me further where the money comes from,...Anyways, I was looking for SilverBullion to check whether it is a scam. It's been around since 2009 but their auditor is tier2-tier3, which made me wonder...

 

[jafo]

wouldn't the banks go postal if you receive money from a bank in Singapore and say it's a loan, collateralized with gold you hold with that company, that you purchased with bitcoin?

My understanding is the bank could stop at "oh you got the money from a loan", to "where is the collateral from" to "how did you pay for it and where is the BTC from"

I do this every day and twice on Sundays and this is my response to banks...if they ask: Unsecured Loans: Borrowing Without Collateral

If they question that, I tell them to put their money & credibility where their mouth is and lend me the money I am borrowing at a better rate and better terms

Too many banks and FIs to put up with ignorant bank monkeys. Life's too short to be catching H3ll from pimple-faced unproductive bank monkeys.

Of course, YMMV!

 

[369]

Thank you for this thread as I was thinking of the same. I already have some gold with them.
My understanding is the bank could stop at "oh you got the money from a loan", to "where is the collateral from" to "how did you pay for it and where is the BTC from". A bank once asked me for a proof that my transfer comes from a trading platform, without asking me further where the money comes from,...Anyways, I was looking for SilverBullion to check whether it is a scam. It's been around since 2009 but their auditor is tier2-tier3, which made me wonder...

the owners are german but i have the same problem like you.They promote a lot to the german alternative community.
What i also don't like is the fact once you take out a loan and leave collateral they instantly report it to your home country

 

[Liam13]

the owners are german but i have the same problem like you.They promote a lot to the german alternative community.
What i also don't like is the fact once you take out a loan and leave collateral they instantly report it to your home country

oh wow really??? home country or tax residence?

I just sent them an email

 

[JackAlabama]

the owners are german but i have the same problem like you.They promote a lot to the german alternative community.
What i also don't like is the fact once you take out a loan and leave collateral they instantly report it to your home country

thats not how this works.
If they report, they ought not to report directly. It goes thru Sg tax office which then sends it either to your passport country and or the residence one as they please.

Id also like to stress that if youre worried about reports you can only own bearer assets and never ever deal with anything kyc these days.
Or you go deep down the toolbox which is gonna be costly.

 

[Liam13]

thats not how this works.
If they report, they ought not to report directly. It goes thru Sg tax office which then sends it either to your passport country and or the residence one as they please.

Id also like to stress that if youre worried about reports you can only own bearer assets and never ever deal with anything kyc these days.
Or you go deep down the toolbox which is gonna be costly.

Also, when onbaording me, they did a "zoom tour" of the premise, and one of the guy was repeating to me that my parcels are "safe" and singapore will never communicate or report proactively (although I did not request any confirmation on that)
I read the P2P user agreement and there is no mention of reporting. They say the user is responsible to make sure everything tax wise is taken care of and legal in his own country.

 

[Liam13]

Their response:
"
We fall under exclusive Singapore jurisdiction, meaning we must follow only Singapore laws. Physical gold/silver/platinum are not considered financial instruments in Singapore - which means that Silver Bullion (SB) does not have reporting requirements to the Singapore government and certainly not to foreign governments or government agencies. We are excluded from FATCA and OECD reporting requirements.


Furthermore, Singapore does not have capital gains taxes, so there would be no reason to report buy/sell transactions here. This means that there is no transactional or customer reporting of any kind unless it is part of a criminal investigation based on a local court order.

"

 

[369]

thats not how this works.
If they report, they ought not to report directly. It goes thru Sg tax office which then sends it either to your passport country and or the residence one as they please.

Id also like to stress that if youre worried about reports you can only own bearer assets and never ever deal with anything kyc these days.
Or you go deep down the toolbox which is gonna be costly.

if he wants to hold for example gold as collateral and it gets reported to germany which high probably will introduce a goldban then this is not a smart move.Reporting money is no problem.

I read the P2P user agreement and there is no mention of reporting. They say the user is responsible to make sure everything tax wise is taken care of and legal in his own country.

if you just store there is no reporting thats correct.if you take a loan based on collateral there is a reporting based on their reply to me as this is a financial service

 

[jafo]

Their response:
"
We fall under exclusive Singapore jurisdiction, meaning we must follow only Singapore laws. Physical gold/silver/platinum are not considered financial instruments in Singapore - which means that Silver Bullion (SB) does not have reporting requirements to the Singapore government and certainly not to foreign governments or government agencies. We are excluded from FATCA and OECD reporting requirements.


Furthermore, Singapore does not have capital gains taxes, so there would be no reason to report buy/sell transactions here. This means that there is no transactional or customer reporting of any kind unless it is part of a criminal investigation based on a local court order.

"

Good find!

 

[Liam13]

When I asked about the loans, they responded " we do not report anything, with no exceptions, unless it's a crime investigation by Singapore Police and a Singapore Court Order."