While the cryptocurrency bear market has ravaged much of the cryptocurrency industry, there are a few corners of the industry that have managed to survive, or even thrive, unscathed. The latest example of this seems to be The White Company, a crypto-concierge service that reported $250 million in transactions over the course of 2018 (not to be confused with the clothing company of the same name.)
The secret may be The White Company’s rather wealthy niche customer base: cryptocurrency millionaires – or rather, anyone who wants to cash out hefty amounts of coins in exchange for luxury goods. “Luxury is not just for the wealthy, and our customers from a variety of ages, incomes, occupations,” said the company’s CEO, Elizabeth White, in a recent interview with Forbes.
White Wallet is a #blockchain based platform enabling customers worldwide to send, receive, exchange, hold and invest digital fiat and #cryptocurrencies . #whitewallet https://t.co/7wYXKPphgb pic.twitter.com/4krcqXKAwu
— TheWhiteCompany (@thewcomp) January 25, 2019
The interview said that White and her company have assisted clients in purchasing “Ferraris, Lamborghinis, rare art and jewellery to clients all over the world in exchange for crypto.” Ah, yes, a Lambo – the ultimate mark of success in the cryptocurrency industry.
The White Company provides a desirable service to customers who want to maintain a low profile while cashing out large sums, a feat that has become increasingly difficult as crypto-to-fiat exchanges have become more strict about what kinds of limitations and requirements they place on customers wishing to withdraw cash.
Elizabeth White, CEO of financial technology firm the White Company, “When we are talking about money, it’s really not enough to just talk to a reporter to convince them. @financemagnates #stablecoins #CryptoNews #cryptocurrencyhttps://t.co/efOet7JU2T pic.twitter.com/4Wkd9BoPFO
Can You Trade Cryptos Like Any Other Currency?Go to article >>
— TheWhiteCompany (@thewcomp) January 27, 2019
“They wanted to spend and enjoy their wealth… [but] were not able to easily exchange the cryptocurrency into cash, due to restrictions and limitations on exchanges etc,” White explained.
This seems to be the secret to the company’s success: finding an evergreen need within the cryptocurrency market. White won the Stevie Award for the Most Innovative Woman of the Year for the creation of her company.
And in fact, she believes that the bear market is good for the industry as a whole. “The speculative bubble in cryptocurrency is over, which is a good thing, as it allows the community to focus for more serious, long term projects, such as the solutions that [the] White Company is building,” she told Forbes.
Some Corners of the Crypto Market Have Thrived Through the Bear Market
The crypto lending industry has also managed to thrive through the bear market. Companies such as Celsius, SALT Lending, ETHLend, and many others have reported profits that are as high or higher than those reported during more bullish times.
In fact, some voices within the crypto industry at large believe that a market recovery could potentially damage the crypto lending industry: “as the market recovers, fewer holders of tokens will want to borrow against the assets, lowering demand for lenders and forcing them to increase the incentive for people to lend, thus decreasing profitability,” said Kyle Asman, a partner at BX3 Capital, to Finance Magnates.
Not everyone sees things this way, however. “The higher the price of crypto assets becomes, the more demand there will be for people to take a loan collateralizing their crypto rather than selling it directly to fiat,” Phil Zamani, CEO of AERGO and CEO of the board at Blocko, told Finance Magnates. “This is because a bullish trend makes people want to ‘hold’ their crypto, but when they need liquidity they go for a loan.”