So the market cap of PPT is about $550M.
If it takes 120% worth of PPT to buy an invoice and if the 50% of PPT token holders buy invoices, the maximum capacity of the platform would be approx $230M at the moment. This means that PPT needs a liquidity pool of this size to pay invoice sellers.
I can't seem to find any specific info on where this is coming from. Some have said that Nico has arrangements to borrow for this liquidity pool at a lower interest rate like 0.5%/month. However, if Nico is able to obtain a line of credit for $200M+, why wouldn't Nico just do everything himself and cash in on the spread?
Because one of the major points of this project is to decentralize invoice financing. Bringing it to the blockchain.
You really want invoice financing to be centralized? Because we already have that with banks..... And it's terrible.