It is a common funding practice for wealth capital enhancement and project funding, the monetization of ‘owned’ Standby Letter of Credit (SBLC) or Bank Guarantee (BG), on the contrary ‘leased’ Instruments are not normally accepted by Monetizers, and can be considered case-by-case.
Hard Assets can be considered as well, but they must be backed by a valid bank custodial ‘Safe Keeping Receipt (SKR).
The banking SWIFT System and Euroclear settlement house are the gold standard that validates about your Standby Letter of Credit (SBLC) or other accepted asset is real, indeed SWIFT System and Euroclear provide a respected industry platform where guaranteed settlement can be facilitated.
Top Banks worldwide do monetize Financial Instruments, where monetizing bank instruments is the process of liquidating such Instruments by converting them into legal tender. The transaction Group/Platform can monetize just about any bank instrument to be used for project funding, move them into various trading programs quickly and easily, as well as creatively incorporating them into financing certain development projects.
As mentioned, monetizing a Stand-by Letter of Credit is becoming rather common. Many people refer to this as SBLC funding or SBLC financing since you are essentially obtaining cash on the basis of the SBLC, BG, or other accepted financial instrument, structured under certain banking parameters.