Cryptocurrency lending services are seeing increasing demand and users. So who are the top crypto lending services today? Let’s take a look.
Cryptocurrencies have gone a long way in their relatively short life span. In 10 years, their total market exceeds $254 billion having plunged from an all-time high upwards of $800 billion back in 2017.
Moreover, they are also seeing increasingly widespread adoption as more and more traditional industry participants are beginning to accept them as a means of payment. Hence, the number of people who got involved in the industry throughout the past 10 years has grown substantially.
Naturally, this also brings forward a variety of related services, capturing the needs of the growing audience. Cryptocurrency lending is perhaps one of the most interesting fields to discuss as these services saw a serious spike in interest and profitability despite 2018’s prolonged bear market.
With this said, let’s have a look at the three of the best cryptocurrency platforms today.
#2 Celsius Network
Celsius Network is perhaps one of the most recognized cryptocurrency lending platforms on the market right now.
Back in 2018, its application saw 40,000 downloads, $50 million in coin deposits and paid out maximum interest of 7.1%.
It’s worth noting that Celsius Network shares up to 80% of its entire income with its community in the form of weekly interest payments. The way it works is fairly simple. Users can earn up to 10% are allowed to receive interest on their cryptocurrency holdings as soon as they deposit it in the Celsius Network wallets. There is no minimum deposit, no withdrawal fees, and no lockups. It’s as easy as that.
The official website features a comprehensive interest calculator which shows exactly how much interest the user will be able to earn on a weekly basis depending on how much they deposit.
Users can also apply for a USD or stablecoin loan using their cryptocurrency as collateral with rates as low as 4.95% APR.
The platform supports a broad range of different cryptocurrencies, including but not limited to Bitcoin, Ethereum, Litecoin, DASH, Ripple, and so forth.
INLOCK is another popular cryptocurrency lending platform where users are able to collateralize their holdings and take out a loan.
What’s interesting about INLOCK is that there is no centrally controlled interest rate. It operates under a peer-to-peer (P2P) model which ensures that the interest rates are determined by the dynamics of the supply and demand.
What makes both parties safe is the fact that the borrower’s cryptocurrency backs up the loan entirely. This guarantees that the investment of the lender is perfectly safe.
Just as Celsius Network, INLOCK also provides the opportunity for users to offer their cryptocurrencies as loans and to receive interest on it.
BlockFi is another cryptocurrency lending platform which allows you to put your holdings to work. According to the official website, users can earn as much as 6.2% annually.
The website also reveals that the funding takes place on the same day through a stablecoin, or through a regular wire transfer. There is an available calculator which shows the interest rate users can expect to earn based on their deposit.
BlockFi also provides home loans, auto loans, and the option to pay credit card debt with crypto-backed loans.
Is lending becoming a vital service industry for crypto? Don’t hesitate to let us know in the comments below!
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