CoinEx offers cryptocurrency loans to provide more versatile financial tools to cryptocurrency users globally

2023-10-18 03:59:29

CoinEx announced a new feature called “Cryptocurrency Lending” on October 12, 2023, aiming to offer a more diverse range of financial tools for the global cryptocurrency community. Cryptocurrency loans, a financial service designed for short-term liquidity needs, allow users to borrow cryptocurrencies to trade, invest or withdraw funds, backing the debt with one or more types of other crypto assets, increasing liquidity. liquidity and the use of personal funds.

In the cryptocurrency market, most users prefer to take out loans rather than sell their coins, as this allows them to hold assets for the long term, awaiting possible appreciation. With Crypto Loans, CoinEx users can access more liquidity by borrowing without selling their crypto assets. They can simply back their holdings and pay interest in exchange for other tokens, such as USDT.

It is important to note that Cryptocurrency Loans differ from margin trading loans. The latter amplifies the value of crypto assets with the purpose of obtaining higher returns with a small initial capital. In Cryptocurrency Lending, on the other hand, users back high-value assets for hedging and can be used to borrow popular assets or stablecoins, focusing on trading or arbitrage strategies.

Cryptocurrency Loans not only help users access more liquidity and improve the efficiency of their capital, but also offer a more diverse selection of financial tools. With CoinEx’s Finance section, users can now opt for AMM, Financial, and Loans based on their financial profile and investment goals. In summary, the new feature offers the following advantages:

I. Various collateral and simple operations

CoinEx supports a wide variety of collateral currencies, and users can back multiple currencies to borrow a single currency, with simple and convenient operations, flexibly choosing from many options to match their asset portfolio.

II. Borrow and pay freely, with no additional late payment fees

CoinEx Cryptocurrency Loans do not have a fixed repayment period, allowing users to repay their loans at any time. This great flexibility adapts to debt needs. Additionally, there are no additional charges for late payment, and users can hold the position indefinitely as long as the loan is within the payoff threshold. The borrowed currency can be used for trading, investment or withdrawal, giving users complete control.

III. Higher loan-to-value (LTV) ratios

CoinEx offers higher initial collateral ratios (LTV) than many other platforms. This means that on CoinEx, users can use their collateral to take out larger loans than elsewhere, further improving their capital efficiency.

IV. Flexible payment methods and payment with collateral

Unlike other platforms, CoinEx allows users to repay their loans with collateral currencies. At CoinEx, if a borrower cannot repay the loan with the currency he borrowed, he can simply pay off the debt with collateral, instead of waiting for settlement or looking for alternative sources, which saves a lot of time and effort.

V. Low barrier to entry

CoinEx Cryptocurrency Loans have a low barrier to entry. At CoinEx, all investors can access Cryptocurrency Loans, as long as they are registered CoinEx users and have completed two-factor authentication, with no additional requirements.

CoinEx users can log in to the official CoinEx website (go to section [Finanzas] in the top navigation bar and select [Préstamos] to access Cryptocurrency Loans. Please note that this feature is currently not available in the CoinEx app.

The admitted assets and the interest rate of the Cryptocurrency Loans are as follows:

I. Admitted assets

TipoActivosColateralBTC, ETH, USDT, BNB, XRP, DOGE, ADA, SOL, TRX, DOT, MATIC, LTC, SHIB, BCH, LINK, ATOM, ETC, ARB, CETPréstamoUSDT

II. Loan interest

One hour of interest is generated immediately after a successful loan. After the first hour, interest on the loan accrues every hour on the hour thereafter, and interest is calculated ONLY on the outstanding loan balance (rather than on unpaid interest). It is important to note that the interest at the time of the loan = loan amount * daily interest rate / 24.

CurrencyDaily interestUSDT0.02%

Cryptocurrency Loans are designed to expand the platform’s offerings, meet financial needs and offer users more financial and investment options. In the future, CoinEx plans to support additional cryptocurrencies for Lending, and users can stay up to date on CoinEx news through its official website and social media accounts for future updates. Since its inception almost six years ago, CoinEx has always put users first. This global cryptocurrency exchange strives to provide superior cryptocurrency trading services for investors around the world and meet their changing demands for cryptocurrency finance and investment.