ZebPay, India's oldest and most popular Bitcoin and crypto asset exchange, has launched the ZebPay Lending Platform, a first-of-its-kind crypto lending platform in the country. ZebPay's new product allows users to lend their coins to the company and receive returns based on the currency and the length of time it is lent for. The ZebPay Lending Platform pays out returns on customers' crypto investments if they lend out certain cryptos, allowing them to earn a passive income in addition to the gains made from rising crypto values.
The loan facility will handle Bitcoin (BTC), Ethereum (ETH), Tether (USDT), and Dai (DAI) when it launches (DAI). Users will be able to earn up to 3 per cent on their Bitcoin (BTC), up to 7 per cent on Ethereum (ETH) and Dai (DaI), and up to 12 per cent on Tether (USDT) depending on the period of their deposit (USDT).
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How Does it Work?
The ZebPay Lending Platform allows investors to lend their cryptocurrency for an open or set time. Investors who choose for the open term deposit will not be required to lock in their crypto and will instead receive daily returns, which will be deposited alongside the principle amount in the investor's trading wallet. The fixed-term allows investors to lend their crypto for periods of seven days, thirty days, sixty days, and ninety days, with different rates of return for each. Tokens cannot be withdrawn before the end of the period in this situation. A modest penalty will be levied if the investor chooses to exit early.
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The earned returns, together with the principle amount, will be put in an investor's trading wallet at maturity. The ZebPay Lending Platform's profits will be computed immediately depending on the quantity of cryptocurrency an investor owns.
Avinash Shekhar, Co-CEO, ZebPay, said, “ZebPay has always encouraged investors to hold on to their crypto for the long-term in order to benefit from the best possible returns. Through the ZebPay Lending Platform HODLers, as we call them, can earn passive returns on top of those gained from a rise in crypto prices. The crypto holdings of ZebPay customers are essentially going to do the work for them as the investors earn passive income with ease.”
“We have always believed that crypto will enable a multi-fold increase to investors’ wealth. With the launch of the ZebPay Lending Platform, we want to give users the opportunity to grow their investments further, by making their existing crypto holdings do all the work.” Avinash added.
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