Topic: BTC Lending Market (Poloniex) Discussion - page 2. (Read 21341 times)

I guess you're loaning altcoins. There are some with better rates, but most are very low. But bitcoin is going very well.

Current rates: (ofcourse very volatile)
 ETH 0.0004%
 BTC 0.1588%
 BTS 0.0901%
 CLAM 0.0050%
 DOGE 0.0020%
 DASH 0.0037%
 LTC 0.0070%
 MAID 0.0001%
 STR 0.0010%
 XMR 0.0001%
 XRP 0.0003%
 FCT 0.0097%

My point is that percentages are very low, they are now 0.0001%
And all my funds are at  MY OPEN LOAN OFFERS and i have a percentage of 0.1000 %
If you have such a rating it's great, but my loans though are active not in use

Agree. Perhaps people are getting confused and don't realise that the interest rates quoted are per day?

?

My outstanding loans are between 0.1379 and 0.2999 %

So the lowest has an interest of over 50 % per year (!) and the highest even over 109 % per year.

I don't think that's little.

currently earning so little that it is not worth putting assets on loan

I use Poloniex Lending bot ( http://poloniexlendingbot.com/ )
Then your money is going to be lend for a decent recent rate. You can enter a minimum rate, and more details. It works very well for me, because sometimes the lended money is returned shortly after lending, and I'm not watching Poloniex 24/7

I can't find the thread now, but I read a post a while ago of somebody who had the same amount lending in two different accounts. One was done by hand, the other with the lending bot. Even with the 10% fee the bot made more profit.

All is automatically. When you lend for 2 days at 13:50 the funds are returned (with interest) no later then 13:50 two days later. Only a few days ago there was a problem with margin trading, so it took a few hours (up to 24 hours I guess) extra before payment returned, but that was the exception.

Poloniex use forced liquidation, when the funds of the trader are too low, so the chance you will receive not all of your money back is small (but exists!). Another problem could be when Poloniex went bankrupt or is going to be hacked.

For more information: https://poloniex.com/support/aboutMarginTrading/

I don't know how this Polo lending works because is there any guarantee that the lender will pay the interest on time. I am very eager to know that whether they will take all the details of us for lending money in Polo.

The rates for alts like ETH will only go up if there is shorting activity (where the trader has to borrow ETH to sell on margin).

Whats up with the ridiculous loan offers on ETH,  0.0001%  was around 0.0030% a week ago.

I set most to auto-renew, but keep a daily eye on things - if the rates are higher than my auto-renew rates, i turn the auto-renew off, and manually set a new rate when the existing loan expires.

I try to lock in high rates for a long time. So if I can lend at a decent rate, I'll set the loan for about 10 days. If I'm lucky, it'll run for at least 3-4 days - it's a nice way of cashing in on the high rates.

ive been lending at polo for a few months, no problems. i set most to not renew so go in every couple days to see the rate and modify them based on the market.

i typically only have under 0.5 btc out and break it into several 0.1 and 0.2 loans for 2 days.

what do most of you do?

That's very good news to hear because it will help to people who are very sad about POLO. Right now there are many problems with polo we have to give them time to change that everything will become normal once they grow through with all coding.

Update: coins returned. Lucky this time.

Hopefully all works out for you.  If longer than 24 hours I would begin to be worried and maybe shoot them an email.  Best of luck to you

Probably related to the reports people's balances disappear due to Stop Limit Bug. If her balance disappears, obviously she can't repay the loan. Hopefully this all will be sorted out.

Just happened to me for the first time - my loan is 4 hours past due. Has trader defaulted and Polo's algorithms failed to recover the loan? Or some temporary glitch due to servers overload? We'll see.

plus there is a minimum collateral needed in altcoins afaik.

Sorry if I wrong, lend in poloniex is different lend your money to someone in real life, when you lend your money in Poloniex you don not worry about people will pay or not, you will get pay and profit but the concern in Poloniex lend is profit you got is small, you need huge amount if want to get big profit from Poloniex lending service.

I read it somewhere else. May shed some light upon subject:


-->Once you put coins up for lending, the transactions are handled internally and automatically. The lender offers coins at his specified interest rate and the loans are generated automatically when someone places an order in margin trading. Lenders on Polo commit their coins for a minimum of two days. If someone holds a margin position for longer than the loan term, the lender gets his coins returned (with interest), and the system uses someone else's funds to keep the margin position open. If a margined positions falls below the 20% maintenance level (the bet has gone sour, and the margin trader's position has lost a lot of value), the trade gets force-liquidated and the loaned funds get returned (with interest).The loans are done internally and seamlessly. Don't sweat it -- loan funds are safe and borrowers can't run off with your money.<--

So two risks:
a. Exchange is hacked.
b. Too many short-sighted margin traders all coincide at the same time you lend and/or market crashes  and exchange can not cover all the loss from the fees/commisions immediately.

It sounds like as long as the exchange on which lending happens is a trusted platform and willing to cover losses then the risk is zero-ish.

Does polo give such assurance under any contract?
As far as I know--> No.

But likelihood of happening item a or item b is not high as well.