Topic: Is crypto lending really that great? (Read 262 times)
Crypto loans are great if you want to leverage your capital, especially in a bear market scenario, where you really don't want to sell your coins in time of need, but you can set them up as collateral and get a loan. Either using the loan to leverage as capital to grow more assets, or use the loan for day to day stuff. I have used Nexo a few times and am looking at other ways to get a loan but also to stake and lend my crypto out as well. That is another way of getting in more funds. More and more people will turn to DEFI and Crypto as they slowly opt out or are kicked out of the old financial systems.
I feel like it's a bit risky for my taste. Like, I have experience with this kind of stuff and it's not fun when it turns out a scam. So i would watch it and take my research thoroughly so that i can lessen my chances on getting scammed and overall getting a profit.
Well that is why we have to know the risks when lending crypto. Before deciding to take this kind of system make sure to understand that price may subject to change or volatile. Actually I do not consider in lending crypto because of the value.
FYI, I've described some benefits and risks in my article about crypto lending, also mentioned some popular platforms https://defiwiki.org/wiki/Lending_Platforms
Btw, I'm open to any suggestions for improving my article!
Btw, I'm open to any suggestions for improving my article!
If you can't manage risks please don't lend or take loan for crypto, this is highly risk plan for newbies and those who aren't very good at risk management, every crypto advisor warned people to only invest what they can afford to lose
It looks like you didn't aware about if the creator of this thread has started to take a survey and selfkey has also launched its loan platforms. That means the creator was seeing it as a big opportunity to get profit. 
If you can't manage risks please don't lend or take loan for crypto, this is highly risk plan for newbies and those who aren't very good at risk management, every crypto advisor warned people to only invest what they can afford to lose
It looks like you didn't aware about if the creator of this thread has started to take a survey and selfkey has also launched its loan platforms. That means the creator was seeing it as a big opportunity to get profit.
I feel like it's a bit risky for my taste. Like, I have experience with this kind of stuff and it's not fun when it turns out a scam. So i would watch it and take my research thoroughly so that i can lessen my chances on getting scammed and overall getting a profit.
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
there are alot more disadvantages when it comes to getting a loan from crypto related startups.. I'm not dismissing the fact that crypto lending is good.. but I think theres alot more to it compared to when you're requesting a loan from a bank https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
The stats are easily suggesting that crypto lending business is massively on the rise but you know there is massive market still left to be disrupted, as many of you know in Muslim countries and Muslim people lending is not considered legal because Islam prohibits it because of its exploitery nature, but shariah compliant funds and legal business investments are allowed in Islam where one can take profit from the business as a shareholder or investor so there is a huge untapped market still available, I hope crypto based companies will come up with these products too and capture huge muslim based investment markets. https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
If you can't manage risks please don't lend or take loan for crypto, this is highly risk plan for newbies and those who aren't very good at risk management, every crypto advisor warned people to only invest what they can afford to lose
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
People who give money to the borrowers are at risk of losing their capital when it is in cryptos because we give them complete control and if the user is not ready to pay back the money after the loan period we can't do anything.Even if we make legal actions against them still has less chances to get our money that is why we are not seeing many crypto loan services.In bitcointalk we have some to take small loans at extremely high interest rate. https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
To be honest all of the DeFi projects, especially the lending ones are really booming at the moment, most of them already have their token value at all time highs, just check out nexo, cro, aave or compound all are mooning because of their success and growing interest among crypto hodlers but at the same time i have a fear that this severe growth would not end up in a bubble that ends in big losses and closure of businesses, i think all these projects should come up with solid, realistic and longterm models rather than offering high roi to attract investors. https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
it is really a very convenient thing. It is best to give your cryptocurrency on credit but not to take it. this is an opportunity for many people to safely receive a high percentage for their money.
If it is volatile coin such as bitcoin, I think it is not good to lend a money. why? Because there is no assurance if the sats you have lend will become the same when it pays to you. But if you will lend crypto that is somehow, stable. Then, it is good because the interest that you will add is exact to the amount that the loaner will pay to you.
Its a great news for the crypto world to lend and borrow cryptocurrency. But it is not so easy to administrate it. There has a high risk in recovering it. The conventional lending institution take sufficient securities before lending yet they cannot recover a portion. Every institution has classified loan. How will you ensure the security of the loan? Still most of the countries of the world didn't allow bitcoin and we cannot use it every where we want now. So, there has a question of effective use of loan.
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
Well the European Central Bank just lended out 1.3 trilion euros at -1% interest rate to European banks. How can cryptocurrency lending beat that? Where they will get 1.3 billion euros to pay at end of the year to those that lend money from them?
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
Despite there are a lot of advantages, we have to admit that there are a lot more disadvantages. For example, cryptocurrency isn't really popular in the world that makes the demand for crypto lending isn't high. Furthermore, the cryptocurrency market contains a lot of risks. Because of less requirements than traditional lending methods, it increases the risk to the higher level! https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
The market pays higher rates on crypto than fiat. Even stablecoins outperform traditional markets, in interest %.
Crypto loans should be taken, with room for over a 50% retracement. Many platforms pay % on crypto deposits, the issue becomes when you want price to go up on an asset but loan it out for interest. You just filled a buy order, with BTC you're going to take back later. Not the healthiest behavior for market scarcity.
The potential is huge when you have more $ in crypto, than any other asset, but you believe price will keep increasing.
It's great because the requirements are not tough as the banks but you need to make sure that you have the collateral. And that collateral shouldn't be just anything which you think can used as a collateral but, it should be something valuable.
Because these exchanges or lending platforms can fairly assess the assets but expect that the favor is with them. You can't expect to loan exact amount as your collateral, they'll only give lower than that value.
Because these exchanges or lending platforms can fairly assess the assets but expect that the favor is with them. You can't expect to loan exact amount as your collateral, they'll only give lower than that value.
Crypto lending sites I knew few years ago normally use cryptocoins/crypto-assets as collateral. I wonder if it's still done today.
It should be possible in Crypto future to use physical assets that are located "anywhere" in the world as collateral if the assets can be safely locked with things like private keys at some safe and crypto-community "certified" locations then escrowing the private keys in encrypted form, which can be automatically/manually released based on smart contract agreements.
https://nexo.io/
Crypto lending is great for those who knows their ways around risks, it's not a good path for new crypto investors or those who are still new to trading, lending and loans aren't for someone like me, I can't handle the fear and stress
Cryptocurrency lending has the potential to take over the loans industry as we know it. In essence, it makes the process of getting a loan far easier and has far less requirements than traditional lending methods. In this article, we’ll walk you through the many advantages of cryptocurrency lending and why you should consider crypto the next time you need a loan.
https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
I realize this is not a good opportunity if we lend uncontrollably. Crypto lending is a convenient method, but it is very difficult to recover the debt if we lend it to strangers. I feel that this option is not very good and instead of lending with crypto, we can also lend with fiat money. We can also use bank accounts and electronic wallets for quick transactions. https://selfkey.org/the-top-5-advantages-of-cryptocurrency-lending/
Both borrowers and lenders have a disadvantage side in the crypto lending business, because of the volatility they might able to add the amount of fiat when the crypto price increased and besides when you needed most and you don't have collateral you most likely not entitled to have a loan in crypto. It means that the borrowers need to carefully watch their collateral ratio to ensure it stays within a safe range.
This might be worth it to read, https://cointelegraph.com/explained/crypto-lending-explained.
This might be worth it to read, https://cointelegraph.com/explained/crypto-lending-explained.
Jump to: