Poloniex Lending | Bitcointalksearch.org

DebitMe

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Quote from: freigeist on December 24, 2016, 10:14:06 AM

Hello.

Excuse me for my ignorance but could somebody explain to me how this lending works?

Are those leased btc intended to be used only on poloniex for trading or
users that borrow this BTC can use them outside the exchange for other purposes?

If so what is used as collateral for the borrowed BTC?!
How this work?

Thanks.

You are putting up bitcoin that is being used to trade of margin. So if someone only has 1 btc, by borrowing some coins from you, they are able to trade as if they had say 5 btc. They cannot withdraw your coins and if the price of bitcoin drops to a certain amount the site will automatically sell their position and pay you back. The risks involved are that the price drops so fast, that the site cannot sell everything and pay everyone with lent coins back, and that poloniex will get hacked.

freigeist

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Hello.

Excuse me for my ignorance but could somebody explain to me how this lending works?

Are those leased btc intended to be used only on poloniex for trading or
users that borrow this BTC can use them outside the exchange for other purposes?

If so what is used as collateral for the borrowed BTC?!
How this work?

Thanks.

Kevin77

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Quote from: botany on December 06, 2016, 02:26:20 AM

Quote from: mrcash02 on December 03, 2016, 10:49:06 AM

Quote from: BingoDog on December 03, 2016, 03:26:36 AM

Quote from: mobnepal on November 30, 2016, 10:13:53 PM

May be they think its better to have something rather than nothing by just holding their bitcoin in trading platform wallet. Also margin lending in poloniex seems to have lower risk than any other P2P lending platforms.

Ecactly, they are probably counting on lower risk compared to other lending platforms so that justifies this rate. But in general it seems that bitcoin.lending systems are in some kind of crysis, investors are unhappy with resaults and hardly are getting their money back so this could also be the reason.

That is not good... Investors should stipulate a minimum interest to put there. Example: Don't set less than 0.05% per two days. This way, this kind of investment could raise the potential for lenders.

Now, it doesn't worth for anyone, almost nobody is making profit there, only who has about 20 BTC to lend, as I see there a person. A similar possibility of low profit is the HaoBTC chinese wallet.

If there are people lending over there, they seem to be happy with the return. Margin lending is definitely safer than lending on P2P platforms, which have high default risk.
The market should discover the lending rate. Distortions like fixing a minimum interest are actually counterproductive. You would only stifle demand from a set of people who would have taken loans if the interest rate was lower.

I too think so, I mean if there is a free market let them make lower amount than what banks offer , as long as they are happy and doing business than there is no reason to judge them. Would I do it for that low? No. Do I mind them doing this? No.

As long as there is a free market they can put hundreds of btc for 0.0001 and I won’t care , hell I will even take advantage of it Cheesy

botany

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Quote from: mrcash02 on December 03, 2016, 10:49:06 AM

Quote from: BingoDog on December 03, 2016, 03:26:36 AM

Quote from: mobnepal on November 30, 2016, 10:13:53 PM

May be they think its better to have something rather than nothing by just holding their bitcoin in trading platform wallet. Also margin lending in poloniex seems to have lower risk than any other P2P lending platforms.

Ecactly, they are probably counting on lower risk compared to other lending platforms so that justifies this rate. But in general it seems that bitcoin.lending systems are in some kind of crysis, investors are unhappy with resaults and hardly are getting their money back so this could also be the reason.

That is not good... Investors should stipulate a minimum interest to put there. Example: Don't set less than 0.05% per two days. This way, this kind of investment could raise the potential for lenders.

Now, it doesn't worth for anyone, almost nobody is making profit there, only who has about 20 BTC to lend, as I see there a person. A similar possibility of low profit is the HaoBTC chinese wallet.

If there are people lending over there, they seem to be happy with the return. Margin lending is definitely safer than lending on P2P platforms, which have high default risk.
The market should discover the lending rate. Distortions like fixing a minimum interest are actually counterproductive. You would only stifle demand from a set of people who would have taken loans if the interest rate was lower.

mrcash02

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Quote from: monbux on December 05, 2016, 07:57:48 PM

Quote from: mrcash02 on December 04, 2016, 11:26:18 PM

Quote from: Quickseller on December 04, 2016, 03:41:27 AM

Quote from: piloder on December 04, 2016, 03:24:29 AM

Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Uhhh, I am pretty sure this is not true, and has not been true for nearly a decade now. Lol.

0.013% per day no, 0.013% each 2 days. About 2.37% profit after 1 year. Where I live the bank offers 0.7% interest monthly, better than this, but still not enough in my opinion. The bank can make a lot of profit with my money, so they could pay a higher interest.

You bank offers you 0.7% interest per month, or per year, paid monthly? Where do you live lol

0.7% monthly. Brazil country. As quickseller said, that is because the inflation is high. In some months the interest stay negative in relation with the inflation. I think this interest too low... Doesn't worth for me and I believe for many others here.

Looks you in your countries doesn't earn much with investments too...

monbux

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Quote from: DebitMe on December 05, 2016, 08:10:39 PM

It isn't a great rate for bitcoin land, but is pretty good when it comes to fiat rates. You can reasonably average 5 to 8% per year buying stocks, but that isn't guaranteed. I have noticed interest rates going down all over bitcoin land as of recently. It seems as we are getting bigger and safer, interest has an opposite effect.

I'm happier with that to be honest, as opposed to higher lending interest rates.
People forget to account for the rise in the price of bitcoin into their lending profits.

DebitMe

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It isn't a great rate for bitcoin land, but is pretty good when it comes to fiat rates. You can reasonably average 5 to 8% per year buying stocks, but that isn't guaranteed. I have noticed interest rates going down all over bitcoin land as of recently. It seems as we are getting bigger and safer, interest has an opposite effect.

monbux

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Quote from: mrcash02 on December 04, 2016, 11:26:18 PM

Quote from: Quickseller on December 04, 2016, 03:41:27 AM

Quote from: piloder on December 04, 2016, 03:24:29 AM

Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Uhhh, I am pretty sure this is not true, and has not been true for nearly a decade now. Lol.

0.013% per day no, 0.013% each 2 days. About 2.37% profit after 1 year. Where I live the bank offers 0.7% interest monthly, better than this, but still not enough in my opinion. The bank can make a lot of profit with my money, so they could pay a higher interest.

You bank offers you 0.7% interest per month, or per year, paid monthly? Where do you live lol

Quote from: zero1ten on December 05, 2016, 03:50:42 AM

Quote from: mrcash02 on November 30, 2016, 10:08:44 PM

Why are those people in Poloniex killing the lending system, asking for 0.013% return during 2 days for amounts like 0.05BTC-0.2BTC? It's worse than what banks pay to investors...

Makes no sense to put a lot of money to receive 2000 satoshis after 2 days...

I tried lending bitcoin in poloniex at the rate of .05% because that's most of the listings had, but after 15 days my investment of .03 just earned around 25k sat less the fees and it was definitely a waste of time, the only way I see to earn there through lending is if you have at least 1000 btc to lend.

Not really a waste of time. What were you planning to do with that BTC anyways? It's a decent interest rate compared to banks in first world countries.

mrcash02

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Quote from: Quickseller on December 04, 2016, 11:30:52 PM

Quote from: mrcash02 on December 04, 2016, 11:26:18 PM

Quote from: Quickseller on December 04, 2016, 03:41:27 AM

Quote from: piloder on December 04, 2016, 03:24:29 AM

Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Uhhh, I am pretty sure this is not true, and has not been true for nearly a decade now. Lol.

0.013% per day no, 0.013% each 2 days. About 2.37% profit after 1 year. Where I live the bank offers 0.7% interest monthly, better than this, but still not enough in my opinion. The bank can make a lot of profit with my money, so they could pay a higher interest.

Where do you live? If your bank is offering 8.4% per year then inflation is either very high or your banks are not very safe.

The quoted rates on polinex are per day.

Yes, the inflation is high and the interest usually stay a bit lower than inflation monthly... But the bank is safe.

Hmm, didn't know the rates were daily, I thought it was each 2 days.

Being a daily interest, it's a bit better than what I was thinking. Thanks.

zero1ten

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Quote from: mrcash02 on November 30, 2016, 10:08:44 PM

Why are those people in Poloniex killing the lending system, asking for 0.013% return during 2 days for amounts like 0.05BTC-0.2BTC? It's worse than what banks pay to investors...

Makes no sense to put a lot of money to receive 2000 satoshis after 2 days...

I tried lending bitcoin in poloniex at the rate of .05% because that's most of the listings had, but after 15 days my investment of .03 just earned around 25k sat less the fees and it was definitely a waste of time, the only way I see to earn there through lending is if you have at least 1000 btc to lend.

Quickseller

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Quote from: mrcash02 on December 04, 2016, 11:26:18 PM

Quote from: Quickseller on December 04, 2016, 03:41:27 AM

Quote from: piloder on December 04, 2016, 03:24:29 AM

Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Uhhh, I am pretty sure this is not true, and has not been true for nearly a decade now. Lol.

0.013% per day no, 0.013% each 2 days. About 2.37% profit after 1 year. Where I live the bank offers 0.7% interest monthly, better than this, but still not enough in my opinion. The bank can make a lot of profit with my money, so they could pay a higher interest.

Where do you live? If your bank is offering 8.4% per year then inflation is either very high or your banks are not very safe.

The quoted rates on polinex are per day.

mrcash02

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Activity: 1190

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Quote from: Quickseller on December 04, 2016, 03:41:27 AM

Quote from: piloder on December 04, 2016, 03:24:29 AM

Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Uhhh, I am pretty sure this is not true, and has not been true for nearly a decade now. Lol.

0.013% per day no, 0.013% each 2 days. About 2.37% profit after 1 year. Where I live the bank offers 0.7% interest monthly, better than this, but still not enough in my opinion. The bank can make a lot of profit with my money, so they could pay a higher interest.

Quickseller

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Quote from: piloder on December 04, 2016, 03:24:29 AM

Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Uhhh, I am pretty sure this is not true, and has not been true for nearly a decade now. Lol.

piloder

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Quote from: Quickseller on December 04, 2016, 01:07:55 AM

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Good calculation but there are few local banks which offer more than that but for fix deposits and interest are only paid after that period.

Poloniex lending is almost risk free other than whole exchange platform getting hacked. However i better try to play with alts there rather than handing out my bitcoin for lending.

Quickseller

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Activity: 2996

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Quote from: mrcash02 on November 30, 2016, 10:08:44 PM

asking for 0.013% return during 2 days for amounts like 0.05BTC-0.2BTC? It's worse than what banks pay to investors...

.013% per day works out to 4.74% per year. I am not aware of any banks offering this high of interest for deposits redeemable after 2 days.

Over time the interest will add up to larger amounts.

mrcash02

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Quote from: BingoDog on December 03, 2016, 03:26:36 AM

Quote from: mobnepal on November 30, 2016, 10:13:53 PM

May be they think its better to have something rather than nothing by just holding their bitcoin in trading platform wallet. Also margin lending in poloniex seems to have lower risk than any other P2P lending platforms.

Ecactly, they are probably counting on lower risk compared to other lending platforms so that justifies this rate. But in general it seems that bitcoin.lending systems are in some kind of crysis, investors are unhappy with resaults and hardly are getting their money back so this could also be the reason.

That is not good... Investors should stipulate a minimum interest to put there. Example: Don't set less than 0.05% per two days. This way, this kind of investment could raise the potential for lenders.

Now, it doesn't worth for anyone, almost nobody is making profit there, only who has about 20 BTC to lend, as I see there a person. A similar possibility of low profit is the HaoBTC chinese wallet.

BingoDog

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Quote from: mobnepal on November 30, 2016, 10:13:53 PM

May be they think its better to have something rather than nothing by just holding their bitcoin in trading platform wallet. Also margin lending in poloniex seems to have lower risk than any other P2P lending platforms.

Ecactly, they are probably counting on lower risk compared to other lending platforms so that justifies this rate. But in general it seems that bitcoin.lending systems are in some kind of crysis, investors are unhappy with resaults and hardly are getting their money back so this could also be the reason.

mobnepal

legendary

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May be they think its better to have something rather than nothing by just holding their bitcoin in trading platform wallet. Also margin lending in poloniex seems to have lower risk than any other P2P lending platforms.

mrcash02

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Activity: 1190

Merit: 525

CryptoTalk.Org - Get Paid for every Post!

Why are those people in Poloniex killing the lending system, asking for 0.013% return during 2 days for amounts like 0.05BTC-0.2BTC? It's worse than what banks pay to investors...

Makes no sense to put a lot of money to receive 2000 satoshis after 2 days...

Topic: Poloniex Lending (Read 1002 times)