Crypto-exchange Zebpay has launched a lending platform, which would enable users to earn interest on their crypto-holdings. The lending platform will generate returns users’ crypto investments if they lend select cryptocurrencies, the company said in a statement.
While many crypto-exchanges in India provide margin trading options to their investors, ZebPay is the first to launch an exclusive lending or decentralised finance vertical. Users can earn interest on their holdings of Bitcoin (3%), Ethereum (7%), Tether (12%) and DAI (7%), the company said. “Upon maturity, the returns earned will be deposited in an investor’s trading wallet along with the principal amount. The returns offered on the ZebPay Lending Platform will be calculated directly based on the amount of crypto an investor holds,” it added.
“Investors can lend their crypto for an open term or a fixed term with the ZebPay Lending Platform. Under the open term, investors will not need to lock-in their crypto under the open term deposit and will earn returns as applicable for the day, with the returns being deposited in the investor’s trading wallet along with the principal amount. The fixed term allows investors to lend their crypto for 7-day, 30-day, 60-day and 90-day periods, with the rate of return varying for each,” the company said. It added that the tokens cannot be withdrawn before the end of the term, otherwise a a small penalty will be applied.
“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” —Avinash Shekhar, Co-CEO, ZebPay
ZebPay has revamped its flagship mobile application, and once users update it to the latest version the lending option will automatically show up.
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