Dubai-based Bybit has become the latest exchange to offer a cryptocurrency lending service.
Cryptocurrency exchange Bybit has launched an in-house cryptocurrency lending service for its users: Bybit Lending. The Dubai-based company said on May 2 the service would deliver interest payouts to users that deposit crypto via the platform’s new service.
Bybit claims its lending service delivers hourly interest payments from lending pools. Lenders can also deposit and redeem loaned crypto tokens without any lock-up periods.
“Bybit Lending offers a high APR, making it a convenient and lucrative way for users to earn passive income. Interest is paid hourly, and users can deposit and redeem their funds anytime, allowing them to make the most of market fluctuations. The product also benefits from Bybit’s state-of-the-art risk management systems, ensuring users’ assets are secured throughout the lending process.”
Borrowers on Bybit’s exchange can take out loans to use on the platform’s many trading options. Borrowers must post greater than or equal amounts to their loan to ensure lenders’ capital is safe.
“Borrowers can utilize loans for multiple earning strategies, such as trading Bybit’s perpetual contracts or capturing a spread using Bybit Earn. All borrowers will post collateral greater than/equal to the loan amount to ensure the safety of lenders’ capital.”
The exchange says its new service bridges the gap between borrowers and lenders in the crypto space.
Ben Zhou, co-founder and CEO of Bybit, said:
“At Bybit, we believe in offering our users multiple avenues to generate passive income. Bybit Lending allows users to utilize strategies such as borrowing from liquidity providers, carry trading, and taking advantage of high APR, giving our users various new options to grow their wealth.
By offering attractive returns on idle cryptocurrencies, we are again bringing next-level opportunities to our users in the area of capital efficiency. This is another step on our mission to making the world of Web3 more accessible and uncomplicated.”
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Source: https://cryptodaily.co.uk/2023/05/crypto-exchange-bybit-now-offers-lending-services