CEX.IO, one of the largest crypto exchanges, has recently announced that it will be launching a lending service in September, 2020. The lending service will be backed by digital assets and will be made available across 217 different countries and territories across the world.
The firm is aiming to allow the people from the crypto community to borrow funds against their digital assets holdings. CEX.IO believes that this process should be less time consuming hence, the whole process will take place within minutes only. Along with this, there will not be any need for credit checks also.
CEX.IO Will Allow Customers to Decide Loan Duration And Size
The firm has revealed that all of its customers will be able to decide the duration and size of the loan. Different loan durations are available as a customer can choose a duration from a week up to a year. Along with this, CEX.IO mentioned that customers will be able to take loans of any amount between $500 and $500,000. All the loans that will be of longer duration will have smaller interest as compared to the ones with shorter duration. The firm has also announced that the complete lending services will be facilitated by a liquidity pool worth multi million dollars.
Registered And Verified Customers Will Get Loan Instantly
CEX.IO has revealed that all the customers who are looking for a loan will first have to deposit cryptocurrency. Their cryptocurrency will act like a collateral against the loan. Currently the users are allowed to get loans against Bitcoin and Ethereum holdings only. The loans will be given at a 50% Loan-To-Value (LTV) ratio.
All the registered and verified users will be able to get loans instantly within a few minutes without wasting any time. The new customers are required to open an account and go through the complete KYC procedure before applying for loan.