When cryptocurrencies came along around a decade ago and even when the industry went on its astonishing bull run back in 2017, the sector was still regarded as a novelty of sorts. The rise of an actual ecosystem with Bitcoin and other cryptocurrencies at the center remained a pipe dream for most. However, things have changed over the past few years, and now there is a real possibility of cryptocurrencies finding mainstream acceptance. In a new development, which should count as another landmark stride for the crypto sphere, Binance has announced that it is going to introduce a lending service.
Crypto Lending: Key Details
Binance is one of the biggest crypto exchanges in the world and attracts a tremendous volume of trade every day. Hence, it goes without saying that it is a service that is being backed by one of the most prominent entities in the crypto world. The service in question is known as Binance Lending, and it is going to go live on August 28. According to reports, the customer will get access to the service on a first-come, first-serve basis and will be able to lend three types of cryptocurrencies. One of them is BNB, which has been developed by Binance, the other is Ethereum Classic, and the third is USDT, which is backed by the US Dollar.
The customers who use this service will also be able to earn interest at an annualized rate, and the minimum tenure is going to be of 14 days. The rates of interest are also different for different tokens. ETC will fetch an interest of 7%, while the interest for BNB and USDT have been set at 15% and 10% respectively. It goes without saying that the service is a revolutionary new offering and one that could end up being a highly useful one. However, it remains to be seen whether Binance will expand crypto lending to other cryptocurrencies.
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