Currently, crypto lending is one of the emerging trends in finance and blockchain sector. It is a fairly innovative concept that lets traders acquire cash by using their crypto holdings as security, without the need to sell their Crypto coins.

As the proceeds from investments in stocks are dwindling, mainly owing to the disruptions triggered by the disastrous COVID-19 pandemic, cryptocurrency has attained widespread acceptance among stockholders. Both individuals and naive investors have jumped into the industries that ensured excellent profits even in the midst of the financial recession that made several anxious. Even though cryptocurrency allies say that the platform provides a good chance to expand capital swiftly, opponents allude to its excessive instability. Even though the dispute endures, the cryptocurrency industry has expanded copiously in the last two years and is continuously renovating and adding innovative features, among which is crypto lending.

In crypto lending, people are able to obtain loans against their crypto holdings and can expect the worth of their holdings to grow amidst the loan period. The purpose of this kind of investment is to permit those with cryptocurrency holdings to create some shares by giving out part of their holdings. Usually, lending is offered through crypto lending portals.

These portals are used by two parties. One of them is a lender and the other one is the borrower. Borrowers demand physical money from lenders by depositing an equal amount of cryptocurrency with them as protection and the rate of interest is based on the crypto coin. The crypto lending platforms usually charges traders for using their services.

What are the Key Crypto Lending Platforms Effective in India?

1) BlockFi

With BlockFi, your Bitcoin can gain up to 7.5% Annual Percentage Yield (APY).  BlockFi determines interest on per day basis and pays every month. It lets a borrower to obtain loan against their crypto holdings.

2) Crypto.com

Another mostly used platform is the Crypto.com. It provides the opportunity for borrowers to repay the loans in full or in part at any time in the 12-month fixed loan time period.

3) ZebPay

ZebPay, in May 2021, revealed about its addition of the crypto lending feature on its platform. Previously, it used to offer loan on merely a limited number of crypto coins like Ethereum, Bitcoin, as well as Ether.

4) CoinDCX

CoinDCX is another prime crypto trading platform in India, which offers crypto lending feature to its clients. The platform determines its rate of interest dynamically, depending on the demand and supply in the market for the cryptocurrency that is to be borrowed.

5) Holdnaut

Holdnaut is a well-known financial service provider that lets private depositors to gain interest on their cryptocurrencies by loaning them to organizations. Its users can gain interest rates by depositing their crypto holdings into the Interest Account of Hodlnaut.

In the future, this innovative concept of lending and borrowing is going to rule the world of blockchain and cryptocurrency.