Crypto.com, a cryptocurrency exchange launched in 2016 and headquartered in Switzerland, has announced that it has launched VeChain (VET) and Chainlink (LINK) lending services.
With the new development, the teeming users of the exchange can now borrow against their cryptocurrency with a loan-to-value (LTV) ratio of up to 50% by depositing VeChain (VET) and Chainlink (LINK) as collateral.
This was announced on 29th January 2021 via the official Twitter handle of the cryptocurrency exchange.
Introducing new collateral tokens for Lending on the Exchange:
Available for retail and institutional users.
— Crypto.com (@cryptocom) January 29, 2021
According to the crypto exchange, the lending service allows users to monetize their digital assets without the need to sell them. In this process, no need for credit checks and users can pay back partially or fully without early repayment fees.
The new development brings VET and LINK to join the likes of CryptoCom (CRO), Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC) that are already supported collaterals on the crypto exchange.
Going by the report, the supported loan currencies are USD Coin (USDC) and Tether (USDT), adding that the Loan-to-Value (LTV) Ratios are 25%, 33%, and 50%.
Moreover, users that choose to stake CRO can enjoy a lower annual interest rate compared to other digital assets supported as collateral for loans on the exchange.