Have a Bitcoin to Borrow?

Have you ever had a friend that was always short on money and always asked for some bucks as a loan from you? I had. But I haven't had yet one that would ask me to loan him cryptocurrencies. There is though a Japanese cryptcurrency exchange that will loan your Bitcoin and pay you a yearly fee for it.

Bitbank which is the 31st largest crypto exchange in the world and one of the 16 Japanese exchanges that are full-licensed is launching a loaning program for their customers. After a month of “recruitment” and extensive personal and account checks on interested users, the ones accepted will be able to loan their Bitcoin to Bitbank in exchange for a yearly fee.

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There is though a minimum borrowing time of 12 months that is stipulated in the clauses an only a maximum of 5% fee of your Bitcoins if you decide to loan them more than 10 of your BTCs. The minimum amount of BTC that one can loan to the exchange is five coins and for that they would only get a 3% yearly fee.

“The cryptocurrency remain locked during the entire loan period. So, the cryptocurrency cannot be sold or transferred. Only when the loan period is elapsed or returned by Bitbank, the customer will be able to sell or transfer the cryptocurrency."

If any loaner decides to retract his loaned BTC, for what ever reason, will loose a 5% of its value plus taxes. Also whoever wishes to loan Bitcoins to Bitbank shall be aware that their coins will be locked from July 2018, when the program starts, to July 2019, except the case when they agree in paying the 5% lose and break the agreement at any time. Other cryptocurrencies such as Litecoin, Etehereum, Ripple and Bitcoin Cash will follow the trend of having the ability of being borrowed by their owners in the near future.

Reference: https://www.ccn.com/this-japanese-exchange-will-burrow-your-bitcoin-for-a-yearly-fee/