How does Crypto lending platform work?
Banknet’s lending platform is likely to become the customer’s go-to if they are looking to leverage their crypto holding for cash in forms of loans. In this manner, without selling your blockchain assets, you can obtain money to spend easily.
The question now is- How does it work?
No matter what the purpose is for borrowing money, the users will be able to acquire quick money against their cryptocurrencies in no time. Banknet has floated this service in the market owing to the needs that people have.
The members can choose to pay their loans off at any point of time without having to incur any additional cost; thus, eliminating the scope of prepayment penalties.
Since the platform has especially been crafted for the users – Banket assures that it will not consist of any origination fees or closing costs.Unlike conventional lenders, Banknet’s services are a step ahead. It has developed a simple portal
which is going to support transparency instead of adding on to the costs that the clientele is to incur.
Also, it understands that a majority of the financial institutions avoid entering the blockchain market because of the challenges that they are likely to face in the operation of this contemporary measure.
Thus, Banknet is going to help these institutions to loan out currencies to the people who hold assets on the blockchain network; thus, allowing the establishments to work in accordance with their stipulated business models.
While understanding the apprehensions of these institutions,
Banknet has done its best in assuring compliance and security in order to lend against the said assets
which is based on the use of the blockchain technology.
Once the members who have applied for loans are qualified in accordance with the set rules, they can select the size and type of loan in addition with the amount of time for which they need a loan.Thereafter, the members are connected with the qualified lender.
The lenders are going to benefit from the interest they are to accrue from the overcollateralized assets. Thus, Banknet’s platform has been crafted to support the lending of any type of currency, not leaving out the trending digital currencies.