PALO ALTO, Calif., Dec. 13, 2021 /PRNewswire-PRWeb/ -- PayBito, a global crypto assets exchange, asserts that clients may avail themselves of a loan in PayBito crypto bank against their crypto collateral. A crypto-collateralized loan increases the borrower's financial flexibility by giving them access to additional liquidity without the need to divest their assets.
This attractive loan option facilitated by PayBito allows clients to remain invested in their portfolio and continue to generate liquidity to finance other private investments (private company, real estate, etc). This has recently created quite a stir among crypto owners. This is reflected in the increased registration requests converting to requests for financing terms for borrowing.
- Getting a Crypto Loan
Once onboarded onto the Paybito ecosystem, clients may request financing terms for borrowing. The process flow for this may be summarized as follows:
(i) PayBito's terms state that the Bitcoin (BTC) in the client account acts as the collateral against the loan. When a sum is loaned, the corresponding amount in BTC is transferred from the client BTC wallet to a designated collateral wallet which will now hold the said client BTC. BTC collateral can only be withdrawn from the client's collateral wallet once the loan is repaid, which can be made over the following 12 months.
(ii) PayBito accepts only Bitcoin worth the sum requested in the loan petition against the borrowed sum. No other cryptocurrency is accepted as collateral.
(iii) Users with loan health featuring above 70%, may avail the option of withdrawing the excess collateral back into their BTC wallets. In such a case they may also use those to borrow additional amounts towards yet another loan.
- PayBito Offering
PayBito provides the borrowers with the following options and amenities:
1. Loan amount between USD 0.5 million -USD 2 million
2. Loan in multiple fiat currencies (USD, INR, AED, SGD)
3. Round the clock monitoring and support
4. Swift conversion from fiat to cryptocurrency
5. Senders and recipients get notified of the benefits of settlement within seconds of transfer.
6. Finally, PayBito charges a nominal processing fee in the entire cycle.
"PayBito envisions a decentralized platform where obtaining a loan against collateral can be as simply done as stated," stated Raj Chowdhury, Founder, and CEO of PayBito.
"Crypto loans provide great speed and flexibility in the lending and borrowing services. Besides, there exists total transparency in movements of funds owing to the underlying blockchain technology," he further explains.
Crypto lending allows the borrower swift conversion without immediate liquidation of their digital assets. Crypto lending makes for a beneficial instrument for borrowers with its ability to short an asset by buying it on one exchange and selling it on another thus benefiting by margin trading.
On the recent work front, PayBito allies with an Asian enterprise, providing white label cryptocurrency exchange software. Earlier this year, PayBito has also worked with a Canadian equity broker in expanding its Middle-East base. PayBito has recently offered a demo version of its white label cryptocurrency on its website.
The collateralization of cryptocurrency is one way of tapping the Decentralized Finance (DeFi) platform to swiftly avail of funds without liquidation of the original assets. In spite of over-collateralization which is one drawback of this lending scheme, the process in itself is lauded for the speed and simplicity of the operation and ease of conversion.
- About PayBito:
PayBito is a leading cryptocurrency asset trading platform operating globally. The platform is designed and managed by a team with rich experience in Banking security systems, Cryptocurrency trading, and Blockchain technology. It is available in the web version as well as in iOS and Android stores. PayBito services include white label cryptocurrency exchange, white-label payment gateway, exchange affiliate, and coin listing. PayBito offers some of the best rates and top-notch security in the crypto world.
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SOURCE PayBito
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