Seeking to Exploit Crypto Lending, Wirex Launches Near-Instant Advances in Stablecoin – Digital Transactions
Cryptocurrency holders looking to leverage their assets can now get a loan of up to $100,000 in stablecoins, digital payments platform Wirex Ltd announced Tuesday. Under the new service, holders can borrow up to 80% of the value of their crypto holdings and receive an almost immediate advance in their Wirex app, the London-based company said.
Wirex, whose mobile app is owned by some 5 million consumers, says it is looking to serve a market in which crypto lending has become “extremely popular” since the start of the year. Users can touch the product through a Wirex Mastercard or Visa as well as through the app.
The loan can be issued in USDC, USDT or NXUSD stablecoins, with no set-up or installation costs, the company says. There is also no credit or financial capability check, although there is a limit of five lines of credit at any given time. The loans only bear interest for the days the line of credit is active, Wirex explains. Users can repay the loans at any time. Stablecoins are so called because they are pegged to a national currency, often the US dollar, and are therefore considered less volatile than digital currencies such as Bitcoin.
Now, the new lending facility is expected to expand the usability of these tokens, Wirex said. “This is a historic point in Wirex providing more ways for everyday users to use crypto, and we’ve made it as convenient and easy as possible for our customers to take out a crypto-backed loan,” said Pavel. Matveev, Wirex CEO and co-founder, in a statement.
The 8-year-old company, which in addition to its headquarters has offices in Dallas and Atlanta as well as Singapore, Kyiv and Dublin, says it will be adding to the list of stablecoin users in the coming months. give their credit.
Wirex, which says its user base is spread across 130 countries, says its card allows users to spend over 150 fiat and cryptocurrencies at more than 80 million locations worldwide.