How does BlockFi's borrowing service work for digital assets?

3 answers

• busitema univessityFeb 23, 2025 · 5 months ago
  BlockFi's borrowing service allows users to borrow against their digital assets. Users can deposit their digital assets as collateral and receive a loan in USD or stablecoins. The loan amount is determined by the value of the collateral and the loan-to-value (LTV) ratio set by BlockFi. Interest rates and repayment terms vary depending on the loan type and duration. It's a convenient way for users to access liquidity without selling their digital assets. However, users should carefully consider the risks involved, such as potential liquidation if the collateral value drops significantly.
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• p naresh kumarJan 26, 2024 · a year ago
  BlockFi's borrowing service is a great option for digital asset holders who need immediate funds but don't want to sell their assets. By depositing their digital assets as collateral, users can borrow USD or stablecoins at competitive interest rates. The loan-to-value (LTV) ratio determines the maximum loan amount users can receive. BlockFi offers flexible repayment options and allows users to choose between interest-only payments or principal and interest payments. It's important to note that failure to repay the loan may result in the liquidation of the collateral.
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• din hillelJan 26, 2022 · 3 years ago
  BlockFi's borrowing service for digital assets is a game-changer in the crypto industry. Users can leverage their digital assets to secure loans and access liquidity without selling their holdings. With BlockFi, borrowers can enjoy competitive interest rates and flexible repayment terms. The loan-to-value (LTV) ratio determines the loan amount, and users can choose between different loan types and durations. It's a win-win situation for both borrowers and lenders, as lenders earn interest on their deposited assets while borrowers get the funds they need. However, it's crucial for borrowers to carefully manage their loan and monitor the market to avoid potential liquidation.
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