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Japanese Financial Giant SBI Group Debuts Lending Product for Bitcoin, Ethereum, and XRP

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Tue, 11/24/2020 - 06:37
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Alex Dovbnya
Japan's financial services behemoth SBI has ventured into cryptocurrency lending
Japanese Financial Giant SBI Group Debuts Lending Product for Bitcoin, Ethereum, and XRP
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Japanese financial giant SBI Group has announced a cryptocurrency lending service in its Sept. 24 press release.

It will be offered through the company’s cryptocurrency-oriented arm SBI VC Trade.  

In its press release, SBI Group touts “high reliability” of the new lending offering in order to alleviate concerns about the risk of bankruptcy in this market niche.

Cred, one of the leading crypto with up to $500 mln worth of liabilities, went bankrupt earlier this month, sending shockwaves through the industry.   

As of now, it is only possible to lend Bitcoin. The maximum amount is set at 0.1 BTC ($1,831) at the time of writing.  

Low risk comes with low rewards. SBI VC Trade clients are able to earn infinitesimally low fixed annual interest of one percent. The duration of the lending period is 84 days.     

Ethereum and XRP are expected to be added soon together with other cryptocurrencies that are yet to be specified. 

Related
SBI Holdings CEO Confirms Ripple’s Plan to Move to Japan

As reported by U.Today, SBI Group also launched contracts for difference (CFDs) for the above-mentioned pack of cryptocurrencies on SBI FX Trade in late August. 

Customers can borrow money from SBI FX Trade in order to trade the contracts with leverage.

Last month, SBI’s long-time partner Ripple announced XRP loans for the members of the RippleNet network that use its On-Demand Liquidity (ODL) solution.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.