Ever since cryptocurrencies entered the financial industry, things have not been the same. And while important changes continue to reshape the market, the development of blockchain-based products and services mimicking the traditional banking and finance industries has skyrocketed in the past couple of years.
The crypto lending market is a great example. The market is thriving despite being rather immature. However, the emergence and boom of the industry are not as surprising as one might think; that is mostly so because the crypto credit market caters a solution for what has been an ongoing problem within the cryptocurrency world — the fact that holders could not leverage their crypto assets without having to liquidate them.
Some players within the market have already tapped into the neglected segment by establishing inventive platforms that allow lenders to borrow using their crypto reserves. One notable player that is taking confident strides in the untapped market is Bankera.
Launched in June 2017 by the same team behind the cryptocurrency brokerage SpectroCoin, Bankera has introduced a loan facility that specifically meets the crypto holders’ needs. Essentially, Bankera Loans empowers crypto holders to take out a loan without necessarily selling their digital assets. The platform doesn’t just service the individual crypto holder; it also caters to the needs of institutions just as much.
Enticing Loan-to-Value (LTV) ratio
LTV ratio is the percentage of the property value that a lender can provide through a loan. While most lending platforms provide an LTV ratio of 50%, Bankera provides up to 75%.
Additionally, Bankera customers can apply for loans from as low as 25 EUR to as high as 1M EUR. The lower end of the spectrum enables users, regardless of financial status, to access credit lines using their digital assets.
Diverse Loan Packages
The diversity of loan packages that cater to the needs of different customers is a crucial consideration for potential borrowers. Usually, the lower the LTV percentage of a loan, the lower the interest charged. For example, Bankera offers the following packages for its loans:
Lowest rates: Offered at 6.95%, with a 25% LTV for loans over €5000
Most popular: Offered at 9.95%, with a 50% LTV for loans over €5000
Maximum LTV: Offered at 12.95% with a 75% LTV for loans over €5000
The maximum period for the above loan plans is one year, but there is an option for an extension.
Several Cryptocurrencies Accepted
The best platform for borrowing is one that supports both fiat and crypto since it provides quite a bit of flexibility. Also, the more diverse the range of cryptocurrencies offered on a platform, the more convenient it becomes. And so that is why platforms like Bankera support withdrawals in both fiat (currently, EUR) and crypto — Bitcoin (BTC), Tether (USDT), NEM (XEM), Ether (ETH), and Dash (DASH). Plans are underway to incorporate more cryptocurrencies.
That’s not all. Bankera has its token, Banker (BNK) that offers lower rates to clients who pay interest using the BNK token. BNK is an Ethereum ERC-223 token that is compatible with ERC-20. Enticingly, trading the token on Bankera Exchange, the platform is absolutely free.
Financial service providers are expected to be extremely responsive to meet the needs of their customers, especially when handling new products such as crypto lending.
Bankera has a 24/7 support for any customer queries. Through their live chat, customers can interact with a support team to ensure that their questions or potential problems are solved.
The FAQ section also enables users to quickly find answers on various issues that they might face. For customers who have confidential and sensitive issues, Bankera also has a helpdesk email address for any further assistance.
With the capacity to offer high Loan-to-Value (LTV) ratio along with a flexible repayment schedule, Bankera Loans is a quality service that anyone looking for a crypto-backed loan should consider.