Binance announced that it has added two cryptocurrencies to expand its loan service to more users. The two altcoins that will join the exchange’s pools are among the top 20 by market cap.
Binance announced important news for 2 altcoin giants
The world’s largest cryptocurrency exchange by trading volume, Cardano (ADA) and Avalanche (AVAX) on BinanceLoan platform announced that it has added it to the list of supported stake collateral assets. The exchange stated in a blog post today that ADA and AVAX investors can now stake cryptocurrencies to borrow other cryptocurrencies on the platform.
#Binance Loans adds @Cardano $ADA & @avalancheavax $AVAX as Staking Collateral Assets. https://t.co/OM7K2tYQ2w
— Binance (@binance) May 25, 2022
Exchange with the addition of ADA and AVAX has increased the list of cryptocurrencies users can leave as collateral, in an effort to allow more people to join the initiative. The blog post we quoted as Cryptokoin.com says:
Binance has added ADA and AVAX to the BinanceLoans platform as collateral assets. Credit orders with ADA and AVAX as collateral will be staked to reduce interest.
Continuation of the announcement:
- Binance Loans for maximum loanable limits based on supported cryptocurrencies, interest rates, collateral assets and market conditions and internal risk management offers a wide variety of options. Cryptocurrency trading is subject to high market risk. Please do your transactions carefully. You are advised that Binance is not responsible for your trading losses.
What is Binance Loans and why is it important?
Launched in 2019, Binance Loans (Loans) allows users to deposit backed cryptocurrencies as collateral to get a loan in another cryptocurrency. Besides the fact that the cryptocurrency you want to borrow and use as collateral is supported on the platform, there are no entry barriers for Binance users who wish to participate in the exercise.
Some of the cryptocurrencies users can borrow are Tether (USDT), BUSD, Fantom (FTM), USD Coin (USDC), etc. Similarly, the world’s largest cryptocurrency exchange also supports a variety of assets that users can deposit as collateral to borrow other cryptocurrencies from the lending platform. Users can choose the duration of the loan as they see fit, ranging from seven to 180 days.
