Dear Bitruers,
Learn how to leverage XRP as collateral for Bitrue loans with this comprehensive step-by-step guide. Get insights into eligibility, loan terms, interest rates, and repayment options. Start borrowing with confidence!
Step 1: Complete KYC Verification and Set Up PIN Code
To access the Bitrue loan service, complete the KYC verification and set up your PIN code on the Bitrue platform. Visit the Bitrue loan service website: https://www.bitrue.com/loan/
Step 2: Check Eligible Pledged Coins
The loan service allows you to pledge one digital coin (Pledged Coin) to borrow another digital coin (Borrowed Coin).
The following coins can be used as Pledged Coins: BTC, XRP, ETH, VET, USDT, TUSD, PAX, USDC, ADA, BCH, LINK, XLM, SHIB, DOGE, DOT, LTC, BNB, UNI, SOL, GALA, QNT, QNT2.
Step 3: Determine Minimum Pledge Amount
Calculate the minimum pledge amount for your collateral based on the real-time USDT unit price of the Pledged Coin.
Step 4: Choose Your Loan Term and Interest
The loan term is unlimited unless a margin call is triggered or a mandatory delivery is enforced. The interest is floating and calculated daily at 17:00 (UTC).
Step 5: Understand Lending Pledge Rate and Mandatory Delivery Rate
The Lending Pledge Rate is set between 51% to 66%, depending on the risk rating of the Pledged Coin.
The Mandatory Delivery Rate is set between 71% to 91%, also based on the risk rating of the Pledged Coin.
Step 6: Repayment Options
Users can repay the principal and interest at any time before the mandatory delivery or closing. Principal and interest are repaid in the form of the Borrowed Coin, provided the outstanding interest is repaid first.
Bitrue will return the Pledged Coin to the User's spot account proportionally based on the principal and interest repaid.
Step 7: Choose Repayment Method
Users can repay the principal in whole or in part at their discretion.
Step 8: Interest Payment
Interest to be repaid will be stated at the end of each month and must be repaid before the fifth day of the next month.
If repayment is not received by the deadline, the system will automatically deduct the funds at 16:00 UTC on the fifth day.
Step 9: Margin Call and Mandatory Delivery
Bitrue will notify Users via email and SMS if the pledge rate rises to a dangerous value and encourage a margin call.
Failure to carry out a margin call or insufficient margin call may lead to mandatory delivery.
Step 10: Mandatory Termination
Bitrue may terminate an order with a term of more than one month if the risk of the Pledged Coin suddenly increases.
The system will automatically deduct all outstanding amounts from the User's spot account and return the Pledged Coin.
Empower yourself with the knowledge and tools to confidently use XRP as collateral for Bitrue loans. Start borrowing and grow your digital assets today!