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Bitcoin.com Partners With Cred to Deliver Interest on Stored Crypto Funds

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Bitcoin.com has made it easier for its users to earn interest on their crypto funds right from the platform’s wallet app. This new feature comes courtesy a partnership with Cred, a licensed cryptocurrency lending service.

The collaboration between both firms is yet another development in the expanding cryptocurrency money market. The rise of decentralized finance (DeFi) is leading to the emergence of numerous lending protocols that allow users to earn high yields from their virtual currency holdings.

Earning Interest on Cryptocurrencies

According to a press release issued last week, both Bitcoin.com and Cred have partnered to enable users of the former’s crypto wallet to pledge their holdings in return for significant interest percentages. As part of the collaboration, Bitcoin.com customers will be able to interface directly with the CredEarn marketplace right from their wallet apps.

To ensure a seamless experience, the new feature will be available on both mobile and desktop devices. Users who pledge their crypto funds will stand the chance to earn daily compound interests, as well as, interest payouts in crypto.

Customers can also take advantage of the customizable nature of the new service to stake one crypto and receive interest payment in another cryptocurrency as a way of diversifying their holdings. The lending feature supports numerous crypto tokens and even stablecoins.

Commenting on the partnership, Bitcoin.com’s head of product, Corbin Fraser, remarked:

Cred continues to be a frontrunner amongst lending and borrowing platforms. Their dedication to solving financial problems is why we are proud to strengthen our partnership. At Bitcoin.com, we strive to offer our customers with the top-tier blockchain services. Through Cred, our customers will continue benefiting from earning interest on their crypto via a secure and licensed financial services platform.

For Cred CEO Dan Schatt, the partnership with Bitcoin.com offers an opportunity to extend the company’s reach in the crypto lending space. Bitcoin.com reportedly offers its services to users from about 190 countries across the globe. Cred also has similar collaborations with other major crypto exchange and wallet providers including Huobi.

Crypto Money Market Boom

As previously reported by Blockonomi, the continued growth of the DeFi market has caused a significant expansion of the crypto lending arena. Indeed, according to DeFi analytics provider Defipulse.com, lending protocols occupy the top-two positions in terms of the total value locked (TVL) in these projects.

While crypto lending was already a growing market, the emergence of liquidity mining back in June has helped to further advance the size of the cryptocurrency lending space. These days, it is common to see investors stack yields by lending and depositing in multiple DeFi protocols while taking advantage of instant arbitrage opportunities.

With liquidity mining, investors earn governance tokens for providing liquidity to a protocol. Yield farming has become a popular part of the crypto scene with some critics warning that yield chasers are creating a bubble akin to the 2017 initial coin offering (ICO) craze.

DeFi’s current ascendency has also provided a value spark for oracles like Chainlink (LINK) which provides a framework for data transfer between on-chain and off-chain endpoints. Before its current price retrace, the LINK token price was up more than 1,000% year-to-date (YTD).

The post Bitcoin.com Partners With Cred to Deliver Interest on Stored Crypto Funds appeared first on Blockonomi.



August 24, 2020 at 12:40PM https://blockonomi.com from Blockonomi https://ift.tt/3lcILdC

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