Keep an eye on @binance today.
— CZ BINANCE (@cz_binance) August 26, 2019
Evidently, Binance will be introducing a way to earn cryptocurrency passively, without having to trade or to engage in other activities, allowing users to earn while they sleep. Zhao also hinted that whatever it is that Binance has in store will happen today.
Naturally, the community was quick to react as many outlined that it is, perhaps, Binance lending that’s going to come to light.
What is Binance Lending?
The world’s leading cryptocurrency exchange introduced its margin trading capabilities back in July, as reported by CryptoPotato.
Following the latest tweet of CZ, it is entirely possible that the exchange will be adding more capabilities so that users can potentially lend their crypto for those who want to use it for leverage. In return, they could receive a certain interest depending on the time period they’ve lent their cryptocurrency for.
This is a rather interesting concept that will add more utilities for Binance users, further establishing the exchange as a predominant leader in the market. However, at the time of this writing, the landing page for Binance Lending is still not available.
At the same time, it’s also worth noting that Binance entered into an agreement with California-based Cred in order to provide cryptocurrency lending and borrowing services throughout its entire ecosystem.
It remains very interesting to see whether that would be the case indeed. If CZ holds up to his words, we will get the announcement today.
The news comes shortly after Binance announced that they will be introducing localized stablecoins which resemble the model of Facebook’s Libra cryptocurrency.
UPDATE: Binance Lending Confirmed
Binance Lending has been confirmed on the official website. However, the feature is not yet available as it is still in a “coming soon” status.
In any case, there are two cryptocurrencies that users can lend – these are Binance Coin (BNB) and stable coin Tether (USDT).
Users will be able to lend their crypto over a certain period of time and receive interest at the end of the subscription period. For BNB lenders, the annualized interest rate will be 15%, while for USDT it will be 10%. Users can lend up to 200,000 BNB and up to 10,000,000 USDT.
Interestingly enough, Binance will also make sure that BNB holders who lend their BNB will still be able to rely on them when it comes to the snapshots for the Binance Launchpad Initial Exchange Offerings (IEO), hence providing them with yet another string of earning a potential income.
