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Bitcoin

Launched way back in 2009, Bitcoin (BTC)l, and the concept of cryptocurrency in general, has shaken up the world of digital payments. Bitcoin is now the leading crypto coin by market cap, with 1 BTC being worth $35,000 as of late January 2021. Investment in cryptocurrencies such as bitcoins has become a new route for people to make money. Thanks to cryptocurrency websites such as YouHodler, it's now possible for people to take out BTC loans. Here is all that you need to know about BTC loans, and how to get them without any hassle.

What is a BTC loan?

With Bitcoin Loans, investors normally borrow offers using their Bitcoin assets as collateral. The lender then takes the collateral, and the borrower is given their cash which must be repaid with interest. While there are several crypto online platforms that deal with crypto loans, YouHodler BTC loans are the most affordable and profitable crypto loans for many cryptocurrency borrowers. You can get instant Youhodler Bitcoin loans with the highest loan-to-value ratio (90%).

Some BTC lending platforms operate by connecting BTC borrowers with cash lenders. This is termed decentralized financing (DeFI).

Some BTC lending platforms operate by connecting BTC borrowers with cash lenders. This is termed decentralized financing (DeFI). You can choose to take out loans from crypto platforms that offer BTC loans directly to investors. Crypto lenders generate profits from the interest payments made by borrowers.

Why you should consider taking a crypto loan

As the world's first blockchain-based cryptocurrency, BTC loans are much more flexible and faster to get. There is also the advantage of cash liquidity, all of which make BTC loans very attractive to a wide spectrum of investors. Most recently, BTC and other cryptocurrencies have yielded good returns for people who invested early in BTC; the popular crypto quadrupled in value towards the end of the year; it's still expected to grow in value further.

While long-term crypto investors may hesitate to liquidate their digital assets, they may want to take a crypto loan when a new investment opportunity crops up or they have to pay out for emergency financial obligations such as medical bills.

Here are some advantages of BTC loans over traditional loan schemes.

  • Fast and easy: As soon as an investor is verified on the platform, they can borrow cash instantly
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  • Soft terms and conditions: Unlike traditional loans which come with strict strings of terms and conditions, BTC loans come with no strings attached. For example, lenders don't usually care about what you are going to use the money for. This is not the same with mortgage loans and business loans.

· Credit scores do not matter significantly. Once your trust score is high, you don't have to worry about your credit scores. Borrowers are typically asked to provide documents that establish their identities such as national IDs, utility bills, email addresses, and credit card verification.

 How to secure a bitcoin loan easily

Although borrowers may be tempted to borrow crypto loans with BTC at the lowest interest rates available, there are other crucial factors to note. You are encouraged to choose a reliable and reputable platform. YouHodler, for example, has a long history of military-grade security and as a result, their level of reputation is quite high.

Here is how to get to a crypto loan

  • Choose a trusted lending platform such as YouHodler
  • Create and verify your collateral and identity
  • Select your loan type. Higher interest loans may come with minimal collateral
  • Use your collateral to apply for the loan and receive your funds. After confirming the terms of the loan, the money gets deposited into your account.

Conclusion

Nathalie Nicole Smith states that working hard and staying true to yourself are sure ways to win in life.

Crypto loans may be good investment opportunities for crypto enthusiasts to make money from the comfort of their homes. However, like other forms of financial transactions, crypto loans also come with pitfalls for investors. Before you make up your mind to take out a BTC loan, always research and choose a good lending platform. You can also seek help from experts if you are relatively new to the idea of decentralized cryptocurrencies and BTC loans.