Source: Wit Olszewski – Shutterstock
- Bitfinex has integrated IOTA (MIOTA) into its “Bitfinex Borrow” service
- IOTA owners can receive loans of up to 70% of the value of their IOTA holdings in US dollars.
Cryptocurrency exchange Bitfinex announced a few hours ago that it has added IOTA as collateral on Bitfinex Borrow, a peer-to-peer (P2P) digital token loan portal. The news comes after IOTA was successful in a social media poll.
👂The community has spoken!
You have chosen @iota, and we have added it as collateral on Bitfinex Borrow!
— Bitfinex (@bitfinex) March 5, 2021
According to the announcement, Bitfinex customers “can receive loans of up to 70% of the value of their IOTA holdings in U.S. dollars (USD).” The platform’s borrowers can select IOTA from the list of cryptocurrencies they want to use as collateral.
IOTA is one of 13 cryptocurrencies alongside Bitcoin, Ethereum, Litecoin, XRP, Cardano, EOS, and LINK, among others, available as collateral on Bitfinex Borrow, along with USD, euros, and yen.
Important to know with the service is that borrowers have to bear their own risk regarding the volatility of the IOTA price. Bitfinex itself describes the service as follows:
Bitfinex Borrow is a peer-to-peer (P2P) funding platform that allows users to borrow funds from other users by using their cryptocurrency or fiat assets as collateral. This addition to our funding market enables you to use your existing assets as collateral to borrow.