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XRP-focused crypto exchange Bitrue entering into lending space

Yogita Khatri

Bitrue, a Singapore-based cryptocurrency exchange focused on serving the XRP community as it supports over 50 XRP pairs, is entering into the lending market.

The exchange will start offering crypto-backed loans from Sept. 30 to users who will pledge their cryptocurrencies held on its platform, according to a press release shared with The Block on Tuesday. 

Users will be able to pledge bitcoin (BTC), XRP and stablecoins to receive loans in BTC, XRP, ether (ETH) and Tether (USDT), per the announcement. Bitrue said it will add support for more altcoins in the future.

The interest rate on these loans will be 0.04% daily, with no limit to the repayment period of the collateral, Bitrue said.

The exchange added that revenue generated from these loans will be used to support its “Power Piggy” feature, which provides users with a "risk free method of generating up to 10.3% yearly interest on the coins they invest.”

Just about three months ago, Bitrue suffered a hack, losing nearly $4.3 million in XRP and Cardano (ADA) tokens. At the time, the exchange said that "100% of lost funds will be returned to users."