As with all investments, you buy cryptocurrencies hoping for their prices to rise and to sell the coins for a profit. But some cryptocurrency exchanges in India also allow you to lend them. Vauld and ZebPay are two such cryptocurrency exchanges.
How does crypto lending work?
On Vauld and ZebPay exchanges, you can lend (i.e., deposit) Bitcoin (BTC), Ethereum (ETH), Tether (USDT), Dai (DAI), etc.
ZebPay allows you to lend for 7 to 90 days. The rate of return will vary depending on the term you opt for. For instance, you can generate annual returns of up to 3 percent on Bitcoin, up to 7 percent on Ethereum and Dai, and up to 12 percent on Tether. It allows you to lend in six variants of cryptocurrencies.
“This lending feature is targeted at HODLers (long-term crypto investors), as it allows them to earn a passive income apart from the gains of any rise in crypto prices,” says Avinash Shekhar, Co-CEO of ZebPay, crypto-asset exchange.
Vauld allows you to lend cryptocurrencies for 30 to 90 days. You can generate annual returns of up to 6.7 percent on Bitcoin and Ethereum, upto 12.68 percent on DAI and