If you have crypto sitting in your account, why not make it work for you? KuCoin Crypto Lending can be used to lend your assets to earn a passive income in a flexible and easy-to-use manner. The APY changes with the market and can reach as high as >30%.
This article introduces crypto lending, how to lend on KuCoin, as well as answers to some frequently asked questions.
1. What Is Crypto Lending?
KuCoin Crypto Lending is a peer-to-peer lending platform that allows users to lend cryptocurrency to others to earn interest. At present, the platform supports over 50 types of crypto, including USDT, BTC, and more.
Lenders can set an expected APY, and all open lending orders will be displayed on the market. Borrowers can review orders and borrow from those that meet their requirements. Funds lent out in the Crypto Lending platform will be used for trades in the KuCoin Margin Market. The platform will ensure that all the funds are repaid in full.
2. How to Lend Your Crypto?
1. From the KuCoin homepage, go to Earn - Crypto Lending.
2. On the KuCoin Lending page, select the coin to lend on the left. From the middle, select the amount and interest rate to start lending. From the right, check all open orders in the Lending market.
3. You can choose to use either Normal Lend or Auto Lend. With Normal Lend, you can configure your desired daily interest rate.
To use Normal Lend, fill in the amount, choose the term, fill in the daily interest rate, then click Lend USDT to start making passive income.
- Amount: The amount of funds you want to lend out.
- Term: The number of days you want to lend the funds out. You can choose from 7 days, 14 days, and 28 days.
- Daily Interest Rate: The daily rate you expect to receive.
- Priority Rate: The current best available rate in the lending market.
4. With Auto Lend, available funds will be lent out automatically. Funds that have been returned by borrowers are lent out again to further increase fund utilization.
To use Auto Lend, enable the function, then fill in the Reserved Amount and Min. Daily Rate, then click Enable Auto-Lend to start.
- Reserved Amount: The amount of funds you want to reserve in your account. These funds will not be lent out, meaning that the total amount minus the reserve amount will be the funds pledged to the lending market.
- Min. Daily Rate: The minimum rate you can accept to lend your funds.
- With Normal Lend, note that if the rate set is significantly higher than the priority rate, it may be difficult to lend out your funds quickly.
- With Auto Lend, note that the reserved amount will not be lent out. For instance, if you have 100 USDT and you want to lend 80 USDT, then the reserved amount should be 100 - 80 = 20 USDT.
- With Auto Lend, funds will only be lent out at a rate higher than or equal to the Min. Daily Rate.
- When the recent priority rate (e.g. 0.01%) is higher than the Min. Daily Rate (e.g. 0.005%), lending orders will be placed at the priority rate (0.01%).
- When the recent priority rate (e.g. 0.01%) is lower than the Min. Daily Rate (e.g. 0.015%), lending orders will be placed at the Min. Daily Rate (0.015%), but the orders will not be executed until the priority rate rises to the Min. Daily Rate.
5. Swipe down the KuCoin Crypto Lending page to check all crypto lending orders.
- Open Orders: These are orders in the lending market waiting to be filled.
- Unsettled: Orders that have been lent out but not repaid.
- Settled: Orders that have been repaid.
- Order History: All orders that have been executed and canceled.
1. What is the minimum amount?
The minimum amount varies depending on the coin. For instance, the minimum amount for USDT is 10 USDT, while the minimum amount for BTC is 0.0001 BTC.
2. Can I request that the borrower repay the loan before the deadline?
You can not, but the borrower can choose to repay the loan early.
3. What if the borrower refuses to pay me back?
KuCoin ensures that all lenders are repaid in full.
4. Why have my funds not been lent out for a long period of time?
This could be due to a variety of reasons. For instance, if you have set a very high daily interest rate or min. daily rate, it may be difficult to lend your funds out. If you are using Auto-Lend, check your reserved amount. If you want to lend out all the funds in your account, the reserved amount should be set to 0.
Happy trading on KuCoin!