Ethereum is on the rise these days, and selling it now to take profits doesn’t look like the best idea. The coin has made a 37% increase in the last month, and the ongoing transition to Ethereum 2.0 promises to keep the coin’s value growing further.
But what if you need some extra crypto now while having Ethereum stashes that you don’t want to sell? Taking an instant Ethereum loan is a solution.
What is an Ethereum loan?
An instant ETH loan is when you deposit some Ethereum on a lending platform and get a loan in a stablecoin in return.
On CoinRabbit, you can take a loan either in Tether (ERC20 or TRC20) or USD Coin. The loan is issued at a 50% loan-to-value ratio: for deposited Ethereum worth $1,000, you will get a $500 loan.
After you get an instant Ethereum loan, your ETH will be securely stored in protected wallets not involved in any operation. Only several IP addresses can access these wallets via VPN, and their balances are checked every second by a risk control system.
Why take an Ethereum loan?
An ETH loan instant gives you many opportunities while being very easy to take. Here are the perks of such a loan:
- It allows you to leverage the potential of your crypto without selling it. When your assets are lying in your wallet, they only bring you the profit when their price grows. But if you use them to get a loan and invest this money, you can get extra profits.
- You can use it in many ways. If you get an Ethereum loan instantly, you can invest the money in other rapidly growing coins, put them in all sorts of DeFi protocols including those allowing for yield farming, or spend on any kind of purchase in or outside the crypto market.
- Your Ethereum will still be yours, and you will profit from its growth. We will serve as temporary storage for your coins, and you can get them back at any moment.
Why choose CoinRabbit as a lending platform?
Here’s what the experience of taking a loan on CoinRabbit looks like:
- It’s fast. A three-step process to get a loan will take you just a few minutes.
- It doesn’t require a ton of verifications and paperwork. Get an instant Ethereum loan with no verification, registration, and KYC required. No registration means you won’t have to bother remembering your login and password, and no KYC means you can leverage the service right away with enhanced privacy.
The only piece of private information we ask you for is your phone number. However, we don’t use it to identify you: rather, it serves as credentials for entering the account where you can track your loan.
- No credit checks. Unlike banks, we don’t ask you to show any documents proving your credibility. If you have an amount of collateral enough for taking a loan, you can do it irrespective of your citizenship, location, and credit history.
- Repayment whenever you want. CoinRabbit never locks your funds — you can return your collateral at any time. Please keep in mind that if your loan period is less than 30 days, an extra fee of 100 USDT/USDC will be applied.
- Competitive interest rate. Our APR is 10%: if you deposit Ethereum worth $1,000 and withdraw it in a year, $100 of interest will have accrued.
- No monthly payments. You only pay interest at the end of your loan period (when you come back to return your collateral). Before that, no payments have to be paid.
- Unlimited loan period. Get an instant Ethereum loan with no credit check for as long as you want — feel free to take profit from your borrowed stablecoins for months or even years. Repay the loan whenever you’re ready.
- Low loan-to-value ratio. As we’ve already mentioned, CoinRabbit’s LTV is 50%. This ration defines your liquidation price: the price of the collateral currency at which your collateral will be sold. The lower it is, the safer is your collateral from liquidation.
- Good user reviews. Trustpilot users trust with an excellent rating giving 4.3 stars out of 5.
Why is Ethereum a great collateral?
There is one major criterion for good collateral: the probability that it will hit the liquidation price (and thus will be sold) is low. According to our LTV, the price of Ethereum should drop by 50% before we sell the collateral. How possible is it, though?
At the time of writing, Ethereum is trading at $3,200. We haven’t seen ETH at $1,600 since March, and the current news related to Ethereum 2.0 transition keeps the cryptocurrency growing. CoinRabbit doesn’t make price predictions, but we assess the chance of Ethereum going down to $1,600 today as low, which makes ETH good collateral.
Either way, whenever a crypto price is dropping towards liquidation, we warn you several times so that you have time to think and withdraw your collateral if you want to.
A step-by-step guide for getting an Ethereum loan
Here is how to get an instant Ethereum loan on CoinRabbit:
- Go to our website and see the Bull market loans form. Set Ethereum as the collateral currency, select your loan currency, and enter the amounts:
- After clicking “Get Loan”, we will ask you to confirm the details, enter your stablecoin address, and verify your phone number:
- Once you’re all set, send Ethereum to the displayed address. After we receive your collateral, the loan will be sent to you immediately.
Congratulations! Now, you have stablecoins for the purpose you’ve planned. To track your instant Ethereum loan no credit check, hit the “My loans” button at the top of the page:
There, you will see the status of your loan, how much interest accumulated, and how far the collateral is from liquidation. If you have any other CoinRabbit loans, they will also be displayed there.
What other cryptocurrencies can I use as collateral?
CoinRabbit allows using the following major cryptos as collateral: BTC, ETH, XRP, DOGE, BCH, XMR, NANO, DGB, FIRO. A family of Ethereum-based tokens is also available: UNI, LINK, BAT, BNT, COMP, ENJ, MKR, ZRX, and others. See the complete list on our main page.
Now that you know how to get an instant Ethereum loan, you are ready to leverage your crypto stashes without selling them. If you invest your borrowed stablecoins in promising protocols, you can get good returns. But how about earning a predictable passive income? CoinRabbit has such an option, too. See our Tether lending instruction to start earning with stablecoins today.