Last Updated on October 6, 2023 by Diana Kelley
The introduction of cryptocurrencies to the financial sector has led to several adjustments in the crypto space. A typical financial system provides avenues for investors and savers to earn on their principle. This lending and borrowing system ensures that lenders are rewarded for their contribution and borrowers are taxed for taking out loans.
Ideally, it is a win-win situation for everyone since borrowers also benefit by accessing instant financial assistance at a small fee. With the growing popularity of cryptocurrencies, there has been a need to create systems that mimic the conventional borrowing and lending systems that we are used to.
As a result, CoinRabbit, one of the pioneers of crypto lending and borrowing, has identified the need to offer Ripple lending. Today, you can lend out Ripple as loan collateral in order to receive loans as stablecoins that can later be used to make higher-return investments. Here’s a little more detail on how to lend Ripple.
What is Ripple?
Ripple is a project that targets the financial service industry. It facilitates money transfer through its network and uses XRP as a native cryptocurrency on the Ripple Network. The project aims to solve the problems faced by the global payment settlement and offer a secure platform for currency exchange.
XRP-the native cryptocurrency that runs on the XRP Ledger is a crypto token that can be bought as an investment, as an exchange coin, and as a means to perform transactions within the Ripple Network.
What are the Pros and Cons of Ripple?
Pros:
- Quick and cheap transactions
- Funded and used by major companies
- Ripple is still getting major updates
- XRP is a pretty good crypto investment
Cons:
- The Ripple protocol is not as secure as the most innovative coins on the market
- Ripple is not a decentralized company
- Legal controversies
What is Ripple Lending?
As a cryptocurrency HODLer, you have likely experienced the highly volatile market prices of cryptocurrency tokens. This isn’t usually all rosy for the investor. CoinRabbit is a ripple lending platform that allows users to commit their XRP investments as loan collaterals in exchange for Loan Amounts in the form of stablecoins.
Unlike staking, ripple lending on CoinRabbit does not require you to lock up your crypto investment for a specific period without access. Crypto lending on CoinRabbit, allows users to access their investment anytime, as long as the loan terms are met.
How does Ripple lending work
The way lending your XRP works is pretty simple. First of all, you need to find a trusted service that fits your needs. We’ll use CoinRabbit, as it’s the quickest and fastest service yet.
There, you deposit your currency, breeze through a no-KYC sign-up and, and get +80% to your portfolio. Your XRP deposit will be handled safely by the CoinRabbit team, and you can get it back whenever you need it, as long as you pay the loan + interest.
How to buy $XRP?
If you’re interested in buying $XRP the process is relatively simple. Here are a few steps to help guide you through the process.
Firstly, you’ll need to create an account on a cryptocurrency exchange that supports Ripple trading pairs. Some popular exchanges include Binance, and Kraken.
Once your account has been created and verified, you can then deposit funds into your account using a bank transfer or credit/debit card. After this step is completed, search for the XRP trading pair on the exchange’s platform.
Next up is deciding how much of Ripple coin you want to purchase; once decided enter this amount along with current market price to place your order and confirm it!
As always when dealing with cryptocurrencies be mindful about security measures such as two-factor authentication (2FA) & keeping passwords safe!
Purchasing crypto coins may seem complicated at first but after completing these initial steps it should become quite easy!
How to get an $XRP loan in 4 steps
The application process for an XRP loan has been significantly simplified thanks to crypto loan platforms like CoinRabbit.
- Choose $XRP crypto as your preferred collateral on the homepage, under the Loan calculator section.
- By entering the amount of crypto you want to deposit as collateral, the Calculator will show you the Loan Amounts you will receive, and click “Get Loan.”
- We will ask you to confirm the details, enter your stablecoin address, and verify your email address after clicking “Get Loan”.
- Next, send $XRP to the displayed address. After we receive your collateral, the loan will be sent to you immediately.
Conclusion
Ripple borrowing and lending platforms have different conditions attached to their products. Without enough research, you may find yourself stuck in a lending platform that offers nothing more than staking platforms. CoinRabbit ensures that you experience the best Ripple lending by providing favorable rates and secure storage of your deposits.
