The crypto lending market will exceed $60 billion by 2030
Date: 2023-07-05 Author: Karina Ziganova Categories: CRYPTO PAYMENTS
In the next seven years, the crypto lending sector will continue to grow by an average of 15% per year and will reach $60 billion by the end of 2030
According to an industry study by Global Market Intsights, the coronavirus pandemic has stimulated the development of the crypto lending sector. It was during this period that financial institutions around the world accelerated the digitalization of lending services, and loans in cryptocurrencies reached a mass level. The market size of digital lending platforms in the United States has already exceeded $8.5 billion and continues to grow rapidly.
According to the report, by 2030, the capitalization of the crypto lending market has exceeded $60 billion, and Europe will become the center for the development of lending services in digital currencies.
"Over the past few years, European countries have recorded the growing popularity of crypto lending; These services are now available not only for retail users but also for businesses. Several private and public companies are already investing in the development of digital lending platforms to take advantage of the ever-growing popularity of digital banking," the report says.
The greatest interest in crypto lending is noted in Germany, Great Britain and France.
Where to get a loan in cryptocurrency
To date, several companies are working on the development of digital platforms for crypto lending. Among them are Base-Net Information AG, AGRO Data Resource Corporation, Built Technologies and others.
Most major cryptocurrency exchanges are also ready to provide crypto loans secured by tokens from the user's portfolio. Previously, a similar service has already been announced in Binance, and in July, Bitget announced the launch of crypto lending.
"Now our users have the opportunity to stake less popular coins, receiving loans in more liquid assets for investment purposes. The flexible borrowing and redemption mechanism of our platform is designed to meet the needs of all users," said Gracie Chen, Managing Director of Bitget, in an official press release (available to the editorial board).
Less popular tokens can be used as collateral, and the loan itself can be issued in BTC and ETH, which also opens up new opportunities for investing in crypto assets.
Users themselves can determine the term and conditions for obtaining a loan, that is, use the opportunity to replenish and withdraw funds from collateral. According to the employees of the exchange, the procedure for obtaining a loan will exactly repeat the procedure for obtaining a bank loan, which should make it easier for users to understand the borrowing mechanism.
