Coinone said on the 15th that it launched the virtual asset lending service "Coin Borrowing."
"Coin Borrowing" is a service that allows customers to lend virtual assets using Korean won they hold as collateral. Customers can lend virtual assets from a minimum collateral of 50,000 won up to 82% of the collateral, and a one-time lending is available within a per-person limit of 30 million won. The entire process from lending application to repayment is automated, so it can be used whenever needed.
The lending period is up to 30 days. A daily usage fee of 0.05% applies and is collected in a lump sum at the time of repayment. The lent asset can be freely used for transaction and withdrawal, and repayment can be made at any time. Currently, only one type, Bitcoin (BTC), is supported for lending, and the company plans to expand the service lineup over time.
Given the nature of lending services, there is a possibility of liquidation due to sharp price drops, so Coinone has prepared various mechanisms to minimize user risk. To use Coin Borrowing, customers must read the relevant guidance and take a quiz to achieve a certain score so they can fully understand the service structure and investment risk level.
To further mitigate risk, the company also introduced advance alerts for liquidation risk and an automatic averaging-down function. The automatic averaging-down feature automatically increases the deposit by using the customer's held asset when entering a risk zone. Customers can choose whether to use this feature themselves and can also view the averaging-down history.
To mark the service launch, the company is holding a customer event with a total prize pool of 10,000 USDT. From 9 a.m. on the 15th through the 24th, 7,000 USDT will be distributed in equal shares to all customers who use the Coin Borrowing service. In addition, applicants with collateral of 10 million won or more will receive 3,000 USDT, distributed in equal shares. The benefits are scheduled to be paid on the 26th, and each benefit will not be paid in duplicate.
Lee Seong-hyeon, CEO of Coinone, said, "Coin Borrowing is a service that allows you to secure investment funds while maintaining your asset, and to seek revenue even in a bear market," adding, "We hope you use the Coin Borrowing service to seek new investment opportunities and experience strategic investing."