The SBI Group, a Japanese financial giant, is introducing a cryptocurrency lending service through its crypto-related subsidiary SBI VC Trade. According to an official announcement made on November 24, users will be able to lend their crypto to SBI with the new crypto lending platform. They can then earn interest at a rate of 1%, including taxes.
The new service, dubbed VC Trade Lending, will initially support major cryptocurrency Bitcoin (BTC). Meanwhile, SBI will further develop plans to support Ethereum and XRP. You can lend for a minimum amount of 0.1 BTC, or $ 1,840 at the time of writing. The maximum amount is set at 5 BTC, or $ 92,000.
SBI stated that no account management fees or annual membership fees will be charged by VC Trade Lending. The service will also not charge you for deposits in Japanese yen or cryptocurrency. However, the service does charge for withdrawing yen.
SBI is a major financial institution in Japan involved in the crypto industry. At the beginning of October 2020, SBI acquired SBI’s foreign exchange and derivatives arm, SBI Liquidity Market, TaoTao.
TaoTao is a crypto exchange that was 40% owned by Yahoo Japanese YJFX. SBI also runs its own crypto business through its subsidiary, SBI VC Trade.
SBI is an important partner of Ripple, a company that builds financial products for faster banks payments. The third largest cryptocurrency by market cap at the time of writing.
In late October 2020, SBI CEO Yoshitaka Kitao claimed that Ripple would most likely move to Japan if it chose to leave America. Read More: