The Singapore-headquartered startup has had a chequered journey in a primarily cash-driven India. Management changes, local regulatory hurdles, and a few product iterations later, ZebPay relaunched in January 2020, ahead of the Supreme Court’s decision on RBI’s two-year ban on cryptocurrencies.
ZebPay, recently launched a new lending platform for crypto asset exchange.
The company says that the platform is a “first of its kind” crypto lending model in India and will allow users to lend their cryptocurrency to ZebPay, earning interest on the same. The returns will depend on the token in question, its value during a particular period, and how long it’s loaned for.
ZebPay is one the oldest crypto company in India. The ZebPay Lending Platform generates returns on users’ crypto investments if they lend select cryptos thus, providing an opportunity to earn a passive income by adding on to the returns gained from rise in crypto prices. ZebPay will offer both open and fixed-term lending using the platform. Fixed-term lending includes 7-day, 30-day, 60-day and 90-day periods, and rate of return will vary based on the period. Tokens cannot be withdrawn till the term ends, and a penalty will be applied for withdrawing tokens in advance. In case the investor chooses to withdraw early, a small penalty will be applied. Upon maturity, the returns earned will be deposited in an investor’s trading wallet along with the principal amount. The returns offered on the ZebPay Lending Platform will be calculated directly based on the amount of crypto an investor holds.
The company will deposit returns to the investor’s trading wallet though, meaning there’s still a challenge in converting them to fiat currency. With the launch of the ZebPay Lending Platform, we want to give users the opportunity to grow their investments further, by making their existing crypto holdings do all the work. Crypto companies in India have faced troubles running exchanges for the past few weeks. The issues started after an informal guidance from the Reserve Bank of India (RBI), earlier this month, which led banks to withdraw services from crypto exchanges. Lending platforms like Zebpay’s could allow companies to keep users interested in crypto, and long-term investors will continue using their services.
