FuelHash, a Japan-based entity responsible for offering services related to crypto lending, has introduced a lending service for XRP (the native token of the crypto exchange Ripple). The platform operates under Katsuya Konno (the person who was formerly an executive at Liquid Exchange and Softbank).
FuelHash of Japan Adopts XRP for Offering Crypto Lending
This was reported by Sentosumosaba (a well-known crypto influencer) on Twitter (the top microblogging platform). The crypto influencer stated that crypto is becoming a part of the other assets adopted by the crypto lending firm.
The other crypto tokens supported by FeulHash take into account BNB, ETC, ETH, and BTC. In her Twitter post, the crypto influencer also referred to a report published by PR TIMES (a Japanese news outlet).
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The report disclosed that FuelHash provides services dealing with asset management with the use of crypto assets. The platform reportedly indicated that it would keep on offering lending services for XRP along with making adequate updates to it for consumers.
Crypto lending comprises a method that permits customers to earn a reward in terms of interest over lending their holdings in virtual assets.
In this procedure, the clients just require lending their crypto assets, and the interest rate over the respective lending and the period for that lending is predetermined. The customers are permitted to manage their assets stably. For this, they do not even require any investment expertise.
The local token of Ripple Labs Inc. is XRP. The crypto exchange platform is situated in the US jurisdiction. XRP provides cost-effective and rapid transaction processing. 6th rank is occupied by the token in terms of market capitalization (as of the 13th of February).
It is categorized among the top cryptocurrencies offered in Japan. The representative director of FuelHash, Katsuya Konno, also commented on the move.
The executive mentioned that the platform expresses its sincere appreciation for the consumers who have utilized the company’s crypto lending facility since the release of crypto trading by it in 2022’s November.
The executive added that the firm’s decision to incorporate XRP is taken to offer another option for the lending activities carried out by those who believe in the crypto assets’ future.
According to the executive, just one kind of lending service will be offered for XRP in Japan. In addition to this, the executive emphasized that the platform will keep on making appropriate updates to its services in line with effective consumer feedback.
This adoption is witnessed months after the bankruptcy filings of prominent crypto lending firms like Celsius Network and BlockFi in the previous year amid the crypto winter.
Lending companies operate in line with a business model analogous to customer banking institutions. They collect the client deposits and then lend the respective funds for a certain period to organizational borrowers, including market makers. The depositors are provided with the interest on their funds.
XRP Keeps on Advancing Outside the United States
In the case of FuelHash, the XRP deposits are to be lent for 90 and 60 days. The annual percentage yield of the respective lending periods is 1.5% and 1%, respectively. Though XRP has been delisted by several US-based crypto exchanges amid the SEC’s lawsuit against Ripple, the token has been continuously growing external to the country.