United

World

Coin

<ul class="news-points"> 
 <li>Crypto exchanges are increasing lending activities due to declining revenues, potentially introducing new market risks.</li> 
 <li>Major platforms like Coinbase and Binance offer various lending services to stimulate trading and facilitate borrowing.</li> 
 <li>The European Securities and Markets Authority (ESMA) highlights the risks in DeFi lending, particularly the excess collateral issue.</li> 
</ul> 
On October 16, Bloomberg published an article on a noteworthy trend among centralized <a href="https://coinedition.com/what-is-a-cryptocurrency-exchange-how-does-it-work/">crypto exchanges</a>. Suffering from low trading volume and declining revenues, centralized exchanges are doubling down on their lending activities, which could introduce new risks to the market. 
According to Bloomberg, major companies including Coinbase Global Inc. and Binance are offering a number of services ranging from margin loans designed to encourage trading, and facilitating borrowing via their platforms, to directly extending loans to customers. In September, Coinbase introduced a crypto lending service tailored for institutional clients in the United States, as reported by CNBC Crypto World. 
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 Coinbase creates new crypto lending service for U.S. institutional clients: CNBC Crypto World <a href="https://t.co/AuzYBBvOgR" target="_blank" rel="nofollow">https://t.co/A…</a>
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The post <a rel="nofollow" href="https://coinedition.com/crypto-exchanges-turn-to-lending-to-buttress-dwindling-revenues/">Crypto Exchanges Turn to Lending to Buttress Dwindling Revenues</a> appeared first on <a rel="nofollow" href="https://coinedition.com">Coin Edition</a>.

Crypto Exchanges Turn to Lending to Buttress Dwindling Revenues

Coin Edition

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