Loan

Cosmos

Loan

Cosmos loans.
Borrow against ATOM.

Empower Your Crypto Journey with Cropty's Flexible Financing Solutions

What is Cosmos?

Cosmos is a network of sovereign blockchains that communicate via IBC, an interoperability protocol modeled after TCP/IP, for secure data and value transfer. The Cosmos Hub, also known as "Gaia," is a proof of stake chain with a native token, ATOM, that serves as a hub for IBC packet routing among blockchains within the Cosmos network. The Cosmos Hub, like the majority of blockchains in the Cosmos network, is secured by the Byzantine Fault-Tolerant (BFT) Proof-of-Stake consensus algorithm, Tendermint.

How do loans backed by ATOM works

Crypto-financing provides a straightforward remedy for the needs of both borrowers and lenders. Borrowers can acquire loans in USDT, collateralized by their cryptocurrency, while retaining ownership of their digital assets. This bypasses the need for credit vetting and paperwork, rendering the system quicker and cost-effective.

Lenders can park their Cryptos, such as Cosmos (ATOM), into a dedicated account on the Cropty platform. The custodian supervises the lenders and borrowers' interaction, facilitating a secure transaction. They serve as a reliable third-party, safeguarding the interests of both parties.

Borrowers have the advantage of fund access without selling their crypto assets—an essential feature during market volatilities aiding to avert possible losses. The lending platform eliminates the loan intricacies and rules out credit vetting requirements, making it simpler.

Lenders garner interest on the deposited fund via loan repayments, which gives a financial boost to their crypto assets. It creates an advantageous situation for all—borrowers secure loans and lenders profit from their participation.

Cropty's platform governs the relationship between borrowers and lenders, and blockchain technology imparts secure transactions devoid of middlemen, minimizing the fraud risk and fostering a safe lending atmosphere.

Cosmos Loan Calculator

Crunch the Numbers and Discover Your Loan Potential

Loan amount

USDT

Collateral Required

Interest rate

15% per year

Monthly Interest Amount

Quarterly Interest Amount

Yearly Interest Amount

Borrow crypto

Crypto Loans explained

In our video, we take you on an exciting and informative journey into the realm of crypto lending and borrowing on the Cropty platform. Discover how this revolutionary system works, learn how to take out a loan, and explore the seamless process of loan repayment. Packed with valuable insights and tips, this video is your ultimate guide to harnessing the potential of crypto credit.

How to get a loan on Cosmos? Borrow usd against Cosmos on Cropty

The process of getting an Cosmos cryptocurrency loan is quite simple. First, you need to create your account on Cropty, a platform that offers Cosmos cryptocurrency lending services. Then, you need to provide your ATOM as collateral and specify the loan amount you want to borrow. The platform then evaluates your collateral and gives you access to the required amount of Tether USDT.

Your creditworthiness is determined based on the value of your collateral, making the process of getting a cryptocurrency loan fast and convenient.

However, it is important to remember that Cosmos cryptocurrency loans are not without risks. In case you default on the loan, your collateral can be seized. Therefore, you should carefully assess your repayment capacity before taking out a cryptocurrency loan.

How to get a loan on Cosmos? Borrow usd against Cosmos on Cropty

To authorize an Cosmos Crypto Loan, you will need to go to Features tab → Loan section → Borrow button

Choose the required loan amount the terms and conditions of the crypto loan, and apply for it by confirming it with a code from 2FA - application or E-mail or Telegram-bot.

Learn more about ATOM Crypto Loans

Cosmos lending

Borrowing against Cosmos holdings has steadily gained popularity among crypto investors seeking immediate liquidity. These loans, known as Cosmos loans, allow crypto holders to pledge their Cosmos as collateral, eliminating the need to liquidate their holdings. The value of the borrower's Cosmos backing stabilizes these ATOM loans, fostering a safe lending atmosphere. This method avails an easy route for borrowers to acquire an ATOM loan for various purposes - from investment opportunities to bill payments or even establishing a new business venture. This fresh take on ATOM lending has thrown doors wide open for individuals to amplify the utility of their Cosmos holdings and secure critical funds.

ATOM as a collateral

ATOM, also known as Cosmos, is an increasingly favored option for securing digital currency loans. Through Cosmos-centric financing platforms, one can either take a loan backed by Cosmos or lend their Cosmos and profit from interest. Such loans grant users the advantage of utilizing funds based on their Cosmos holdings without the necessity to liquidate their assets. Even the provision for USD borrowing against ATOM, introduces enhanced adaptability and fluidity. So, what's the modus operandi of Cosmos loans? Essentially, users pledge their ATOM as security, and based on their collateral worth, they secure their loan. Such crypto-backed loans turn to be a simple and practical financial strategy for those seeking prompt access to funds while maintaining their Cosmos stakes.

Interest rates on loans secured by Cosmos.

Trumpeting Cropty's key values of competitive pricing, we proudly present our crypto loans service, featuring an amazing interest rate of 9%. Regardless of whether you require funds for personal necessities or business endeavors, our low-interest loans offer a cost-effective alternative to gaining liquidity without liquidating your precious cryptocurrencies.

Cropty's cryptographic loans bear a unique attribute - the collateralization procedure. In unfortunate events, such as loan defaults from the borrower, the collateral ATOM still resides with Cropty, whereas the borrower retains the issued Tether USDT. This approach postures a balanced loan recovery system, posing a viable advantage for both stakeholders involved.

To protect against possible Cosmos devaluation threats, Cropty incorporates an automated liquidation process. Consequent to a potential degradation of the collateral value below a critical point, the load shall undergo prompt liquidation. This precautionary step safeguards both lender and borrower from probable financial pitfalls due to market instabilities.

Transparency and ease-of-use are among the key pillars of Cropty's commitment to customers. Not only can our clients effortlessly track their loan status via our intuitive interface, but borrowers also enjoy the flexibility to bolster their collateral. They can also pay off the loan prematurely or clear the loan by settling the borrowed amount plus the accumulated interest.

Still pondering over acquiring a cryptocurrency loan? With Cropty's speedy coin loans, you can confidently secure loans against Cosmos and receive Tether USDT. Particularly, our crypto-guaranteed loans offer quick, hassle-free financial solutions to suit your needs.

Borrow crypto

Why choose Cosmos Cropty Loan

Take advantage of limitless possibilities: Get any amount at any time with our unbeatable cryptocurrency line of credit.

Easy access to funds

By leveraging your crypto assets as collateral, you can quickly obtain loans without the need for extensive credit checks or income verification, making the process more efficient and accessible.

35+ Currencies

Choose your collateral from over 35 cryptocurrencies and borrow instantly from USDT.

No inspections!

Cryptocurrency loans allow you to access credit without checking your credit history.

Interest - hourly

We charge interest on the loan hourly. However, during the first hour after taking out the loan, you have the opportunity to repay it without any additional fees. This sets us apart from our competitors.

Lower interest rates

Because cryptocurrency loans are collateralized, lenders often offer lower interest rates than traditional unsecured loans, making them more cost-effective for borrowers.

Flash approval

Receive funds in the same minute without spending more than 3 taps

Maintain ownership of your crypto

With crypto-backed loans, you retain ownership of your digital assets while using them as collateral. This allows you to benefit from potential market growth and regain full control of your assets once the loan is repaid.

FAQ

What is Cropty Cosmos Crypto Loan?

Cropty Cosmos Crypto Loan is a secure, overcollateralized, and flexible loan product. Users can take loans by pledging their crypto assets as collateral. With Cropty, you don't have to worry about rehypothecation since we don't lend out your collateralized crypto to others.

How do I pledge my assets and start borrowing with Cropty Cosmos Crypto Loan?

To start, choose the crypto you'd like to pledge as collateral and the amount you'd like to borrow. Ensure you have sufficient crypto assets in your account to cover the required collateral. Once the process is complete, your collateral will be locked, and the loan will be transferred to your account.

What is LTV, and how much can I borrow from Cropty Cosmos Crypto Loan?

LTV (Loan-to-Value) represents the ratio between the value of the loan plus accrued interest and the value of your collateral. The LTV percentage determines how much you can borrow based on the collateral you pledge. For example, with a 50% LTV, if you pledge 1,000 USDT, you may borrow up to 500 USDT worth of assets.

Are there limits to how much I can pledge and borrow?

Yes, there are limits for each cryptocurrency. The maximum amount you can pledge or borrow depends on the specific crypto and may change periodically.

What is loan liquidation, and what is the liquidation LTV?

Loan liquidation occurs when the current LTV exceeds the liquidation LTV, which may happen if the collateral's value decreases or the loan's value increases. If liquidation occurs, you may lose some or all of your collateral.

What happens when a loan is liquidated?

When liquidation occurs, the outstanding loan amount will be repaid using the equivalent value of collateral. A partial liquidation happens when the liquidation doesn't fully cover the outstanding loan, and a full liquidation occurs when the entire loan is repaid using the collateral.

What is a margin call?

A margin call is a warning issued when your collateral-loan pair position reaches its margin call LTV. You can take action by adding more collateral or reducing the outstanding loan to lower the LTV.

Will I be notified in the event of margin calls or liquidations?

Yes, Cropty will send notifications via email and SMS in case of margin calls or liquidations. However, timely delivery of these notifications cannot be guaranteed.

What interest rate applies to my loan?

Cropty provides transparent interest rates for each cryptocurrency. Please refer to the platform for up-to-date interest rates.

How is interest accrued for my loan positions?

Interest accrues based on the total outstanding loan amount and the prevailing APR. The interest accrued is added to the total outstanding loan.

How do I repay my loan or adjust my LTV?

Use the 'Repay' or 'Adjust LTV' options in your account to repay loans or adjust collateral, respectively. You can only repay your loan using the same cryptocurrency you borrowed.

Which cryptocurrencies can I pledge or borrow on Cropty Crypto Loan?

Cropty Crypto Loan accepts a variety of cryptocurrencies as loanable and collateral assets. The list of available cryptocurrencies is updated periodically, so please refer to the platform for more information.

What can I do with the cryptocurrencies borrowed from Cropty Cosmos Crypto Loan?

You can use the borrowed cryptocurrencies for various purposes, including trading, investing, or withdrawing from the platform. The collateral you pledge remains with Cropty as security for the repayment of your loan.

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