Dear Users,
We're thrilled to introduce our new Loan feature, designed to offer user funds to meet short-term liquidity needs. With this service, you can borrow funds without selling your cryptos. By pledging your crypto and paying interest, you can borrow hot tokens like BTC and ETH, or stablecoins like USDT.
Features and Advantages
Ultra-Low APR: Enjoy competitive ultra-low APR with hourly interest calculations and the flexibility to repay anytime.
Flexible Allocation: Borrowed funds can be used for various platform features such as Spot Trading, Futures Trading or Wealth product subscription. You can also withdraw the borrowed funds for use outside the platform.
Scenario
User A holds a BTCUSDT long position in Perpetual Futures and also has ETH Spot assets.
If the BTCUSDT price drops and there is insufficient margin for the Perpetual Futures position, User A can pledge their ETH Spot assets to borrow USDT. The borrowed USDT can then be transferred to the Perpetual Futures Account to increase the margin and prevent liquidation.
When the BTCUSDT price increases, User A can transfer the USDT from the Perpetual Futures Account to the Fund Account to repay the borrowed principal and interest.
1. Portals
1) App: The Loan feature is available on all app versions. On the homepage, tap "Wealth" - "Loan" to access the feature.
2) Web: Click "Wealth" in the top navigation bar to access the Loan feature.
2. Instructions
1) How to Borrow
Click "Loan" to access the Flexible Loan page. Choose the cryptocurrency and enter the amount you wish to borrow. Then, click "Confirm" to create a Loan order.
2) How to Repay
Portal 1: Log in to your BingX app and visit "Assets" - "Wealth" - "Loan". Tap the order icon in the top right corner to enter the order details page.
Portal 2: Log in to your BingX app and tap "Assets" - "Wealth". Tap the "Loan" module and select the relevant loan order to enter the order details page.
On the order details page, tap "Repay" at the bottom to access the repayment page. Enter the repayment amount and tap "Confirm" to complete the repayment.
3) How to Adjust LTV
On the order details page, tap "Adjust LTV" at the bottom to access the LTV adjustment page. Adding more collateral will lower the LTV and reduce risks, while removing collateral will raise the LTV and increase risks.
Loan-to-Value (LTV): It refers to the ratio of the loan value to the value of the collateral assets, calculated as LTV = Loan Amount ÷ Collateral Amount
Initial LTV: It determines the initial amount of assets you can borrow.
Margin Call LTV: When the LTV (loan amount + interest due) ÷ collateral amount reaches this level, the system will remind you to add more collateral.
Liquidation LTV: If the LTV (loan amount + interest due) ÷ collateral amount reaches this level, the system will liquidate your collateral to pay off the principal and interest. Please replenish the collateral in time to prevent liquidation.
For any questions, please refer to: FAQ | BingX Loan
