Kraken has recently rolled out Flexline, which will enable Kraken Pro traders to have crypto-secured loans. With the new service, traders will be able to get access to liquidity without having to sell their existing cryptocurrencies. This means that clients will be able to borrow money against. Their holdings in order to cover real-world expenses or to make new trades. The new service will support a variety of cryptocurrencies. Moreover, Kraken has designed the service to provide an automated and transparent borrowing process.
“Traders want seamless access to liquidity while retaining exposure to their assets,” said Darius Tabatabi, Head of Exchange Trading at Kraken. “Flexline gives Kraken Pro traders the ability to put their holdings to work and deploy capital across the products, platforms, or use cases that matter most to them. It’s about expanding optionality and giving traders the flexibility to move at their own pace.”
Expanding Liquidity Options for Active Crypto Traders
This new credit facility comes at a time when the demand for flexible liquidity management solutions is on the rise. Most traders would wish to retain their market position while still having access to usable capital. Flexline, therefore, provides a remedy that meets both short-term and long-term financial requirements. The platform provides traders with fixed interest rates of between 10% and 25% APR. Furthermore, traders can select the tenure of their loans, which range from two days to a maximum of two years. This ensures that all traders select a timeline that suits their personal trading strategy. The addition of crypto-secured loans bridges the existing gap between credit and blockchain technology. Traders receive funding in less than an hour compared to traditional banking institutions. In addition, the system employs secure, segregated wallets to safeguard all the deposited collateral. Currently, most advanced traders are looking for ways to maximize the use of their existing portfolios. Flexline meets this requirement by converting idle assets into working capital. This is ultimately an effort to further establish Kraken as the main liquidity hub for the global crypto economy.
Explore Finance Tech News for the latest innovations in financial technologies and expert insights shaping the future of digital finance!
News Source: Businesswire.com
