On crypto exchanges like Bitfinex.com, you can lend your bitcoins & altcoins to traders for interest rates. How exactly this works, what the risks are and what role Coinlend.org plays is described in the following review.

To increase one's own coins without investing further capital: What sounds unusual at first glance turns out to be logical at second glance.

On various large crypto exchanges, such as Bitfinex.com or Poloniex.com, you can, in addition to actually acquiring various crypto currencies, lend your coins there to so-called margin traders. They use their coins for so-called lever transactions and need additional capital to maximize their (potential) profits.

You receive interest for this capital lending, the so-called margin lending, which is, so to speak, a short-term loan. The average interest rate for the transfer of z. Bitcoins on Bitfinex.com of the last twelve months is around 25%. Since the loans usually only run for two days, a considerable return is generated here, especially with regard to the compound interest effect.

But how does lending and what role does Coinlend.org play?

If you already have an account with z. For example, if you have Bitfinex, you can start margin lending right away. All you have to do is move your coins into the funding wallet of Bitfinex, which will happen without time delay and at no cost.

Then you can offer your coins on the stock market for margin traders by specifying amount, duration and desired interest rate. Once a trader has accepted your offer, the coins are "blocked" for the duration of the loan transaction.

But do not worry, the trader can not sell or deduct your coins, or use them for anything else, just for his leverage. In addition, the trader has to deposit a security at the stock exchange. If his safety is no longer sufficient, because z. For example, if his lever trade is against him, the trade is automatically terminated.

You get your coins and the accumulated interest accrued until then. The only real risk is that the stock market gets hacked, but this risk exists with every online wallet.

The process of lending described above can be done directly on the home page of the relevant stock exchange. This is where Coinlend.org comes in and makes the sometimes tedious job easier.

Since the lendings usually only run for two days and, as described above, can be ended early, the coins are often on the wallet of the exchange without interest and do not generate interest if you do not work 24 hours a day, 7 days a week want to sit and monitor everything. In addition, the user interface of the stock exchanges is very confusing and overwhelmed.

What does Coinlend.org offer?

The service developed by Coinlend.org automates lending to your specifications. To do this you need to create an account at Coinlend.org (E-mail address and password suffice) and deposit the API key of the relevant stock exchange at Coinlend.org. There is also no risk, the coins remain in Wallet's Exchange, the API key only allows the Coinlend.org bot to create the lending order according to your specifications on the stock exchange.

At this point, the developers of Coinlend.org have done a good job in our opinion: If your generated and input API key is not correct, it grants z. For example, if the user has too many access rights, the software recognizes this and asks for a valid API key. Otherwise, the bot does not start its work. This is exemplary and especially for people who are not familiar with every technical detail, a large security aspect. In addition, the most important questions are answered on a clear FAQ page, so you find your way quickly and easily.

If your submissions are correct and there are lending credits in your Wallet Wallet, the Coinlend.org bot will immediately start its work. You can also enter your rental parameters directly on the page. Minimum interest, duration or retained reserve. For each active loan, that is, for each currently active loan, you can get detailed information about remaining time and expected interest rates.

Thank you for reading!

Don't forget to upvote, resteem and follow me for more content & contest

Tradingview, https://www.tradingview.com/u/Tradewonk/

Instagram, https://www.instagram.com/tradewonk/

Or any of my other social media channels. Please consider getting your
free account here on Steemit.

"Join the adventure and be inspired." - Tradewonk