Announcing crypto-to-crypto conversion feature on WhaleLend platform!
Fellow Whales, what’s up?
2019 has been a fascinating journey so far at WhaleLend. We have been thinking hard on developing the next feature to add into our platform. Instead of us making the call this time, we let our appreciated users to decide what we should develop next. To our surprise, majority of our users have told us they wish to exchange one token to another within the WhaleLend platform in order to capture higher interest rate.
After some intense internal development and testing, we are super excited to share with you guys our newest feature today: Crypto-to-crypto conversion.
How does token conversion help me profit more?
It is evident to us that the interest rate of any currency can move at any second, which leads to a situation where you watch an interest rate of +80% p.a. (per annum) return of one token goes by, just because you don’t have that token at that specific point. We have developed our conversion feature specifically to address this issue.
With the service, WhaleLend users can benefit in the following aspects:
- Capture interests rate spikes across different tokens: Let’s look at a real–life example, an user, let’s call him bill, who has a significant amount of BTC earning interest at WhaleLend. Early February, he noticed that the interest rates on LTC in WhaleLend spiked to +100% annualized, all while that of BTC is hovering around 0.1%. As seen from Figure 1, that’s an 1000x differential that he would have missed previously. Now, he could simply convert his BTC to LTC in early February on WhaleLend and capture the interest rate spike in LTC. Fast forwardlate April, BTC interest rate is surging above 80%, 20x over that of LTC. Bill could use the same conversion function to go back to BTC from LTC.
- Speed: The conversion is instant with interest generation of the new token starting from the next day onward. This conversion previously needs to be done off WhaleLend platform. Using bill as the example, he would have to withdraw his BTC from WhaleLend, exchange it to LTC at an exchange and then withdraw the LTC back to WhaleLend to take advantage of the LTC interests rate spike in early February. By the time when he finishes this process, which could easily take a week or two, the opportunity could have disappeared. However, if he uses the WhaleLend crypto-to-crypto conversion, he could instantly convert his BTC to LTC from in February the 2nd and receive the interest on LTC at nearly 100% p.a. on the 3rd already. This way, users have no need to move assets off WhaleLend to do the conversion, which in turns, saves both time and money.
- Zero Fees: We are serious. This feature is going put many layers of fees on WhaleLend, such as exchange transaction fees, deposit and withdrawal fees, plus the risk of crypto price fluctuation during the transaction time span, etc. However, we have heard our users loud and clear, you guys don’t like fees. Okay, ZERO fees for the conversion.
- Simplicity: Instead of going through all of the “withdraw-wait-deposit to exchange-trade-withdraw back to WhaleLend” process, now you can do the same thing in 3 clicks and 10 seconds.
- Market competitive rates: We will select and suggest the best available market conversion rate, taking advantage of combined trading volume and inform our users before the execution. Each exchange offer is valid for 60 seconds, then refreshed.
How do I use the new conversion feature?
A few general points:
- The exchange capability is available for all tokens supported by WhaleLend. The full list can be found here;
- No maximum limit on the transaction size of conversion but it should be at least €50 or equivalent;
- The token conversion is valid (another way to say “settled”) instantly.
Users can submit a conversion request in Accounts > Exchange.
- Step 1: Pick the token you want to exchange from (“from”); the current annualised interest rates are also available for references
- Step 2: Use the slider to finalize amount
- Step 3: Pick token you want to exchange to (“to”);
- Step 4: Click “Exchange” and voila it is done.
If you have any question or suggestions to us, feel free to drop us a message at support@whalelend.com. Our dedicated support team are pleased to help.
