Litecoin and lending platform Cred partner up to offer interest-earning services to LTC holders

Litecoin and lending platform Cred partner up to offer interest-earning services to LTC holders

Among a burgeoning and expansive crypto landscape, Litecoin sits near the top as one of the most popular digital currencies available. With a market cap of $4.76 billion, Litecoin is the sixth most valuable currency available. Based on the Bitcoin protocol but deploying a unique hashing algorithm, Litecoin has found a home among crypto enthusiasts looking for a more streamlined alternative to Bitcoin and other big players.

Now, the Litecoin Foundation, an organization tasked with advancing the digital currency and promoting blockchain technology, is announcing a partnership with Cred, a California-based licensed lender. The announcement brings together two big players in the crypto space, and it intends to open new consumer-facing investment opportunities for Litecoin users.  k

As Dan Schatt, co-founder, and CEO of Cred, notes:

“We are delighted to partner with Litecoin Foundation, one of the oldest and most trusted names in the blockchain industry. We look forward to supporting the millions of Litecoin wallet holders with a more transparent, equitable set of financial services we have built, thanks to the advancement of blockchain technologies.”

Of course, the real implications of any partnership can be difficult to parse, but it could have a real, tangible impact on both retail investors and the Litecoin platform itself.

Implications for retail investors

Most prominently, Litecoin’s partnership with Cred presents LTC holders with an opportunity to earn up to 10% interest on their digital assets. Users can access this feature immediately by visiting mycred.io/litecoin. The organization intends to use these funds to proliferate Litecoin’s development, a cyclical process that can boost investor profiles while further maturing the platform’s capabilities.

Operating in 190 countries, Cred is the leading crypto-backed lending and borrowing platforms, and the announcement means that Litecoin (LTC) holders have a new opportunity to capitalize on their involvement with the project. In addition, the partnership allows LTC users to earn 10 percent interest through several Cred partners, including Litecoin Foundation, Bitcoin.com, Uphold, and BitBuy. To do so, Litecoin users commit to a six-month term and receive monthly interest payments on their holdings.

At the end of a term, users can roll over their pledged assets for additional terms. There is no account minimum to participate, and interest is paid in fiat or cryptocurrency.

Commenting on the new partnership, Litecoin founder Charlie Lee, was enthusiastic about the currency’s relationship with Cred and its ability to provide new opportunities for Litecoin users. He said:

“We’re thrilled to be working with Cred as our financial services partner, offering among the most competitive interest rates on Litecoin.”

Linking Litecoin’s Development

This strategic partnership creates a new investment opportunity for Litecoin users, but it will also bring new functionality to Litecoin’s infrastructure. Notably, Litecoin is now running its own earning application powered by Cred, who providers services pertaining to legal, regulatory, tax, and capital market matters.

Moreover, the investment opportunity builds upon Litecoin’s reputation as a valuable digital asset. Not only does it maintain its status as a reliable payment platform with high liquidity, but it now has a notable investment component. Alan Austin, director of the Litecoin Foundation, affirmed this sentiment, explaining that:

“Strong use cases should be one of the most important considerations when evaluating cryptocurrency. In addition to Litecoin’s reliability, use for payments and excellent liquidity, the ability to earn interest at attractive rates through Cred’s platform further strengthens this use case. We are excited to be working with Cred to provide this offering.”

In many ways, the crypto ecosystem is built upon strategic partnerships that propel platforms and services forward, as users and investors continue to look for the best and most capable opportunities available.

Posted In: , Adoption, Lending & Borrowing, Partnerships

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Reuben Jackson

Reuben Jackson

Contributor @ CryptoSlate

Reuben is a blockchain security expert and a freelance writer living in New York along with his wife and two adorable children. He writes about all things cryptocurrency and blockchain related and is a passionate advocate for blockchain solutions.

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