Coinloan

CoinLoan challenges the foundations of traditional financing by combining the worlds of crowdlending and cryptocurrencies. CoinLoan has much to offer to ambitious investors and eager borrowers, but what does the platform really bring to the table? Find out in this complete CoinLoan review and get started with P2P crypto lending today.

 

What Is CoinLoan?

CoinLoan is a peer-to-peer (P2P) lending platform that specializes in securing loans with cryptocurrency. The way it works is that you, the borrower, temporarily relinquishes control of a predetermined amount of cryptocurrency – Bitcoin for example – as collateral to be exchanged for fiat currencies (EUR, USD, etc.). 

For added insurance for both the investor and borrower, loans are “over-collateralized.” This means that after depositing your cryptocurrency onto the CoinLoan platform as collateral, you can receive a loan up to 70% of the market value.

Should the value of your crypto collateral drop during the term of the loan, the remaining 30% should act as insurance that can be sold by CoinLoan to pay back the investor.

 

 

What Are Crypto Loans (Bitcoin Lending)? 

Cryptocurrency loans are loans that provide the borrower with fiat currency that is collateralized by crypto assets. Thus, the borrower is given USD, JPY, RUB, or any other form of relevant currency in exchange for Ether (ETH), Bitcoin (BTC), etc. as security for repayment. 

raditionally, peer-to-peer lending platforms provided a viable funding alternative for individuals and businesses seeking loans. This is typically an option used by people and organizations that don’t have the credit to qualify for a traditional bank loan. 

With the rise of cryptocurrency, it was only natural that P2P lending would collide with the world of digital assets.  

With P2P crypto lending, lending platforms like CoinLoan act as middlemen, serving as the custodian for transactions between borrowers and investors. 

 

Here’s how the lending/borrowing process works on CoinLoan: 

The first step – If you’re an investor, you will deposit stable coins or fiat funds. If you’re a borrower, you will deposit crypto assets to secure a loan. 

Using the Lending Market – Search for the most suitable offer to either issue a loan right away or create a custom offer. 

Repaying the loan – Borrowers will commit to making their payments on time. If not, they put their crypto collateral at risk. 

The final step – The borrower pays off the loan, and the lender receives their funds and earned interest. In return, the borrower takes their crypto assets back into their possession. 

In general, P2P lending platforms struggle with the ability to enforce collateral used to back small loans. Even if the collateral is clearly stated in the contract, it can be challenging to collect should the borrower default on the loan. 

One of the primary appeals of a crypto P2P lending platform like CoinLoan is that crypto asset collateral makes it that much easier to enforce collection should the borrower default on their loan. This is because it is straightforward to form a contract that holds digital assets as collateral to back a loan. 

Borrowers also benefit by capitalizing on the ability to convert crypto funds into fiat liquidity instantly, giving them the funds they need with little to no hassle. 

 

How Much Can You Make on CoinLoan?

If you made it this far in the CoinLoan review, you might be wondering: How much can I actually make on the site? At the moment, they offer competitive returns at 10% – 12% on average. The rates are one of its major highlights when coupled with its low-risk profile due to its approach of backing fiat loans with digital assets.  

CoinLoan makes itself an even more attractive P2P lending platform by allowing investors to set their own offers. In addition, investors are not required to pay fees for registration, deposits, transactions, or withdrawals.

 

Is CoinLoan Safe?

Safety should be dealt with in any serious review article, so let’s go through it. Coinloan offers adequate protection by providing a range of lender guarantees. Furthermore, CoinLoan guarantees repayments through its crytocolleteral model. The platform will automatically inform the borrower when it’s time to make repayments. Lenders will be notified when the loan has been paid. 

Transactions on the platform are highly secure with SSL protocol and additional security measures. Furthermore, CoinLoan has all of the licenses required to operate legally as a European company. It also has the infrastructure and legal status to ensure the security of funds. 

Step-by-Step Guide to Setting Up Your Account & Navigating the Platform

Setting up your account on is a simple process and shouldn’t take you more than a few minutes. Whether you’re an investor or a borrower, the set-up process is fast and pain-free.

 

We’ve compiled an in-depth walk-through in this CoinLoan review on how to set up your account, as well as how to navigate its intuitive interface.

Quick Facts  

  • Auto invest: No options 
  • Time to receive loan: Instantly 
  • Accepted currencies: Fiat currencies, (USD, EUR, GBP, RUB), cryptocurrencies (BTC, BCH, ETH, LTC, XMR) or stablecoins (TUSD, USDC, PAX, DAI, USDT) 
  • Conception: 2016 
  • Time needed to manage: Low 
  • Defaulted loans: N/A 
  • Minimal investment: $1,000 
  • Estimated annual returns: Up to 12% 
  • Launched: 2016
  • Loan security: Backed by crypto assets 
  • Buyback guarantees: No 
  • Provision fund: No 
  • Country of operation: Estonia 
  • Borrowers verification: Verified by the platform 
  • Regulation: Regulated by the Estonian Financial Supervision Authorit

Write a comment

Comments: 10
  • #1

    Coinloan Blog (Monday, 02 March 2020 11:34)

    Check Your Interest Account to Find New Coins
    We think you already know CoinLoan's Interest Account earning feature. We're excited how popular it is, and today add Litecoin and Monero to make the Interest Account even better. Let's take this opportunity to get you familiar with the whole list of currencies you can choose from.

    Currently, we offer interest on deposits in ten currencies, including stablecoins, cryptocurrencies, and fiat. In Figure 1, you can see all of them, followed by their interest rates.
    In the upper row located all cryptocurrencies. Among these are our newcomers, LTC (3.2%), and XMR (3%). Another remarkable asset is BTC, with an interest rate of 4.4%. We reckon this interest is the highest you can find for your bitcoin.

    The lower row represents stablecoins and fiat money. Each one offers you the maximal 8% interest. USDC and USDT are the most popular deposits in this group.

  • #2

    Coinloan Blog (Thursday, 05 March 2020 15:35)

    We are rolling out a new repayment setting that enables the liquidation of collateral by request to repay a loan in full or to make a regular payment. Also, it allows repaying with any other assets you have in My Wallet, not only your loan currency.

    A lot can happen to collateral in a long-term loan, especially in the crypto world that lives at supersonic speed. Now borrowers get control over their locked assets. For instance, if you can see that your collateral coin is crashing, you request liquidation and repay your loan before the coin loses its liquidity.

    How do I choose repayment asset?
    First, go to My Loans and start a payoff process for an active borrowed loan.

    The Loan Repayment screen, shown in Figure 1, gives you three options, and it is worth some consideration which one you pick here. You can select one by tapping My Loans > Repay > Regular Scheduled Repayment / Full Early Repayment.

    These three options include:

    Loan currency.
    Repay your loan as usual with the asset of your loan.
    Loan collateral. Payout happens at the cost of your collateral. Please be careful, payments made with collateral increase the LTV of an active loan and the risk of collateral liquidation in case of market fluctuations.
    Another asset. Choose any fiat or crypto asset you have in a sufficient amount in My Wallet. Note that this option can be unavailable for small amounts.

    In the case of non-repayment, platforms' algorithm remains as it was before. We make a payment automatically if the borrower has enough loan currency in My Wallet. Otherwise, we liquidate the part of the collateral needed to make payment.

    How lenders get their assets back?
    The update doesn't affect lenders in any way. They continue to receive payments in the loan currency no matter which asset borrowers choose. CoinLoan will take care of that.

  • #3

    Coinloan Blog (Tuesday, 10 March 2020 20:59)

    With the desire to increase the value of CLT, CoinLoan launches the staking program with cosmic rewards for CLT holders.

    When you own at least 250 CoinLoan tokens, you get promotional interest rates for all assets in the Interest Account. The more coins you have, the higher your rates. If you hold 5,000 CLT, you will be eligible to earn 10% on USDT and 6.4% on BTC. That’s +2% to our basic offer.

    How does the offer work?

    To boost your APY, you need to deposit CLT in your CoinLoan wallet. There is no minimal staking time needed to get bonus rates. Within a day after deposit, all interest rates in the Interest Account will increase by 0,1% with every 250 CLT you hold:



    250 CLT raises your interest by 0.1%;
    750 CLT — by 0.3%;
    2,500 CLT — by 1%;
    5,000 CLT — by 2%.
    The maximum bonus is 2%, having more than 5,000 CLT won’t affect your interest rates anymore. In Figure 1 below, you can see the screenshot of the Interest Account page with a maximized interest rate. You can achieve this by holding 5,000 CLT.

    Stay tuned, more news and updates very soon.

    Sincerely,
    The CoinLoan Team

  • #4

    Coinloan Blog (Thursday, 26 March 2020 19:45)

    CoinLoan now offers “reversed” loans you can’t find anywhere else. We are talking about loans in cryptocurrencies secured by stablecoins or fiat. On the Lending Market, users can now borrow BTC against USDT, or XMR against EUR, for instance.

    We have reversed crypto-lending to offer lenders and borrowers new ways to put digital and fiat assets to work. CoinLoan is now the only company in the market that offer all three dimensions of loans: crypto-to-fiat, crypto-to-crypto, and fiat-to-crypto.

  • #5

    CoinLoan Team (Friday, 07 August 2020 22:11)

    You probably know about the Interest Account staking rewards program we opened recently:

    for you, to grow earning rates;
    and for CoinLoan token, to grow its liquidity.
    The second goal was achieved so fast and successfully, that token became too expensive to stake. We’re here today to fix the situation and decrease the number of tokens needed to get staking bonuses.

    Please welcome new, more affordable staking rates:

    125 CLT raises your Interest Account rates by 0.1%
    375 CLT — by 0.3%
    1,000 CLT— by 0.8%
    1,250 CLT — by 1%
    2,500 CLT — by 2%
    The maximum bonus is 2%, having more than 2,500 CLT won’t affect your rates anymore.

    You can buy CLT:

    On CoinLoan Exchange
    On Hotbit exchange
    On Uniswap decentralized exchange

  • #6

    Coinloan Blog (Friday, 07 August 2020 22:14)

    We’re delighted to announce a newcomer to our asset list. Please welcome Chainlink (LINK) in CoinLoan’s Interest Account & Instant Loans.

    As always, we’ve ensured that we offer our users the best conditions on the market. We’ve set a 50% LTV for LINK loans that is, to our knowledge, the best available offer out on the board.

    How LINK works on CoinLoan:



    First of all, you can deposit the coin to My Wallet for further operations on the platform.
    In the Interest Account, you can earn 4.2% annually on your LINK deposit. Staking CoinLoan tokens, you can increase the rate to 6.2%.
    You can get an Instant Loan backed by LINK, with a minimal rate of 4.95%. Your rate depends on the LTV you choose; the lower the LTV, the less you pay for a loan.

  • #7

    CoinLoan Team (Thursday, 10 September 2020 20:08)

    Better than crypto-lending can be only crypto-lending that operates within existing regulatory frameworks. We’re proud to announce that CoinLoan has met all the Estonian regulators' new requirements and received our renewed European virtual currency provider license.

    As you can imagine, are truly happy to have additional confirmation of our trustability for our clients, partners and regulators. Suffice it to say we’re one of 104 companies that complied with the updated guidelines so far, while almost 500 have outdated licenses. Those who were unable to initiate the process before 07/01/2020 are at risk of losing their permits.

    Regulatory compliance should be a must for crypto
    Most DeFi projects operate in the grey market, swimming in regulatory uncertainty — nothing good, especially for unsecured users. Remember the last time we witnessed an under-regulated crypto boom? 2017's frothy initial coin offering (ICO) days ended badly for millions and the good reputation of crypto.

    CoinLoan is committed to proving, by its example, that crypto companies can provide their services within the official white market. Thereby, we increase our credibility in the eyes of both clients and the regulators.

    What CoinLoan’s new license means
    To pass the regulatory audit according to new requirements, we had to prove CoinLoan is a reliable brick-and-mortar company.

    First of all, this applies to client verification. Now it’s a must for us to verify all the users, no matter if they work with crypto or fiat assets. Good thing that for a long time now, we’ve found a correct balance between mandatory KYC/AML compliance and great user experience.
    Another new obligation had not become an issue too, as we have an office in Tallinn. It required us to have a real, physical office and management on the Republic of Estonia's territory.
    Last but not least, share capital should be at least EUR 12,000. The non-monetary contribution is not allowed.
    The main thing for CoinLoaners is that the license adds a layer of reliability to the platform. You’re welcome to check yourself our brand-new license #FVT000114 at the name of CoinLoan’s operator ExFinance OU and our CEO, Alex Faliushin. Since September 7th, it shines bright at the website of Estonian Register of Economic Activities.

    �CoinLoan is a universal platform for crypto and fiat assets. We help to keep your assets safe and manage them from one dashboard.

    �First time here? Visit our home page and get to know the CoinLoan lending platform a little better.

  • #8

    Coinloan Blog (Monday, 21 September 2020 22:40)

    We’re thrilled to inform CoinLoaners about an update for our iOS and Android apps. Now they offer the full functionality of Instant Loans, the last missing ingredient to augment our Interest Account and Crypto Exchange in the app.

    You no longer need to switch between the app and the web version to get a loan. Everything can be conveniently done from the app:


    You can now apply for a loan from your phone;
    Control the health of your loans conveniently;
    Make loan repayments in a couple of clicks and more.
    Update your CoinLoan app to the latest version to benefit from the update:


    CoinLoan for iOS
    CoinLoan for Android

    Stay tuned, more news and updates coming soon!

    Sincerely,
    The CoinLoan Team

  • #9

    Coinloan Blog (Sunday, 04 October 2020 10:18)

    Welcome The #1 Affiliate Program In Crypto-Lending by CoinLoan. Refer a friend & earn together on each and every transaction.
    ⭐ It’s simple, it’s profitable, it offers lifetime bonuses. And it's brand new.
    According to the terms of the Program, advocates will earn:
    +0.2% of every exchange amount
    +0.2% of every loan amount
    +0.1% monthly of every deposit to the Interest Account.
    There’s no maximum revenue limit; the more friends you invite, the more bonuses you get.
    There’s no time limit as well. Rewards would accumulate as long as your referrals keep using the platform. Moreover, you can motivate them using your link, offering a cashback.

    For all the details, check our blog post: https://blog.coinloan.io/affiliate-program-of-your-dreams/

  • #10

    Coinloan Blog (Thursday, 29 October 2020 20:02)

    We at CoinLoan proudly announce the two newcomers to our list of assets. Please welcome Paxos Gold (PAXG) and Wrapped Bitcoin (WBTC).

    PAXG is a token is backed by 1 troy fine ounce of 400 oz gold. Its market value is meant to mirror the physical gold.

    WBTC is pegged to the king of cryptocurrencies BTC and is priced at 1:1 ratio.

    The coin is available for deposit and withdrawal along with other assets in My Wallet.
    You can get an Instant Loan backed by PAXG, with a minimal rate of 4.95%. Your rate depends on the LTV you choose; the lower the LTV, the less you pay for a loan.

    How WBTC works on CoinLoan:

    First of all, you can deposit the coin in My Wallet for further operations on the platform, as well as withdraw it with zero fees.
    The token can bring you up to 6.4% APY on Interest Account.
    CoinLoaners can get an Instant Loan secured by WBTC

    Stay tuned, more news and updates are coming soon.

    Sincerely,
    The CoinLoan Team