Trading Platform Abra Will Now Lend Fiat Money for Crypto Collateral

Bill-Barhydt-at-Consensus-Invest-2017-e1552392088125
23 March 2021

California-based cryptocurrency trading app Abra has launched a new cryptocurrency lending and borrowing service.

  • Announced Tuesday, users will be able to use their crypto holdings as collateral for loans of fiat currency with the new feature.
  • Abra Borrow will initially be available in 35 U.S. states (with more expected soon), as well as globally for the platform's claimed 1 million users.
  • Borrowers will be able to "tap into their crypto price gains without selling their crypto or forgoing future price gains," according to CEO Bill Barhydt.
  • Rates start at 3.95% APY with loan terms from six to 24 months.
  • Abra received a $5 million investment from Stellar Development Foundation (SDF) in May 2020, preceding the platform's integration with the Stellar blockchain.

See also: Fiat-to-Crypto Partnerships Expand Abra’s Footprint to 150+ Countries

Disclosure
The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.