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You have questions? we have answers!

Thanks for stopping by. You probably have lots of questions and we hope to answer every single one of them. If you can't find what you're looking for, please contact us.

General Questions

What is Crypto Lending?

Crypto Lending allows Canadians who hold crypto assets to leverage their holdings as collateral for cash loans. Crypto Lending is the first lending platform to give Canadians access to liquidity without having to sell their cryptocurrencies. Crypto Lending is a platform built by Canadians for Canadians. 

What is a Loan-to-Value (LTV) Ratio?

A loan's LTV (loan-to-value) ratio determines the amount of crypto collateral you need to post in order to take out a loan. In general, collateralized loans require customers to give the lender an asset, in our case bitcoin (BTC). We hold your asset until your loan is paid off, then it's returned to you. 

Eg: Let's say you want to borrow $10,000 at 40% LTV. You would have to post $25,000 worth of bitcoin.

Why is the LTV ratio limited to 40%?

Due to market volatility, we performed extensive risk modeling with our investors and lenders prior to launching our platform and determined that this was a sufficiently conservative rate. Our goal is to have a limited number of expected margin calls and provide our clients with breathing room. This LTV ratio protects you and us.

What is the difference between Crypto Lending and other lending platforms?

We're an alternative lender built to help Canadians unlock the value of their digital assets. We provide personal loans backed by an individuals crypto assets, as a result, we don't perform a credit check, nor qualify borrowers based on their credit history. 

Is Crypto Lending hiring?

Make sure to head over to our careers page for any job openings. If we don't currently have any positions open, feel free to send us your resume and your interest to work for Crypto Lending at careers@cryptolending.ca. We look forward to talking to you!

Does Crypto Lending have any branches?

No, we are an online lending platform. 

Loan Eligibility

Can I get a loan if I have bad credit?

Yes, we do not perform a credit check on applicants. Posting collateral is all an eligible borrower must do in order to obtain a loan.

What is the difference between a personal loan, a home equity line of credit loan and a Crypto Lending loan?

Personal loans are often unsecured. With a home equity line of credit, you borrow against the equity in your home. With Crypto Lending, you borrow against the value of your cryptocurrency. Your crypto asset is used as collateral. 

How much can I borrow with a Crypto Lending personal loan?

Crypto Lending offers personal loans from $500 up to $35,000. Your borrowing capacity is based on the value of your collateral and not your credit rating.

What do I need to apply for a Crypto Lending personal loan?

The basic requirements are:

  1. Be a Canadian resident with a valid government issued ID with a Canadian bank account
  2. Be age of majority in your province or territory
  3. Own cryptocurrencies

Once you meet these minimum eligibility requirements, several other factors may be considered when processing your application. 

Do you offer small business loans?

Not currently, however we do have plans to add additional loan products in the future. 

Do you offer non-collateral loans?

No, we only offer secure collateral loans backed by cryptocurrencies. Presently, we do not offer any other loan product. 

Can I borrow in Crypto?

Our first product is a CAD dollar denominated loan that is collateralized by bitcoin. 

Collateral Questions

What cryptocurrencies do you accept as collateral?

At launch we will only accept bitcoin as collateral. We do have plans to support additional cryptocurrencies in the future. 

Do I still own my cryptocurrency?

Yes. The cryptocurrency that you use as collateral still belongs to you. We simply hold your collateral in our secure cold storage vault during the life of the loan. When you fullfil your loan agreement, your collateral is returned to you.

Can I buy or sell cryptocurrencies through your website?

No, we are not a Crypto Exchange. If you are considering buying, selling or trading cryptocurrencies you will need to register with an Exchange.

What happens if the market value of my cryptocurrency changes?

If the value of your cryptocurrency rises, you don't have to do anything. Once your outstanding loan is repaid in full, you will receive your collateral back and you retain its market value. 

If the value of your cryptocurrency falls on the other hand and breaches the agreed upon loan-to-value (LTV) threshold, a "margin call" will be triggered. You will be given an opportunity to either; add additional collateral, or make an additional principal payment, bringing your LTV below set threshold. 

What is a "margin call"?

Throughout the life of the loan, our platform continuously monitors the value of your collateral. A "Margin Call" occurs when the collateral value falls below the set LTV ratio based on the outstanding principal of the loan. We will keep you informed if your LTV starts to near the margin call so you can take action preemptively.

What address do I send my cryptocurrency collateral to?

You will send your cryptocurrency collateral to a unique wallet address created by our platform. We will provide you with further instructions during the loan application process. 

Where is my cryptocurrency held for the duration of the loan?

Crypto Lending uses 100% cold storage ensuring that your crypto assets remain secure. Your private keys will never be stored on our website.

What is a cold storage wallet?

A cold storage wallet is a unique bitcoin wallet that is not connected to the Internet, or also known as a hot wallet. The private key of a cold storage wallet is secure and therefor not susceptible to hackers. It's the most secure form of cryptocurrency storage. 

I sent my collateral to the wrong address, what happens next?

Due to the irreversible nature of blockchain technology and cryptocurrencies, any collateral sent to the wrong wallet address cannot be reversed. Please double check all addresses before transferring your collateral. 

Online Loan Questions

What do I need to apply for an online loan?

To get started, we will ask you to provide basic personal information, information about your income and your bank account details. We ask you for a variety of information in order to best determine if a Crypto Lending personal loan is right for you.

What documentation is required for ID verification?

We will require government issued photo ID to verify your identitiy. Further instructions will be clearly outlined in our online application form. 

Why do you require government issued photo ID?

We require government issued photo ID to comply with Anti Money Laundering (AML) and Know Your Customer (KYC) verification. We are required to verify the identity of our applicants who apply for a financial product through our platform. 

What is the interest rate?

We look at several factors to determine interest rate. How much collateral does the borrower have, the term length, borrower's income, and lastly the interest rate offered by our lender network. Interest rates are subject to change and influenced by market conditions. 

Are there any origination fees?

Yes, origination fees will be clearly outlined when you are applying for a loan.

How long will it take to get a lending decision?

You will typically receive a lending decision within 24 hours. 

Do you check my credit score or credit history?

No, we do not perform a credit check on applicants. We do perform full Anti Money Laundering (AML) and Know Your Customer (KYC) verification. 

Will applying for a loan affect my credit score?

No, we do not perform a credit check when you apply for a loan through Crypto Lending. We do not report loans to any third parties.

Do you accept co-signers for my loan application?

At this time we do not allow co-signers or joint applications on our platform.

How quickly do I receive my loan funds?

Your loan proceeds will be deposited directly to your bank account. This process usually takes 1-2 business days, in some circumstances you may even receive it the same business day. 

How long does it take to get approved?

Each loan application will vary from case to case, especially in the beginning of our loan availability. We want to ensure a safe and trustworthy online experience for each one of our members.

Is your product available outside of Canada?

No, we are a Canadian company serving Canadians. 

Do you offer loans in any other currencies?

No, presently we only offer loans in Canadian (CAD) funds.

Can I use my loan for whatever I want?

Yes, you can use your loan proceeds for whatever purpose you wish.

Loan Repayment

How do I make a loan payment?

During your application process, you will be setup for automatic payments. We will automatically process your loan payment from your bank account. 

Can I pay off my loan early?

Yes. You can pay your outstanding balance in full at any time with no prepayment penalties. 

What happens if I miss a payment?

Our platform will automatically liquidate a portion of your collateral to make up for the missed payment and associated fees. 

Are there fees associated with missed payments?

Timely payment of your loan helps us in our ability to deliver great products and services. In the event that you have insufficient funds when we attempt a monthly payment withdrawal, a $40 NSF fee will be incurred. 

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About Crypto Lending Inc.

Crypto Lending brings incremental liquidity to the Canadian crypto ecosystem by creating debt and credit products. Based in Toronto, our company offers the ability to leverage Bitcoin to obtain CAD loans. We are transforming the way Canadians leverage their crypto assets.

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