Crypto is all the rage right now, but it may not be what you think. There are two main misconceptions about crypto - one which says that holding onto your coins is the only way to make them grow in value over time and another saying lending platforms do not offer better interest rates than traditional banks. The truth? It depends on who's telling their story. 

In this article, we will focus on addressing the second misconception and show you how to get the best lending services using KingData. 

What are crypto lending platforms?

In recent times, the DeFi movement has experienced an unprecedented amount of attention from both consumers and investors alike. One way this trend is manifesting itself in today’s society involves individuals turning towards borrowing money using cryptocurrency as collateral on their loan contracts with various lenders around the world who offer different interest rates depending upon where you live or what type currency they accept for payment. Before we get too ahead of ourselves, let’s define crypto loans in simple words.

What is crypto lending?

Crypto lending is a method for loaning cryptocurrencies or fiat currency in accordance with an interest rate. So, it's more or less similar to traditional banking systems where you have loans offered at different rates of return depending on the size and duration that suit both parties best - this includes risks as well.

Crypto lending is a relatively new and innovative way for cryptocurrency owners to earn passive income. Lenders generally have more of the currency, so they're looking out for opportunities where their investments can generate revenue without too much work on behalf of them or risk-taking that may result in lost funds if something goes wrong. As similar as these two processes seem at first glance, there are some key differences between them.

Crypto lending is different from traditional loans because the platform that facilitates these transactions play an important role in this process.

How to borrow crypto on KingData?

Borrowing on Kingdata is a relatively easy endeavor. It only requires few steps and they include:

• First, visit the kingdata platform,
• On the tabs shown, move your cursor to DeFi APY (if you are using a mobile device, you would have to click on it)

• Some tabs will pop open in white. Click on Borrow APR
• 
• Move down on the “borrow APR” page and on “the best way to borrow”, input the criterias you want to see in your loan, including the token you want to borrow, the collateral (supply token), and the chain. 

• When you click on search after putting your criteria you will see projects that meet your criteria. You can borrow from there.

Alternatively, you can go to https://kingdata.com/apy/loan?lang=en and continue from (5) above. 

How to Select Crypto Lending Platforms?

When you're looking for the right crypto lending platform, there are many factors that should be considered. Some of these include their fees and rates as well as security measures they take to protect users from fraud or theft.

Interest Rate

The best way to select a crypto lending platform is by looking at what interest rates they charge. Make sure that these are in line with how much money you want to borrow and when you are paying back.

Cost

It is important to consider the cost of different crypto lending platforms when selecting one.

Platform Risks

You should also note what risks come with the crypto lending platform you are borrowing from. 

Loan Duration

The length of time that you commit to when borrowing crypto, especially on a short-term basis is important. It's good practice for lenders who might need quick access or long term storage options so they can hedge their positions accordingly.

Collateral Amount

That's a very important factor to consider when choosing your crypto lending platform. You need collateral for borrowing certain amounts and if you don't have it, then lenders will not loan money out.

Minimum Deposit Limit

Before you choose any crypto lending platform for your needs, make sure to check if they have any specific requirements on deposits.

 About Kingdata

The KingData platform processes information from a variety of sources, including public records and private entities. The data is then compiled into an easily accessible format for use by both businesses as well as individuals alike. KingData is like the encyclopedia for DeFi with over 3,000 pools and some of the lowest APR to borrow.