How to Make Passive Income with KuCoin Lending

How to Make Passive Income with KuCoin Lending feature image

Kucoin is one of the best crypto exchanges and trading sites.

They offer among the lowest trading fees for spot trading and futures trading. Also, they have excellent trading volume, trading features, and many listed cryptocurrencies.

This article focuses on how to make passive income with Kucoin lending.

What is KuCoin?

Kucoin is one of the best Bitcoin and altcoin crypto exchanges. They offer many crypto trading pairs with a high trading volume, low trading fees, great fiat deposit options, and a low spread.

With over +600 tradeable assets and the above-described attributes, Kucoin ranks as one of the top 5 cryptocurrency exchange and trading platforms. In addition, they provide excellent services to both beginners and advanced traders. They are often referred to as the  “People’s Exchange.”
Because of this, they were named the Best Crypto App of 2022 for enthusiasts by The Ascent.

KuCoin Lending intro

Kucoin lending is a peer-to-peer marketplace for lending and borrowing funds for leverage trading.  Many think this is the best choice to make passive income and earn the best interest rates for cryptocurrency holders and investors.

Kucoin supports more than 180 digital assets in the crypto lending feature. The most liquid lending markets are BTC and USDT.
You can automate Kucoin lending by enabling “Auto-Lend” or set up the interest manually.

Step-by-Step Guide To Crypto Lending on KuCoin

We present a step-by-step guide on how to lend on Kucoin to earn interest and passive income on your idle cryptocurrency holdings.

  1. Sign up with Kucoin and login to your account
  2. Deposit fiat or crypto and transfer to the main account
  3. Click on “Earn” in the top navigation menu and go for “Crypto Lending,” as indicated in the screenshot below.
Step-by-Step Guide To Crypto Lending on KuCoin screenshot from menu navigation

Now, you should see the Kucoin crypto lending dashboard as shown in the screenshot below.

By toggling the green squares you can see the lending options, your current lending, and the borrowing options.

The red squares show what cryptocurrencies you can lend, the lending parameters box, and the current funding market and rates.

In the blue square, you find your open orders, unsettled orders, and settled and order history.

4. Now, select your cryptocurrency you want to lend by browsing the left red square.

5. Once you have made up your mind you should decide on whether you are going for auto-lend or not. 

When the Auto-Lend function is enabled, the Amount will change to Reserved Amount. Once set up, any funds beyond the reserved amount of your Main Account will be lent out. Still, you can set a minimum daily interest rate and the duration terms (7,14, 28 days)

 

Auto-lend vs. Setting up your own interest rate: Pros and Cons

Pros

  • Auto-lend saves you time to reinvest all the time

Cons

  • If you set it manually you can more easily follow the market rates and even lend to other markets if the rates are better there.

Kucoin Lending Rates

Kucoin Earn lending is an open market where lenders and borrowers meet on the market conditions. 

There are no fixed lending rates since lenders and borrowers have an open market. Therefore, it’s also hard to compare the interest rates and lending rates with other sites.

One great thing about Kucoin lending is the diversity in cryptocurrencies. Here, you find odd tokens like UNO, UFO, and AUDIO. Unfortunately, such coins can be tough to earn an interest rate and passive income elsewhere.

You can always check the Kucoin lending rates without logging in.

It seems easier to get the best returns on mid-caps, like DASH.

As you can see in the screenshot below, the DASH lending rate is very competitive with the best DASH interest rates and staking rewards.

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