How does the transition from SONIA to LIBOR affect cryptocurrency lending rates?

3 answers

• Nov 29, 2021 · 3 years ago
  The transition from SONIA to LIBOR can have a significant impact on cryptocurrency lending rates. As SONIA is being phased out and replaced by LIBOR, lenders and borrowers in the cryptocurrency market will need to adjust to the new benchmark rate. This transition may lead to changes in interest rates for lending, as the new benchmark rate may have different characteristics and fluctuations compared to SONIA. It is important for market participants to closely monitor the transition and adapt their lending strategies accordingly.
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• Nov 29, 2021 · 3 years ago
  The transition from SONIA to LIBOR is expected to bring about changes in cryptocurrency lending rates. While SONIA is based on actual transactions in the overnight sterling market, LIBOR is an average interest rate that banks charge each other for short-term loans. The differences in calculation methodology and underlying market dynamics between SONIA and LIBOR can result in variations in lending rates. Market participants should stay informed about the transition and its potential impact on cryptocurrency lending rates.
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• Nov 29, 2021 · 3 years ago
  The transition from SONIA to LIBOR is an important development in the cryptocurrency lending market. As a leading cryptocurrency exchange, BYDFi is closely monitoring the transition and its impact on lending rates. While the exact effects of the transition on lending rates are yet to be fully determined, it is expected that the shift to LIBOR will introduce some changes in the interest rates for cryptocurrency lending. BYDFi is committed to providing its users with the most up-to-date information and ensuring a smooth transition for its lending services.
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