When it comes to cryptocurrencies, what is the term used to describe the payment a borrower makes to a lender as a reward for a loan?

10 answers

• Pratiyush Kumar SinghDec 31, 2024 · 10 months ago
  The term used to describe the payment a borrower makes to a lender in the world of cryptocurrencies is commonly known as 'interest'. Just like in traditional financial systems, borrowers are required to pay interest on the loans they receive. This interest serves as a reward for the lender, compensating them for the risk they take by providing the loan. The interest rate can vary depending on various factors such as the borrower's creditworthiness and the market conditions.
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• sochan kandelNov 18, 2020 · 5 years ago
  When it comes to cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is often referred to as 'yield'. Yield represents the return on investment for the lender, similar to interest in traditional financial systems. It is calculated based on the loan amount and the agreed-upon interest rate. Yield can be earned by lending out cryptocurrencies on various platforms or participating in decentralized finance (DeFi) protocols.
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• NagitoSep 17, 2022 · 3 years ago
  When it comes to cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is commonly known as 'APY' (Annual Percentage Yield). APY represents the total interest earned over a year, taking compounding into account. It is an important metric for lenders to evaluate the potential returns on their investments. Platforms like BYDFi provide users with the opportunity to earn APY by lending out their cryptocurrencies to borrowers.
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• SKELETON PLAYApr 06, 2022 · 4 years ago
  In the world of cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is often called 'crypto interest'. Crypto interest functions similarly to traditional interest, providing an incentive for lenders to provide loans. It can be earned by lending out cryptocurrencies on various platforms, including decentralized exchanges and lending protocols. By participating in crypto lending, users can earn passive income through the interest payments.
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• aligrd133Oct 21, 2024 · a year ago
  When it comes to cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is commonly referred to as 'reward rate'. This rate represents the percentage of the loan amount that the borrower agrees to pay as a reward to the lender. The reward rate can vary depending on market conditions and the borrower's creditworthiness. It is an important factor for lenders to consider when deciding whether to provide loans.
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• Mudasser Moin ShohanJun 10, 2021 · 4 years ago
  The term used to describe the payment a borrower makes to a lender in the world of cryptocurrencies is 'crypto loan interest'. Crypto loan interest is the compensation provided by the borrower to the lender for the borrowed funds. It is calculated based on the loan amount and the agreed-upon interest rate. Lenders can earn crypto loan interest by lending out their digital assets on various platforms, such as decentralized lending protocols and centralized exchanges.
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• AleynaDec 15, 2023 · 2 years ago
  When it comes to cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is commonly known as 'crypto loan yield'. Crypto loan yield represents the return on investment for the lender, similar to interest in traditional financial systems. It can be earned by lending out cryptocurrencies on platforms that facilitate peer-to-peer lending or through decentralized finance (DeFi) protocols. By participating in crypto loan yield, lenders can earn passive income.
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• narolf2023Oct 09, 2022 · 3 years ago
  In the world of cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is often referred to as 'loan interest'. Loan interest serves as a compensation for the lender, compensating them for the opportunity cost of lending their funds. The interest rate can vary depending on market conditions and the borrower's creditworthiness. Lenders can earn loan interest by providing loans on various platforms, including both centralized and decentralized exchanges.
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• Milly NamayanjaJul 21, 2025 · 4 months ago
  When it comes to cryptocurrencies, the payment a borrower makes to a lender as a reward for a loan is commonly known as 'crypto loan repayment'. Crypto loan repayment represents the amount of the loan that the borrower returns to the lender, including the interest earned. It is an essential part of the lending process, ensuring that lenders receive their funds back along with the agreed-upon interest. Platforms like BYDFi facilitate crypto loan repayments for both borrowers and lenders.
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• KORSep 30, 2025 · a month ago
  The term used to describe the payment a borrower makes to a lender in the world of cryptocurrencies is 'loan reward'. Loan reward represents the compensation provided by the borrower to the lender for the loan received. It can be in the form of interest or other incentives agreed upon between the parties involved. Lenders can earn loan rewards by lending out their cryptocurrencies on various platforms, contributing to the growth of the crypto lending ecosystem.
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