Decentralized cryptocurrency exchange Hodl Hodl announced today that its lending service, Lend at Hodl Hodl, is now available to customers in the US.
“Borrowing from Hodl Hodl is a global, P2P, non-custodial, bitcoin-backed lending platform where anyone can borrow or borrow stablecoins anonymously on a P2P basis,” said an announcement shared with Bitcoin Magazine.
The service allows users to create a loan contract and deposit bitcoin as collateral directly from their wallet to the escrow. The lender then transfers the loan amount described in the contract to the borrower and once it is paid back, the lender releases bitcoin to the borrower’s wallet.
As a decentralized exchange, Hodl Hodl acts more like a secure middleman allowing peer-to-peer (P2P) swaps between users. The Lend product is an extension of this non-custodial model.
“Unlike most existing lending platforms, Hodl Hodl does not store the user’s money, but instead locks the collateral in the multisig escrow, with users holding the keys,” the announcement said. “The platform has also eliminated the use of fiat to avoid all associated risks. The team believes that anonymity, no custody, and no-fiat make it a true Bitcoin DeFi product. “
According to the exchange, this is the first product that Hodl Hodl has expanded to users in the US.
“We’ve always wanted to serve US customers, but some issues have tied our hands,” Max Kei, CEO of Hodl Hodl, said in the announcement. “As we launch a Bitcoin DeFi product, we want to go a step further than those problems. We see this project adding value to Bitcoiners around the world, so we are removing the boundaries. In the future, we aim to provide more products to US users. “