Wirex launches crypto lending in UK despite ‘crypto winter’ woes

WXT is Wirex’s native token, much like CEL was to Celsius.

Wirex has made its crypto-backed credit lines available to UK users, with WXT as a token to be used as collateral, in an effort to expand the Wirex Credit program to new regions with additional features.

Launched last month in Europe and Asia, Wirex Credit allows users to borrow crypto-backed credit lines of up to $100,000. Now, the crypto lending service is available in the United Kingdom as well.

Firms within the DeFi space are lining up to take Celsius’ place as leaders in crypto lending. Wirex launched the product so its 5 million users can instantly borrow stablecoins starting at 0% interest, with no origination or set-up fee. Users can take out up to 5 credit lines at once, with no credit or affordability checks required.

Pavel Matveev, CEO and Co-Founder of Wirex, commented: “Wirex has a long-standing reputation of delivering easy to use crypto products for the everyday consumer. Wirex Credit brings a hugely competitive offering, allowing users quick and easy access to access to crypto-backed credit lines. We’re continuing to develop the product to offer more choice of tokens to be used as collateral to open a credit line. With our largest customer base in the UK, it’s great to be able to expand Wirex Credit to these users.”

Customers can use BTC, ETH, and now WXT as collateral, and instantly receive NXUSD, USDC, USDT, and DAI as credit. Users repay when they want and only pay interest for the days the credit line is live.

In the coming weeks, Wirex will continue to expand the Wirex Credit offering, including the release of many more popular tokens as options for collateral, and cross-collateral borrowing allowing users to combine different assets in their portfolio for a loan.

WXT is Wirex’s native token, much like CEL was to Celsius. CEL plunged in recent weeks as the crypto lender restricted withdrawals amid the crypto winter which also ruined Terra/LUNA. Celsius has filed for bankruptcy and users are expected to be served last.

The crypto crash was widely expected to happen as it was the case many times before ever since Bitcoin was created. That didn’t stop many investors from being hurt as Bitcoin and the whole cryptocurrency market plunged throughout the year.

What retail and even some institutional participants didn’t realize was that they were relying on flawed projects or badly managed operations that eventually brought clients down with them.

Due diligence is now the name of the game as the digital asset space learns from its past mistakes to come out of the ‘crypto winter’ stronger than it was before.