What is a Mirror Loan and How Can It Benefit You?
A Mirror Loan is a medium-term cryptocurrency investment tool that allows you to invest your existing cryptocurrency in the purchase of additional cryptocurrency, specifically Bitcoin, thereby doubling your position. This innovative financial product enables you to leverage your current crypto holdings to potentially maximize your returns.
How It Works?
When you request a Mirror Loan, Nebeus issues funds in USDT to buy additional cryptocurrency for you. The cryptocurrency you already own is used as collateral for these funds. The loan amount is repayable over the term of the loan. Here’s a step-by-step breakdown of how it works:
- Collateral: You set an amount of Bitcoin as collateral.
- Purchase: Nebeus buys an equal amount of Bitcoin for you, matching the value of your collateral.
- Loan Issuance: The newly purchased Bitcoin, along with your initial cryptocurrency, serves as collateral, effectively doubling your position.
- Repayments: As long as you make the required monthly payments and repay the loan at the end, you’ll end up with twice the cryptocurrency you started with.
Benefits of a Mirror Loan
- Increased Investment: Expand your Bitcoin holdings without selling your existing cryptocurrency.
- Potential Profit: If the value of Bitcoin rises, your investment grows, potentially yielding significant profits.
- Making Your Crypto Work: Your current crypto holdings continue to be yours and can appreciate in value while you leverage them to acquire more Bitcoin.
When to Use a Mirror Loan
A Mirror Loan is ideal when you expect the value of Bitcoin to increase. It allows you to capitalize on potential gains while maintaining ownership of your original crypto assets. This makes it a powerful tool for those looking to enhance their cryptocurrency portfolio strategically.
Applying for a Mirror Loan
Step-by-Step Guide
Become a Nebeus User:
Login:
- Access your Nebeus account
Navigate to Loans:
- Go to the "Loans" section and select "Mirror"
Set Loan Parameters:
- Define the parameters of the loan and confirm your intention to receive it
How the Loan and Repayments are Calculated?
Loan Parameters
|
Parameter
|
Description
|
Value
|
|
Collateral
|
You send us the
cryptocurrency that will be used as a collateral
|
0,5 BTC
|
|
Amount of currency purchased
(loan principal)
|
You order to buy an
amount of cryptocurrency for you that matches the value of your deposited
collateral
|
0,5 BTC
|
|
Exchange rate
|
We buy cryptocurrency
at the current BTC/USDT exchange rate
|
60642,813827
|
|
Loan amount
|
The amount of
cryptocurrency that is lent and you need to repay over the loan period
|
30927,835 USDT
|
|
Loan term
|
The time the loan is
active and the borrowing is being done
|
12 months
|
|
Loan rate
|
The interest rate that
is applied for the amount we lent you
|
8 % per year
|
|
Original fee rate
|
Upon issuance, we
charge a one-time origination fee based on the loan amount
|
2 %
|
Related Articles
Can I Make an Early Loan Repayment?
At Nebeus, we understand that financial situations can change, and you may wish to repay your loan earlier than planned. We're here to provide clarity on how early loan repayments work and what to expect when choosing this option. Please note: Early ...
Understanding Our Loan Options
We are excited to offer you the broadest range of loan options ever, tailored to meet your specific needs. Below, we provide detailed information about each loan type to help you choose the best option for your financial situation. Flexible Loan Pay ...
How to apply for a loan?
Nebeus provides a seamless process for obtaining a crypto-backed loan. This step-by-step guide will assist you in understanding the loan application process, repayment details, and additional features available to ensure a smooth experience. 1. Log ...
How to make a loan repayment?
At Nebeus, we understand the importance of providing flexible repayment options to accommodate the diverse preferences and requirements of our customers. This article outlines the available methods for loan repayments, based on whether the loan is in ...
What Happens If a Loan Payment is Missed?
Missing a loan payment can have significant consequences. It's important to understand the process and potential penalties involved to manage your loan effectively and avoid any unnecessary financial strain. Late Payment Process Initial Late Payment ...