1. The 0.5% fee s money enough itself as far as I am concerned, yet they tagged it "promotional," how much more would they charge after the promotion is over?
The charges which will come after the 30-day promotional offer ends is what I also failed to identify until I read the full details of what they considered a lite loan and the interest behind it in this thread after a few members went through the page to point it out.
2. This people would leverage more on defaulters. Do you know how much more they would gain in Bitcoin from them? If they loaned you when Bitcoin was very cheap and you defaulted when Bitcoin is expensive, though I don't know the arrangement, but if the collateral is in BTC, I guess you just pay in BTC as well. And guess what? Many people would default.
Not only will they be benefiting more if you default when the Bitcoin price is higher, but the whole idea behind the loan and the unspoken policy which was not included in the ads is fucked, imagine dropping collateral that's worth much more than what you want to take as a loan. They deducted the 0.5% service fee and charges you after the rest of the time base on the agreed period, it will interest you more if you read the quoted below.
Assuming a borrowing limit of 1,000 USDT and a collateral ratio of 40%:
Collateral worth 6,000 USDT, borrow quota: 6,000 × 40% = 2,400, capped at 1,000 USDT
Collateral worth 2,000 USDT, borrow quota: 2,000 × 40% = 800 USDT
