SBI VC Trade, the cryptocurrency unit of major Japanese conglomerate SBI Holdings, announced that it had extended its digital currency lending support to XRP tokens. The service will be offered under the VC Trade Lending and allow XRP holders to earn interest by depositing their holdings with the platforms. SBI launched its lending services last November with only Bitcoin support. VC Trade Lending is a service that allows customers to rent out their crypto assets to the company and receive usage fees according to the quantity and duration of the crypto assets.
The usage fee for lending has been set at 0.1 percent per annum.
With Ripple’s XRP, SBI VC Trade will allow deposits ranging from 1,000 tokens to 100,000 tokens, and the lending period will be for 84 days. The usage fee for lending has been set at 0.1 percent per annum. SBI is an early adopter of XRP, and the Japanese giant also runs a joint venture with Ripple to promote the usage of XRP tokens in the Asian nations. The addition of XRP to the lending services is significant, given the fact that Ripple is facing backlash from the United States regulator.
Ripple explains why XRP is not a security in its reply to the SEC.
As reported earlier, Ripple filed its response to the US SEC’s complaints. The blockchain firm filed its response on January 29th and filed a Freedom Of Information Act request. Ripple provides an answer to each of the SEC’s complaints against Ripple Labs inc and its co-founders Brad Garlinghouse and Chris Larsen. The group is primarily arguing that XRP is not a security. Earlier, SEC had filed a lawsuit against Ripple alleging that they sold unregistered security, XRP. Several crypto exchanges also delisted the token after the US SEC lawsuit against the blockchain firm.