Despite its roots in bitcoin (btc) lending, lending platform Ledn has announced the launch of an ethereum (eth) yield offering following user requests for a protected alternative to manually staking Ether. .
The Cayman Islands company has added an eth offering to its Growth Account products, currently offering users secured facilities to earn interest on bitcoin and USD Coin (USDC) deposits.
An announcement shared with Cointelegraph highlighted user calls for a means to earn interest on eth holdings without having to manually stake and manage Ether through liquid staking pools.
The lending firm also notes that its Growth Accounts are specifically “protected” from other Ledn products and services. The deposited eth is only exposed to the counterparty that generates returns on the staked amount, meaning that user deposits will not be affected if Ledn goes bankrupt.
Related: Coinbase Launches crypto Lending Platform for US Institutions
This is particularly pertinent given the high-profile failures of some of the cryptocurrency industry’s most prominent cryptocurrency lending companies. Companies such as Celsius, Voyager and Three Arrows Capital (3AC) highlight the potential dangers of the overly widespread and questionable lending practices that have plagued the industry.
Ledn Chief Strategy Officer Mauricio Di Bartolomeo said Ledn users have continually asked about an Ether offering and remain confident that it would be a favorable alternative to self-managing eth:
“This yield option is significantly easier to set up than native eth staking. Looking ahead, we are working to implement eth support across the entire Ledn product suite in the coming months.”
Ledn also announced that it will launch a second stablecoin growth account, and users will be able to deposit and earn interest on USDT tokens starting October 12. These new offers will not be available to users in the United States or Canada.
Ledn is not the only bitcoin pioneer that has gradually rolled out support for cryptocurrencies other than btc. Casa, a non-custodial wallet platform that started as a bitcoin-only service, launched automatic multi-signature eth storage in June 2023.
Ledn also announced a partnership in August 2023 with Cayman Islands real estate company Parallel that would allow cryptocurrency users to invest in property as a means to eventual residency.
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