The world’s largest crypto exchange platform is announcing plans to raise hundreds of millions of dollars to support Bitcoin (BTC) mining.
In a new company press release, Binance says it is launching a $500 million fundraising pool to support the crypto mining industry.
“As one of the world’s leading crypto mining pools, Binance Pool has a responsibility to help maintain a healthy digital asset ecosystem. In light of current market conditions, Binance Pool is launching a $500 million lending project to support crypto miners and digital infrastructure providers.
The first of its kind for Binance Pool, this project was designed to provide secure debt financing services to both public and private blue-chip Bitcoin (BTC) mining and digital asset infrastructure companies globally.”
According to Binance, its goal is to provide access to $500 million worth of loans to crypto miners. Eligible borrowers would have to agree to specific loan terms, including a length of 18 to 24 months, interest rates between 5% and 10%, and putting up satisfactory collateral.
Furthermore, Binance says it’s looking to launch cloud mining services and is looking to partner up with cloud mining vendors.
Earlier this month, Binance CEO and billionaire Changpeng Zhao said that the firm has over $1 billion in its coffers to spend on various deals.
According to Zhao, Binance has interest in acquiring troubled crypto lending firms.
“We did look at a lot of lenders in recent months because that’s where all the issues are. Many of them, they just take a user’s money and give it to somebody else. There’s not a lot of intrinsic value. In that case, what’s to acquire? We want to see real products that people use.”Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
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