The most private, safe and fast way of lending secured with bitcoin collateral
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The loan offers from lenders are submitted via our support during the beta testing period.
Send your request and we will review it as soon as possible. Once the beta testing period is over, the lenders will be able to publish their offers without restrictions. Thank you for understanding.
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Biterest allows the Lender to accept multiple applications. However, the Lender may not have more than %s applications which are awaiting collateral or the transfer of funds. You will be able to accept applications again once one of them has been cancelled or the credit period has been started. Now the applications ID :linkIds: are pending.
In some circumstances it may to be possible to remove this limit. To do so, please contact support and we will consider your application.
You can not accept this loan application as it has been already accepted by another Lender. Select available loan application.
No, Biterest is not a bank or a finance company. It is a lending marketplace, providing an intermediary service in respect of the peer to peer lending process between the lender and the borrower. Our entire platform is online, cloud-based and automated, which means we are open for business 24/7.
Biterest respects privacy and does not require any personal information from the users. To become a borrower you only need to provide your email address.
To get a loan, we firstly recommend you to learn the loan offers published by the lenders. Choose the loan offer which matches your needs and apply for a loan. If none of the offers is suitable for you, click the Apply for a loan button, specify your own loan terms and wait for your application to be accepted by a lender
Biterest respects privacy and does not require any personal information from the users. To become a lender, you only need to provide your email address.
To issue a loan, choose a suitable loan application published by a borrower. and follow instructions to transfer the money. Currently, the lenders’ offers for issuing loans are in beta-testing mode. Contact our support to get additional information.
Yes, on Biterest all loans must be collateralized with bitcoin. The borrower must transfer the necessary amount of Bitcoin to a multisig-address in order to secure the loan application with collateral. After the loan application has been collateralized, the borrower’s payment details become available to the lender who will transfer the money.
The borrower can provide the collateral in two ways: transfer the collateral upon submitting the loan application or publish the application on the platform and then transfer the collateral after the lender has accepted it.
The amount of collateral depends on the loan amount, annual interest rate, loan period and discount. The higher the discount the borrower indicates, the greater the amount of collateral that will be required. The required collateral amount is calculated on the average BTC / USD rate.
For example, a borrower applies for a loan: the loan amount is $1500, the annual interest rate is 20%, the loan period is 90 days. The total loan repayment amount is 1500 + 1500 x 20% x 90 / 365 = $1573,97. The discounted collateral value is 30%, so the initial collateral value is 1574 / (1 - 0,3) = $2248.57. For example, if the BTC price was $3600 at the moment of submitting a loan application, the collateral amount would be 0,62460278 BTC.
The collateral is stored on a multisig address until the end of the loan period. A new multisig address is created for each new loan because it is a combination of three public keys (borrower’s, lender’s and Biterest’s). To access the bitcoin on the multisig address requires at least two corresponding private keys. Each party of the loan owns only one private key. This means that neither Biterest or anyone else is able to get access to the collateral.
When the BTC rate decreases, the collateral value decreases too. If its value decreases and becomes equal to the repayment value (the amount which the borrower requires to payout to the lender), Margin Call will occur. This means that the loan forcedly stops and the lender receives Biterest’s private key to access the collateral.
To reduce the risk of Margin Call occurrence, the borrower needs to increase the discount rate. We recommend specifying it at least 30%.
The annual interest rate is a percentage to a loan amount which the borrower pays to the lender for a one-year loan duration. If you get a loan of 10,000 USD for one year with an annual rate of 20%, you will pay 2,000 USD. If the loan duration is 90 days, then you will pay 493 USD (10,000 * 20% * 90/365 = 493).
A requested loan amount can be transferred either in fiat currency (PayPal, Yandex.money, WebMoney, QIWI) or cryptocurrency (Bitcoin, Ethereum, Bitcoin Cash, Ripple). All transfers between the lender and the borrower are made directly.
Using cryptocurrencies as a transfer method, you can get a loan in several minutes with a minimum commission regardless of how high a loan amount is or your current location. Then you can exchange it for a preferred cryptocurrency or easily convert into fiat currency.
The payment systems for electronic fiat currencies have restrictions on the amount being transferred depending on the user’s registration country. Please ensure in advance whether you are able to send or receive money using the selected payment system.