Binance has one of the most influential crypto communities. Their mining pool is exceptionally large, and they have introduced an initiative to support their fellow crypto miners and digital asset infrastructure, providers.
Through this project, Binance aims to provide public and private blue-chip Bitcoin mining and digital asset infrastructure companies with a secure finance service. This initiative will allow these companies to get the funding they require to facilitate growth and expansion.
This initiative permits eligible companies to withdraw loans of $500 million. However, there are certain terms & conditions they require to follow. There are 18-to-24-month term plans available, interest rates for this program can range from 5% to 10% and offering security in the form of physical or digital assets that the Binance team approves of, for this loan. More terms and conditions may be revealed once the process for application of this loan begins.
The Binance pool team is looking to work with cloud mining vendors. The team wishes to launch cloud mining products in the future. Binance pool will be purchasing cloud mining hash power from Bitcoin mining and digital infrastructure providers, they are seeking out reliable cloud mining vendors to work with.
Jihan Wu, the founder of crypto mining rig maker Bitmain, has also been designing an initiative to support the crypto-mining industry. They plan to set up a $250 million fund to purchase distressed assets from mining firms.
Firms like Maple Finance, a DeFi platform, and Grayscale have ongoing projects that aim to facilitate the crypto ecosystem by supporting the crypto mining industry. Maple Finance has a lending pool with a 20% interest rate.
Despite the major advancements and development being introduced, the crypto market has been struggling this year. This has brutally hit the mining industry. Major mining companies like Compute North have filed for bankruptcy, while Riot Blockchain and Marathon Digital Holdings have reduced by 70% and 65%, respectively.
