Choosing an Interest Rate

Borrow helps you compare available loan options across supported lenders so you can select the interest rate model and terms that best fit your needs before taking out a loan.

What Borrow displays during loan creation

When configuring a loan, Borrow presents:

• the current interest rate offered by each lender

• whether the rate is variable or fixed (if available)

• the required collateral for the chosen loan

• resulting LTV

• any fees included in the loan

This allows you to evaluate cost, predictability, and risk across lenders.

Choosing a variable (floating) rate

A variable rate may suit you if:

• you want the lowest possible rate today

• you’re comfortable with rates that may move

• you plan to monitor your loan and market conditions

• you expect stable or declining borrowing demand

Considerations

• variable rates can rise during market volatility

• increased interest costs may affect LTV

• borrowers should track how rate movement affects loan health

Choosing a fixed rate

A fixed rate may suit you if:

• you prefer predictable borrowing costs

• you want to avoid fluctuations during volatility

• you are risk-averse or planning a long-term loan

Considerations

• fixed rates may be higher than variable rates

• availability depends entirely on the lender

• fixed-rate BTC-backed loans are less common in crypto markets

After your loan is created

Once active:

• your interest rate follows the model defined by the lender

• variable rates may move up or down over time

• Borrow displays your current rate and LTV in the dashboard

Borrow’s role

Borrow provides visibility and comparison tools when you open a loan. Rate management decisions remain with the borrower.