Bithumb Halves Cryptocurrency Lending Leverage and Cuts Loan Limits by 80%

According to a report by Golden Finance, South Korean exchange Bithumb has tightened its cryptocurrency lending service rules after one month of launch, halved its leverage ratio, and significantly reduced loan limits to address investors' risk concerns. According to the South Korean newspaper "National Daily", the exchange announced on Monday that it has resumed its cryptocurrency lending service, which was suspended on July 29th due to "insufficient lending volume". According to reports, Bithumb stated, "After a comprehensive review of the entire service, we have made some adjustments to protect investors and improve service quality." The company has reduced the maximum leverage ratio from 4 times to 2 times and lowered the maximum borrowing limit from 1 billion Korean won (726000 US dollars) to 200 million Korean won (145000 US dollars), a decrease of 80%. The new borrowing limit even applies to investors whose cumulative trading volume has exceeded 100 billion Korean won (72 million US dollars) in the past three years.