How to Lend Cardano (ADA): A Step-by-Step Guide

Introduction

Lending Cardano can be a great option for those who want to hold ADA but earn yield. The steps can be a bit daunting, especially the first time you do them. That’s why we’ve put this guide together for you.

Step-by-step guide

1. Obtain Cardano (ADA) Tokens
To lend Cardano, you need to have it. To get Cardano, you’ll need to buy it. You can pick from these popular exchanges.
Platform Coin Price
Nexo Cardano (ADA) 0.73
PrimeXBT Cardano (ADA) 0.73
Uphold Cardano (ADA) 0.73
YouHodler Cardano (ADA) 0.73
Kraken Cardano (ADA) 0.73
OKX Cardano (ADA) 0.73
See all 73 prices
2. Choose a Cardano Lender
Once you have ADA, you’ll need to choose a Cardano lending platform to lend your tokens. You can see some options here.
Platform Coin Interest rate
Nexo Cardano (ADA) Up to 8 APY
YouHodler Cardano (ADA) Up to 12 APY
Bitget Cardano (ADA) Up to 1.8 APY
Blockchain.com Cardano (ADA) Up to 1 APY
See all 12 lending rates
3. Lend Your Cardano
Once you’ve chosen a platform to lend your Cardano, transfer your Cardano into your wallet in the lending platform. Once it’s deposited, it will start earning interest. Some platforms pay interest daily, while others pay weekly, or monthly.
4. Earn Interest
Now all you need to do is sit back while your crypto earns interest. The more you deposit, the more interest you can earn. Try to make sure your lending platform pays compound interest to maximise your returns.

Platform	Coin	Price
Nexo	Cardano (ADA)	0.73
PrimeXBT	Cardano (ADA)	0.73
Uphold	Cardano (ADA)	0.73
YouHodler	Cardano (ADA)	0.73
Kraken	Cardano (ADA)	0.73
OKX	Cardano (ADA)	0.73

Platform	Coin	Interest rate
Nexo	Cardano (ADA)	Up to 8 APY
YouHodler	Cardano (ADA)	Up to 12 APY
Bitget	Cardano (ADA)	Up to 1.8 APY
Blockchain.com	Cardano (ADA)	Up to 1 APY

What to be Aware of

Lending your crypto can be risky. Make sure you do your research before depositing your crypto. Don’t lend more than you’re willing to lose. Check their lending practices, reviews, and how they secure your cryptocurrency.

Latest Movements

Cardano (ADA) is presently priced at US$1.8 with a 24-hour trading volume of US$1.27B. The market cap of Cardano stands at US$32.98B, with 35.86B ADA in circulation. For those interested in buying or trading Cardano, Nexo offers ways to do so safely and efficiently

Market cap: US$32.98B
24h trading volume: US$1.27B
Circulating supply: 35.86B ADA

See the latest information

Frequently Asked Questions About Borrowing Cardano (ADA)

What is Cardano (ADA) and how does it function?: Cardano (ADA) is a blockchain platform designed for developing decentralized applications (dApps) and smart contracts. Launched in 2017, it utilizes a unique proof-of-stake consensus mechanism called Ouroboros, which enhances security and energy efficiency. Cardano's architecture consists of two layers: the Cardano Settlement Layer (CSL) for transactions and the Cardano Computation Layer (CCL) for smart contracts. This design promotes scalability and flexibility, enabling developers to create innovative solutions while maintaining a secure environment.
What distinguishes Cardano from other blockchain platforms?: Cardano distinguishes itself through its research-driven approach, employing peer-reviewed academic research to guide its development. Its unique two-layer architecture separates the settlement layer, which handles ADA transactions, from the computation layer, which facilitates smart contracts. Additionally, Cardano utilizes the energy-efficient proof-of-stake consensus mechanism, Ouroboros, rather than traditional proof-of-work, making it more sustainable. This combination of features enhances security, scalability, and flexibility, positioning Cardano as a leading blockchain platform.
How does Cardano's proof-of-stake mechanism function?: Cardano's proof-of-stake mechanism, called Ouroboros, allows users to validate transactions and create new blocks based on the amount of ADA they hold and are willing to stake. Validators, known as stake pool operators, are selected to create blocks in proportion to their stake, which incentivizes participants to maintain and invest in ADA. This energy-efficient approach enhances network security and decentralization compared to traditional proof-of-work systems, enabling more users to engage in the validation process while reducing environmental impact.
What are the primary use cases for Cardano (ADA)?: Cardano (ADA) supports various use cases, particularly in decentralized finance (DeFi), identity management, and supply chain solutions. Its smart contract functionality enables the creation of decentralized applications (dApps) that facilitate secure peer-to-peer transactions, lending, and trading. Additionally, Cardano aims to enhance digital identity verification through blockchain technology, allowing users to manage their identities securely. The platform's architecture also supports transparent and traceable supply chain management, promoting efficiency and trust across industries.
How does Cardano ensure the scalability of its network?: Cardano ensures scalability through its unique two-layer architecture, consisting of the Cardano Settlement Layer (CSL) and the Cardano Computation Layer (CCL). This separation allows for efficient transaction processing alongside smart contract execution. Additionally, Cardano employs the Ouroboros proof-of-stake mechanism, which enhances transaction throughput without compromising security. Future enhancements, including the implementation of sharding and sidechains, are planned to accommodate increasing user demand and improve overall network performance.