XCoins is a California-based peer-to-peer lending domain or platform, which is designed to establish a liaison between the Bitcoin lenders and the borrowers. The company operates in more than 40 countries. However, loans which originate on the platforms are basically person to person. XCoins merely plays the role of a middleman, which only ensures seamless transaction.
How the company works
The company guides its customers to procure Bitcoins with the help of ‘secured loans’. Another the loan can be paid using methods that are authorized by PayPal. However, in case the customers are not willing to procure Bitcoins any more, they instantly get back their money – much unlike the other regular exchanges.
Customers can join XCoins without investment as well and those who lend Bitcoin have the leverage of determining their own rate of interest, collect fees against origination of load and Paypal processing. However, the company recommends that it is best for the customers to set the interest rate at 15 percent to start with.
Methods of Payment
The modes of payment supported by XCoins include:
- Major credit cards, American Express, Discover, Visa
- Debit Cards
- From the bank accounts that use ACH or Automated Clearing House
- PayPal Balance and credit
The PayPal processing fees are 2.9 percent plus $0.30 over the amount of loan and interest, and the loan origination fees are 5 percent of the loan amount or higher. However, that depends upon the total lending volume. The transfer fee that is payable to the Bitcoin miner is 0.00025 BTC.
Customers using XCoins for the first time have to wait for 3 hours in case of transactions carried between 8 AM and 6 PM PST and 12 hours for transactions they carry out between 6 PM and 8 AM PST. The minimum loan amount is $10.00 and the maximum loan amount in $1000.
- User friendly verification process
- A highly professional customer service and a prompt TAT
- Absolutely safe and secured with multi layered safety cushions
- Two-tier authentication
- Customers can receive Bitcoins instantaneously once the pay the lender
- Scope of hacking persists and it was hacked in January 2017
- Lackluster publicity
- Website is not comprehensively designed
- Low ceiling of maximum loan
XCoins has a sound affiliate program wherein the affiliates can earn in 3 different methods. They can refer the lenders, borrowers, and even other affiliates, who are also termed as sub-affiliates. The affiliate commission is then calculated as the percentage of the origination fees of loans. It can be equal to or more than 5 percent of the amount of transaction.
The company pays affiliate commissions for the entire lifetime of the customers. The borrowers get referral amount of 15 percent of the transaction fees for tier 1 and 3 percent for tier 2. Also the same applies for the lender referrals. The company also claims that they pay up to as much as 50 percent of the transaction fees. They also are of the opinion that besides the percentage of their affiliate commission being high, their transaction fees are maximum amongst all the sites dealing with peer-to-peer Bitcoins.
XCoins Affiliate Review
Basically a peer to peer Bitcoin lending platform, Xcoins seems to be trying to do all the right things but keeps coming up short. As the “middleman” the fees seem a little on the higher side, and their platform still suffers from stability issues. Combine that with some highly publicized hacks and you’ve got enough to scare us away. However they are certainly worth revisiting in 6 to 12 months to see if they’ve lowered fees and ironed out the kinks.