Share lending provides a hassle-free way to earn income on stocks already in your portfolio. And there’s no restriction or limitation on transacting in your stocks - you can still sell them at any time.
There are, however, other considerations to be mindful of. For example, you’ll receive “cash in lieu” for any dividends paid while your shares are on loan - which can have a different tax treatment than regular dividends. Additionally, your stock may not be covered under Securities Investor Protection Corporation (SIPC), and you’ll relinquish voting rights while the shares are on loan.