Posted by Don L on October 23, 2019
High-Yield APY Accounts

Published on October 23rd, 2019 | by Don L

71

Crypto Lending Options

This is a list of various ways to lend out and earn interest on your crypto currency holdings.

Crypto currency lending is a developing area and this an experimental page (far from complete).  We welcome any knowledge that you have on the topic.

Background – My Motivation

I Have a Few Coins

Through various crypto giveaways I’ve accumulated a small collection of crypto currencies.

And the bonus crypto has just been sitting in various wallets and exchanges, sort of like gold in a vault (junk in a trunk?).

Why not earn interest?

But recently I learned that instead of letting the coins sit like gold in a vault, a number of companies/platforms will pay interest on crypto deposits (my crypto deposits would earn interest similar to traditional financial assets).

It’s not exactly a free lunch (figurative), [not to be confused with the (literal) many free lunch deals covered by DoC 🙂 ] as greater returns are generally accompanied with greater risk.  And the risk premiums for these crypto lending options are quite large.

But I figured it was worth a look.

[Free lunches and free money, I’m very grateful Will and Chuck have been serving me and the rest of the free money people since 2013.  What’s better than daily notifications of the $20 bill (sometimes $200 bill) lying on the street?]

Should I just sell instead?

Probably … sell and buy a broadly diversified, low cost index fund [then close up the laptop and head over to MMM Headquarters for some squats].  At least that’s the traditional wisdom [certainly the squat part … the king of exercises?].

But I’ll HODL.  Maybe I could rationalize the investment as a portfolio diversifier, or an asset class with a large potential upside.  But I figure it’s sort of a fun gamble, a small investment where even if it’s a total loss I’ll survive to invest another day.

Options

BlockFi

Details

  • Name: BlockFi Interest Account (BIA)
  • Minimum Investment: None
  • Maximum Investment: Rate is Reduced when BTC > 5 or ETH > 500
  • Fees:
  • Withdrawal Limits:
    • Minimums: 0.003 BTC, 0.056 ETH (smaller withdrawals then these may take 30 days to process)
    • Maximums: 100 BTC, 5K ETH, 1M GUSD per 30 day period
  • Supported Currencies: BTC, ETH, GUSD
  • Interface: Web/Browser

Return

  • Interest Rates: (@ 2019-10-11)
    • BTC – 6.2% APY,
    • ETH – 4.1% APY,
    • GUSD – 8.6% APY
  • Interest Payment Schedule: Monthly
  • Interest Type: Compounded Monthly
  • Interest Paid Currency: Your Choice

Risk

  • Lockup Period: None
  • Custodian: Gemini
    • Gemini is licensed by the New York State Department of Financial Services
  • Sense of Legitimacy

Complexity

  • My Experience:
    • Inital Setup: 10-15 Mins (easy setup)
      • Requires KYC: DoB, SSN (no hard pull), and Government ID upload
      • Web/Browser Interface is clean/simple to use
  • Others Experience (from the Comments):

Links

BlockFi Referral [*Referral Code: 536e28ad enter on signup] | Direct Link

*BlockFi Referral Program – Make a minimum deposit of $100 in crypto and keep it invested to the end of October 2019 to receive $10 in BTC.

  • For each person you refer with your link that creates a new account, makes a minimum deposit of $100 worth of crypto, and maintains a >= $100 crypto balance through the end of the month, you’ll both receive $10 in Bitcoin.
  • Each referral must create a new account and make their first deposit before October 31, 2019.
  • Each person you refer must use your referral code and ensure that your 8-digit code is included in the Referral Code field when they create their account.

Celsius

Details

  • Name: Celsius Network Wallet
  • Minimum Investment: None
  • Maximum Investment: None
  • Fees:
    • No Account Fee
    • No Withdrawal Fees
  • Withdrawal Limits:
  • Supported Currencies: BCH, BTC, BTG, CEL, DAI, DASH, EOS, ETH, GUSD, LTC, OMG, ORBS, PAX, TAUD, TCAD, TGBP, THKD, TUSD, USDC, USDT, XLM, XRP, ZEC, ZRX
  • Interface: App (available Apple and Android versions)

Return

  • Interest Rates: (@2019-10-11)
    • BTC – 4.65%
    • ETH – 3.25%
    • GUSD – 8.20%
    • USDC – 8.20%
  • Interest Payment Schedule: Weekly
  • Interest Type: Simple Interest (Interest does not earn interest)
  • Interest Paid Currency:  in-kind (the same currency deposited)
    • [Not Available in US] Celsius has their own CEL tokens which can be earned as interest payments but are not available in the US (more on CEL Token per comment)

Risk

  • Lockup Period: None
  • Custodian: BitGo
    • Insurance: Not on deposits (details)
  • Sense of Legitimacy
    • Investors: ICO Proceeds
    • Assets: 300M+
    • Offices: UK (London), US (NY, NJ), IL (Tel Aviv)
    • Background Article: Link

Complexity

  • My Experience:
    • Initial Setup: 15-20 mins (fairly quick)
      • Requires App Installation
        • Available for Apple and Android Devices
        • App is good with a few quirks
      • Requires KYC: DoB, SSN (no hard pull), Government ID (pictures taken within app)
  • Others Experience (from the Comments):

Links

Celsius Referral [*Referral Code: 1039135092 enter on signup] | Direct Link

*Celsius Referral Program – $200 deposit required within 5 days for both parties to receive $10 in BTC [enter code during registration].  Wallet balance value is based on time of deposit (all coins qualify).

Nexo

Details

  • Minimum Investment: $1 (in stable coins per chat)
  • Maximum Investment: $2M
  • Fees:
    • No Account Fees
    • No Withdrawal Fees
  • Withdrawal Limits:
    • $20,000/day cryptocurrency with no verification
    • $100,000/day cryptocurrency with basic verification
    • Bank withdrawals require advanced verification (KYC)
      • $200,000/month (up to $2M on request)
  • Supported Currencies: DAI, PAX, TUSD, USDC, USDT
  • Interface: Web/Browser

Return

  • Interest Rate: (@ 2019-10-22)
    • 8% APY (all currencies)
  • Interest Payment Schedule: Daily
  • Interest Type: Compound
  • Interest Paid Currency: In-kind

Risk

Complexity

  • My Experience
    • Initial Setup 10-15 mins
      • I was able to quickly create an account online
      • Needed to enable two factor authentication before deposit (I’ve used Google Authenticator app with all the services listed on this page)
    • Does not appear to require KYC for interest earning on stable coins
    • Minor Confusion – all stable coins are listed under the one Stablecoins entry in the accounts management screen
  • Others Experience (from the Comments):

Links

Nexo Direct Link

Not Currently Listed

Proof of Stake Coins

  • Examples: Algorand, Dash, Decred, Tezos

Decentralized Finance (DeFi) Platforms

  • Examples: Compound, dYdX, MakerDAO, Nuo

Lending Bots

  • Examples: Coinlend, Cryptolend

Additional Companies

  • Examples Binance, Crypto.com, …

Peer-to-Peer Crypto Lending

Analysis

Comparison

Risk/Trust

On the trust spectrum, I feel most comfortable with BlockFi and least comfortable with Nexo.  Nexo raises enough red flags with a lack of transparency (regulator, location, …) that I’m hesitant to invest much with the platform.  But in fairness Nexo does appear to be one of the most popular options available and has a relatively long track record in the space.

Return

Nexo is the quickest interest payer (daily) and BlockFi is the slowest (monthly).  Celsius is in the middle (weekly), but while Nexo and BlockFi offer compound interest (which I view as the normal way of paying/earning interest – where you earn interest on your interest) Celsius does not pay interest on earned interest which is a confusing negative.

Complexity (Startup)

It was quick to get started on all the platforms (all under 15-20 mins).  Nexo was probably the quickest with no KYC, while Celsius took the most time with the app only interface.

Signup Bonuses

BlockFi and Celsius are both currently offering referral signup bonuses, while Nexo is not.

Scenarios

Perhaps a couple scenarios might be helpful, the following were two of my goals:

Goal: Earn the highest rate lending bitcoin (BTC)

With the goal of earning the highest rate on my BTC, I went to LoanScan clicked on the Crypto tab and then sorted by the BTC column.   On 2019-10-12, I saw that BlockFi was offering the best rate so I moved my BTC there.

Goal: Earn the highest rate lending USDC stable coins

From an investment perspective, I believe that Will was right on in stating that it is better to stick with a high yield savings account and earn a higher rate with less risk, than to convert your dollars into USDC stored at Coinbase and earn 1.25%.

But what if we could get a significantly higher rate?  Using LoanScan, on the U.S. Dollars tab, I sorted by the USDC column.  On 2019-10-12, I saw that Celsius was offering the best rate at 8.20%.  So I decided to trade a number of altcoins into USDCs within my Coinbase account and then transfer the USDCs to Celsius.

Note: 8.20% was not the best stable coin rate overall, per LoanScan BlockFi was offering 8.60% on GUSD.

Tools

FAQs

How does my crypto earn interest?

These platforms lend out your crypto to borrowers in the form of collateralized loans.  [Celsius FAQ], [BlockFi Who Borrows]

Generally the loans are over-collateralized in that borrowers can only borrow a portion of the assets put up as collateral (but this may vary by the credit worthiness of the borrower/institution).

Taxes

I believe interest earned is taxable, BlockFi specifically notes they will generate a 1099-INT.

Available in my State?

The platforms are available to residents of most states.  Exclusions:

  • BlockFi: CT, NY, WA, and WY
  • Celsius: NY, TX (Stable Coins), WA

Risks

In addition to all the standard warnings, this is not financial or legal advice.  Please do your own research and thinking before taking any actions.  The following is a list of potential risks, but there are more risks than those listed below.

  • “No Insurance” Risk
    • Deposits in crypto lending platforms are generally NOT insured.  They are NOT insured by the FDIC, NCUA, or SIPC.
    • Some platforms have insurance provided by third party insurers/custodians (like BitGo) but this is not government backed insurance, and it may only insure a portion of a loss (at the company vs. the individual account level).
  • Price Risk
    • Many crypto currencies are highly volatility and may drop significantly in price over very short periods of time
    • Some stable coins (which are pegged to less volatile currencies like the USD) should be less volatile
      • But stable coins have their own risk factors and may not perform as expected in all market conditions
  • Technology Risk
    • The technology underlying the crypto currencies and the lending platforms and protocols may break or fail
      • The platforms may get hacked, fail under high load, encounter bugs, …
  • Counterparty/Bankruptcy Risk
    • The lending companies may fail
      • Insurance may offer some protection
      • Decentralized (DeFi) protocols may offer some protection by removing the middle man (but may have their own risk factors)
  • Legal Risk
    • Regulatory structures and legal precedent may not be well defined around these technologies
  • Economic Model Risk
    • The models (asset securitization, incentive structure, …) may not always work as intended, or may be exploitable
    • In addition the governance of the coin or protocol may fail
  • User Error Risk
    • You may mess up when entering an address and transfer funds to the wrong location, or lose your key and the ability to access your funds.
    • In general, there is no undo button or reversal process
  • Market Risk
    • There is a large spread between the risk free savings rate and the interest rates offered by these crypto lending platforms (a large risk premium).  The wisdom of the market views these lending options as riskier than traditional savings products.
  • Rate Risk
    • Rates earned on crypto currencies will fluctuate with market conditions and are not guaranteed for any period of time.

Final Notes

If this post is helpful to the community, I’ll fill it out with more options and links to valuable comments.

All the Best!



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A M
A M

Thanks for such a thorough article!

Dave

I’m happy to see this post on crypto lending option and earning higher interest than the online banks like Ally and Marcus.

I’ve been using Nexo to stake my USDC stablecoins since spring of this year and I’m very happy and strong advocate of their service. When I signed up they were offering 6% APY on USD stablecoins now its been boosted up to 8% APY which is 4X the rate you can get from Ally or Marcus.

I have accounts on Nexo and Celsius and believe they’re the strongest in this space. If anyone is hesitant, I recommend transferring a small amount (via Coinbase) and giving it a try for a few weeks to familiarize yourself with the features and how to deposit and withdrawal.

Frank

I’ve got some Emerging Market 3x Levered ETN from JP Morgan that yield 10% APY (5x the rate you can get from Ally or Marcus). People should really consider these as an alternative to FDIC insured cash deposits

Dave

I agree. People should research any and all options to earn a higher yield.

Neil Degrasse
Neil Degrasse

is that fund only from JP Morgan? I’ve got Vanguard, Schwab, and a few others. What’s the symbol for the fund? Is the 10% pretty much guaranteed or does it fluctuate quite a bit? I’m a newbie when it comes to mutual funds / stocks. thanks!

Ken
Ken

I’ve never heard of this fund either, but will check it out. Did a google search and found this post which might have an answer you’re looking for.
https://www.thebalance.com/a-list-of-3x-leveraged-etfs-1214924

Neil Degrasse
Neil Degrasse

I’m curious..

Is Nexo FDIC insured? What happens when it shuts down suddenly, or the founder dies/steals all the funds? https://www.theverge.com/2019/2/3/18209586/cryptocurrency-quadrigacx-loses-190-million-founder-died-password

About how much do you actually keep with them? 8% sounds good, so I’m curious, and don’t know much about this aspect. I don’t keep any crypto holdings… I typically sell instantly after I get crypto (I went through the 2018 crash). But yeah, buying stablecoins and earning 8% does sound a bit tempting. I’m just curious to see how risky it is in reality.

Dave

On the Nexo website it states that they have insurance on the funds from BitGo up to $100 million and it’s been in the financial space for over 10 years, fully regulated and licensed. But they haven’t publicly released their independent audits.

I’ve been using them since this spring and they continue to grow their business with more customers and more profits.

I recommend opening an account and putting some money and see your interest build daily. Hopefully your confidence will grow in their service.

Neil Degrasse
Neil Degrasse

That’s cool. Worth a shock. Can I buy a stablecoin on say Coinbase and just transfer it over to Nexo?

Finally, is there any bonus sign-up or referral bonus?

Dave

That’s what I do. I buy USDC on Coinbase and transfer to my Nexo wallet address. Interest is credited every day at 12AM GMT. They will still credit your account if interest is below $0.01…you just need to open your USDC wallet address to see the fractional balance.

Unfortunately no signup or referral bonuses are offered for Nexo.

However there is a referral for Celsius Network, they have a $20 bitcoin bonus if you deposit $1000 or more in crypto like USDC (you get $10 in first 5 days and next $10 bitcoin if you keep $1000 or more after 90 days). You can use my referral https://celsiusnetwork.app.link/1478846f4c (or use promo code 1478846f4c)

I like to spread my risk and keep some money in Nexo and Celsius but only prefer Nexo since interest is paid daily whereas Celsius pays every Monday. Both offer the same rates. However you do get that extra $20 bitcoin which is a great bonus on top of the 7-8% APY 🙂

Trojan Dave

Good catch! I guess Celsius changed their terms of the bonus.

P.S. i changed my name from Dave to Trojan Dave to make it more unique in the DoC community 🙂

Trojan Dave

Good catch! I didn’t notice the change in the Celsius bonus.

P.S. I changed my name from Dave to Trojan Dave to make it unique in the DoC community

Dave

Good catch! I didn’t notice the change in the Celsius bonus.

Dave S

P.S. updated my name to Dave S to make it more unique in the DoC community 🙂

A M
A M

Dave, thanks for this post and all the others you made. Do you know the tax implications of holding stablecoin like USDC and earning the interest in Nexo or Celsius?

parkdanil

I’ve used BSave.io to bank my BTC for many years in the past. They were acquired by Celsius recently. Also back in 2013-15 I would use BTCJam to get crypto loans for buying mining equipment.

Jorge Ramos
Jorge Ramos

Anyone has experience with the Crypto_com interface? started looking at them last week, have an account but haven’t invested or taken out their debit card. Looking for reviews.

Russ
Russ

Great info, but you left out Crypto.com which has far more options than the ones you mentioned. They also offer a debit card with rewards that people around here should be able to maximize easily. I’ve used and like Nexo the best of the options you mentioned. They also pay dividends on their own token if you hold it in their account.

And a warning from someone who’s been through the school of hard knocks:

NEVER put all (or even a large chunk of) your coins in one of these things. You’d flip if you knew how many I’ve lost over the years. Proceed as if the insurance is worthless and there’s a strong chance at least one of them will disappear with your coins.

Jorge Ramos
Jorge Ramos

How’s your experience so far with crypto.com? Did you get also any of the cards they offer? Thanks,

Jay
Jay

I’ve had a good experience with them so far. I haven’t tried the earn feature yet but they have some rates that are better than what’s mentioned in this post (12% USDC).

I just got the debit card and have received a few interest payouts.

One thing I noticed is you can’t sell crypto back for USD in the app but there’s lots of ways around this. You could transfer USDC to CB Pro where you can convert to USD for free.

Mike
Mike

If you use decentralized apps they never have your coins….that’s the selling point. Compound and dydx for example never hold your coins. They’re in a contract. Now that doesn’t eliminate risk since the code for the contract may be faulty…

BlissfulApathy
BlissfulApathy

Bisq, imo, is really the best option at present as far as DEXes go, but it’s not yet user-friendly enough for most people.

Russ
Russ

Jorge Ramos the complexity of Crypto.com doesn’t lend itself well to a blog comment, but I’ll try… I have only had positive experiences with Crypto.com. I joined in August and bought MCO to stake when it was at a low point vs BTC, so I’m staked at the 5k MCO (white card) level. The 500 MCO level is only about $1700 right now, and if you max out the $25k spend at 3%, you can earn your investment back in under 3 mos. You also earn rewards on pin-debit spend, not just credit spend, hint hint. The card works like any reloadable prepaid debit. You can add funds by converting from any supported crypto or push USD by ACH from your bank to the app then move it onto the card.

I also have their BTC “earn” product which gets 8% APR, though rates have fallen recently for new ones. Think of “earn” like a CD – you can get 3-month, 1-month, or no commitment terms with differing APRs.

They offer very high APRs on some of the lesser coins e.g. 18% APR on their CRO token.

The biggest downside for me is that it is app-only. I have no way to export a statement, so I’ve been taking copious screenshots and recommend everyone do that. I’ve lost thousands of coins to exchanges over the years and having proof of your holdings is essential.

They are not US-based so your recourse is limited, though the card is issued by Metropolitan Commercial Bank of NY, so I consider that part of it relatively safe. My coins are worth a lot more than the money I have on the card, though, so it doesn’t help much.

They claim to give you crypto exchange rates “at cost” but I’ve seen anywhere from 1%-3% slippage vs major exchanges like Binance, Coinbase, Bitfinex, and Bitstamp. Perhaps they’re giving market order pricing at their preferred exchange, but with their volume they really should be able to convert with fees below 0.2%. I suspect this is their profit center and I don’t like that its hidden.

Jorge Ramos
Jorge Ramos

@Russ Thank you for your this comment on the experience you have had with them.

I do have coins in several other exchanges, I was even on cryptopia which got hacked and shut down for investigation, lost some coins unfortunately on that.

My plan was to start small, I opened the Ruby card (50 MCO stake) and it’s already processing, I like your thinking on making back the investment by the 3% back on the card (the ruby makes 2%), although I would have to consider missing out on CC points, extended warranties (which have saved me several times), etc. That would be the risk on making most expenses on the card. But it would be possible to use on some purchases. Not sure if I would be able to upgrade later to a higher tier card, I’ll have to check on that.

On the earn portion of the app, I’m going to play around for now with a stablecoin at 3 months and see how that works out, if I like it, I would be trying with higher amounts or other cryptos like their own crypto coin to get a higher return.

Also, great tip on the screenshots for records, I’ll be doing that as well.

TatyG
TatyG

Russ They have a referral program. Could you please share your referral code? Thank you.

Russ
Russ

Thanks TatyG my referral link is [removed] We each get $50.

William Charles

Don’t post your links unless it’s specifically allowed.

Russ
Russ

William Charles So how do we give them to people when they’ve specifically asked for them?

William Charles

You don’t. Referrals are only allowed to be shared when it’s specifically allowed in the post. Otherwise you have people asking for them in every single thread and the comments become nothing but referrals.

Neil Degrasse
Neil Degrasse

where’s the link? what are the requirements to get the $50? I didn’t see any mention of $50 on the page. thanks

Brian C

Doc removed the referral link.

Russ
Russ

Since we have no posting referrals allowed, anyone who wants it can email me: [removed]

William Charles

You’ve been told to stop sharing referrals. Obviously sharing your e-mail and asking people to e-mail is just as bad. Stop trying to break the rules. YOU’RE NOT ALLOWED TO SHARE THEM UNLESS IT’s SPECIFICALLY ALLOWED.

Zephyr
Zephyr

This is some really good info. Could you post your referral link for us so you can get credit? Thanks!

Mike
Mike

Any reason why DOC is not showing up as a BAT certified site anymore? It had been, and I had left a few tips, but it no longer registers in Brave browser as certified.

William Charles

Not sure, I’ll look into it

Mark
Mark

It shows as verified for me.

Evan
Evan

On the topic of cryptocurrency, does anyone know of a fiat-crypto exchange (supporting US customers) that offers fee-free trading as well as no withdrawal fees? GDAX/Coinbase Pro recently added trade fees, so now I am looking elsewhere. I’ve looked into Gemini, Kraken, and Bittrex. All of these either have trade fees, withdrawal fees, or both. If there aren’t fee-free exchanges anymore, I’ll have to do an analysis to determine the exchange with the minimum losses from trading and withdrawing, per amount.

Mike
Mike

Robinhood has this, but it’s only nominally fee free as the market is not transparent. And, the real killer is that it’s not a real wallet as you can’t even withdrawal and deposit. So it’s only good for playing swings.

Steve

Binance.US had a promo for free trades until 11/1 (but it’s close to the end of that, and I’m not sure if they’re still offering it for new users). They also have a referral program. https://www.doctorofcredit.com/binance-referral-program-refer-a-friend-and-you-both-get-15-when-they-trade-100-free-trades-until-11-01

LVL (lvl.co) has no trading fees, but a $9 monthly fee. They also have a referral program.

Jim
Jim

Fees are the revenue source, any exchange with zero fees will go bankrupt pretty quickly. Coinbase Pro recently jacked up their trading fees which sucks, but they are still the only exchange I know of with zero withdrawal fees. If you make lots of small withdrawals it still might be worth it to stick with CBP.

Evan
Evan

For Celsius, if you choose to earn your interest in CEL instead of the like coin (not available in the US), you earn a higher rate. Also, they recently announced that instead, you can select to earn compounding interest on CEL (US customers are forced into this option).

Nexo
Nexo

I’m heavily invested in crypto right now. Crypto.com also offers a 10% high-yield account. I’ve used Nexo.io, Celsius, and Crypto so far. My favorite is Nexo since borrowing against your crypto as a collateral isn’t seen as selling, it cannot be taxed. Therefore, the low ~5% APR to borrow against is measly considering taxes can be avoided. What you don’t sell cannot be taxed.

Sodium120mg
Sodium120mg

I used GEMINI for ACH(5 day hold) and then instant transfer to Blockfi.. The reverse from Blockfi to Gemini is instant and Gemini to Bank is 1-2days. Used Exodus wallet/exchange to transfer to Dharma.io for other stable coin.

FR
FR

Pionex has the best rates AFAIK on BTC – 10% APR, 20% if you’ve got more 2 BTC to have sit around. If you want to join: https://www.pionex.com/en-US?r=4rQW3eMh, there is a 20% bonus for the next 4 weeks if you sign up via referral.

Dracula
Dracula

Anyone used or has experience/feedback on MyConstant.com?

Evan
Evan

I signed up for their free lending promotion. My money was stuck in matching mode for a few months. then I got an email about having to redo kyc info. found out there was an order book for lending/borrowing and was told I’d be able to redo my lending offer, but it was still stuck matching. not so great experience but also not the best effort on my end

Dracula
Dracula

@Evan, thanks for the update. I signed up only part way – kind of concerned giving this Vietnamese start-up my DL & SS# as part of KYC. Here is the best thread so far I’ve found as feedback for them (especially video review at the end). https://www.beermoneyforum.com/threads/myconstant-reviews-scam-or-legit.46776/

Kasey
Kasey

I’ve invested with Constant for a few months now. Loving it so far. They are always coming up with new ideas to improve user experience. They started giving 5% on deposits a couple months ago, so even if you’re not actively participating in peer to peer lending you reap the benefits. Another plus for many people is that they don’t require your deposits to be in the form of crypto, USD works just fine. They’ve been very responsive to my question, as well. Any additional questions you have, feel free to ask.

Dracula
Dracula

Kasey Thanks a lot for your info. As I mentioned, my concern is primarily with the KYC info, as this does not seem it’s a USA based company. Sounds like you do not have this concern?

Kasey
Kasey

I understand that concern completely. I guess I’m a little (or lot?) more willing that probably most people to make the leap of faith with a lot of these startups. I’ve spoken to Justin Lucas, one of their CSRs, on the phone as well as by chat, and it seemed legit to me. As I said above, my experience has been nothing but positive, but as always I think each individual needs to work out for themselves the level of risk they’re willing to take. Gotta admit though, when I first started and they were only accepting bank wires as funding methods I was a little concerned…

Dracula
Dracula

Kasey Appreciate the details. I’ll chew on this info a bit more. Interesting note they have at the bottom of their main page: “…No interest will be paid on any funds or other assets held in your Constant account..” and “…We work with independent third-party financial institutions such as Prime Trust to provide cash management for the fiat deposits backing Constant tokens, ensuring that all Constant tokens in circulation are matched by an equal amount of fiat deposits. To achieve this, the fiat deposits backing Constant are held in one or more depository accounts at US banks or trust companies whose deposits may be insured….” I have not looked in detail at their disclosures or terms to see if they actually list the US banks that they use.

BlissfulApathy
BlissfulApathy

As someone who has been involved with cryptocurrencies since the early days, I just want to say that this article is giving me the warm fuzzies. I remember when no one had even heard of bitcoin, much less crypto lending services. Thanks for the write-up – it will hopefully be useful to many who browse this site.

Patrick Manfra

Hey, https://outlet.finance should be on this list. They find the best rate for you to lend and allow you to turn dollars into a stable coin right in their mobile app. Here it is on the app store. https://apps.apple.com/us/app/outlet-high-interest-account/id1475723731

JV
JV

Anyone found a way around the simple interest of Celsius? Would it circumvent this if you transferred out the in-kind interest and then transferred it back?

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