BlockFi allows you to earn interest with Bitcoin and other crypto currencies in a simple way. Compared to other lending offers BlockFi convinces with high interest rates without a minimum deposit. In addition, loans can also be taken out by depositing your crypto currencies as security. The interest for a loan is between 6.73 and 12.50%.
BlockFi asset management BlockFi offers modern asset management for crypto currencies. So interest can be gained by lending Bitcoin and Co or in addition, credits can be taken up, by keeping Bitcoin as security with BlockFi. For the lending of Bitcoin and other Coins there are at present up to 8.6 per cent interest in the year. The payout takes place at the beginning of each month directly in the crypto currency used. If desired, the interest can also be distributed in another crypto currency or stable coin. Assuming one gets 8.6% on GUSD, but wants the interest not in GUSD but in BTC, this can be done in the settings. Since there is no minimum deposit, BlockFI is also worthwhile for smaller crypto holdings. The interest rates are adjusted occasionally and are subject to the usual market fluctuations. Anyone who invests more than 5 BTC in BlockFi will only receive 3.2% interest per year. Since there are no terms to maturity, a payout can also be made at any time. Once a month the payout is free of charge, after that there are small fees. In order to be able to use BlockFi to its full extent, a verification is required. Even though the website is currently only available in English, German users can use the lending and credit offer of BlockFi.
If the account is successfully verified, the assets can be deposited. For this purpose there is the "Deposit" area in the menu item. Here the desired crypto currency or StableCoin is selected and the wallet address is displayed. BTC, ETH, LTC or the StableCoin is then transferred to this address. Depending on the load of the Blockchain the transfer arrives at BlockFi within a few minutes. BlockFi also informs the user about this by e-mail. As soon as there are enough confirmations, nothing more needs to be done. For US citizens can also make a direct deposit with dollars. The payout, however, is only possible in crypto currencies. A direct exchange of crypto currencies is also possible on the BlockFi platform. Since there are no minimum deposits, smaller crypto stocks can also be deposited on BlockFi to benefit from the interest. Interest can currently be earned with the following assets: BTC,ETH,LTC,GUSD,PAX,USDC BlockFi credit apply BlockFi also offers crypto instant loans in addition to the interest options. An existing crypto currency (currently BTC, ETH or LTC) is deposited as security. The credit minimum is 5,000 USD. According to the current crypto price of Bitcoin, this corresponds to approximately 1.36 BTC with a loan-to-value ratio (LTV) of 50 percent and an interest rate of 12.50 percent. The monthly interest on the loan can be paid in USD, BTC, ETH or LTC. The loan amount can be repaid once, there are no penalties for early repayment. Unless otherwise agreed, the loan has a term of 12 months. The collateral is securely stored in cold storages with the asset manager Gemini. Since crypto currencies are still very volatile, additional collateral may have to be deposited. If this is the case, BlockFi will send an e-mail to all borrowers and then they have 72 hours to deposit additional collateral in the form of coins. However, if the crypto currencies increase, there are various options. Here it is best to contact BlockFi directly. BlockFi was founded in 2017 and meanwhile has some strong partners & investors from the American region in the background, such as Valar Ventures, Winklevoss Capital, Galaxy Digital, Susquehanna, Akuna Capital, Fidelity. An overview can be found here. The BlockFi team also consists of experienced people who are familiar with financial services and loans. On the Team page you can find more information about Zac Prince (CEO & Founder) and his team. For us BlockFi makes a serious impression, so we have registered, verified and transferred some Satoshis. Since there is no minimum quantity and minimum duration in contrast to other offers, it is also possible to start with smaller stocks and after the first experiences to get into larger ones. Interest distributions are always made on the first business day of the new month. The distributed interest is directly reinvested, so investors profit from compound interest. Interest rates have remained stable or even increased slightly in recent months. Other providers sometimes offer higher interest rates, but with different requirements such as a minimum term, staking of tokens, etc. With BlockFi there is only lower interest if more than 5 Bitcoin are deposited. Then there is currently only 3.2% interest. At Ethereum there was also a limit, but this was abolished in April 2020. BlockFi is constantly developing and is also one of the few providers who are allowed to offer it to US citizens.