Cryptocurrency is, without a doubt, the future of the monetary system. The continued growth and gaining of stability by Bitcoin and other top cryptos justify this claim. Platforms such as BlockFi and Sofi have emerged to ensure that we gradually grow towards attaining the envisioned possibilities that cryptocurrencies offer.
Generally, BlockFi and Sofi allow crypto enthusiasts to participate in this interesting financial revolution. There is much more that you need to know about the two platforms. Keep reading to the end to learn more.
Why Get Involved In Cryptocurrency
Before we can get any further in this article, you may be wondering whether you should get involved in cryptocurrencies. The following are some of the benefits of taking part in cryptocurrency:
- Anonymity in transactions
Safeguarding one’s personal information has become one of the most hotly discussed topics in the 21st century. Most people want to make sure that they can privately transact without necessarily sharing too much personal information. That has been one of the main reasons why cryptocurrencies have gained immense popularity. You can send or receive crypto coins without having to reveal too many details about yourself.
- It gives you total control
Cryptocurrency takes out the middle person (banks and other financial institutions) from all your transactions. That means you no longer have to rely on your bank to complete a transaction. That makes you feel that you are in charge of anything that happens to your money.
- Top-notch security
Cryptocurrency is powered by blockchain technology which gives it high-level security. Unlike the fiat currency system, where smart hackers can break into your bank account, you can remain confident that your money is safe. Blockchain technology is highly secure, and its proper implementation keeps hackers off.
- Reduced risks
Investing in cryptocurrencies is a low-risk undertaking, thanks to the ability to diversify your investment. With crypto, you do not have to put all your eggs in the same basket. Instead, you can choose from various coins that you would like to invest in, spreading out your risk.
- Lower transaction fees
Most people using traditional banking systems normally raise concerns that they lose a lot of money in transaction fees. Their concerns are legit considering the outrageous bank charges imposed on most transactions. The same cannot be said for cryptos. It is true that cryptocurrency transactions also incur fees, but the charges are so low and almost negligible.
Who Is BlockFi?
BlockFi brands itself as the firm that was set up to redefine banking. They offer a wide range of services, including crypto trading, borrowing of cash, and a chance to earn interest from your savings.
Established in 2017 by two renowned personalities in the crypto world (Flori Marquez and Zac Prince), the company is on a mission to bridge the gap to access financial services in markets facing significant limitations. Unlike most other industry players, BlockFi sets itself apart by offering competitive rates and largely depends on professional advice across its numerous services.
The BlockFi Interest Account allows you to earn interest from certain cryptos, including GUSD, USDC, LTC, ETH, PAX, and BTC. You do not need a minimum balance to earn interest. The platform does not limit one to just the mentioned coins for earning interest. You can also wire in USD, which would be converted to stablecoins.
BlockFi also has a loan service whereby you get to borrow fiat currency against your cryptocurrency. The minimum amount is set to $5,000 and has a loan-to-value ratio of 50%. That is, you would have to present 50% of your coins as collateral.
Coins Available On BlockFi
The coins supported in BlockFi are:
- Pax Gold
- USD Coin
BlockFi Fees & Staking Explained
You will incur fees for your operations on BlockFi. You can withdraw for free once per month on the platform. Any additional withdrawal attracts fees as stipulated:
- 95 LINK for 65,000 LINK every seven days
- 00075 BTC for 100 BTC every seven days
- 35 BAT for 2,000,000 BAT every 7-day period
- 02 ETH for 5,000 ETH every seven days
- 015 PAXG for 500 PAXG every seven days
- $10.00 USD for 1,000,000 every 7-day period
- 0025 LTC for 10,000 LTC every 7-day period
- 1 UNI for 5,500 UNI every seven days
You can begin staking in three simple steps:
- Create your BlockFi Interest Account by providing the basic details requested
- Deposit stablecoins or crypto in the account
- Get valuable interest at the end of each month
Who Is Sofi?
Sofi was founded in 2011. Their headquarters are in the U.S. and have more than 1,500 employees. The platform operates under the philosophy that its members are their number one priority. They believe that the success of their members is a direct success for the company, hence the need to deliver exclusive member benefits without any costs.
Sofi is focused on incorporating true digitization into your money. It focuses on helping you get your money right. All its products are built around its members and provides you with tools that you can use to get your money right. Doing so has a different meaning to different people. That is why Sofi assists you in achieving various objectives: (1) Come up with a good plan for your debt, (2) Create a safety net, (3) Save for retirement, and (4) Let your money work for you.
You can buy cryptocurrencies on Sofi and get a bonus. You need as little as $10 to trade in crypto and Sofi. The platform keeps your coins safe, and you get to do all the buying and selling within the Sofi app.
Given that Sofi operates 24/7, even over the weekends and holidays, you can schedule when you want to trade. Buy anytime without any limitations.
Coins Available On Sofi
Sofi supports the four major coins and 17 others:
Sofi does not charge any management and administrative fees. However, closing an account attracts a $75 fee. Do not confuse this with account fees. The platform does not charge anything on your account.
One thing that Sofi users have come to love is the monthly reimbursement of ATM fees.
Benefits To Both Exchanges
The following are some of the benefits that both platforms offer:
- A wide range of investment opportunities
- Low-risk investment due to the diversification ability
- Readily-available customer support
- Access to professional financial advisers
Cryptocurrency trading has proved to be one of the most lucrative investment options. Just as is the case with fiat currency, crypto enthusiasts have the opportunity to trade on various preferred platforms. BlockFi and Sofi stand out as some of the most lucrative platforms for trading crypto and earning interest. The guide has covered the different services that each of these platforms offers. Feel free to get started with any of them, depending on your personal trading needs.