Are you new to the cryptocurrency world? If yes, then you’re likely to find the learning curve to be pretty steep. You have to prepare yourself to learn many things, from how cryptocurrency runs to the best way to save your coin safely after investing. Finding the best crypto wallets that earn interest is one of these challenging things.
Many individuals have decided to turn to the cryptocurrency world for more income because the global interest rates keep getting closer to zero. Interest accounts remain among the popular ways you can receive passive crypto. Through these accounts, you can earn interest in crypto without using an exchange to trade markets.
But which are the best crypto wallets that earn interest? Worry no more!In this enlightening post, we’ll cover the top three crypto wallets that earn interest. We’ll also let you know why you need to get involved in cryptocurrency.
Let’s get started!
Why Get Involved in Cryptocurrency?
You can consider cryptocurrency as an exchange medium, like normal currencies. The only difference is that you only use cryptocurrency to exchange digital information.
But why do you need to get involved in cryptocurrency? The primary reasons to get involved in cryptocurrency include:
- User Autonomy
With cryptocurrency, you’ll enjoy more autonomy over your cash than how fiat currencies do. For example, you can control how you spend your money without involving an intermediary authority, such as a government or a bank.
- Low Transaction Fee
If you check your bank statement, you’ll see high transaction fees charged on each transaction you carried out. These transactions will keep increasing if you always perform several transactions every month.
As a data miner, you’ll get compensated from the crypto world, meaning you’ll incur low transaction fees. You only need to pay for the service if you maintain your crypto wallet using a third party.
Generally, cryptocurrency charges lesser transaction fees than the traditional financial system.
- Instant Settlement
Ease of use remains to be the primary reason why most individuals invest in cryptocurrency. You only need an internet connection and smart device to start transferring money and making payments.
- Volatility
Volatility is another thing behind the exciting nature of the cryptocurrency market. It’s a new market that has attracted significant volatility because of the huge volumes of short-term speculative interests.
Other crypto coins have been relatively more stable, but they are likely to experience speculative interest because of the new technologies.
Note that volatility features increased risk. Therefore, before exploring this market, do your research and develop a risk management strategy.
Crypto Wallets That Earn Interest
Crypto wallets are the perfect option when it comes to storing digital currency assets. Besides this, crypto wallets facilitate transactions using a QR code or characters.
Crypto Wallet 1 – BlockFi – How To Earn Interest
Our first best crypto wallet to earn interest is BlockFi. BlockFi is the crypto wallet to consider if you want to earn interest. It offers low-interest loans, a cryptocurrency exchange, and interest-bearing accounts.
With BlockFi, you won’t incur minimum balances or hidden fees. Also, it does not charge transaction fees on the trades you make. BlockFi’s Interest Account allows you to earn compound interest on your crypto holdings. This interest ranges from 3% to 8.6%.
Another thing to note is that this interest rate fluctuates depending on the market values. It also varies depending on the currency type. Your interest will accrue daily, and you’ll get it on your account every month. Therefore, with BlockFi, you can expect to earn interest on your crypto holdings every month.
Besides this, BlockFi features an Interest Payment option that allows you to select the currency you want to receive your payment. Also, there’s no lock-up with BlockFi, meaning you’ll start earning instantly and withdrawal your cryptocurrency anytime. You can grab a signup bonus on BlockFi by clicking here.
Crypto Wallet 2 – Crypto.com – How To Earn Interest
With Crypto.com, you can lock up your coins and earn interest rates on them. However, this interest will vary depending on when you stake your coins. Also, note that you’ll receive the interest on the coin you stake and not in US dollars or other fiat money. Crypto.com allows you to earn interest using its app feature known as Crypto Earn. However, you cannot use this feature if you’re from Malta, Switzerland, or Hong Kong SAR.
Another advantage of using Crypto.com to earn interest is that you’ll receive your interest earnings every week. You don’t have to get worried if the coin price increases or drops. Remember, you lock up the staked coin depending on a specific term, meaning it’s impossible to sell it. This feature has both advantages and disadvantages. However, it can prevent panic-selling cases at the bottom. The terms range from one to three months, but you can also opt for the flexible term option. But keep in mind that flexible terms pay less while the longer options pay more.
Crypto Wallet 3 – Celsius Network – How To Earn Interest
With Celsius Network, you’ll access financial benefits/services that you can’t find with traditional institutions. This platform allows you to keep your assets on the Celsius wallet and earn an interest rate of up 12% every year. Let’s say you have deposited 1 Bitcoin into this platform for 12 months. Here, this coin will give you an interest of $380.88 in that year or $7.32 every week. If you receive the payments via the wallet’s native token TEL, your interest rate will be 35% higher.
Note that Celsius Network works the same way as other crypto wallets that give high-interest commissions to users who deposit assets on the wallet to fund lenders. Celsius Network doesn’t have a minimum deposit amount. Also, it allows you to withdraw your coins any day or any time without worrying about restrictions/penalities. This feature is one of the reasons why most investors get attracted by the Celsius app. Besides this, Celsius Network supports several major cryptocurrencies, like Bitcoin, Litecoin, and more.
Final Thoughts
We hope you enjoyed our picks for the top 3 best crypto wallets to earn interest. Never ignore crypto wallets if you want to control and complete crypto transactions. Remain picky with the provider you choose because of the ease of transferring your cryptocurrencies from one crypto wallet to another.
