BlockFi

Currently traditional banks are providing nearly 0.1% interest for savings accounts. However, BlockFi is a platform where you may earn up to 8.6% interest on your funds. Anyone with an account will not need to have a large sum of money to earn this interest rate. BlockFi is a platform that provides high interest for custodied cryptocurrency while also offering lending and borrowing plans. BlockFi is considered to be a secured non-bank lender that provides loans that are backed by crypto assets and US Dollars. BlockFi was launched in August 2017 and operates in most US states. Cryptocurrencies that may be used as collateral include: Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), Gemini's dollar (GUSD), and have plans to include additional crypto assets. Zac Prince and Flori Marquez founded BlockFi in order to redefine banking by connecting traditional finance with blockchain technology. The firm has institutional support from investors like: Valar Ventures, Galaxy Digital, Fidelity, Akuna Money, SoFi, and Coinbase Ventures.

• Ease of Use: BlockFi’s website provides popular exchange features with an improved redesign. The website not only looks more professional, but the BlockFi team has taken steps to fix past usability concerns.
• Security: BlockFi is not FDIC-insured but all user cryptocurrencies are held by the Gemini Trust Company, which is regulated by the New York Department of Financial Services.
• BlockFi App: For both Android and iPhone, BlockFi provides a native mobile app. The app now includes face ID and is the preferred way to access accounts.
• BlockFi Interest Account (BIA): The BlockFi interest account helps users earn interest on several cryptocurrencies. Account holders may gain up to 8 percent APY interest. Interest is paid out on the last day of every month.
• Crypto backed loans: This product helps users take out loans in USD, GUSD, USDC while using crypto assets as collateral. The LTV (Loan to Value) is 50%. A user may borrow as much as 50 percent of what is used as collateral.
• Trading Terminal: This allows users access to trade their funds and cryptocurrencies.
• Institutional Lending: Cryptocurrencies deposited by retail investors are used by BlockFi to fund institutional loans.

Subject to a 24-hour safety hold, you may withdraw your deposits at any time. BlockFi offers one free withdrawal per month per customer, followed by charges of either $0.25 USD, 0.0025 BTC or 0.0015 ETH. Due to certain regulations, BlockFi creates withdrawal limits for each account holder.

“It's simple and BlockFi has made a very good impression. Good customer service, simple website. Excellent transfer possibility to deposit USD from a bank which is converted to GUSD which can be converted for free to USDC, great rates”.

Reference: https://www.trustpilot.com/review/www.blockfi.com

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“They are definitely going to fuel the next wave of crypto adoption by creating more use cases for cryptocurrency assets.”

Reference: https://coinsutra.com/blockfi-review/

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“BlockFi provides eligible individuals and corporations with an alternative way to raise capital and allows them to generate funds without having to liquidate their crypto holdings. The company is transparent, and regulatory compliant, and also provides financial products with reasonable fees and interest rates.”

Reference: https://blockonomi.com/blockfi-review/

All assets with BlockFi are safely stored in a cold wallet that is generated by Gemini. The exchange must follow all guidelines under the New York Banking Law by the New York State Department of Financial Services. It is a regulatory service and adheres to strict capital reserve criteria and other standards of banking compliance. Gemini also has a digital asset insurance policy and, through both its exchange and custodian network, is SOC 2 Category 1 security compliant. To keep customer accounts secure, BlockFi employs a range of features. Two-factor authentication and all passwords are encrypted along with personal and confidential data. It should be noted that in May, 2020, BlockFi’s systems were hacked. However, no funds were lost.

• Insured wallets by AON and assets are stored safely on the Gemini Exchange.
• Loan approval without traditional credit checks.
• Created by a reputable team with highly regarded US-based investors.
• Competitive interest rates with flexible and transparent terms.
• It is not necessary to use or stake native currencies to receive higher interest rates.