Damn, are you also tired of your traditional bank with its meager interest rates? Well, I am definitely tired of that but luckily there are crypto lending platforms. These platforms are giving you a much better interest rate than your local bank.
Here are the TOP 3 crypto lending platforms in no particular order.
No. 1 Nexo
The first crypto lending platform that I would like to recommend is Nexo. It was launched in 2018 and since then, Nexo has processed more than 1.5 billion dollars for over 500.000 users. This makes Nexo a really popular lending platform.
As you see in the screenshot above, Nexo supports a wide range of different coins and tokens. If you have at least 10% of your holdings in Nexo Tokens the interest rate will increase up to 10%.
Until the end of the year, Nexo has a special welcome offer that lets you earn triple interest and have the bonus paid in Bitcoin. All you have to do is use Nexo’s Earn on Crypto & Fiat services for the first time in December and submit your account verification by the end of 2020.
No. 2 Compound Finance
If you want to lend out ERC20 tokens, I can recommend the DeFi platform Compound Finance. Compound is an algorithmic, autonomous interest rate protocol built for developers, to unlock a universe of open financial applications.
The supported assets on Compound Finance include Ethereum ($ETH), Wrapped Bitcoin ($WBTC), Dai ($DAI), Coinbase’s US Dollar Coin ($USDC), Augur Reputation ($REP), 0x Token ($ZRX), Tether ($USDT) and Basic Attention Token ($BAT).
Compound Finance does not transfer user data to other users and the interest rates are much higher compared to other DeFi lending platforms.
If you want to earn interest on your ERC-20 tokens, you need to tie your wallet with Compound Finance. Simply go to Compound Finance and click on the "App" button.
Now click on the "Connect Wallet" button, where you need to select a compatible wallet. After connecting your wallet, you can see a list of available cryptocurrencies, their balances, and interest rates on Supply and Borrow.
Choose the asset that you want to supply and send your funds to the address presented on the Compound website.
The Compound Protocol is also integrated into many different platforms like the Coinbase Wallet.
By the way, with Coinbase Earn, you can learn how Compound Finance works by watching short educational videos. At the same time, you will be able to earn up to $59 in $COMP. Each lesson takes just a few minutes to complete.
No. 3 BlockFi
My personal favorite when it comes to crypto lending platforms is BlockFi. BlockFi offers interest-earning accounts, low-cost USD loans secured with crypto, and fee-free trading. It offers the best rates for these services, the most flexible structures, and the highest degree of security available in the blockchain lending ecosystem.
BlockFi is the only independent lender with institutional backing from big investors that include Morgan Creek Digital, Valar Ventures, Winklevoss Capital, Galaxy Digital, Susquehanna, Akuna Capital, Fidelity, and Coinbase Ventures.
To fund your BlockFi Interest Account, you can buy some crypto with BlockFi or you can simply deposit some and directly start earning interest on your crypto. BlockFi supports Bitcoin, Ethereum, Litecoin, GUSD, PAX Gold, and different Stablecoins. It`s a cool feature that you can trade all these assets in your BlockFi account completely fee-free. You can expect more crypto assets to be added to BlockFi in the future.
One of the most attractive features of BlockFi is that there is no minimum deposit required to earn interest. You can also send small amounts of Bitcoin to your interest-bearing account on a continuous basis. Interest is paid monthly and directly credited to your existing balance. You can select in which Crypto you wish to receive your monthly payments. Now you can sit back and slowly but surely build your stack over time.
At the moment, BlockFi has a special promotion for the holidays that lasts until the end of the year. You can use my invitation link to sign up for BlockFi and make a deposit of $350 or more. Then maintain a balance until January 31, 2021. If you do this, you will receive a big bonus of $50 in Bitcoin in February 2021. If you don`t have $350 to deposit on BlockFi, you can still receive the regular bonus of $10 in Bitcoin by depositing $100.
My Final Conclusion
These are my favorite crypto lending platforms. However, the thing is that I can only recommend crypto lending platforms that I have already tested myself. I couldn`t include some well-known crypto lending platforms because some of them like Celsius are simply restricted in Europe.
At the end of my post, I also like to remind you that my intention in this post is to raise your awareness of crypto lending platforms and my intention is not to replace your own research. However, it really reflects my own opinion.
So I hope that I could provide you with some interesting and useful information about different crypto lending platforms.
Thank you guys for reading, liking, following, and tipping 👍
If you like, you can also follow me on Twitter.
You may also like: Compound Finance Is One Of The Hottest Lending Platforms in DeFi Space 🔥