Yes so… Get Crypto Loans…Many of you have actually asked for a comparison in between Celsius, BlockFi, YouHodler, and Nexo which are all platforms that allow you to earn interest on your cryptocurrencies and stablecoins. As requested, in this video, we will be comparing the business design of private platforms, the return rates, the credibility and performance history, functionality of their apps and we will also talk about a few of the threats that you should consider when depositing your crypto on among these platforms. We will also assemble the contrast with our independent ranking of the just-mentioned categories for every single platform. So keep watching until completion to learn how we scored individual platforms. if you are new to this channel and your goal is to become a more informed P2P financier
think about subscribing and struck the like button to see more material like this in the future. So let’s very first provide you a brief introduction to every platform prior to we dive deeper into the comparison. Celsius Network is the fastest-growing crypto loaning platform on the planet, which was founded in 2017 by Alex Mashinsky. Currently, there are over 650,000 users using Celsius Network to take a crypto loan or make interest on their stablecoins and cryptocurrencies. In total, Celsius manages more than $17 B worth of assets. The platform uses its services worldwide, nevertheless, they are currently not providing loans in the United States due to regional regulations. BlockFi is the largest
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competitor to Celsius Network. The US-based business has trading and loaning licenses in various US states. , if you are looking for a wealth-management app for your crypto properties BlockFi is certainly worth considering.. The platform provides crypto-backed loans in 47 US states and their crypto interest account is offered worldwide with exception of sanctioned nations. YouHodler is likely the most genuine crypto lending platform in Europe. The company is registered in Cyprus, with a devoted branch in Switzerland. YouHodler offers extremely competitive rates on your crypto possessions in addition to several other features which you won’t find on any other platforms. The platform is offered in numerous countries with the exception of Germany and the USA. If you live in the states, you will not be able to utilize YouHodler’s services. Nexo is another European platform that uses crypto lovers the choice to earn interest not only on their coins but likewise fiat deposits. Nexo remains in fact, among just two, to us understood, crypto financing platforms that offer interest on fiat deposits. The platform uses its services worldwide, with exception of Bulgaria and Estonia. So now that you have a quick introduction of every platform
let’s talk about how they generate income in the first place. Celsius makes money from the interest they charge to the customers which are either retail borrowers or institutions, they likewise make cash from their CEL token which is an utility token that you can use to increase your rewards on Celsius Network. Another earnings stream is the rehypothecation which means that Celsius utilizes the security from the borrowers and releases it in order to produce additional income. BlockFi is likewise making money through the interest that is being charged to debtors. In addition to that, the platform likewise charges a 2% origination fee for anyone who wants to take a loan. Another income stream is BlockFi’s exchange function. The platform generates income from the spread when exchanging currencies. BlockFi likewise charges withdrawal charges after your one complimentary withdrawal each month. And the platform is likewise preparing to launch a BlockFi credit card which will produce another earnings stream. YouHodler is also generating income from the interest charged to debtors. There is a little withdrawal cost and costs for additional services such as the Multi HODL tool, which is a feature that lets you leverage your crypto assets in exchange for prospective returns. Like all the other platforms, Nexo also takes a cut from the interest that is being paid by the borrowers. Nexo also makes profits with their Nexo token. That’s at least our interpretation from Nexo’s organization model as the platform does not have A devoted area about
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this on their website. Now let’s speak about the returns. If you are watching this video, you wish to make money by depositing your coins on among the platforms right? Before we compare the rates, there are a couple of things that you ought to consider. When it comes to providing interest on your coins, every platform has specific limits and terms. For example, Celsius Network changes the rates every week to reflect the current market scenario. Also, you are only able to earn higher rates if you choose to receive the interest in Celsius’s own utility token. The higher benefit rates are also not available for United States citizens. If you would not want to pay out your benefits in the CEL token, you can currently anticipate to get 5.05% on your Ethereum, 3.51% on your Bitcoin, and 10% interest on your deposits in Binance USD or USDC which is the stablecoin from Coinbase. On BlockFi, the rate for your Ethereum and Bitcoin deposits depends upon the number of your possessions. The more bitcoin or ethereum you deposit, the less interest you will receive. The rates of interest for Ethereum ranges between 0.5% and 4.5%, the rate for bitcoin is between 0.5% and 5%, and the rate for the two stablecoins is currently at
9% per year. What’s worth pointing out is that if you want to save some fees, and bring more stability into your crypto interest account, you can also transfer the Binance USD coin for which you will not need to pay the large gas cost, as the currency works on the Binance Smart Chain with method lower charges in comparison to stablecoins that work on the ethereum network. The Binance USD coin is currently only supported on Celsius Network and BlockFi. YouHodler uses currently the most competitive rates for your USDC coins without the requirement to stake the platform’s own utility tokens. You can make 12% interest on your USDC holdings and the platform uses 5.5% on Ethereum and 4.8% on your bitcoin deposits. Nexo is another platform that offers higher rewards for those who wish to get the interest in the native NEXO tokens instead of the deposited currency. The platform uses 6% for non-Nexo token holders on bitcoin and ethereum and 10% on the USDC coin. What you must remember is that platforms tend to change the rates from time to time, so you can’t really predict the genuine return from your deposits. Keep in mind that by depositing your crypto, the value of the currency might decrease Which will make it hard for you to liquidate your assets if that’s something you would otherwise consider. So now, that you know the returns let’s briefly evaluation the trustworthiness of the platforms and their track record. Celsius Network is likely the most legitimate platform in this area. The creator Alex Mashinsky is a well-known entrepreneur. Before introducing the Celsius network, he has co-founded 3 startups worth more than $1 Billion each. On the Celsius App, you are also able to keep track of the progress and review some of the data. As we are recording this video, there are over 650,000 users and the platform is handling $17 billion worth of properties. Alone in the last 12 months, Celsius has Get Crypto Loans
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deposit quantity as compared to the users on the Celsius Network. We are not thrilled about Nexo’s reporting requirements as we have actually explained together with other red flags in our previous video. At the beginning of January, Nexo had only $4B under its management from 1 M users, now five months later, the platform claims to handle $12B from 1.5 M users, which we think is a bit of a steep growth even if we consider the buzz in the crypto space. So what about Nexo’s management? Nexo is co-founded by Antoni Trenchev and Kosta Kantchev. Based on our research study, Antoni was a Bulgarian politician with experience in the style Retail industry. On his LinkedIn profile, he describes Nexo as the leading controlled banks for digital possessions. I would be really interested by whom Nexo is regulated, as the business does not have a financing license in Estonia, where they are a legal entity Nexo Provider OU is based. Throughout our research, we found connections to Bulgaria, Estonia, the UK, and the Cayman Islands but their legal address is nowhere to be found on the website. The 2nd co-founder of Nexo is Kosta Kantchev who also founded Credissimo, a Bulgarian payday loan company that apparently is funding Nexo. According to our current research, the executive board does not even consist of Antoli, but just Kosta and two other gentlemen, from which one is William Arthur Vesilind who was formerly the executive director at TrustBuddy, a Swedish p2p lending platform, which is known for the “abuse of customers money”. When reviewing some of Nexo’s remarks from the CEO
turbocharge stablecoins crypto assets coins investment profile
Nexo is the only platform that uses interest on fiat. Now that we have actually reviewed some of the track records of the four mentioned platforms, let’s briefly go over the functionality of every crypto lending website. While the crypto loans on BlockFi are just readily available to U.S. citizens, the platform is likewise working on a Bitcoin rewards credit card which will be competing with the credit card from Crypto.com YouHodler uses some of the most sophisticated services amongst the crypto lending platforms.
currencies on which you are able to make interest. YouHodler allows you to exchange between various currencies or deposit fiat by means of bank wire or other supported payment services. The minimum deposit quantities are really low, so you do not require to transfer numerous Euros or Dollars to test the platform. The minimum deposit is around 50 EUR or USD worth of cryptocurrency. As YouHodler does not have a banking license, you can only make interest on your crypto assets. Apart from earning interest on your deposits or exchanging cryptos, YouHodler likewise provides you the choice to borrow fiat money in exchange for collateral. The platform currently supports just loans in us euros or dollars. YouHodler is also one of the platforms with flexible loan terms and a maximum LTV of 90%. Apart from those services, YouHodler likewise uses 2 leveraging tools such as Turbocharged loans and Multi HODL, which are suitable for more opportunistic financiers. As the performance of those features exceeds this video, you can discover how it operates in our devoted youhodler evaluation on p2pempire. Nexo’s use is similar to Celsius Network. Nexo is also using its utility tokens to provide much better rates on loans, greater interests on crypto and fiat deposits, or more free withdrawals monthly. Also if you decide to stake your coins or fiat, meaning you lock your properties for a defined term, you can get a greater interest rate. Like BlockFi, Nexo also provides you to buy, or exchange crypto if you want to hold your properties in numerous currencies. Now you have a really solid idea of what every crypto financing platform is using. What you should think about however, is that as quickly as you transfer your crypto on any platform, you are not owning your private secrets anymore and your assets might get compromised either by 3rd parties or by the platform itself. It resembles transferring your crypto on the exchange – if you do not own the secrets, the coin isn’t technically yours anymore. Platforms like Celsius and BlockFi are extremely clear about the truth that you Get Crypto Loans
give up your ownership of the properties as long as you hold them in the platform’s wallet. The only way to safeguard your crypto is to store it on a dedicated hardware wallet like this one from Trezor. That’s the best method to keep your cryptos safe. The drawback of this technique is that you will just benefit from the increased value of your coin however not the interest on your deposits, which is something you can do on among the crypto financing platforms. However, similar to any financial investment, it constantly boils down to the danger and return and your danger profile. Based on our thorough comparison, let’s have a look at our independent ratings of every category for every platform. Keep in mind, that we have actually designated the ratings based upon our own research. One represents the lowest score while 5 mean the highest ranking. Within the business model classification.