There are many crypto lending platforms in the world but here are seven centralized lending platforms where you can hold your crypto and earn interest on them. You should look out for number seven because it pays the highest APY on your crypto.
I will also, be telling you how safe this platforms are, but I implore you however do your own research before taking any actions because this is not a financial advice.
Now the platforms that I am about to introduce you are centralized crypto learning platform.
What happens here is that they hold your deposited crypto and then lend it out to generate interest. So, they pay you attractive APYs when you hodl your crypto in their wallets because you’re contributing to the fund available for lending.
Now since those that borrow money from these platforms pay back with interest, it is easy for this company to pay you and other hodlers. But this does not mean that they only get the money they borrow out, or they lend out from you the hodlers.
They actually have enough reserve which you will find out later in this video. So, whether you’re looking to earn extra income from holdings or you want to use your own crypto now as collateral to borrow fund from these company to facilitate your trading, they are here to provide this services and remains one of the best crypto lending platforms.
crypto lending platforms
1. YouHodler :
YouHodler is a crypto lending platform that offers crypto to fiat services. It was founded in 2018, and is headquarters is in Cyprus. By hodling your crypto in the YouHodler savings account, you will earn up to 12% interest per annum for stable coins and up to 7% for other coins.
Some of the supported coins on YouHodler include BTC, ETH, BNB, LINK, UNI, ADA, COMP, USDT, etc. Also, the platform grants instant cash for loans in EUR or USD. You can also receive loans in USDT or BTC if you prefer that.
To secure a loan, you only need to deposit any of the supported cryptos as collateral. Impressively, the platform allows you to withdraw the loan (as well as your earnings) directly into your bank account that is YouHodler.
2. Celsius Network
The second platform on my list is Celsius Network. This was founded in 2017, and it is popular and I know you must have heard of it. Now Celsius Network you can earn up to 18.
55% APY when you hodl your crypto in their wallet. And coins like BTC, ETH, UNI, DASH, etc. attract up to 5% APY, while Stable coins like USDT and PAX yield up to 12.5% APY. Interestingly, when users accept to be paid in CEL which is Celsius network token they receive additional 30% interest on their returns.
Now talking about loans, Celsius Network allows interested users to borrow cash or stable coins at the lowest rates (as low as 1%). They can use any of the supported cryptos as collateral. Additionally Celsius Network only charges you 1% when you borrow cash or stable coins on their platform.
This platform sit at number three and this is one of the top players. It was founded in 2017, and its headquarters is in New York. Now with BlockFi, you can earn interest at up to 7.
5% APY when you hodl your crypto in its wallet. And if you need cash, you can borrow at a rates as low as 4.5% APY. Some coins that you can deposit as collateral are BTC, ETH, LTC, PAX, USDT, and others.
And in BlockFi you can also buy, sell, exchange a variety of cryptocurrencies on their trading platform.
Nexo is also a top lending platform it was founded also in 2017 it pays as high as 8% for crypto currencies and 12% for stable coin and standard currencies.
Payout are made daily and users can withdraw their funds at anytime. Also users who prefers to be paid in the Nexo Network token receives additional 2% on their interest, and if you want too you can also secure a loan on Nexo and repair back with 6.
9%APY. Supported coin includes BTC, ETH, BCH, LTC, BNB, TRX, and so on and so forth. Number five is crypto.com
In addition to offering loans services, crypto.com pays high interest on coin you stake on the platform. So you can earn up to 12% on stable coin and 6.5% on other coins.
Also you can choose from any of the available holding terms: Flexible, 1-month fixed, and 3- month fixed term depending on how long you are willing to hodl your coin on the platform. So top coins you can stake on the platform include CRO, BTC, ETH, LTC, BCH, etc.
In addition to lending and borrowing, crypto.com allows you to do virtually anything crypto, they have an exchange where you can actually trade different crypto currencies. They have a Defi platform you can do your Defi business, and they have a card, a card with visa you can use to perform any transaction you perform with your regular visa card.
Binance needs no introduction it is the world biggest crypto currency exchange. So I will expect that you are surprised if Binance is not on this list. Now on Binance you can earn up to 6.
5% APY when you stake your coins, and like crypto.com they have both Flexible and Fixed investment. The flexible investment allows you to withdraw funds at any time while for fixed investment; you can only withdraw your funds at a specific time.
Now the good thing about Binance is that it has a long list of coins that you can stake and also you get 60 to 65% loan to value ratio when you take loan on Binance. The last but not the list is OKEX.
OKEx offers you three ways to earn. One is saving, second is staking, and the third is crypto-to-crypto (C2C) loans. Now for the Savings all you need to do is to deposit any of the 32 supported cryptocurrency on the platform, and you will earn interest on them every single day.
And anytime you want you can choose to withdraw your capital and the interest. For the Staking, you need to lock up your funds for a given period of time, and you can not withdraw your funds until that time has elapsed.
Now the good thing about staking is that you earn more interest on staking than you would on the savings. And impressively, OKEx offers more APY than any of the other platforms that we’ve mention so far.
We are talking about 11% to 33% on OKEx. For the crypto to crypto loan you can lend USDT to the platform and earn higher interest on your capital. Some of the supported coins include Bitcoin BCH, ETH, ENJ, 1NCH, and so on and so forth.
So the next question you might be asking now is, are my crypto currency safe on this platform? Now lets start with Celsius Network. Celsius network for example, has over $10B in assets and it partners with Horizen Labs to prove liquidity at any moment in time.
It also has a team of Certified Anti-Money Laundering Specialists (ACAMS). Now for BlockFi, BlockFi is regulated in the U.S. and backed by a large financial institution like Valar Ventures, Winklevoss Capital, Galaxy Digital, Fidelity, etc.
Then Nexo has a $375 million insurance on all is custodial assets. As for YouHodler, it uses Ledger Vault to securely control its crypto assets. It also has a $150 million pooled crime insurance. For Crypto.
com, Binance, and OKEx they are renowned exchanges, and they are regulated by financial bodies. So you can see that they are reputable and that why they are the top 7 crypto lending platform.