BlockFi Offers a Crypto Deposit Account with 6% Annual Interest

Crypto lending company BlockFi has launched new cryptocurrency deposit accounts that offers 6% annual interest. The deposit account, called the BlockFi Interest Account (BIA), currently supports Bitcoin (BTC) and Ethereum (ETH) deposits. Users will get interest in the same cryptocurrency they origianlly deposited on the platform.

BlockFi will pay the interest on a monthly basis which also compounds, enabling users to earn an effective yield of 6.2% on their crypto deposits. The minimum deposit amount is 1 Bitcoin and/or 25 Ethereum. The company originally started with crypto-to-USD loans and are now expanding their services through the BIA.

What does BlockFi do with your BTC and ETH deposits?

According to BlockFi, the company generates interests on the assets by lending them to institutional and corporate borrowers. BlockFi lends crypto on over-collateralised terms to ensure loan performance. It also has the ability to terminate a borrow in a timely fashion and also maintains reserves for customer withdrawals from BIA.

Are the funds safe?

BlockFi will hold its crypto deposits with Gemini, which is one of the leading custody providers in the cryptocurrency space. Gemini had recently announced digital asset insurance coverage and the completion of its SOC 2 Type 1 security compliance review of its exchange and custodian platform.

In addition, BlockFi is backed by asset management firm Morgan Creek Digital which is founded by the charismatic crypto influencer Anthony Pompliano aka Pomp. This should boost confidence of investors depositing their hard earned cryptos into the platform.

Can Indian cryptocurrency investors deposit BTC and ETH on BIA?

Yes, Indian cryptocurrency investors can also deposit Bitcoin and Ethereum and earn interest on the platform. You can choose to sign up with our referral link: https://blockfi.com/?ref=ea40aac9

Please note that this article is not an endorsement for BlockFi, and is only meant for information purposes. Kindly do your own research before depositing your BTC and ETH on BlockFi.

(Image Credit: BlockFi Website)