Cryptolending is a way to earn passive income using cryptocurrencies. There are many crypto lending platforms that investors can use to generate this passive income. However, choosing which platform to use depends on the priorities you have in mind, such as low fees, high interest rates, and so on.
If your priority is to earn high interest on your funds, here are seven crypto lending platforms that deliver the highest interest rates, listed in no particular order.
1. BlockFi
BlockFi is a cryptocurrency trading platform that also offers crypto loans. It allows investors to lend assets to borrowers and pays them interest on their investments. BlockFi is one of the highest paying lending platforms, paying up to 7.50% Annual Return (APY).
A tiered system is used to pay interest, which varies depending on the asset you are lending. Stablecoins generally yield higher interest rates than other assets. Find out what stablecoins are if you don’t know much about them and see how the largest stablecoin, Tether, works as an example.
To participate in the loan program, you must register for a BlockFi Interest Account (BIA). Interest is paid to account holders at the beginning of each month. If you are new to crypto lending, it is a good idea to learn what crypto lending is and how it works before participating.
2. Celsius
Celsius is a US-based crypto lending platform that allows users to borrow, lend and transfer crypto assets at zero fees. It also offers one of the highest interest rates in the space.
Celsius pays up to a whopping 17% interest on digital assets depending on which one you rent out. Prices are generally higher than most platforms, regardless of asset. Additionally, if you choose to earn in Celsius’ native CEL token, you will receive an additional 25% interest.
Payments are made to lenders weekly, and you can check how much interest you’re entitled to based on your chosen asset using the calculator on the website, even before you invest.
3. YouHolder
The YouHolder platform is used for many crypto-related activities. Users can store and trade cryptocurrencies, as well as use them to pay for goods or services. It is also one of the highest paying lending platforms for those looking for passive income.
YouHolder offers up to 12% APY on deposited cryptocurrencies and stablecoins. Supported assets include Bitcoin (BTC), Pax Gold (PAXG), USD Coin (USDC), True USD (TUSD) and many others. Like BlockFi, YouHolder offers the highest prices of stablecoins, but does not use a tiered system.
4. Nebeus
Nebeus is an all-in-one platform for everything crypto including lending, earning, trading and even insuring your assets. When it comes to crypto lending, Nebeus offers some of the best interest rates.
You can earn up to 12.85% RPY for renting out cryptocurrencies like Bitcoin (BTC), Ethereum (ETH) and stablecoins like Tether (USDT) and USD Coin (USDC). Nebeus does not charge any fees for depositing assets used for this purpose.
There is an interest rate calculator on the platform that you can use to check how much monthly interest you are entitled to at the beginning of your crypto loan journey. Interest is paid monthly in any cryptocurrency of your choice. It is possible to withdraw the interest daily, still at zero fees.
This is one of the lending platforms that is fully regulated, which gives users confidence that their funds are completely safe. It also has a wallet that enables instant transfers between crypto accounts and fiat bank accounts.
5. Crypto.com
Crypto.com is a top cryptocurrency exchange that also offers crypto lending services. This allows users to earn interest on their digital assets by renting them out for lending. You can earn up to 14.5% by renting your assets, including over 40 cryptocurrencies and stablecoins.
Like other crypto lending platforms, you can check your interest rate based on the cryptocurrency you want to use. Polkadot and Polygon are currently among the highest yielding assets at 12.5% each.
To participate, you must register with Crypto.com and become a verified user. You can then deposit your money and start earning monthly interest on it.
6. Nexo
Nexo is a cryptocurrency platform that offers multiple services including buying, selling and trading of digital assets. Nexo supports more than 300 assets and also allows users to earn interest on crypto assets by making them available for lending.
The platform pays up to 16% APY on cryptocurrencies, with interest compounding. There are no fees for this service and participants receive daily payouts. As it is a lending platform, it is also one where you can borrow funds that are backed by your crypto assets as collateral.
Interest is usually paid out in the cryptocurrency you rent out, with Polygon (MATIC) having the highest return at 16%.
7. Coin loan
CoinLoan offers a regulated platform for buying, storing and trading cryptocurrencies. It is also a famous crypto lending platform that allows you to earn passive income with your free digital assets. There are 23 assets supported for this purpose with variable interest.
As is the case for most crypto lending platforms, CoinLoan pays the highest prices on stablecoins, but also on fiat currencies such as pounds sterling and euros. The highest interest rate is 12.3%, and interest payments are sent daily.
CoinLoan’s greatest strength is that it is a registered and fully regulated platform, which gives your assets security. It is also a certified digital asset that is covered by insurance, so you don’t have to worry about the safety of your crypto assets at any time.
Which Crypto Lending Platform Should You Use?
All of the above crypto lending platforms offer high interest rates on your assets compared to other platforms in the industry. However, you may be more interested in one of them than the other, which is fine. For example, you may be more interested in the security of your assets, which will make either Nebeus or CoinLoan more interesting to you. However, if you are looking for the highest returns and nothing else, Nexo may be your platform of choice.
