3 ways to get interest on your bitcoins!

in money •  7 years ago 

Because of the 'interest' on my previous article, I decided to make a new article about bitcoin (and cryptocurrency) interest rates. The suggested interest funds are relatively safe and have been tested by myself. This article was written from my own experience and community feedback. Putting your money in an interest fund always involves risks, even if the risk is very small and manageable with my suggestions. This is not a financial advice and I recommend you to always check the products yourself. Having said that, here are my three ways to get interest on your bitcoins:

1. Earn interest from margin trading exchanges.

You can get an interest on a varied offer of cryptocurrencies with margin trading exchanges like Poloniex and Bitfinex. I prefer Bitfinex for this one. With margin funding you are borrowing your money to margin traders for an interest rate which you decide, mostly between 1-10% annual percentage rate (APR). Because there are automatic stop losses for margin traders, it's almost impossible to lose your money (and this has never happened before on cryptocurrency exchanges). If this is an option for you there is more information on this page. It’s possible to automate your lending on the exchanges or set up a 'lendingbot' with your API on coinlend.org.

2. Earn interest from an arbitrage fund.

On mixcoins.com you can put your bitcoins in their arbitrage fund. Due to price differences across different exchanges and a high-frequency trading technology they manage to purchase bitcoin in lower prices markets and sell them in higher prices markets. The profit of each transaction is a very small percentage of the transaction, but high-frequency arbitrage allows for tens to hundreds of transactions per second. Due to the small spread of each transaction the risk is very low per transactions. The current rate for bitcoins is 10.96% APR. I'm in this fund for a year and they’ve always paid the interest on time and at an APR of 10.96%. If you're interested you can do me a favor with using my referral link https://mixcoins.com/?r=189870

3. Earn interest from bitcoin mining.

On freebitco.in you can get a interest on your bitcoins for expanding bitcoin mining operations. The interest is paid from three operations: the first part is used to cover user withdrawals, the second part is used to bankroll their multiply BTC game and the third part is used to expand their bitcoin mining operation. If you interested in this one you can make account via my referral link. The APR is 4.08% and they also have a faucet where you can earn free bitcoin. The minimum balance is (0.0003 BTC).

I hope this is informative for you and you will do me a favor with using my referral link if you join an interest program. Let me know what you think about it in the comments.

Let’s keep this BOOMING!
UnknowCrypto

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Do you think it's worth the risk to keep your money on an external website in order to earn interest? I like having full control over my funds just in case something happens. The crypto world is still very volatile so for me it's not worth it, I think

Good to see you're still using the banner I made you! Steem on!

@rvanstel It's a little risk to keep money on an external exchange. But with full safety settings the risk is maintained to a minimum. I like to divide my money on different exchanges and wallets to mitigate the risk of losing a lot of money. I'm participating in the arbitrage fund from mixcoins.com for over a year now and I'm very content about the product and safety.

Thanks mate. Bitfinex is not allowing US customers

Youre welcome! Ah that sucks, maybe Poloniex?

Congratulations! This post has been upvoted from the communal account, @minnowsupport, by Unknowncrypto from the Minnow Support Project. It's a witness project run by aggroed, ausbitbank, teamsteem, theprophet0, someguy123, neoxian, followbtcnews/crimsonclad, and netuoso. The goal is to help Steemit grow by supporting Minnows and creating a social network. Please find us in the Peace, Abundance, and Liberty Network (PALnet) Discord Channel. It's a completely public and open space to all members of the Steemit community who voluntarily choose to be there.

There is another way to earn interest on your bitcoins, without trusting third parties - JoinMarket.

This post has received a 2.88 % upvote from @booster thanks to: @unknowncrypto.

greet post