For those holding BTC for the long haul, do you earn interest on your stash?

[pooya87]

If you want "interest" then you better work on it yourself instead of taking a big risk by handing your coins to someone else that may or may not be giving it back to you. One way is to start your own business with the funds you have or if you are serious enough you could even partner up with other people to increase the capital. How do you think big businesses started? Just like this. You have to put some effort in and take some small risks.

[1715651314]

1715651314

[rhomelmabini]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Likely the risk is there especially now that you leave it on an exchange where you don't have that total control of all your bitcoins and the earn you may get. Not that bad but in the sense of security over it, keeping it for over a year or even lower than that is still risky action on your part.

[davis196]

Capitalism is all about risk.
A company working for profits takes risks.Zero risk usually means zero profit.
A bank that gives loans is earning interest rates,which is also a profit,which means that the bank is getting paid for taking the risk to lend money.Bank loans are covered by assets,like mortgage.
I have nothing against earning interest for your Bitcoins,but only if you give loans that are covered by a big enough collateral.The collateral must be at least 120% of the loan amount.
Sending your Bitcoin to some crypto company,which is promising you X% annual interest is a big NO for me.
Any crypto company can scam you at some point.It doesn't matter how legit the company seems to be.
 

[DooMAD]

A bank that gives loans is earning interest rates,which is also a profit,which means that the bank is getting paid for taking the risk to lend money.

In days gone by, maybe.  In practice, that's not remotely true now.  There is no risk to them because governments are happy to steal money from the wider populace to pay for any losses.  "Too big to fail" has set a precedent that will likely not be undone in our lifetimes. 

I don't think satoshi ever uttered the word "interest" on these boards.  And "interest" was only used in the whitepaper in the non-financial context of attention or curiosity.  I suspect that was intentional. 

[BIT-BENDER]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

If my tokenomics and economy calculation are good then the interest isn't much for those holders who hasn't large Bitcoin in their wallets, also I don't think this is even a thing people are excited about or are interested in, this won't even entice me to keep my cryptos in exchanges even if I were to be a whale holder. But if after  your research you think you interested in the interest you would get from holding/staking your Bitcoin or crypto-currency through that means then Good luck.

[Fundamentals Of]

Yes, they are offering much higher interest compared to related fiat products but the difference is that most of these fiat products are, as you've said, insured. There is low interest but there is also lower risk. Crypto staking products offer higher APY but the risk is also higher.

I don't use it so I wouldn't also recommend it to other people. What I recommend is to choose Bitcoin and perhaps a handful of very solid altcoins and keep them yourself and away from the control of anybody. But should you decide to invest on them, just make a moderate investment, an amount you could easily forget should it end up the way you wouldn't wish to.

[aoluain]

As everyone has said sending Bitcoin or altcoin to an address which you can access
but some other party has control of is never a good idea but I am one who is taking that
risk and have been for a number of months now on the BlockFi platform. I have a small
portion of my holding on deposit there earning interest.

The deposit im aware that I dont have control over, meaning if the platform is
hacked, or if they decide to lock me out, there is very little I can do.

So along with the reward there is also risk.

[AicecreaME]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

I don't think stashing your bitcoin is a great idea. Putting your coins in a stash means giving up your ownership and custody over it because you permit the exchangers to have the authority over your funds. Hence, when hacking happens, your assets aren't safe. There are numerous incidents of hacking already reported with these exchangers and wallets. I suggest to be wary and always double-check where you are putting your hard-earned money/coins because it's not easy to make money nowadays. Reassess if the risk that comes along with stashing your money is worth it or not. For the interest that they will give you, will it be okay to put your funds just for the sake of having your money grow with them? If yes, then go ahead. After all, there are several exchangers that offer pretty much decent interest over time. If not, then don't do it. It still all depends on you.

[kryptqnick]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Op, consider it carefully before taking part in such things. There's always a risk when you're staking your coins because it means that you're giving some other party the keys. Then comes the concern over it being worth it in terms of profit. How much will this staking give you annually? 5%, maybe 10% if it's a very good deal? Well, Bitcoin can go 10% up or down in a matter of days. So aren't you better off simply hodling your BTC independently because this change is quite insignificant compared to volatility? You can also try to follow cycles with these 10% increases and sell the excess for fiat or a stable coin on an exchange.

[tygeade]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

The interest is usually not much. It goes from about six percent (6%) per annum and above in some platforms. It’s not really bad, it is up to you whether you’re going to like it or not. If you see a good platform that you can use for it, then you can do it. The good thing about the exchanges that I am using for staking is that you can withdraw your staked assets at anytime, that’s good thing. It is not the type where your assets gets locked for like a year and if you changed your mind you wouldn’t be able to withdraw it. It’s not bad if you’re making extra 6% and above on your assets.

[Lanatsa]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

The interest is usually not much. It goes from about six percent (6%) per annum and above in some platforms. It’s not really bad, it is up to you whether you’re going to like it or not. If you see a good platform that you can use for it, then you can do it. The good thing about the exchanges that I am using for staking is that you can withdraw your staked assets at anytime, that’s good thing. It is not the type where your assets gets locked for like a year and if you changed your mind you wouldn’t be able to withdraw it. It’s not bad if you’re making extra 6% and above on your assets.

Cant trust up that much and even they would say 6-10% interest per year and the same locked in period then I wouldn't really be tending or risking out to those platforms no matter how well known or popular they would be.

Just like others been saying is that interest in the essence of price volatility would be much more worth I could say because we know on how Bitcoin do able
to move after a year.

It could neither be doubled or at least 30-70% in a year or not known as always.

[Haunebu]

I don't earn any interest on my crypto assets and I was never interested in such stuff owing to the extreme volatility of the cryptocurrency market. I don't think it's worth investing in any sort of schemes that offer interest on crypto assets.

Instead, it would be better to depend on FIAT interest schemes since FIAT currencies are far less volatile both in the short-term as well as the long-term.

[Digitalbitcoin]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Bitcoin is the prime/master currency of the crypto market. So always stay safe while dealing with Bitcoin transactions.

But if looking for yield or interest on Bitcoin, then it is not that convenient or profitable solution to date.

Rather than swapping Bitcoin to other chain tokens, majorly Ethereum chain tokens can give some sort of boost on earning.

Currently, Yield farming, LP Mining, Staking, Minting are majorly supported Ethereum Chain including forks and Layered Solutions such as Binance Smart Chain, Polygon, Fantom etc.

Investing in new projects including ICO, and IDO can also give profit in a short duration, but require patience.

[Welsh]

I've always thought that a asset which is likely to appreciate in value is always better than earning interest on a depreciating currency i.e I would much rather have my money stored in Bitcoin which I believe will only increase in the future, and will escape the drawbacks of keeping your money in fiat. For example, escaping the natural inflation which is associated with holding fiat currencies for a long time.

In days gone by, maybe.  In practice, that's not remotely true now.  There is no risk to them because governments are happy to steal money from the wider populace to pay for any losses.  "Too big to fail" has set a precedent that will likely not be undone in our lifetimes.  

Not completely accurate since banks get bailed out all the time, though you're right that's usually through government intervention, which would presumably be funded via tax. So, you might be partly right, though there are definitely banks which have gone under without being saved, and we'll likely see this in the future too. In fact, it's one of the reasons why Bitcoin was created, because of the failings of the banking system which resulted in multi millions/billions in bailouts.

.

[batang_bitcoin]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Not a bad idea but I don't choose to get with those interest rates for holding bitcoin. I'm good as I'm the one holding it and not any platform that would take more than the interest that they'll give to me. I feel secured and better if it's on my wallet and I'm the one who has the private keys on it. The growth in value of bitcoin is already good to me, so whenever the price goes up, that's the already the reward for me and for the others too.

[carlfebz2]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Not a bad idea but I don't choose to get with those interest rates for holding bitcoin. I'm good as I'm the one holding it and not any platform that would take more than the interest that they'll give to me. I feel secured and better if it's on my wallet and I'm the one who has the private keys on it. The growth in value of bitcoin is already good to me, so whenever the price goes up, that's the already the reward for me and for the others too.

Majority would really be having the same mindset when it comes to this interest or staking on where it is much better if they do held off their coins on their own wallet rather than entrusting those coins on a platform just for you to earn small interest.

I feel secured too when you do know that you do possess the private keys of that wallet on where your coins been stored.You could sleep confidently
without worrying on something like that.

Basing with the risk is something depending on someones preference so its up all to you.

[irsykes]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Correct me if i'm wrong but i think my friend once told to me that we can stake USDT to Binance, but if it is wrong then i missheard it. With USDT i think the only problem that we can face is security of the exchange or our own account. About price, maybe stable coin can help the price at least not dumped.

[UserU]

Correct me if i'm wrong but i think my friend once told to me that we can stake USDT to Binance, but if it is wrong then i missheard it. With USDT i think the only problem that we can face is security of the exchange or our own account. About price, maybe stable coin can help the price at least not dumped.

No doubt exchanges are under the top priority of hacks.

If you want a safer option, there are custodial wallets which offer much better rates for USDT/ stablecoins than most exchanges such as Binance. We're talking ~10% APY.

[Wexnident]

I personally don't'. I've profited more than enough by taking advantage of the BItcoin's naturally increasing price over time, so I didn't think that I'd still need to stake my coin. Not to mention as others have said, the threat of your assets not being on your own care is enough to actually consider why you shouldn't actually stake your coins. If we were talking about solely staking, I'd go for something else instead of Bitcoin. Bitcoin price volatility is enough to profit, and that little profit you can get from staking it isn't enough imo.

[michellee]

I have been reading up on some interest accounts out there for BTC and Altcoins and the yields are really good especially when benchmarked against fdic insured fiat.

What’s your take on this? Is this a good or bad idea?

Correct me if i'm wrong but i think my friend once told to me that we can stake USDT to Binance, but if it is wrong then i missheard it. With USDT i think the only problem that we can face is security of the exchange or our own account. About price, maybe stable coin can help the price at least not dumped.

You are not wrong. Your friend says the truth about staking USDT in Binance so you can earn some rewards, especially if you use more than $100 on the stake.

If you take a look at Binance in Flexible Saving, with only $5, you can earn interest for about $0.0013699 per day, so that can be good enough to earn the interest if you do not want to use your USDT to trade.

Everything you do will have a risk so you need to know the risk first before you decide. Binance gives you many coins to stake to earn the interest, so that will be up to you.