Earning interest on bitcoin without giving up your keys

[larry_vw_1955]

here's an example from their blog:

The expiry is in 10 days.
The strike price is $60k.
The premium is .0011 BTC, or approximately 4% APY.

So if you have an entire bitcoin and really need $6 per day of taxable income, this might be something to look into. In 10 days you would have made $60. for putting an entire bitcoin up as collateral. into a multisig contract. they have some kind of price oracle that they feed information to that helps decide the outcome of these covered calls. covered calls are a standard tool in stock market trading by the way.

[tbct_mt2]

AFAIK with sovryn you are swapping BTC for some random token called SOV, and they put that into some smart contract. Doesn't seem amazing to me.

AFAIK with mintlayer you are swapping BTC for some random token called MLT, and they put that into some smart contract. Doesn't seem amazing to me.

You can not keep your Bitcoin or any coin in an airgapped wallet and earn interests. If you want to earn interest, your coins must have some sort of roles and you have to accept risk and interest you get in return.

If you want something totally safe, ok it is airgapped wallet, and forget about interest.

[traderethereum]

here's an example from their blog:

The expiry is in 10 days.
The strike price is $60k.
The premium is .0011 BTC, or approximately 4% APY.

So if you have an entire bitcoin and really need $6 per day of taxable income, this might be something to look into. In 10 days you would have made $60. for putting an entire bitcoin up as collateral. into a multisig contract. they have some kind of price oracle that they feed information to that helps decide the outcome of these covered calls. covered calls are a standard tool in stock market trading by the way.

That sounds too good to be true
I wonder if that website really gives that percentage and gives a big profit for their members since many websites are doing the same but in the end, they are just scamming people.
It is almost the same as Ponzi or HYIP or whatever its name so there is no real guarantee for you to make that profit.
If I were you, I would try the other way to earn money and not just put my money into a website and let them run my money.

[avikz]

Wouldnt it be great for the holdlers if you could earn interest on your bitcoin and not give up your keys? So ive heard of this new thing from some other guy
called Atomic finance that just does exactly that. Sounds interesting.  The way crypto is always evolving i bet its just a matter of time before we can safetly earn interest on bitcoin but i am no expert on this. Does anyone here know of any upcoming projects like atomic finance that are doing exactly that?

Bitcoin doesn't have a smart contract facility so you can't lock your bitcoin in a contract. So I am really not sure what Atomic is trying to do. I could not find a lot of information in their blog as well. They have mentioned something about "discreet log contract" but didn't explain in details.

At a glance, it looks like a geberic program who usually try to scam. But unless and until they launch and let the market know about their product, it's incorrect to jump to a conclusion.

[hatshepsut93]

into a multisig contract

This isn't exactly "without giving up your keys". Depending on the implementation of the contract, you could be scammed or hacked. Lightning Network also uses multisig, and there's a very complex mechanism for ensuring that one party doesn't just drain all the balance of the multisig contract. Without something like that, this decentralized lending would be way too risky.

[larry_vw_1955]

into a multisig contract

This isn't exactly "without giving up your keys".

of course it's not. you have to transfer your btc to a multisig address. that's how discreet log contracts work.

I could not find a lot of information in their blog as well. They have mentioned something about "discreet log contract" but didn't explain in details.

They don't have to. DLCs are explained elsewhere.

That sounds too good to be true Grin

what about it sounds too good to be true?

You can not keep your Bitcoin or any coin in an airgapped wallet and earn interests. If you want to earn interest, your coins must have some sort of roles and you have to accept risk and interest you get in return.

right but theoretically, discreet log contracts eliminate counterparty risk.

why someone would get excited about making $6 per day (for 10 days) of taxable income while limiting their upside potential on their 1 btc is kind of hard to understand though. plus it will cost them probably at least $6 to transfer into the DLC and another $6 to transfer out of it. bitcoin transaction fees being what they are... plus of course you would run the risk that the entire thing just doesn't work and your btc gets stuck in a contract you can't get it out of. i guess that kind of thing can happen but its probably low probability.

[Ararbermas]

I don't think it is possible. How would you be able to let someone else spend your bitcoins without the private key?

yhup and the best question for that also is if its safe and totally legit, because without such thing it's like a joke.. I mean yeah like what you said how to manage it or spend it if you don't have the keys.?   you invest a lot of efforts and time on it at the same time but you don't have the keys. So it's not good.

[Lizzylove1]

I don't know of Atomic finance, I understand you can safely own your bitcoin offchain and Defi it. Most available just require you provide liquidity with your bitcoin and this comes with impermanent loss. People don't want to lose their bitcoin against a stable coin or a very volatile altcoin. I once saw a news flash that STACKS (STX) was working on bitcoin smartcontract, this is why I refuse selling the few I got from airdrop.

[kaya11]

Wouldnt it be great for the holdlers if you could earn interest on your bitcoin and not give up your keys? So ive heard of this new thing from some other guy
called Atomic finance that just does exactly that. Sounds interesting.  The way crypto is always evolving i bet its just a matter of time before we can safetly earn interest on bitcoin but i am no expert on this. Does anyone here know of any upcoming projects like atomic finance that are doing exactly that?

I don't think it is possible. But some cases or alts they give airdrops just holding coins. But in bitcoin I don't know. They solely earn base on interest and how would they earn if they don't make use of your bitcoin and make them grow. So either you send your BTC to their wallet and stake it or you hold it and wait for it to increase in value.

[Sled]

To HOLD was just meant for OP, nothing else. And since you were afraid to take risks, I guess, this crypto is not suitable for you then as even just holding alone is still risky.

Wouldnt it be great for the holdlers if you could earn interest on your bitcoin and not give up your keys? So ive heard of this new thing from some other guy
called Atomic finance that just does exactly that. Sounds interesting.  The way crypto is always evolving i bet its just a matter of time before we can safetly earn interest on bitcoin but i am no expert on this. Does anyone here know of any upcoming projects like atomic finance that are doing exactly that?

I don't think it is possible. But some cases or alts they give airdrops just holding coins. But in bitcoin I don't know. They solely earn base on interest and how would they earn if they don't make use of your bitcoin and make them grow. So either you send your BTC to their wallet and stake it or you hold it and wait for it to increase in value.

Never ever seen Bitcoin offering such a thing as well. Some people got staking, lending services but all of of these are need keys, it gonna be out of our control and it wasn't safe anymore. OP never look into this thing and it was sad to say that he was not able to find a way to earn BTC without giving up his keys.

[ipanks]

Wouldnt it be great for the holdlers if you could earn interest on your bitcoin and not give up your keys? So ive heard of this new thing from some other guy
called Atomic finance that just does exactly that. Sounds interesting.  The way crypto is always evolving i bet its just a matter of time before we can safetly earn interest on bitcoin but i am no expert on this. Does anyone here know of any upcoming projects like atomic finance that are doing exactly that?

I don't think it is possible. But some cases or alts they give airdrops just holding coins. But in bitcoin I don't know. They solely earn base on interest and how would they earn if they don't make use of your bitcoin and make them grow. So either you send your BTC to their wallet and stake it or you hold it and wait for it to increase in value.

I prefer to hold my bitcoin than send it to a website that I do not know for sure because I heard many bad stories about scamming website that offers people to invest with their services. If those services from that website have many good reviews from the members, I do not want to risk many satoshis on that website. If @OP still wants to try or already invest in that site, we need to wait for his interest to know that the site is really paid or will not pay.

[Wind_FURY]

OP, run a routing node for the Lightning Network. Earn a little Bitcoins through fees. It requires some technical skills and research, but there are people like Rath_ who can help you. Ask your questions in this topic, https://bitcointalk.org/index.php?topic=5158920.0