Crypto interest is a powerful financial tool and one that is often overlooked by the average saver. Putting your money into an account that gives the opportunity to earn interest on crypto above the rate of inflation makes that money worth more in the long term.
Choosing an account that pays compound interest is even better because the longer the funds stay in the account, the greater the value of that interest will be. Compound interest is now something that is available to cryptocurrency investors. Accounts such as those offered by Haruinvest allow crypto investors to receive compound interest on their Bitcoin and other popular crypto holdings at rates of 8% to 15% per year (example rates, actual rates may vary).
So, how does compound interest work and how you can open an account instantly?
What is Crypto Compound Interest
Compound interest is a tool that investors can use to grow their nest-eggs and build wealth over a long period of time. The impact of compound interest is not particularly noticeable in the first year or two, but the longer a balance remains in an interest-bearing account, the more the impact of compound interest is noticed. Most accounts that offer compound interest will show their returns over a longer timeline of three to five years, or even several decades with retirement accounts. The longer the balance remains in the account, the greater the interest that is paid on it. If you continue adding funds to the account, then that increases the long-term earnings even more.
Haruinvest offers compound interest on crypto accounts. Let’s look at an example with hypothetical rates of 8%. Current rates may vary and are published on our homepage.
If you deposit 1BTC and leave it in the account for 1 month, with 8% interest that compounds daily, then the following month you will have 1.006688 BTC. You will have earned 0.006688 BTC thanks to the interest on the deposit. That may not sound like much, but in the second month, you’ll earn interest on that 1.006688 BTC.
A month later your balance will have increased to 1.013421 BTC. In month three, your balance will increase to 1.020199 BTC. Every month, the interest will grow.
At the end of the year, your total interest earnings will be 0.083278 BTC, which is an annual effective rate of 8.33% from 8% interest. In the second year, your interest will work out to 0.090213 BTC, and in the third year, the interest will be 0.097725 BTC.
Over a three-year period, your interest will add up to 0.271216 BTC. That’s assuming you simply deposit 1 BTC and forget about it. Make a bigger deposit, and you’ll see even higher interest payments. Continue to deposit more funds into the account, and again, you will see the earnings from interest increase.
The key is patience. The longer the coins stay in the account, the more they will grow.
The example above is based on 8% interest, compounded daily. Many of Haruinvests accounts offer higher rates than this. Choosing the right account based on your plans for your cryptocurrency holdings can help you maximize your returns.
How to Put Your Crypto to Work: Earn Interest on Crypto
A lot of crypto investors keep their assets in a crypto exchange so they have easy access to them. Some investors are more cautious and keep their assets in cold storage, holding the belief that the coins are only “theirs” if they have sole control of the keys and the wallet.
Keeping crypto in cold storage is the digital equivalent of keeping an enormous quantity of cash under your mattress at home. It doesn’t help to grow your assets, beyond any incidental increase in the value of the holdings should the value of the coins increase. It also creates a single point of failure. If that wallet goes missing or stops working, how will you access your coins?
Earn crypto interest
More and more people are using Haru to keep their crypto asset smart. Give it a try!
The yields offered with cryptocurrencies are some of the best savings opportunities on the market. Whether you’re planning on putting a lump sum into an account and letting it grow over time, or adding a small amount every payday and watching as your nest-egg grows, the chance is there for you to turn your cryptocurrency holdings into something bigger.
Investing in an interest-bearing crypto account puts your money to work for you in a more efficient way, ensuring that your accounts grow year after year, just like savings in a traditional savings account. At Haruinvest you can save Bitcoin, Ethereum or Tether and watch as the value of your holdings increases.
- Interest compounds daily
- There is no limit to how long an account can be held for
- Withdraw interest at any time with no penalty
- Cancel your account at any time
- Choose from a selection of popular cryptocurrencies
- Interest rates that outperform the traditional market
You can save as much or as little as you wish. The more you save and the longer you save for, the greater the interest will be. Don’t delay just because you can’t save a whole BTC or multiple BTC, though. Even saving a few Satoshis or a small amount of one of the major altcoins can give substantial returns. Why leave your funds in the hands of a traditional financial institution for low returns and strict limits on withdrawals, when you can have cryptocurrency holdings that can grow month after month?
Haruinvest is backed by Block Crafters Capital and protected by BitGo, giving you peace of mind that your coins will be well looked after. Interest rates are variable, and accounts with a monthly lock-up will offer higher rates than standard deposit accounts.
Save for As Little or as Long as You Like
The true impact of compound interest is felt when you save for long periods of time, but with interest compounding daily you can see returns from shorter saving periods. Compound interest can work for you, whatever your lifestyle is, and whatever level of financial flexibility you need.
Learn more: Crypto Compound Interest
Haruinvest offers several savings accounts, including accounts with no lock-up that offer a variable interest rate that outperforms the rates offered by traditional savings accounts. This means you can put some coins into those accounts and let them earn interest on a day-to-day basis, but still access those funds instantly should you need them.
Those who are able to commit their funds for a longer period can take advantage of even higher rates by signing up for an account with one month (or longer) lock up. With these accounts, savers can still access their funds at any time, however, the interest is paid out at the end of the lock-up period, so withdrawing early means forfeiting interest. If you can leave the funds in the account for the lock-up period, however, the returns will be higher.
Anyone Can Earn Interest on Cryptocurrency
You don’t have to be wealthy to save cryptocurrency. Putting even small amounts of money aside can be beneficial. Cryptocurrency interest accounts could revolutionize the financial scene and make saving accounts with tangible returns accessible to people who typically feel excluded from higher-yield financial products. Cryptocurrency interest accounts make it easy for even novice savers to get started with this type of investment. You can get started with amounts as small as 0.0001 BTC, 0.005 E TH, or 1 USDT.
Interest-bearing accounts are some of the easiest ways of growing your holdings. If you don’t feel confident in trading on an exchange, or you are concerned about making mistakes and losing your funds, put them in a savings account instead. You won’t have to manage the account or even think about it at all, and every month your balance will grow.
It only takes a few minutes to open an account with Haruinvest. Simply fill out your personal details and prove your identity just as you would when you’re opening a standard bank account. Choose the type of account you would like to open and then send over some Tether, Ethereum, Bitcoin or Terra KRT and sit back while it earns interest. At the end of the month you can choose to renew the deposit or withdraw your holdings to a wallet of your choosing. It’s never been easier to save cryptocurrencies.
The whole process is designed to be quick, easy and hassle-free. Once the account is open you can log in to your online control panel at any time to view your balance and see how your funds are working for you to build up a cryptocurrency nest-egg.
There is no set-up fee and you can access your funds at any time. With instant-access accounts, you can withdraw the interest at any time with no penalty. Haruinvest offers cryptocurrency investors a simple, low-effort way to see real returns on their crypto holdings. Don’t lose out on those annual returns. Sign up today and start making your cryptocurrency work harder for you.