Blockhcian.com, one of the first cryptocurrency wallet platforms, has launched interest bearing accounts for deposited cryptocurrencies.
Announced on Friday, Bitcoins stored on the wallet platform will receive interest of 4.5 percent per year.
“Banks around the world are not only reducing the interest they pay on savings accounts to almost zero, some have even introduced negative interest rates. Compare that to 4.5% and it's easy to see why it is worth keeping cryptocurrencies in an interest account. ”
This came after the UK-based company first announced the development of such accounts last week.
It should be noted that wallet users must separately request interest-bearing accounts.
"Just visit your Blockchain.com wallet, select 'Earn Interest' and open an interest account today to immediately start earning 4.5% annually."
The new services are only available to wallet users who have completed their customer awareness (KYC) processes; however, it will not be available to customers based in the United States, Canada, and Japan.
A new wave in the cryptocurrency market
Cryptocurrency interest accounts are becoming very popular lately. Although integrated by decentralized finance platforms (DeFi), many wallets and exchanges are also starting to offer similar services. More recently, Delta Exchange, a cryptocurrency derivatives trading platform, launched interest-bearing accounts for transactions on the platform, sweetening its offerings.
Founded in 2011, Blockchain.com is one of the oldest cryptocurrency companies and is known for its free use of the Bitcoin wallet.
However, the platform is now focusing on diversifying its businesses by taking advantage of other crypto sectors, including exchange and loans.
The recent announcement did not clarify how the platform is going to pay interest, whether they will directly link these accounts to their loan platform, or whether they follow any other business model.