Trading is perhaps one of the most important ways to earn income from crypto, but you can also turn to stablecoin staking. Decent interest rates are at stake, especially if you know the right crypto platforms to invest in. If your wallet has stablecoins to spare, earning interest on them could become a reliable source of passive income.
Whether you hold Tether, Gemini Dollar, or USD Coin, you can start earning interest from stablecoin holdings through simple processes that we’ll discuss below. Next, we will present the top five sites where stablecoins can work for you and earn passive income while requiring little to no effort.
How a Stablecoin Interest Program Works: A Quick Overview
One way to circumvent fluctuations in the crypto market is to focus on stablecoins. They are not subject to fluctuations in value like Bitcoin or altcoins, which is a solid choice for interest-bearing strategies.
You can create a crypto savings account on platforms like AQRU and earn up to 12% interest on stablecoins. The account creation process doesn’t take as long as you might think, containing several essential steps. Anyone can complete them and start earning daily interest without revisiting the platform for additional entries. Bet once and collect compound interest.
Here is a quick guide to stablecoin passive income to get you started:
- Sign up with a crypto platform. Go to the official website and fill in the registration form;
- Make sure you complete any required verification of your account details;
- Fund your crypto savings account. Go to the deposit section and choose a method. For example, Aqru.io supports credit cards, bank transfers, and crypto-to-crypto payments.
- Establish a stablecoins interest account. The longer you stake your stablecoins, the more interest you will earn.
The concept is easy to understand and works seamlessly. However, it would be unwise to choose a random crypto lending site and invest. Instead, you can get the best results if you go to the best platforms to generate the best stable interest rate.
Best Platforms to Earn Returns on Stablecoins
Popular crypto sites offer interest rates on various crypto assets, but our focus this time was stablecoins. If you’re looking for high interest rates on your stablecoin holdings, the following crypto savings account providers should be on your radar:
- AQRU – Best Crypto Staking Site
- Nexo – Best for accrued interest on NEXO tokens;
- Curve – Ideal for a wide range of stable parts;
- BlockFi – Best for a user-friendly interface;
- Crypto.com – Best for 3 month fixed term contracts for maximum APY
AQRU may be relatively new to the industry, but the platform is becoming the best crypto staking platform on the market. Aqru.io is a one-stop-shop for anyone looking to earn passive income from crypto on favorable terms. By “limiting” your betting opportunities to stablecoins only, you can expect to win with AQRU. The site supports USDT, USDC, and DAI. Therefore, you can choose the most traded stablecoin or choose an alternative and earn just as competitive interest as offered for Tether.
AQRU benefits include daily interest payments and real-time tracking. Plus, your earnings are transparent and always accessible, as you can withdraw at any time. Lock-up periods are typical for most staking platforms, but AQRU has chosen to provide its users with flexibility and control over their digital assets. Moreover, the system does not involve any level limit and the minimum deposit thresholds are considerably low.
Fiat withdrawals are free, while crypto withdrawals incur a $20 fee that you can pay with the same asset you are cashing out. AQRU welcomes crypto investors of all skill levels, so you don’t have to be a crypto wizard to join the site and earn big returns on crypto holdings.
The stablecoin is one of the most attractive yield options on the platform. You can even start using AQRU on your mobile by downloading the dedicated app and allocating funds to the stablecoin pool.
The AQRU community is growing by the minute, with the provider active and present on Twitter, Telegram, Discord, Reddit, and several other social media taps.
Nexo is another popular choice among investors trying to put their money aside for the best return. It is a chance for asset growth through crypto investments, supporting 38 different digital assets. Nexo was launched in 2018 and has over 4 million users. This is no wonder, given that Nexo provides daily interest payments on crypto holdings in the same way as AQRU. However, Nexo pays accrued interest on NEXO tokens.
The automated lending process on Nexo uses smart contracts and an Oracle on Ethereum. The site supports several stablecoins, including USDC, USDT, UST, DAI, USDP, and TUSD, to name a few.
Users can choose to receive interest payments in the currency they earn on or in NEXO. The platform favors its native token by offering benefits – up to 2% additional interest on all your holdings if you receive interest on NEXO. Nexo offers 10% APY on DAI and Tether if you want to earn in kind.
The dynamics of win rates at Nexo.io also depends on the level of loyalty. For example, you need to reach the Platinum Loyalty Tier to get Nexo’s highest interest rate, which means 10% of your wallet balance must be NEXO tokens.
Curve has been operational since early 2020, designed as an exchange liquidity pool on Ethereum for efficient stablecoin trading. Crypto investors typically use Curve to trade stablecoins or provide liquidity to Curve pools to earn fees. The platform uses the CRV token as its governance mechanism and functions as an important part of the DeFi ecosystem.
If you deposit simple stablecoins like DAI, USDC, USDT, TUSD, BUSD or sUSD on Curve, the system will convert them into cTokens for the compound pool. As a liquidity provider on Curve, you can get a return on top of the interest earned from compounding.
The curve can be a bit complex for an average trader, but it is worth mentioning because it offers an interest rate of up to 6.5% on supported stablecoins. APYs evolve according to market demand.
BlockFi’s digital currency services are well known to global merchants. BlockFi offers a wide range of coins to invest in and does not require a minimum deposit. The platform offers security, simplicity and attractive arrangements in several categories. Interest-bearing accounts contribute to BlockFi being called a top cryptocurrency platform lately.
Arguably one of the biggest benefits of BlockFi is that you don’t need to buy or stake coins to unlock the full functionality of the site. BlockFi Interest Accounts (BIAs) support a variety of stablecoins, from USDC, USDT, and GUSD to USDP and BUSD. However, returns are subject to thresholds. For example, at level 1, with a balance of 0 to 20,000 USDT, you can earn an APY of 8%.
Launching Crypto.com for the first time reveals some of the highest interest rates in the market. However, there are special conditions surrounding passive income on this platform. The Crypto.com service pays interest on several stablecoins, but blocking periods and levels apply. Accepted stablecoins are USDT, USDC, DAI, PAX, TUSD, TAUD, TCAD, and TGBP.
The Crypto Earn system has participation restrictions and a tiered rewards structure, with Tier 1 paying the full reward rate and Tier 2 paying the 0.5x reward rate. The flexible and 1-month holding terms come with significantly lower interest rates than the 3-month fixed term. Overall, Crypto.com may be better suited for investors with larger amounts, as this is where the top rates start to increase returns.
Can stablecoins earn you passive income? Yes, they can. The five best stablecoin staking sites we featured are proof of that. The possibilities are many, but we thought it best to offer a narrow choice where you can immediately start hunting for the best returns on your idle stablecoins.
Each of the listed crypto sites has its pros and cons. Still, AQRU is most suitable for investors who want a clean arrangement without tiers, locks, native token management, and other inconveniences. With AQRU, investing in stablecoins doesn’t feel like a chore and the interest paid is more than compelling.
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