WhatFi?
I'm trying my hand at something else in the crypto world today and that is the world of "CeFi" or "Centralised Finance", where a company holds custody of your crypto but you can earn interest on your holdings (almost exactly like a traditional bank, ewww). If you're like me and prefer having full control over your money like with our own private keys, then CeFi is probably not the most attractive option to try and wangle in some extra cash. However, @chekohler has posted about a platform called "Celsius" many times and I thought I'd check it out with a bit of spare change. After all, we both like stacking sats and have visions of travelling like our friend in the featured picture!
Celsius
This is a fully mobile app which I have struggled a bit with today to actually buy BTC through with a debit/credit card so I just ended up buying the BTC from another exchange I'm already set up with then sending it over to the BTC deposit address in app. Once that was all sent through, that's pretty much it from what I can tell! You just keep your coins there and collect the interest.
A little bit more about Celsius is covered brilliantly by a well balanced YouTube video from Coin Bureau on the Celsius website itself in the "Why Trust Celsius" section - it's 20 minutes long but worth watching just to get an idea about the project, who co-founded it (seems to be a serial entrepreneur who's had some great success with previous well known projects called Alex Mashinsky), how it all works with its token set up and if you have no intention other than to just hodl (hold) your crypto long term then, judging by some of the comments in the YouTube video, Celsius is a popular option.
Seeing as interest rates in the UK banks are 0.1% and rapidly approaching 0% with negative rates on the horizon (what!), savings, which were already being eroded with inflation, will be even more so and for me, the current offering of 4.5% interest just for holding BTC on Celsius is worth it given that it's 45x more than what I get currently!
Of course, I'm not putting all my eggs in one basket, that's never a good option, particularly with rule #1 of "not your keys, not your crypto". So I'm keeping things spread out across a few projects that I've heard about from my own trusted sources. If you're interested in signing up, click this link on your phone and download the app (if you transfer $200 or more in your first one, we'll both get $20 worth of BTC).
DeFi
If not having control of your keys isn't for you then thankfully, we actually have some options here on HIVE already seeing as you can just delegate your powered up stake for liquid returns to various communities that have their own tokens or use dlease, which I posted about recently here. The advantage of this is that you are in full control of your account still as long you have your keys, there's no custodial service that can take your crypto away from you so funds should be pretty safe!
WhyFi
WhynotFi?
I'll keep you updated on how this goes as time goes on!
Take care
Nicky
Originally Posted here
Rolling in the Sats like a pig 🐖 in shit that’s the Satoshi yield farming life I like, welcome to the club!
LOL! Thanks for the tip mate, might need to factor this all in to my DCA calculations as time goes forward. Got to make those sats work hey?
lol buys Bitcoin, send it to CE-FI gets weekly compound interest, blogs about it earns more crypto honestly it’s like have our own money printers going brrrrrrrr
They all add up I’m stacking about 0.04 per month with all my crypto activities! Staking coins are also doing pretty well for me mAg be something you want to look into later
Haha, you're spot on about that! Except crypto money is all accounted for on the blockchain so no chance of it being mis-transacted (in theory)!
Shit man, you're killing it, 0.04 per month is about £400. Nearly £5k per year! Compound that and 2025, we'll be there (hopefully pandemic will be out the way by then too)!
Posted Using LeoFinance Beta
Congratulations @nickyhavey! You have completed the following achievement on the Hive blockchain and have been rewarded with new badge(s) :
You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word
STOPTo support your work, I also upvoted your post!
Do not miss the last post from @hivebuzz:
Oh yeah, typing away over here haha
We are way slower 😅
Hahaha, nice keyboard and mouse set up 😁
Thanks a lot for the detailed reply mate!
Yeah I'm warming to the idea now of CeFi and feel it will probably be the way forward for how familiar "banking" will operate. You deposit your money, you earn interest. That's all it needs for most people. These companies need to meet financial regulations and at least here in the UK, KYC means that events can be taxable so there's money coming in from capital gains i.e. regulation.
DeFi seems to be the wild west and a dark art for me. I've not really dived in to it and as you described, how many scams have already come about from the craze? It's mad!
I'm still so new to the CeFi, DeFi thing and trying to wrap my head around it but I think we're on the same wavelength. It comes down to how much you trust yourself with your own keys really - a lot of non-crypto folks will rather have someone look after their tokens in a CeFi manner vs needing seed phrases and the rest of it. I've been around for 3 years now in the space and there's still a lot to learn but I'm also technically minded, most others outside crypto likely aren't.
Your project sounds like it will be a fun venture in one way or another so I wish you well with it!