BlockFi, a New York-based Cryptocurrency lending startup, is now allowing users to deposit their crypto holdings into an account that pays 6.2 percent per annum and has introduced a crypto deposit account, named BlockFi Interest Account (BIA) that supports Ethereum and Bitcoin. As the company announced, the BlockFi Interest Account (BIA) is now live and provides customers an annual interest rate of 6 percent that will be paid on a monthly basis in cryptocurrency. That monthly interest is then compounded to generate a 6.2 percent annual percentage yield (APY).
According to the director of marketing at BlockFi Brad Michelson, BIA can assist crypto investors to cultivate their wealth with one of the most powerful tools in finance. Users from across the globe can deposit either Bitcoin or Ethereum to earn interest from the offering and can withdraw their funds at any time. In July last year, BlockFi raised USD 52.5 million in funding led by Crypto-focused merchant bank Galaxy Digital. The BlockFi Interest Account (BIA) was first introduced in beta version at the start of this year and already secured more than USD10 million in assets from retail and institutional investors.
Furthermore, in last December, the company received USD4 million in a round that was led by Akuna Capital, along with additional participation from Galaxy Digital Ventures and Morgan Creek Digital, and among others. It was reported that cryptocurrency lending company Genesis Global Trading purportedly processed USD 1.114 billion in borrows and lends last year. Founded in the year 2017, BlockFi is an online platform that enables users to apply for Cryptocurrency-based loans.