Most of us have some (if not all) of our money stored and saved in some type of traditional financial institution. Whether it’s a major corporation, a local bank, or a credit union, you’re typically not earning more than 1% APR. Celsius Network is here to change that by offering interest income on stablecoins at rates that give you substantially more bang for your buck.
What is a stablecoin?
A stablecoin refers to a specific type of digital asset that pegs its value to another stable asset, which is usually some form of fiat like the US dollar. Stablecoins are generally regarded as the most “practical” use of cryptocurrency in today’s ecosystem because, as its name suggests, the value of a stablecoin is much more… well, stable. Unlike highly volatile cryptocurrency assets such as Bitcoin or Ethereum, which can have a radical change in value over a very short period of time, stablecoins will rarely fluctuate within one or two cents of the dollar, making them ideal for everyday use.
For example, imagine paying for your morning cup of coffee with Bitcoin or Ethereum. Yesterday you paid the equivalent of $5 for your coffee, but due to overnight market fluctuations, the value of your highly volatile BTC or ETH is worth less today than it was yesterday. Paying for that same cup of coffee will now cost you the equivalent of $6 or $7 today, and you can’t really predict what it will cost you tomorrow, next week, and certainly not next year.
Now imagine you’re paying for that same cup of coffee with a stablecoin like USDC or GUSD. Because the value is pegged to the dollar, you know the price of your coffee isn’t going to change from day-to-day or week-to-week, making stablecoins the most pragmatic use for cryptocurrency in the world today and could very well be the catalyst that leads to mass adoption.
Put Your Dollars To Work
There are currently five different stablecoins supported on the Celsius Network app including USDC, GUSD, TUSD, PAX, and DAI, all of which are typically earning around 6.5–7% APR. Yes, you read that correctly; by converting your cash to a stablecoin pegged to USD, you can earn significantly greater returns on your dollars in the form of interest income through Celsius Network. Here’s how…
Let’s say you have a $1,000 sitting in a savings account earning, on average, about 0.1% APR. After one year, your initial balance would have earned exactly $1 for a total balance of $1,001. If you converted that same $1,000 to a stablecoin and held your coins in a Celsius Network wallet, your initial $1,000 would have earned about $70 in-kind. And if that wasn’t enough, Celsius members can now choose to earn interest in CEL tokens at rates up to 25% higher than in-kind interest rates.
Celsius Network Supports 5 USD-pegged Stable Coins:
Trust Token’s TUSD
So, you can settle for earning the standard 0.1% APR through a traditional institution, or you can put your dollars to work with Celsius Network and earn a passive income with a massive outcome.
For more information about Celsius Network interest rates, check out our recent blog post.
Hear from the Celsius community:
About Celsius Network
Celsius Network is a democratized interest income and lending platform accessible via a mobile app. Built on the belief that financial services should only do what is in the best interests of the community, Celsius is a modern platform where membership provides access to curated financial services that are not available through traditional financial institutions. Crypto holders can earn interest by transferring their coins to their Celsius Wallet and borrow USD against their crypto collateral at interest rates as low as 4.95% APR.
Download the Celsius Network app and start earning interest on your crypto today ➡️ celsiusnetwork.app.link