Coinbase have been credited with offering the first Bitcoin wallet and buying solutions for the mainstream market.
They created a very simple product that was both easy to use and secure. They have since created a suite of products for the crypto industry and recently entered the fray of crypto savings accounts.
BlockFi were one of the first to offer crypto savings accounts and are considered the leaders in the space. They’re both great companies with great teams and backers.
We wanted to take a closer look and see how they compete with crypto savings accounts.
What is it?
Coinbase is a leading cryptocurrency platform with a variety of products that operate in the blockchain industry. Coinbase recently launched USDC Rewards, which allows users to earn interest on the USDC stablecoin.
BlockFi is a leading saving and lending platform for the crypto industry. It was founded 2 years ago and they offer some of the industry's most competitive interest rates and terms.
What is unique about it?
Coinbase were the first to introduce the industry's most user friendly and secure wallet and exchange services. They have always excelled at making this often difficult to use and intimidating industry much more accessible to the mainstream.
BlockFi were one of the first to introduce crypto savings accounts and loans. They found instant success with a good product that offered very competitive interest rates.
How safe is it?
While Coinbase doesn't offer insured wallets, they do have one of the best reputations in the industry. They're yet to be successfully hacked and they offer institutional grade custody for very reputable clients
BlockFi offers security measures like two-factor authentication on their site. In addition to this, all their wallets are provided by Gemini Custody which is regulated in the US and provides insurance on all wallets.
Find out more?
While Coinbase are highly respected within the industry, we can’t help but be disappointed with their first savings account product. Not only are their interest rates not competitive, their products are becoming increasingly bloated and complicated to use.
There is absolutely no question that BlockFi should be your choice if you’re looking to earn some interest on your cryptocurrencies. They offer secure wallets that are insured up to 100 million USD, their products are easy to use and their interest rates are significantly higher.