Nexo always provides an easy starting place for traders and investors just getting into the crypto lending industry. Additionally, the company has some good credit and lending products that offer traders good terms.
For example, when you deposit your currencies on their savings account, you can get a yield of up to 12% APR, and the company allows you to borrow up to $2 million.
However, Nexo only supports a handful of digital coins and seems to favor their own Nexo token. These and a few other drawbacks might make it unattractive for many investors. The good news is that there are still many Nexo alternatives you can look into, and here are 8 of the best ones.
BlockFi provides a solid platform where cryptocurrency owners can trade their coins, borrow funds by using them as collateral or use them to earn interest in a savings account. Hence, regardless of how you want to make money with your crypto, the company has a product for you.
With this Nexo Loan alternative, you get an LTV ratio of between 20% and 50%, better than the industry average. Also, the loans have favorable interest terms as the company requires you to pay between 4.5% and 9.75%, depending on the loan amount and duration. But, it is also worth noting there is a 2% origination fee.
If you have crypto assets that you do not use, you can put them into good use by depositing with the platform to earn interest. The company will pay you interest on deposits depending on the value and type of cryptocurrencies. If you prefer to deposit BTC, you should get at least 4% APY.
Traders should know more about BlockFi because it has one of the most solid financial backings. The company is backed by top-tier investors like Morgan Creek and BainCapital Ventures.
YouHolder only comes second to a handful of companies regarding their credit and lending facilities as they have some of the best terms out there. One of the key highlights of YouHodler is that they can allow you to borrow up to 90% of the value of your crypto assets.
Their LTV ratio ranges from 50% to 90%, which is higher than most companies out there. Also, the traders can choose to repay the loans in 30, 60, or 180 days, which gives them greater flexibility.
You can take loans as either fiat currency or in the form of cryptocurrencies like BTC and USDT. The interest rates start at 3% for the 30-day loans offered at a 90% LTV ratio.
Suppose you want to deposit or lend your assets on the platform to earn interest yields the company will give you up to 12.3% APR plus compounding interest. The actual earning varies from one asset to the other. For example, if you deposit BTC, you earn 4.5%, while USDT makes 12.3% APR.
Gemini is a fantastic platform for US crypto traders to earn some interest yield on their idle cryptocurrencies. The platform has an easy-to-use system that will be great for those just getting into crypto lending as everything is straightforward.
When using this company, you can deposit over 40 crypto assets to earn interest yields. The company provides yields of up to 7.4% depending on the currency that you deposit. While this might not be the highest rate out there, it is still quite decent.
You can earn at least 1.65% APY for traders holding BTC, while those that deposit ETH will earn 2.05% APY. The company’s Gemini dollar and 1INCH have the highest yields on this platform as they will make you 7.4% APY.
Access to your coins is not restricted by lock-in or other stringent measures when on this platform, as you can withdraw them anytime you want. Also, there are zero transfer and withdrawal fees.
4. Celsius Network
The Celsius Network is one of the most popular crypto lending platforms in the world. Also, with community assets over $17 billion and a little under a million regular users, it is one of the largest.
Celsius has a global reach as traders can use it from over 150 countries across the globe. However, it is registered and regulated in the USA, which should give traders even more confidence given the stricter regulations there.
When it comes to actual lending and borrowing, they also have some of the best terms out there. Those looking to deposit their crypto assets with the company to earn some yield will get up to 17% APY, which is an industry high.
If you want to borrow with your digital assets as collateral, Celsius gives you 20%, 33%, or 50% LTV ratio options, and you can use over 40 different coins to secure the loan. The interest starts at 1% for smaller amounts and goes up to 8.95% for the more significant 50% LTV loans. Additionally, there are no origination fees or credit checks.
If you have been trading cryptocurrencies for a while, chances are you already know about Binance or have used it at some point as it is one of the most popular exchanges. Besides allowing you to exchange cryptos, the company also has some attractive lending and borrowing packages.
Binance offers their cryptocurrency loans at 65% initial LTV, 75% margin call, and 83% liquidation LTV. Their interest rate charge is hourly, and the current rate is 0.002083% which translates to 0.0500% per day.
You can get loans with a repayment period of between 7 and 180 days, but the company also allows early repayments with no penalties charged.
Binance allows you to choose between a flexible and locked savings account if you want to invest idle assets to earn interest yields. Flexible accounts will give you a maximum of 2.11% APY, while the locked crypto savings accounts can yield up to 6.79% APY.
More than 10 million traders use the Crypto.com platform, making it one of the largest crypto lending companies. Additionally, they also offer users more investments opportunities given they support at least 100 different digital assets and tokens.
Crypto.com allows traders to get credit or earn from their digital assets. If you open a credit account to use your coins as collateral for a loan, the company will give you instant loans with no deadlines, meaning you can pay anytime you want. Traders can borrow up to 50% of their asset value, and the interest rates start at 8.5% per annum.
There will be no credit checks when borrowing from this platform, and the company does not charge any late fees.
The Crypto.com crypto interest account is attractive as traders earn up to 14% interest yields on their idle assets. BTC has an interest yield of 8.5%, while the USDC Stablecoin allows you to get up to 14.5% APY.
With CoinLoan, you get a combination of traditional crypto trading with modern products offering to ensure you have enough ways to grow your portfolio and make profits from your digital assets.
Their deposit accounts allow traders to earn interest yield daily just by parking their idle assets. These accounts do not have any deposit or withdrawal fees, and traders can opt out anytime they want. The interest yields depend on the assets you deposit but the earnings range between 7.2% APY for BTC and 12.3% APY for the USDT.
When borrowing against your assets as collateral, the platform will give you a 20%, 35%, 50%, or 70% LTV ratio, a loan period of 6 to 36 months, and an interest rate that starts at 4.95%.
MyConstant provides a platform for cryptocurrency traders and investors to get a share of the lucrative global P2P lending market.
Traders using this exchange can get crypto-backed loans by using any of the over 71 tokens on the platform as collateral. Interests rates for these loans start at 6%, and the loan period is typically between 1 and 6 months. Additionally, the company allows you to borrow a minimum of $50, and your collateral goes to a cold wallet for maximum security.
If you prefer to deposit the assets to get interest yield, you can put them in a flexible or fixed deposit account. The flexible accounts have a $10 minimum deposit and will earn you 4% APY. The yield on the fixed deposit is between 6% and 7% APY with 1, 2, or 3-month terms, and you can deposit a minimum of $50.
Besides offering more flexible terms, MyConstant will not charge any withdrawal fee or do any credit checks as your crypto collateral is enough.
Nexo will always give you one of the best experiences for crypto lending and borrowing as they have some fantastic packages with excellent rates. However, it is not for everyone and might not work for certain kinds of traders.
The good news is that there are enough alternatives out there, and the eight above should work for all kinds of traders.
If not Nexo then, BlockFi seems an ideal choice as it matches and outperforms Nexo in most aspects. On the other hand, the Celsius Network is fantastic for those looking for the highest yields on their crypto deposits.
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