Bitcoin has become the crypto reserve currency. A bitcoin savings account is place to safely deposit coins to earn interest or save for the future. This is especially good if you plan to use bitcoins later. If you expect bitcoin value to increase, the good place to store your coins is in one of the bitcoin savings accounts. While you hold your bitcoin you should look for ways to get interest on them. We list several ways to earn interest on your bitcoin holdings. Also, if you invested in bitcoin cloud mining, you can point your newly generated bitcoins to deposit directly into your savings account and earn even more.
Currently, Magnr is the best place that offers interest on your bitcoin wallet. It is used for the purposes of storing bitcoin you wish to hold for longer periods of time. By depositing your bitcoin, you will be rewarded with interest payments on how much and how long you save with them. Magnr account works just like your regular savings account on the bank, except this is a sort of bitcoin bank, where you only have deposit and withdraw option. Magnr is also a popular bitcoin trading platform.
If you wonder where money for paying interest comes from, this is the official information: “By diversifying our product range, we are now able to utilise revenue from our trading platform and reward those who wish to save with us.” Currently fixed annual interest rate for your bitcoin savings is 1.28% AER (annual effective interest rate, meaning that an investment of 1 BTC will get you 0.0128 BTC interest each year). Your account lets you earn interest on your interest each month by method of compounding*. The savings cap is set at 100 bitcoins per user.
Storing bitcoins in savings account is also much safer than leaving them on an exchange or in your regular wallet. Magnr uses BitGo’s multisig security wallets and they keep 100% reserves to keep your savings secure. You can also transfer money from your savings account any time, should you need it for some reason. There are no penalties for making savings withdrawals before the end of the month. Simply earn interest on your funded balance.
Bsave is another savings platform. You can directly link your Coinbase wallet and then it takes just a few seconds to transfer your bitcoins from your Coinbase deposit wallet to your saving account. You will immediately begin to receive daily interest payments on your savings. You can withdraw your funds at any time with no financial penalties.
The interest rate fluctuates daily. The Minimum balance must to be greater than 0.05 BTC to generate interest. Although the service looks very nice, it is not much known about where money for interest comes from and that is why we suggest you to stay cautious with this service. Unofficially, they are generating income by margin lending to bitcoin traders. We added our funds, we get paid interest daily and we also withdraw funds without any problem.
Bitbank, another Chinese company, offers an on-line wallet that pays interest on your bitcoins on a daily basis. Earns roughly 6.6% in interest yearly at the time of writing. The company generates income by purchasing mining machines to mine BTC. They are linked to a major Chinese bitcoin online exchange CHBTC and they share all information about their business publicly. Please note that some users report trouble confirming their phone number, sometimes you have to contact their support to do that if you live outside of China.
Haobtc is one of the largest bitcoin mining operations in China. They offer an bitcoin wallet with interest on your deposits. Any deposit earns some interest, but the real profit of 6.01% yearly comes from large deposits (10 BTC minimum). Income for interest comes from their mining activities, see here what they do.
Although it looks risky at the first place, you have to keep in mind that the company has been in business since 2011 mining bitcoin and they launched their banking and wallet services in 2014. They also have a Bitcointalk account where they quickly respond to any questions you might have.
BTCPOP is a company that offers p2p banking experience with instant loans. Beside other loan oriented services they also offer savings accounts. They give you a fantastic 5% interest rate annually. Daily interest is paid and there is no limit to how much you can invest! The savings account makes your bitcoin grow daily. You can also have your faucet or other earnings deposit direct into your savings account as they have unique bitcoin addresses which makes life easier. The website is very confusing and we had to wait several days to withdraw money, but somehow it works.
BW.com was co-founded by one of the largest bitcoin miner manufacturers in the world – LK Group and one of the largest exchanges in the world – CHBTC. It is mining and investing platform that covers different services including interest bearing wallet. Currently they offer 6.6% annual interest rate on one year deposits and 2.6% on interest bearing wallet.
HalleyBTC is another Chinese company involved in bitcoin mining. As they say, the foundation for their highly profitable investment products are mining farms which are among the largest in China. Mining rigs run under very low electricity cost and highly efficient operation.
They offer 0.01% daily on your bitcoins on a current deposit. They also have an 30-day fixed deposit option with 8.5% APR and 90-day fixed deposit option with 9.5% APR. They are pretty new on the scene and they look risky. Since nothing much is know about them, here goes our standard advice: don’t invest more than you can afford to lose.
OXBTC is a cryptocurrency investment service platform which integrates cloud hashing power purchase, trading and bitcoin deposit investment products. Cryptocurrency enthusiasts can make bitcoin deposits to enjoy very high bitcoin ROI. Currently they offer 0.01% daily interest rate on current bitcoin deposits and 8.5% APY on 30-day fixed deposits.
- You can lend money to bitcoin traders at some bitcoin trading platforms and get paid interest for that. Many providers offer leveraged trading, this is when a trader seeks to increase their potential profit (or loss) by borrowing additional coins. See Poloniex (BTC lending) or Bitfinex (margin funding) for example.
- You can also lend money on bitcoin lending platforms and get interest for doing that. Compared to savings account described above, rewards are much higher and so are the risks of not getting your money back! Try BitBond. See our bitcoin lending platforms review for details.
- Interest bearing funds: BitBays pays a small promotional interest rate on all balances held on their site, but if you want to earn a little bit more than that you can also put your funds in an arbitrage fund that they run, which at the time of writing offers a variable rate around 11-13% APR and the option to invest using either USD, BTC or CNY.
Hong Kong based BitVC is a comprehensive digital currency investment and financial management platform. Currently, BitVC offers leverage trading and within the platform there is a service called Yubibao. This is an interest-bearing coin saving account that gives you profit every day. You can transfer your BTC/LTC into and out of Yubibao instantly and at any time.
The same as with Magnr, money for interest comes from their trading platform. Income comes from the leverage fees paid by borrowers who do margin trading on BitVC and 80% of all leverage fees are distributed to Yubibao savers. They offer two types of savings. The most common one is one with flexible rate of return. From time to time also fixed investment offer appears.
To start saving, first create an account with BitVC and then choose Yubibao service.
WageCan provides a bitcoin wallet with interest and bitcoin debit card. Since they pay daily interest based on their earnings from arbitrage between bitcoin exchanges and other bitcoin funds investments you should be cautious as bitcoin arbitrage funds are often built like ponzi schemes. Currently they pay what they promise. At the time of writing, the daily interest rate is 0.009% and is determined by market fluctuations and their performance of bitcoin hedging strategies. Also, the daily interest calculation is based on the original deposit and interest on interest is not included. The minimum deposit available to earn interest is 0.1 BTC.
Bter is an exchange that offers daily variable interest on deposits of bitcoin and a wide range of altcoins by allowing your coins to be used by various Chinese mining companies to fund their operations. Yearly interest rate stands at 4.8%. Some sources claim that Bter has been hacked more than once in the past leading to the loss of customer funds.
- *Compound interest is interest that is added to the initial investment, or principal of a deposit, so that the investment plus the added interest also earns interest from then on.
- We maintain deposits at all service providers above. It means that all providers above are regularly paying interest.
- Goldmoney offers recurring savings plan. You can personalize your savings plan to match your budget, schedule and financial goals. Simply choose how much you’d like to vault away each period, fund it with bitcoin, and let the platform do the rest. Protect your savings by growing ownership of a permanent asset, and do so at your own pace with no minimums to get started.
- If you are just looking for a safe way to store your bitcoins for longer term, Coinbase might be the right place for you. Coinbase offers a special type of account called vault. Users of this digital wallet can create vaults as a separate type of account, designed for storing larger amounts of bitcoin and for longer term. The vault can be treated like a savings account, however there is no interest being paid. Withdrawals have additional verification steps making them slower and with increased security.
- Please check also other bitcoin money making opportunities.