Ah…welcome to the world of cryptocurrency and all its benefits and issues. With cryptocurrency becoming extremely popular, especially this past year with the amount of money being printed, I figured that I am going to get into the world of cryptocurrency, and I figured I need to do so within a specific company tailored for cryptocurrency. Enter BlockFi.
I have previously nibbled into the world of cryptocurrency using apps like Robinhood. As “great” as it is, I like to look for new incoming players in the field that can provide more for my money. I have just started using BlockFi and will be updating this blog specifically by checking the bottom of this blog.
So Why BlockFi?
I love passive income. I have a stock account dedicated to passive income using dividend paying stocks to help growth my wealth, and I look for other passive opportunities…who wouldn’t want to be able to grow their wealth passively? Now, BlockFi is a cryptocurrency focused applications that allows us to invest in certain larger cryptocurrencies while also receiving passive income in the meantime, something RobinHood and Webull cannot claim to do. Different cryptocurrencies pay a different rate with Bitcoin at approximately 7%. One thing to note is that these rates are variable rates and will likely fluctuate throughout the year (It also does seem to be a marketing tactic to draw in more customers as BlockFi is still relatively small and new). I have also heard from reviews and others that some other companies charge fees that will start eating into profits. Because of this, I am avoiding those at all costs. An additional benefit is that BlockFi pays you an even better rate for money “sitting on the sideline” at 8%! This is an insane rate (Note: this is likely not sustainable, most likely a marketing tactic).
There is also another important consideration that needed to be made when it comes to cryptocurrency. Storage. I will not pretend like I am an expert in how cryptocurrency is stored, but I will blog about what I do know. There are different types of storage that are available. The first is cold storage. The attempt at this type of storage is to prevent hackers from accessing their coins. This is done by taking the coins offline. Compare this to traditional forms of storage, which can be more easily accessed by hackers, this is another reason why I prefer BlockFi.
Lastly, an important key to note is that there is no cryptocurrency version of SIPC insured. This means that if something were to happen to BlockFi, there is no insurance you can rely on. While this is very unlikely, I wanted to make sure that you understand that as something you should have in the back of your mind if you do choose to invest with BlockFi.
I will be keeping a small amount of my overall portfolio with BlockFi as I am also relatively new to the world of cryptocurrency compared to my stock portfolio. As I get more familiar with it, the more I will add. They do have a tiered referral bonus set up where the more you initially deposit, the more they reward you, up to $250. Click the link here if you are interested in investing with BlockFi. But until next time…
We appreciate y’all for letting us be a part of your Break Time.