Nexo Honest Review | 12% Compound Interest | GOOD OR BAD IN 2021??
IMPORTANT UPDATE (February 2nd): So within a week of releasing this, Nexo added an exchange to their platform, which I mentioned in the review that they did not have (of course lol). The rates actually look comparable to exchanges like Coinbase and Gemini! They are not a full service exchange, and don’t support a lot of fiat currencies (only GBP and EUR). You’ll still need to go to a full-service exchange like Coinbase or Gemini to convert fiat to a supported crypto to trade. You can do this with stablecoins which is the closest you can get to trading with fiat. But once that’s in Nexo, the exchange is very solid!
LIVE HUMAN SUPPORT:
ABOUT: In this video we’re taking a look at Nexo which offers a cryptocurrency interest account. Very similar concept to a normal bank account that offers interest, just with cryptocurrency instead of dollars and an interest rate of up to 12%! We go over the company, product, and considerations to take about using Nexo. At the end I give you the verdict on Nexo as well as a comparison to two of its competitors: Celsius and BlockFi. Thanks for watching!
Celsius Network Review:
0:00 – Intro
1:09 – Nexo Overview
3:34 – Key Considerations
5:04 – The Verdict
6:20 – Comparisons to Celsius and BlockFi
8:41 – Outro
#nexo #bitcoin #cryptocurrency
OVERVIEW OF NEXO
Nexo is a European company founded in 2017 by Antoni Trenchev, operated by its parent company Credissimo, and is backed by Michael Arrington, a well known tech investor and founder of TechCrunch.
They are licensed and regulated in over 200 countries, and keep their assets with BitGo, a crypto custodial company. They are insured up to $100 million, keep 100% of their holdings on cold storage, have achieved cryptocurrency security standard level 3, and are SOC 2 compliant.
You can deposit and earn interest up to 12% on most of the big cryptocurrencies like BTC, ETH, and LTC, and even some fiat currencies like GBP and EUR, which get the same rates as stable coins. Interest is paid out daily, and there are no fees on withdrawals or most transactions.
They have a reward system that determines your APY. At the base rate, you get 8% on stable coins like USDC and 5% on cryptocurrencies like BTC and ETH. At the highest rate (platinum) you get 10% on stable coins and 6% on cryptocurrencies.
You can also instantly take out personal loans against your cryptocurrency. Nexo uses their holdings to lend to both institutions and individuals.
Cryptocurrency in general is still relatively volatile, so be careful with the money you put in. Nexo manages and stores your wallets on their end so there’s also the concern of security breaches. If a major security breach were to happen, Nexo is insured for $100 million of damage. Their app has 2FA.
There are 2 cases where you might wanna use Nexo. First is if you’re HODLing (hanging on to your cryptocurrency long term) but also want to earn interest on it. Second is if you’re looking for an investment that can offer you a consistent return. Nexo can give you up to 12% APY.
The user experience is pretty similar across all 3. Nexo pays out daily, while while BlockFi pays out monthly and Celsius pays out weekly. Nexo keeps all their holdings in cold storage, while BlockFi keeps almost all, and Celsius keeps a much smaller amount in cold storage.
If you want the absolute highest rates Celsius offers the highest APY of 13.99% on SNX and MATIC.
BlockFi gets you 8.6% on 3 stablecoins, but Nexo and Celsius get you 8% and 10.51% on 6 and 11. Non-US citizens can even hold or choose to earn their platform specific tokens to bump that up even higher.
For Bitcoin, even at the highest rate Nexo only gets you 6%, while Celsius gets you 6.2% for the first 2 BTC and BlockFi gets you 6% on the first 2.5 BTC. Celsius wins for 2, but if you have more I’d put the rest in BlockFi.
Legal Disclosure: I’m not a financial advisor. The information contained in this video is for entertainment purposes only. Before investing, please consult a licensed professional. Any stock purchases I show on video should not be considered “investment recommendations”. I shall not be held liable for any losses you may incur for investing and trading in the stock market in attempt to mirror what I do. Unless investments are FDIC insured, they may decline in value and/or disappear entirely. Please be careful!