{"id":21936,"date":"2021-06-20T21:00:19","date_gmt":"2021-06-21T04:00:19","guid":{"rendered":"https:\/\/coincentral.com\/?p=21936"},"modified":"2022-03-18T12:41:04","modified_gmt":"2022-03-18T16:41:04","slug":"blockfi-vs-linus-is-the-rate-vs-convenience-trade-worth-it","status":"publish","type":"post","link":"https:\/\/coincentral.com\/blockfi-vs-linus-is-the-rate-vs-convenience-trade-worth-it\/","title":{"rendered":"BlockFi vs. Linus: Is the Rate vs. Convenience Trade Worth It?"},"content":{"rendered":"

If you’re interested in the relatively passive income that can come with crypto interest accounts, BlockFi vs. Linus makes for an excellent comparison.\u00a0<\/span><\/p>\n

Linus is a relative newcomer and BlockFi is one of the most prominent players in the interest space. Each company has a unique set of pros and cons that appeal to different sorts of customers.<\/span><\/p>\n

BlockFi is a traditional cryptocurrency interest account provider. <\/b>You deposit BTC, ETH, USDC, or other digital assets, and earn interest paid in-kind.\u00a0<\/p>\n

Linus, however, only allows users to deposit fiat (USD) and earn in fiat; it\u00a0gives its users access to crypto interest-earning opportunities without buying or holding any crypto.<\/b><\/p>\n

It’s worth noting that crypto interest accounts<\/span><\/a> are unlike savings accounts; they pose unique risks such as not being FDIC insured. <\/span>This review will cover the ins and outs of both companies and give you all of the information you need to decide whether <\/span>BlockFi<\/span><\/a> or <\/span>Linus<\/span><\/a> is better for you.<\/span><\/p>\n

BlockFi vs Linus: Key Information<\/span><\/h2>\n

 <\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
 <\/td>\n\n

BlockFi<\/b><\/p>\n<\/td>\n

\n

Linus<\/b><\/p>\n<\/td>\n<\/tr>\n

\n

Reviews<\/span><\/p>\n<\/td>\n

\n

BlockFi Review<\/span><\/a><\/p>\n<\/td>\n

\n

Linus Review (Added soon!)<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Site Type<\/span><\/p>\n<\/td>\n

\n

Cryptocurrency Interest Account + Basic Exchange<\/span><\/p>\n<\/td>\n

\n

Blockchain-based high yield savings account<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Beginner Friendly<\/span><\/p>\n<\/td>\n

\n

Yes<\/span><\/p>\n<\/td>\n

\n

Yes<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Mobile App<\/span><\/p>\n<\/td>\n

\n

Yes<\/span><\/p>\n<\/td>\n

\n

In development<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Buy\/Deposit Method<\/span><\/p>\n<\/td>\n

\n

ACH, Wire Transfers, Crypto Deposits<\/span><\/p>\n<\/td>\n

\n

Bank account transfer or debit card<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Sell\/Withdrawal Method<\/span><\/p>\n<\/td>\n

\n

External Crypto Wallet, Bank Account<\/span><\/p>\n<\/td>\n

\n

Bank account transfer<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Available Cryptocurrencies<\/span><\/p>\n<\/td>\n

\n

Bitcoin, Ethereum, Litecoin, Link + Stablecoins<\/span><\/p>\n<\/td>\n

\n

None<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Company Launch<\/span><\/p>\n<\/td>\n

\n

2017<\/span><\/p>\n<\/td>\n

\n

2019<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Location<\/span><\/p>\n<\/td>\n

\n

Jersey City, NJ, USA<\/span><\/p>\n<\/td>\n

\n

Brooklyn, NY, USA<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Community Trust<\/span><\/p>\n<\/td>\n

\n

Great<\/span><\/p>\n<\/td>\n

\n

Still developing<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Security<\/span><\/p>\n<\/td>\n

\n

Great<\/span><\/p>\n<\/td>\n

\n

Okay<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Customer Support<\/span><\/p>\n<\/td>\n

\n

Good<\/span><\/p>\n<\/td>\n

\n

Good<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Verification Required<\/span><\/p>\n<\/td>\n

\n

Yes<\/span><\/p>\n<\/td>\n

\n

Yes<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Fees<\/span><\/p>\n<\/td>\n

\n

Medium<\/span><\/p>\n<\/td>\n

\n

Great<\/span><\/p>\n<\/td>\n<\/tr>\n

\n

Site<\/span><\/p>\n<\/td>\n

\n

Visit BlockFi<\/span><\/a><\/p>\n<\/td>\n

\n

Visit Linus<\/span><\/a><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Company Bios: How Do BlockFi and Linus Compare?<\/span><\/h2>\n

BlockFi was launched in 2017 by Zac Prince and Flori Marquez. The company has received investments from big names like SoFi, Winklevoss Capital, Pomp Investments, and ConsenSys Ventures.<\/span><\/p>\n

BlockFi currently has around 225,000 users with $15 billion assets under management. The company received a $3 billion valuation when it completed its last round of funding, which <\/span>took place in March 2021<\/span><\/a>.<\/span><\/p>\n

Linus is still a relatively new company. It completed a public beta and is currently preparing for a full launch. Linus was founded in 2019 by Matt Nemer and Matt Hamilton. Nemer previously worked at BTC Inc, while Hamilton previously worked at IBM.<\/span><\/p>\n

The company doesn\u2019t currently have any investors. It\u2019s still in the pre-seed phase of its growth and hasn\u2019t disclosed how many people participated in its public beta.<\/span><\/p>\n

Feature #1: Crypto Interest Rates: BlockFi vs. Linus APY?<\/span><\/h2>\n

We have to start this section by saying that Linus doesn\u2019t offer interest in crypto. Its focus is to <\/span>give users who don\u2019t want to buy and hold crypto<\/b> access to crypto-based interest-earning opportunities. Instead, Linus offers its users a tiered APY structure on their USD. Below, we\u2019ve provided BlockFi\u2019s crypto APY and Linus\u2019 tiered APY rates.<\/span><\/p>\n

Bitcoin<\/span><\/h3>\n

BlockFi<\/span><\/a> uses a tiered interest-rate system for Bitcoin, in which the APY you earn depends on how many bitcoin you store with the company.<\/span><\/p>\n

The company\u2019s current rates are:<\/span><\/p>\n