I believe you would already have heard of Hodlnaut. Hodlnaut is a platform that provides financial services for individual investors like you and me where we can deposit our cryptocurrencies and earn interest on our cryptocurrencies by lending it to corporate borrowers.
Until today, I still have problems pronouncing the word “Hodlnaut“. Why would the founders come up with such a geeky name?
Well, according to them, Hodlnaut is a combination of HODL and Astronaut! Hodl is common slang in the cryptocurrency community, where it depicts an act of holding the cryptocurrency rather than selling it.
I am not going to compare the differences between Hodlnaut, BlockFi, Celsius and Nexo as Seedly has written an excellent article to compare the differences and you can read up more there. The only difference I want to call out here is that Hodlnaut is a Singaporean company.
How Hodlnaut works?
- Deposit your Bitcoin or alternative coin to Hodlnaut.
- Earn compound interest on your asset.
- Receive payouts and withdraw funds.
How much Interest can I earn on Hodlnaut?
Below are the interest rates (APR/APY) that I have copied from my own account.
Based on an APY of 6.2%, a deposit of 0.5 Bitcoin (BTC) with Hodlnaut will give you 0.03196155.
At the point of writing, 1 Bitcoin (BTC) is S$47,364.12. This means 0.5 Bitcoin (S$23,682) will give you a return of S$1,514 in 12 months.
But of course we know that the price of Bitcoin can either go up or down after 12 months so how much return is really based on the price of Bitcoin at that point in time.
I have signed up for my Hodlnaut account and deposited some Bitcoin and USDC into it. Interest is paid weekly and at the point of writing, the next payout is on 14th June 2021.
Unfortunately, Hodlnaut does not let you purchase crypto directly from their platform. Nevertheless, there are many platforms out there that let you purchase crypto. You can use either Coinbase or Crypto.com Exchange to purchase the coins and send it to your Hodlnaut account.
Join me on Hodlnaut now! If you sign up using my Hodlnaut referral link, you will receive a US$20 signup bonus after making an initial deposit equivalent of US$1000 on any of Hodlnaut supported assets. Bonus payouts are paid in the same asset deposited.