My fourth top lending platform has to be Nexo. so who are these chaps? well Nexo is actually a subsidiary of a company called credessimo and they’ve been in business since 2007. that means that Nexo is actually backed and operated by a team with perhaps the most experience in lending in the cryptosphere. indeed 14 years is more than enough time to truly battle test systems and processes which is a benefit that few if any crypto lending platforms can claim.
The Nexo platform itself was launched back in 2018 and since then it has served over 1.5 million customers with 375 million dollars in insurance non-custodial assets, but how do the crypto interest rates stack up against the competition here?
Essentially you can get between 8 and 12 apr on every asset supported. that also includes a 12 rate of interest on fiat currencies like the euro, pound and us dollar so a slightly more profitable rate of return than your local bank.
hen it comes to supported cryptos you can get 12 apr on a boatload of stable coins and a whopping eight percent on bitcoin eth and xrp to name a few. what’s even cooler is that this interest is paid daily. So pretty nifty for those that value being nimble and being able to move around funds in a jiffy. It also means that you can benefit from the eighth wonder of the world daily compound interest. what’s important to note though is that you get that top rate of interest of between eight and twelve percent if you receive that interest in Nexo tokens. if you want to earn the crypto that you’re supplying that interest rate falls by two percent so you’ll get six percent interest on cryptos like bitcoin and ten percent on stable coins.
But how does Nexo generate this interest? well they lend it out to individuals and institutions who provide collateral for the loan so the borrowers pay the interest here. however if that loan goes south then that collateral is liquidated and is used to pay out the interest instead. And it’s also important to point out that all of these loans are over collateralized so there will always be more collateral than those that have taken out the loans so interested in giving Nexo a spin.