I Just Bought My First Bitcoin, Now What? You Earn Interest On It.— A Celsius Network 2021 Review
By: Truman Champ
Tags: Ethereum Wallet, Cryptocurrency Investment, Interest Rates, Bitcoin Wallet, Cryptocurrency

I Just Bought My First Bitcoin, Now What? You Earn Interest On It.— A Celsius Network 2021 Review Truman Champ Follow Feb 22 · 8 min read

Okay, so you’ve already bought your first cryptocurrency token and maybe you have seen some profits gained and maybe you have not. There are a few options out there but let’s talk about earning interest on your cryptos so it does not just sit in your exchange or hardware wallet collecting dust. The usual route back a few years ago would be to transfer most of your HODLing pile into a hardware wallet like Trezor or Ledger because leaving your funds on online exchanges carried more risks to investors like having the exchange platform hacked and having all their funds stolen or having their funds stolen by scammers. As we slowly evolve and grow in this crypto space, more ethical and reliable online platforms are offering better options to put your cryptocurrency portfolio to good use. One of them is the Celsius Network.

Celsius Network is a cryptocurrency interest account that grants you up to 16.16% APY. This account works in a similar way to a bank account just with Crypto instead of Dollars (FIAT Currency). First, we will take an overview of the company products. Then we’ll take a look at the key considerations of using Celsius. Finally, we will take the verdict of when to use this product. I will also compare it briefly to its competitor, BlockFi. At the end of this review, I will provide you with a link to claim 30$ if you deposit 200$ worth of crypto into your Celsius wallet for an easy 15% ROI on top of all the futures you can earn.

Celsius was founded in 2017 in the US by Alex Mashinsky who is also the founder of Voice Over Internet Protocol (VOIP). He also hosts regular live streams where he talks about personal finance to company news and more. It’s refreshing to see a CEO so genuine about interacting with the community for the bettered of both parties. The title is called Ask Mashinsky Anything (AMA). Like I mentioned earlier, they offer up to a maximum of 16.16% APY /BTC is 6.2% with no minimum deposit. That is more than double the average returns of stocks and way more than anything you will get with a High Yield Savings Account (HYSA).

Celsius Network uses its holdings to lend to institutions and individuals which is just what traditional banks do with your money in your bank account. It doesn’t just sit there collecting dust. Now you may be thinking, hold up! Coin loans are collateralised up to 10% of the loan. Meaning the borrower gives celsius an alternative asset as collateral for the asset they are borrowing. Celsius holdings are held ensured by Fireblocks and Primetrust. Both are well-known custodians for other Cryptocurrency Exchange platforms. While your holdings are not FDSC insured like a traditional bank account, they are still very safe. Users are still able to borrow money for as little as 1% APR. Almost instantly using their cryptocurrency assets as collateral. You can trade crypto directly on Celsius. But the rates are bad so I would not do this. So I would just buy whatever coins on a dedicated exchange like Gemini or Coinbase and just transfer them over to your Celsius Wallet.

As great as everything sounds, there are still a few considerations to think about. First off, some cryptos are relatively unstable, like Bitcoin jumping from 20k to 40k in one month in late 2020. Another example would be Bitcoin and Dogecoin skyrocketing recently after a single tweet by our future Moon president, Elon Musk. But you can say the same about some stocks too. To avoid these volatilities in the cryptocurrency world, there are cryptos called stable coins which anchors themselves to the price of USD (FIAT). 1 USDT/USDC is always going to be equivalent to 1USD. This can be used to stabilise your investment and they also give the second-highest APY at 10.51%. Celsius also holds and manages your wallet on their end so there’s also the concern that it’s not your wallet and not your coin. This was a bigger concern several years back when crypto wasn’t as mainstream or regulated as it is now. So that concept is less of a problem now. There are reputable companies working with other reputable companies to provide the best services for a then in-demand technological revolution in finance and they probably are not going to just run off with your money.

Also because they manage and store your wallet on their end. There is a concern on their end of security breaches. If this happens and their funds are stolen. They will use their balance sheets to reimburse you and if that isn’t enough, they will use their own digital assets to reimburse you. These pieces of information are available on their website’s FAQ. Their app is very secure with 2FA and additional verification is required on sensitive actions like major withdrawals and they also have HODL mode where if you turn it on, it blocks all withdrawals and payments on your account. To remove, it takes 24 hours. So you will have plenty of time to notice and take the appropriate actions if there are any suspicious activities on your account.

There are two cases where you want to use Celsius.

First is if you’re a hold gang and you wanna hold long term without selling but also earn interest on top of that. This is similar to a traditional bank account where you put money in and they lend your money out and they pay you interest based on that. This is crypto instead of fiat. And the APY is WAY higher. This is the main reason why I’m using it. I'm using it to put cryptos that I’m not doing with it. So might as well get returns right?

The second is if you want an investment that can give you a consistent return. The average return on stocks is about 6–8% and this can give you double that just with interest alone. Not considering the appreciation of the coin. So this is an interesting investment opportunity. Even if you just use stable coins. You still get 10.51% APY which is still pretty high. So this is what I’m doing with stable coins so my account doesn’t fluctuate much at all and I get that 10.51% annually.



You don’t want to use Celsius as a trading platform and probably not as a High Yield Savings Account. (Unless you really know what you’re doing). So just like with stocks, you don’t want to put in any money that you’re not willing to lose. But it is an interesting investment opportunity and an increasing digital commodity. So my honest opinion is that it’s a phenomenal financial tool to add to your belt. You just need to know how to use it. If you already have crypto or looking to get into it. There a link below to give you that bonus of 30USD. So check it out if you want. So let's compare this to its main competitor BlockFi.

The user experience is pretty similar and easy to use. You can just download them both yourself. Celsius pays out weekly while Blockfi pays out monthly. These are long term crypto assets so that really shouldn’t really matter too much. For some, it might. BlockFi keeps mostly on cold storage compared to Celsius. If that is important, then BlockFi might be better. But both are really secure. If you want the absolute highest APY. Then celsius offers 16.1% APY on SNX and MATIC. Both of these are not stable coins so they will fluctuate a lot like bitcoin. While your holdings might not be consistent, at least they're giving you a high APY. But do this at your own risk. BlockFi gives you 8.6% APY on 3 stable coins while Celsius gives you 10.5% on many more stable coins. So if you’re doing the stable coin investing thing then Celsius will give you better. For Bitcoin, Celsius gives you 6.2% on the first 2 Bitcoins and BlockFi gives 6% on the first 2.5 Bitcoins.



If you have more than 2 Bitcoins, BlockFi would help give you better returns too. So you can keep your APY high. If you don’t have more than 2 Bitcoins, then Celsius will be the best pick for you. This is my honest review. I hope this article helps you decide if Celsius Network is something you want to use or if you would want to use one of its other competitors. Follow me to receive further updates on those.

Join Celsius Network using my referral code 1433614020 or the link below when signing up and earn $30 in BTC with your first transfer of $200 or more!

https://celsiusnetwork.app.link/1433614020

Fun Tip: Stack My Referral Code With The Limited Time Promo Codes To Earn Up To A Total Of 140USD In Your First 30 Days Of Investing.

Celsius Network Ongoing Promo Code:

1433614020 — With a minimum of 200USD worth of cryptos deposited into your wallet for 30 days and you get a 30USD reward in BTC.

Celsius Network Limited Time Promo Codes:

WEB40 — With a minimum of 200USD worth of cryptos deposited into your wallet for 30 days and you get a 40USD reward in BTC.

BANTER20 — With a minimum of 1000USD worth of cryptos deposited into your wallet for 30 days and you get a 20USD reward in BTC.

TRUST — With a minimum of 2000USD worth of cryptos deposited into your wallet for 30 days and you get a 50USD reward in BTC.

Join Celsius Network using my referral code 1433614020 or the link below when signing up and earn $30 in BTC with your first transfer of $200 or more!

https://celsiusnetwork.app.link/1433614020

To Sign Up for BlockFi, here’s the link:

https://blockfi.com/?ref=9f0c6821