Introducing New Covesting Yield Accounts On PrimeXBT
Dear community,
The cryptocurrency industry is evolving, and with each passing day, new innovative products and services are reshaping the landscape of digital finance. Along with NFTs and all-things DeFi, one of the hottest trends in crypto over the last several years has been the emergence of staking.
Crypto staking and other yield generating products have opened up a completely new experience for people who have been starving for returns for years in traditional finance.
In many countries across the globe, banking interest rates have been at around 0% for decades. Therefore, the real value of money actually decreases with every bank deposit due to the rate of inflation exceeding any interest.
Thankfully, modernized crypto-centric services provide a stable return on USD–backed coins, at a significantly higher return and at more than enough to compensate for inflation.
Staking products allow for a high variable rate of return on idle crypto assets, otherwise known as an APY. The blockchain-based solution provides returns for those that lock up crypto assets for a period of time. The more assets or, the longer the period, rates typically improve further.
Crypto investors appreciate having the ability to earn fixed interest and income from crypto assets, in addition to more traditional ways to make money in crypto, such as trading. It has revolutionized digital finance and created a storm that’s still sweeping across the industry today.
Due to enormously high demand for staking and yield-generating crypto products, we are excited to reveal the latest development from the Covesting team: Covesting Yield Accounts.
Covesting Yield Accounts work exactly as the name implies. The new service generates a yield on your crypto holdings. Instead of just letting cryptocurrency assets stay idle, users will be able to transfer it to a Covesting Yield Account on PrimeXBT, and receive variable interest over time.
We remain heavily committed to regular updates and polishing of the Covesting copy trading module on PrimeXBT, in accordance with our company roadmap. However, after continued successful partnership and synergy between the two teams, a new joint-venture began.
Covesting will take lead in software development and provide technology to PrimeXBT under the ongoing B2B licensing agreement. The launch of the new staking service and Yield Accounts are slated to launch this coming Q3.
In this introductory blog, we’ll highlight the key advantages and features of the exciting new upcoming module to be launched exclusively on PrimeXBT.
Early Birds Get +1% APY
Covesting Yield Accounts are planned for Q3 2021. Those who join the waiting list early will receive an extra +1% bonus on top of standard APY rates.
To join the waiting list and enroll for the +1% bonus, all you need to do is:
- Login or Register on PrimeXBT
- Visit the the Covesting tab, then click Yield Accounts
- Hit “join the waitlist”
And that’s it! We’ll notify customers when the service has been fully launched. Upon activation, the +1% bonus will be added to the APY of top crypto assets on PrimeXBT during the first month.
Earn APY Interest On Crypto Assets
Whether you are an active day or swing trader or prefer to buy and HODL — there’s always more room for profit. Adding in an APY interest rate that beats banks is the perfect compliment to crypto trading.
That’s why the Covesting team, in partnership with PrimeXBT, is offering to put your crypto to work for you. The innovative Covesting Yield Account experience connects users to top DeFi applications for the highest possible yields.
In essence, Covesting Yield Accounts connect you to several decentralized finance (DeFi) yield generating protocols to offer a highly attractive APY. APYs in crypto staking are never fixed due to the constant fluctuations in supply versus demand, as well as other market-related factors.
Similar to all the transparency we provide via the Covesting copy trading module and leaderboards, we also plan to make it easy to view just how much estimated yield can be expected currently on a real-time basis. This way, users can track earnings, increase deposits, make withdrawals, and more with speed and ease.
We aim to provide users with exposure to the best possible returns for the lowest risk, as well as to offer industry-leading yield conditions with unparalleled clarity. Covesting simplifies the process of investing in DeFi for people who have no time to keep a finger on the pulse of the DeFi industry or do the proper research that’s necessary. Covesting Yield Accounts do all the work for you.
How Do Covesting Yield Accounts Work?
So where exactly is the interest coming from? In a nutshell, it is the result of your funds facilitating a variety of crypto market activities. By utilizing the service, you authorize your funds to be used for lending or market making activities, and in turn receive an interest payment for it. The lenders can be various market participants such as trading platforms, institutional market-makers, lending platforms, and more.
A Covesting Yield Account is similar to a traditional bank savings account in this sense. When you put your funds into a savings account in a bank, you give your bank permission to use your money. For example, banks regularly use customer funds to lend to third parties, invest in bond markets, and other financial activities.
For that, the bank returns you some interest, but barely. A Covesting Yield Account works in the same manner — you receive interest for the use of your funds in various DeFi operations. The difference is that with Covesting, the rates are higher than what traditional savings accounts offer today.
As low as $100 worth of idle crypto assets are required to start, and interest is paid out on a daily basis. Covesting Yield Accounts are highly flexible, letting users withdraw their staking amount with interest at any time they desire.
There are no lengthy lockup periods, so withdrawals are made once per day. After the withdrawal is completed, the user will receive the full amount plus any accrued interest. With no minimum investment period, users have complete control over their funds. Please note, however, that interest redemptions are actioned at the end of the 24-hour payout period and can take a few hours to be processed.
How Do I Start Earning?
PrimeXBT offers a client-focused approach, and with Covesting, user experience is our highest priority. Once the finished product is launched later this year, it will become extremely simple to stake your crypto and earn highly competitive yields on a variety of supported crypto assets.
All users will have to do is log into their PrimeXBT account dashboard, visit the Covesting tab, then click on the new Yield Account section to get started. Here you’ll be introduced to the service dashboard, as well as current market rates.
For your comfort and performance tracking, we’ve included detailed charts and metrics on historical yields on any selected currency supported by PrimeXBT.
Below there, an APY calculator will provide a snapshot of any estimated potential earnings after entering information on which and how much of any asset you want to stake.
Remember, these rates fluctuate with market conditions and liquidity. APYs are updated in real-time, so Covesting Yield Account users will want to pay close attention to the provided information. It is the user’s sole responsibility to manage these rates periodically for the highest returns
Unmatched Transparency And Flexibility
Once a user selects a crypto asset, a number of coins, and begins staking, the asset of choice will appear in the Current Stakings tab.
There, users can access information about the interest they’ve already earned, how much they are expected to make, and more.
Each individual crypto asset will include a separate, dedicated staking page with additional information. This section also provides a historical chart of all APY related to the asset being staked, the equity curve, and other critical metrics for performance measurement. This is also where users can terminate the staking setup and make a request to withdraw any staked amount along with the total interest accrued.
Example: How Much Can I Make?
Let’s put some numbers into play and see how much return Covesting Yield Accounts could generate in a typical scenario. Assume you stake 50,000 USDC for a total staking period of two months with an average APY of 10% for the first month, and an average APY of 17% for the second.
In this case, the first month will bring you (50000x10%)x31/365=424 USDC. The second month will bring you (50000x17%)x30/365=698 USDC. Taking advantage of this new staking solution, would earn you 1122 USDC of interest in only two month by simply staking crypto that’s just otherwise sitting there, in Covesting Yield Accounts.
Stake. Earn. Repeat
We aim to build the Covesting Yield Account under the same simplicity and quality standards of all Covesting products, including the copy trading module. This new module, designed to bring crypto users interest on crypto assets, is a world-changing technology with the potential to enable profits otherwise inaccessible through traditional savings accounts. By launching Covesting Yield Accounts, users with limited technical know-how will be able to benefit from yield-generating instruments.
Importantly, the addition of another innovative product within the Covesting ecosystem will further enhance the powerful utility unlocked by the native COV token. The Covesting team will provide more information about new upcoming token utilities within the next couple of weeks. Stay tuned to official Covesting channels for more details.
Disclaimer: The new Covesting Yield Account service acts on behalf of users to participate in various DeFi products. It obtains and distributes realized earnings autonomously and allows users to access DeFi products with a single click. However, Covesting nor PrimeXBT assume any liability for any losses associated with the project due to on-chain contract security issues or other unforeseen technical challenges.
Happy staking!
