This article will check where to get the best Chainlink LINK interest rates and staking rates.
Chainlink is becoming one of the most popular cryptocurrencies. No one should be surprised since almost all application needs oracles to work correctly.
Here, you will find how to get your idle LINK tokens to work for you while enjoying the best crypto interest rates, APY, and staking rewards.
No Financial Advice, Information only. Do your own research
What is chainlink and LINK?
Chainlink is a cryptocurrency network that provides a link between actual world data and smart contracts.
In addition, Chainlink also consists of the tradeable ERC-20 token, LINK, used to pay for smart contract transactions on the Chainlink network.
Chainlink allows smart contracts to interact with off-chain resources, such as data feeds or web APIs, decentralized. Chainlink was initially built on the Ethereum network but now working on different blockchain networks.
Read more further down in the article.
How to earn Interest on Chainlink LINK?
The table below lists all the different ways to earn interest on your Chainlink LINK tokens. Here, you will find interest accounts and staking.
What is a Crypto Interest Account?
A crypto interest account is an account where you can deposit your cryptocurrencies to earn a passive income by receiving interest payouts.
The interest is often generated by a 3rd party service (NEXO, BlockFi, YouHodler) provider lending your assets to a borrower.
However, the interest can also be generated by staking cryptocurrencies in proof-of-stake networks.
Read more about how to earn passive income with a crypto interest account.
Nexo.io Chainlink LINK interest account
With NEXO, you can earn extra passive income with your Chainlink LINK tokens. Here, you deposit your tokens and start earning immediately.
The process is simple, but they have a pretty complicated loyalty structure.
Your interest rate will depend on two parameters.
- How significant percentage of your total holding on NEXO is in the NEXO token
- Whether or not, you choose to receive the payout in NEXO tokens or your deposited cryptocurrency
- If you lock your funds or not
Earn interest with Kucoin Margin Funding
Kucoin margin funding is a peer-to-peer marketplace where you can lend your cryptocurrencies to earn interest.
The market, supply, and demand set the lending rates. Use this link to see the current Chainlink LINK interest rates on Kucoin lending.
Kucoin lending is available for US customers, making it attractive nowadays when Nexo and Youhodler earning products are closed for investors from the USA.
YouHodler Chainlink LINK interest account
YouHodler offers the best rate for the Chainlink LINK token, if you don´t consider the loyalty levels at NEXO. With YouHodler, you will get 3.7% when we publish this article.
Youhodler is a relatively new and small platform compared to NEXO. You can see a comparison in this article YouHodler review VS NEXO VS Midas.
However, they have an excellent user interface and products like Multi HODL and Turbo Charge.
With the YouHodler Multi HODL feature, you can multiply your crypto assets using a portion of your YouHodler wallet balance. As a result, you can keep most of your funds in a safe and stable wallet while earning interest and using some amount to engage in trading activities with high-profit potential.
With the YouHodler Turbocharge feature, you can use your crypto as collateral to get much more crypto and benefit in case of further price growth.
Youhodler is offering the best USDT interest rate APY.
Binance Chainlink LINK interest account
Binance has saving products to earn interest for most cryptocurrencies, but not for the Chainlink LINK token.
Here, you will only earn 0.39% and should consider any other alternatives for LINK passive income.
Read more about Binance in our Binance review.
What is Chainlink?
Chainlink is an Ehtereum-based token, and it has a fixed/limited supply. Its maximum supply limit is 1 Billion.
Chainlink is a decentralized network of nodes. Chainlink provides data and information from off-blockchain sources to on-blockchain smart contracts via oracles.
What problem does Chainlink solve?
Since blockchains only can handle information within a blockchain, oracles that connect the blockchain world with the non-blockchain world are vital.
Oracle Example: An example is if you create sports betting application on the blockchain. The application will be able to handle money transactions between the bookmaker and the betting people. However, there is no information on the blockchain on who actually won the game and where the oracles will contribute.
What is the purpose of the LINK token?
The purpose of LINK token is to compensate Chainlink Node operators for the retrieval of data from the external data sources, turning it to blockchain readable format, off-chain computation, and up-time guarantees.
Coin Bureau about Chainlink LINK
In the video below, you will get a great introduction and information about Chainlink and the LINK token.
Invest in Chainlink LINK VS Bitcoin
With its LINK token and Bitcoin BTC, Chainlink solves two completely different problems.
Chainlink solves a more narrow problem than Bitcoin. Still, the problem Chainlink solves is necessary for several Layer 1 blockchains, including Solana, Cardano, and Ethereum.
In addition, Chainlink uses blockchain technology to enable computations on securely and off the blockchain, supporting hybrid smart contracts. 3 Enterprises using Chainlink can access any significant blockchain network, including Ethereum, Solana, and Cardano.
- Chainlink has a more narrow use case than Bitcoin
- Chainlink is by far the largest Oracle supplier and all Layer 1 blockchains are dependent of an oracle solution (Solana, Ethereum, Cardano, Avalanche, etc)
Read more about how to earn interest on your BTC holdings, Best Bitcoin BTC Interest Rates and Highest APY.
Chainlink LINK Interest Account Risks
There are no investments free from risks. Always make your own risk and reward estimations and calculations based on your own preferences. Read more about crypto risk management.