This article lists all the best Litecoin interest rates you can get for passive income with LTC.
- YouHodler has the best Litecoin LTC lending rate, 12% APY.
- NEXO is a good alternative where you can earn up to 8% in passive income
If you are instead looking for Bitcoin interest accounts, see how to earn interest on Bitcoin.
No Financial Advice, Information only. Do your own research
Where to get the best Litecoin LTC interest rates?
We have listed all the best places to get the highest interest rate on your idle Litecoin LTC holdings in the table below.
All different service providers come with pros and cons, which we summarize later in this article.
It would help if you considered going for the highest interest since this will significantly impact your long-term holdings.
**Reduction in fees
YouHodler 12% – Best Litecoin Lending Rates
YouHodler gives the best Litecoin LTC interest rate and offers 12 % APY on your LTC holdings.
YouHodler has a minimum requirement of an equivalent to $100, and they will give you interest up to a maximum balance equivalent to $100.000.
With YouHodler, you can also investigate other features, such as MultiHODL or Turbocharge.
- Weekly interest payment
- Best Litecoin interest rate
- Payouts are calculated and paid in the same cryptocurrency for each wallet;
- The minimum balance is $100, and the maximum balance is $100.000
NEXO can give you the best Litecoin interest
With NEXO, you can get up to 8%, which would be the best Litecoin interest rate in our comparison.
However, the default rate is 4%, and to achieve an 8% interest rate for Litecoin, you would need to
- Lock your funds for one month
- Have more than 10% of your portfolio allocated in NEXO tokens
- Receive your interest payments in the NEXO token
Read more about the NEXO wallet review with loyalty levels and best interest rates 2023.
Binance – Not the Best Litecoin Interest Rate
Binance is not giving the best Litecoin LTC interest rate, and we wouldn’t use Binance to earn passive income on our Litecoin holdings.
However, Binance is the largest crypto exchange and offers many other alternative opportunities.
For example, if you are looking for passive income on your Polkadot(DOT), Cardano(ADA), Solana(Sol), and Cosmos(ATOM), you should check Binance earn review.
Get 20% off from all fees charged by Binance with our referral code.
Crypto.com Earn Litecoin Interest Rates
With the Crypto.com Earn feature in the mobile app, you can earn up to a 5% interest rate on your Litecoin LTC holdings. Crypto.com offers the lowest crypto exchange credit card deposit fee for US customers.
To receive the best interest rates in the Crypto.com Earn feature, you need
- Stake at least 35.000 EURO in CRO
- Lock your funds for three months in the Earn feature
However, the staking comes with a lot more rewards and benefits. Read more about our CRO VISA card staking requirements article about the cashback and rewards.
$25 Crypto.com SignUp Bonus
When you signup with Crypto.com via our referral link and stake CRO for a Ruby metal VISA card ($400) you will get $25 in a welcome bonus. The ruby card will give you 2% cashback on all purchases and 100% back on Spotify.
What is Litecoin?
Litecoin (LTC) was created in 2011 by Charles Lee as a fork of Bitcoin. Litecoin differs from Bitcoin in aspects like faster block generation rate and the use of Scrypt as a proof of work algorithm (Bitcoin has SHA-256).
Scrypt is a less complex algorithm and does not require such a high hash rate as SHA-256. The block time for Litecoin is only two and a half minutes (Bitcoin has 10 minutes block time). However, Scrypt is more memory intensive than SHA-256.
What is litecoin by Whiteboard crypto?
Whiteboard crypto is a great Youtube channel explaining complicated things with whiteboard animations. The video linked below describes Litecoin and compares the crypto with Bitcoin.
Why is it important to find the best Litecoin LTC interest rate?
If you plan to deposit your Litecoins for the long term, it’s essential to deposit them into the account with the best Litecoin interest rate.
It’s crucial to find the best rate because of the compounding interest effect or the interest-on-interest effect.
What is the interest-on-interest effect?
Interest-on-interest (or compounding effect) is how your capital will grow over time when you earn interest on the interest payout from last year.
Risks interest accounts and Cryptocurrencies
As for any investment, there are also risks involved in depositing your Litecoins LTC into interest accounts.
These are some risks.
- The company where you store your funds can go bankrupt. CRED went bankrupt, for example.
- The company can make mistakes and, therefore, lose funds. BlockFi made a severe mistake.