Welcome to my Hodlnaut review.
In this article, you will learn what is Hodlnaut, the fees and interest rates they offer, if it is safe, and other interesting facts about this popular crypto lending platform.
Many investors have lost capital because of the volatility of cryptocurrencies.
Hodlnaut is here to help!
The cryptocurrency market has grown exponentially over the past few years, which means it’s an attractive target for institutional investors.
But, what does that mean for individuals who want to invest in crypto but are weary of risking their money?
Let’s take a look at Hodlnaut’s solution and see if this platform is worth it.
**When you’re ready to open an account with Hodlnaut, I included the link below.
We’ll start with how Hodlnaut works, and then we’ll jump into some of its features that set it apart from other crypto lending platforms.
What Is Hodlnaut?
Hodlnaut is a cryptocurrency lending platform that provides financial services for individual investors where they earn interest on their cryptocurrencies by lending it to borrowers, who would otherwise struggle to access crypto loans.
The co-founder and CEO of Hodlnaut is Juntao Zhu and the company is based out of Singapore in March 2019.
As Bitcoin Hodl-ers, we wanted to build a product that helps Hodl-ers earn sustainable interest.
Hodlnaut offers lending services to both enterprises and individuals who want to borrow or lend their crypto assets through its platform.
The platform connects crypto asset holders from around the world with fiat lenders like banks and other financial institutions.
The company name is based on 2 words: “HODL” which means to hold on to cryptocurrency rather than selling it and the word “Astronaut”.
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How Does Hodlnaut Work?
Hodlnaut was built to provide a platform for both borrowers and lenders. The borrower and lender enter into a smart contract where the borrower completes transactions on behalf of the lender.
To start, borrowers must register and create an account on the platform by providing some basic information.
After their account is approved, they can request a loan by filling out an online application that outlines their business model and project needs.
After reviewing each applicant’s business proposal, Hodlnaut’s credit evaluation team will determine whether or not the borrower meets the platform’s conditions for funding.
If the credit committee approves the request, they will send out a loan offer to the applicant.
After the borrower accepts the loan offer, he/she and the lender will enter into a smart contract where all of their terms are set. In exchange for borrowing funds in fiat currency, Hodlnaut takes a fee from each transaction.
After signing the smart contract, users can transfer their crypto assets to Hodlnaut. Then, when borrowers complete their transactions on behalf of their lenders, they will receive fiat currency into their bank account.
Loans with terms lasting between 6 months and 2 years are available for borrowers to choose from depending on what term best fits them and their business model.
What Does Hodlnaut Offer?
Hodlnaut pays interest on your crypto deposits. This is what makes Hodlnaut stand out from other crypto lending platforms.
Also, this means that lenders may earn a lot of interest if they hold their crypto assets for longer periods of time, such as 6 months to 2 years!
Another feature that sets Hodlnaut apart from other lending platforms is that it provides an investment mechanism for crypto asset holders who want to diversify their investment portfolio by getting paid in fiat currency.
Of course, the longer a person stays invested in a crypto asset, the more interest they would earn while also increasing their value of holdings.
For borrowers on the platform, they have access to loan services from global lenders with competitive rates.
Here is a list of the current coins they will accept deposits and pay interest on:
- Bitcoin (BTC)
- Ethereum (ETH)
- Dai (DAI)
- USD Coin (USDC)
- Tether (USDT)
**Additionally, there is no minimum deposit, and you can withdraw your funds at any time.
Create and account with Hodlnaut here to check out the platform and to see if it is right for you.
Hodlnaut Interest Rates
Hodlnaut offers interest rates of up to 10.5% on loans.
While this is a relatively low interest rate, it is still higher than other crypto lending platforms, which only offer between 3-5% as their interest rate.
The interest rate for non-creditworthy borrowers is based on the NAB (National Australia Bank) prime rate plus 2%.
For creditworthy borrowers, Hodlnaut’s finance team will assess their creditworthiness and apply the applicable NAB prime rate plus 2%.
Hodlnaut’s interest rates are higher than those of other cryptocurrency lending platforms — that’s because it has a more stable source of financing than most other crypto lending platforms, which typically charge lower interest rates between 3-5%.
This makes Hodlnaut an attractive alternative for both lenders and borrowers.
Here is a quick breakdown of Holdnaut’s current interest rates:
- Bitcoin (BTC): 6.2%
- Ethereum (ETH): 6.7%
- Dai (DAI): 10.5%
- USD Coin (USDC): 10.5%
- Tether (USDT): 10.5%
The amount of interest will always depend on the coin’s performance and demand from the last month.
Additionally, interest rates will update monthly if there are any depending on any market changes.
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Hodlnaut does not charge a fee for any deposits, however, there is a withdrawal fee. The fee amount will vary depending on the cryptocurrency coin being withdrawn.
Here is a quick breakdown of the current withdrawal fees per coin:
- Bitcoin – 0.0004 BTC
- Dai – 18 DAI
- Ethereum – 0.005 ETH
- Tether – 18 USDT
- USD Coin – 18 USDC
Additionally, Hodlnaut charges a loan processing fee of 2% on loans, which includes the interest payment for borrowers and their corresponding payments from the borrower who received the loan.
The fee for non-creditworthy loans is based on the NAB prime rate plus 2%.
For creditworthy borrowers, Hodlnaut charges a fee of 0.06% to 0.5% per month, depending on the term.
Ready To Open An Account With Hodlnaut?
Here are the steps to get started:
Step 1. The first step is to create your account. Click here to open a new account with Hodlnaut.
Step 2. You will need to complete and pass their account verification (KYC) process.
Step 3. Once you pass, then you can make a deposit to start earning.
Is There Any Token Swap Fees?
Nope, there are no token swap fees with Hodlnaut.
Is Hodlnaut Safe: How Are My Crypto Assets Protected?
To keep it short, yes, Hodlnaut is safe.
Hodlnaut offers a digital custody service for its lenders in order to keep their assets safe.
With this service, Hodlnaut is able to store, manage, and monitor client’s private keys – making sure that they remain fully secure.
This service allows clients to use their private keys only when they want to make a withdrawal from the platform.
All transactions on the system are handled by the system itself and are verified by multiple independent third-party verifiers.
The Features Of What Hodlnaut Offers
Here is a quick breakdown of the features that Hodlnaut offers:
- Types of cryptos: Bitcoin, Ethereum, DAI, Tether (USDT), and USDC
- There is no minimum deposit
- There is no lock-in periods
- Up to 10.5% interest rate on deposits
- The payout schedule is weekly
- There are no deposit fees
- Withdrawal fees consist of: Bitcoin at 0.0005 BTC, Dai at 3 DAI, Ethereum at 0.005 ETH, Tether at 3 USDT, and USD Coin at 3 USDC
Withdrawal limit is set at 100 BTC
Deposits are only done with the cryptos that Holdlnaut supports
- Crypto trading is supported with the supported cryptos that are on the platform
- Hodlnaut supports up to $6.5 million of smart contract insurance from Nexus Mutual available at a 2.6% premium
- 100% is cold storage built on the AWS cloud platform for security
- There is no smartphone app available at this time
- Support only is done through their support email at this time which is [email protected]
- $20 bonus when depositing at least $1,000 worth of crypto.
Here are some of the pros that I found with the Hodlnaut cryptocurrency lending platform:
- The platform offers high interest rates on deposits which is one of the highest
- There is no minimum requirements when it comes to deposits
- Hodlnaut pays out weekly
- Any of your deposits can also be withdrawn at any time
Here are some of the cons that I found with the Hodlnaut cryptocurrency lending platform:
- The first con would have to be that there is no FDIC insurance on your deposits
- Interest rates can be subject to monthly fluctuation due to the market
- Only email can be found for any support issues
With that covered, let’s finish up.
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Conclusion: What Is Hodlnaut: Full Review To See If This Crypto Lending Platform Is Worth It?
As a cryptocurrency lending platform, Hodlnaut is a high-interest rate cryptocurrency lending marketplace.
The platform allows you to leverage your crypto assets as collateral and borrow at an interest rate of up to 10.5%.
This helps borrowers to secure large amounts of money in a short period of time.
With that said, Hodlnaut is a great option for borrowers who do not fall under the creditworthy or non-creditworthy category.
It does, however, require that you be willing to pay for the loan using only one of the cryptocurrencies on the platform (the other being your crypto collateral) and have enough funds in your account to cover any potential losses.
Overall, I think that this is a great crypto lending platform, and I would highly recommend it.
When you are ready to open an account with Hodlnaut, click here to get started.
With that said, I hope you enjoyed my Hodlnaut review.
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Additionally, please leave a comment below to share your thoughts about Hodlnaut or if you have any questions about this cryptocurrency lending platform.
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