How to Earn Compound Interest on Cryptocurrency

2/16/2023, 11:27:26 AM - Eddu Oz
How to Earn Compound Interest on Cryptocurrency

 “My wealth has come from a combination of living in America, having good genes, and compound interest”. Warren Buffett.

Compound interests have been the secret to the wealth of many people in the world today.

Before we consider how to earn compound interest on cryptos, we need to first understand the principle of earning interest a compounding basis. We will then explore platforms where you can earn interest on your cryptocurrencies

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How Compound Interest Work

To know how compound interest on crypto accounts work, you have to get the basics of compound interest first.

Compound interest is the addition of interest to the principal sum of a loan or deposit, or in other words interest on interest.

When it comes to compound interest, the interest that was applied earlier is now added to the principal, and the future interest is also added.

How to Earn Compound Interest on Cryptocurrency

Computing Compound Interest – Formula

The formula for computing compound interest goes thus:

Compound Interest = Principal × (1+ Annual Interest Rate) / (Number of Times Interest Compounds in the Year) ^ (Number of Times Interest Compounds in the Year × Total Number of Years).



A=final amount

P=initial principal balance

r=interest rate

n=number of times interest applied per time

t=number of periods elapsed

Therefore amount received as interest will increase day on the day based on the previous day’s balance.

This would continue such that you earn more interest as your principal grows.

Furthermore, as many times as your interest grows, the greater the profit you will make.

For instance, all things being equal, you would receive more interest from an account that grows daily in contrast to one that grows every month.

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This is the case either you receive interest in bitcoin or any other coin. It is important to have in mind that some of the platforms providing compound interest on crypto, lock up the funds for the period of investment, therefore you may not be able to withdraw before the investment period is over.

There is an increasing number of sites that allow you to gain interest from cryptos but a few of them go further to provide compound interest.

Receiving compound interest with crypto assets is as simple as spotting a platform that allows you to fund BTC or any other cryptocurrency and, receives compound interest from it.

Though, this is not as simple as it seems. While an increasing number of platforms provide interest, it is still a bit rare, such that those offering compound interest are few in number.

Platforms Where You can Earn Interest on Crypto


Haru is one of the most remarkable ways to obtain compound interest as you can select from two compound interest account types such as Haru Earn or Haru Earn Plus.

Haru - How to Earn Compound Interest on Cryptocurrency

Of the numerous options through which you can get interested from Crypto, Haru stands out from all others.

You can receive interest on Terra, BTC, KRT, USDT or, ETH. There is also the possibility of multiple account types and continuously compounding interest.

The platform does not deduct any charge from customer accounts. 

Haru Earn

Haru Earn

Haru Earn allows you receive interest on ETH, BTC, Terra, Kerra, etc. without any period of delays.

You record the daily growth of the yearly interest rate allowing your funds to increase rapidly.

As there is no lockup period, you can decide the duration for which you intend to store your asset in the account.

You can as well change your mind through their all round-the-clock withdrawal requests. The interest rates vary but are truly competitive.

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Haru Earn Plus

Haru Earn Plus

Haru Earn Plus enables you to scale up your interest rate a bit more and does not want to use your cryptocurrency for a period.

You can choose Haru Earn Plus and Store up any crypto you want from 15 days to as much as 365 days such that the interest rate increases as long as the lockup period lasts.

Just like Haru Earn, its account grows your interest each day bringing about an increase in your earnings daily.

The interest rates are mostly between 8 to 16% so you can conveniently stabilize the appropriate lockup period with the appropriate interest rate.

It is a very good alternative for individuals who want to receive interest from cryptocurrency they don’t want to trade for some time.



A BlockFi interest account is also another viable way to earn crypto.

Once you have completed signup and created your account, you can then gain access to the compound interest-earning account.

BlockFi offers an 8.6% interest rate on capital invested.

The interest on your investment will be paid every month which is calculated from the next day you made your deposit.

To deposit, you can make use of your cryptocurrency wallet or transfer directly from your exchange.

With BlockFi, interests are earned daily and are paid out on the first day of every month.



With Youhodler the platform’s native utility token; COMP token allows users to earn 2.5% APR  and compounding interest on all their compound deposits.

To get started, signup to Youhodler, deposit COMP to your wallet, You are ready to start earning compounding interest. It is useful to know that investors get paid weekly.

What is more? Youhodlers need not fear losing their deposits to hackers as funds are not stored in hot wallets, also they have a $150million pooled crime insurance which means your funds with them is secure.

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Hodlnaut is one of the biggest market players in terms of high payouts, you stand to earn 8.3% on your investment with withdrawal every week once you signup.

Hodlnaut currently has a $20 bonus when users deposit $1000 and above. At Hodlnaut, registration is under 5 minutes with no fees during deposits. You must also complete your KYC to start earning

Final Thoughts

Not often do you have a billionaire give you secrets on how he made his money, but the principle of compounding of course has its part not only in Fiat currencies but in cryptocurrencies today.

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