Wealth Management With Celsius Network
Celsius Network (CEL)
The Celsius Network is becoming a household name in the crypto world and is gaining more traction every day. It all started with an idea by Alex Mashinsky in 2017 to create a crypto wealth management platform that enables lending and borrowing of crypto assets.
The system is built around the native token of Celsius Network – CEL – and built on the belief that financial services should be in the best interest of the depositors. With the Celsius Network, membership gives you access to systematized financial services that are not usually available in a traditional financial institution.
Celsius has seen different changes and development since the onset of its launch. In the first quarter of 2018, the first MVP wallet prototype of Celsius Network wallet was released, after which a public crowd sale was announced for March 15th to 22nd, 2018.
2019 saw the introduction of multiple blockchain type nodes to support about 20 different crypto assets. Celsius Network also introduced the Smart algorithm within its network to help manage financial risk and also integrated trading on multiple exchanges.
By mid-March, Celsius had entered the top 50 crypto asset list by market capitalization, nearly growing by more than 800%. No doubt that Celsius Network has significantly seen an increase, especially in this period of the DeFi boom in the cryptocurrency market. Celsius platform has reached over $1 Billion in crypto-asset deposits in less than two years of its launch.
If you want to get an even better feel for all of the advancements in Celsius, then check out our previous review of the platform from December of 2018.
Celsius Network Loyalty System
The Celsius Network platform works by staking CEL tokens via a 4-tiered system or what they call the ‘loyalty system.’
This system determines the interest rates and benefits that any particular depositor can receive on the platform. Amongst the 4 loyalty levels, the Platinum level is the one that offers their advertised rates.
Let’s take a look at the 4 tier levels.
This means that the depositor holds only 5% or less of their portfolio on the network platform in CEL token. This level offers 0% in bonus and 0% in loan interest discount.
For silver loyalty members, they hold 5% to 10% of their portfolio on the network platform in CEL tokens. This level offers you 10% in bonus interest and 10% in loan interest discount.
Gold loyalty members hold 10% to 15% of their portfolio in CEL tokens on the platform. For gold loyalty members, they receive 20% in bonus interest while the loan interest discount is 10%.
This is the highest level of the Celsius loyalty system. It is granted to those that hold more than 15% of their portfolio on the Celsius Network in CEL tokens. The bonus interest for this level is 35%, while the loan interest discount is 30%.
Stablecoin Support and Low Interest Loans
Celsius Network released an update on August 26th, 2020, that it increased its reward rates on all stablecoins on the platform. This meant that customers could earn from 11.5% to 15.89% APY.
The Celsius Network now supports 12 stablecoins linked to various stable currencies globally. This allows anybody to leverage on the double-digit yield from the digital assets pegged to their fiat currency.
Celsius generates revenue through its retail and lending system to constantly deliver over 80% of the total revenue back to the community of holders or stakers. Anyone can easily purchase USDC and other assets using the Celsius app via ACH or SEPA and you start earning interest immediately.
Furthermore, Celsius also offers customers the chance to borrow money against stablecoins and other digital assets like BTC and ETH. All this is done for as low as 1% APR.
But all of this is just the tip of the iceberg. One of the biggest strides in the Celsius Network is yet to come – Celsius Network 3.0
Celsius Network 3.0
This happens to be the biggest app update in the timeline of the Celsius Network. It came rocking with many features and designs to improve lending, interest income and digital transactions.
So what’s new about version 3.0?
There has been a whole a lot of work done to the wallet providing it with a whole new look. Now you can interact at an all-new level with your crypto like never before.
Coupled with the facelift and enhanced aesthetics, you can choose how you want your display to be – either list or grid. You can also select any coin to give you more details, including interactive graphs, coin value, earned interest and transaction history.
The app has a new and improved home screen that makes it easier to navigate through different Celsius Network services. You can seamlessly transition between screens by clicking on the Celsius icon that can be found in the lower right corner of your app.
Let’s not forget, there’s also an option to CelPay a friend and also to select an individual coin in your wallet to make an extra deposit.
Of course, the updated Celsius App gives users easy access to apply for a crypto-backed loan.
There is a new community-focused feature included in the app to help users access insights from the Celsius community. The beauty of this feature is that it is updated in real-time.
Before we wrap up the review on Celsius Network, let us take a look at the financial considerations before opting into the platform.
More accurately we should say “what Celsius fees?”
Celsius Network has no fees… this is one of the strong points of the project when compared with their competition.
There are no fees for depositing or withdrawing… there is nothing called “a fee” on Celsius Network.
Earning Interest With Celsius
We constantly talk on this blog and all of our social media about making a passive income from cryptocurrency.
Adding Celsius Network to your list of passive income options in this space all you have to do is:
Create Your Wallet – Deposit Your Coins – Start Earning Immediately
Once your deposited coins are received, Celsius starts calculating your interest for you.
Note that the interest payments are made weekly.
Are You Ready?
So, are you still on the fence about joining Celsius Network? Before you invest… do your own research… and after that, if you’re wanting to give it a go… you can register here.