# BlockFi Review: Retail-focused, US regulated, and institutionally backed

BlockFi is the **first US-based** and **institutionally backed** cryptocurrency wealth management company geared towards the worldwide retail market.

**Pros:**
- US based and regulated, available worldwide
- Some of the best interest rates for BTC, ETH, LTC, GUSD & USDC balances

**Cons:**

- Minor withdrawal fees
- Rates subject to change

BlockFi is the first US-based and regulated wealth management & crypto lending platform. Sporting heavyweight institutional investors such as **Peter Thiel’s** Valar Ventures and **Winklevoss Capital**, BlockFi brings a new level of trust and security to the industry. Their interest account offers competitive rates and the platform is easy to use.

## BlockFi Basics:

BlockFi offers an **annually compounding interest account**, paid out monthly. It’s a quick verification and setup process (standard photo id KYC/AML, usually approved same day) with an easy-to-understand [interest rate schedule.](https://blockfi.com/rates/) The user interface is easy to navigate and it’s very clear how much your monthly interest payment will be. **Your funds are not locked up** - withdraw whenever you want. BlockFi’s interest account is available in almost every country around the world and offers some of the best rates in the space:

**Interest Rates**
- 5.1% <5 BTC, 3.2% on 5+ BTC
- 3.6% <500 ETH, 2% on 200+ ETH
- 3.8% for LTC
- 8.6% for GUSD, USDC

## Where BlockFi Shines:

In an industry where trust is everything, the BlockFi team’s reputation and experience stand out. The **institutional backing behind BlockFi is impressive** and a [who’s-who of the crypto world](https://blockfi.com/investors/): Valar Ventures, Winklevoss Capital, Galaxy Digital, ConsenSys Ventures, Morgan Creek, among others. **Gemini** is the primary custodian and no private keys are held by BlockFi itself. Gemini is licensed and regulated by the NYDFS, [insured by Aon Plc](https://www.bloomberg.com/news/articles/2018-10-03/winklevoss-s-gemini-obtains-crypto-asset-insurance-through-aon), and passed an SOC2 Type 1 compliance audit from Deloitte. **If you value trust and a proven track record, BlockFi leads the pack.** Additionally, there's no minimum deposit amount and users can choose to have interest paid in any cryptocurrency BlockFi supports.

## Why you might want a different crypto bank:

If you move your cryptocurrency around frequently, you could rack up some fees. While BlockFi does allow 1 free cryptocurrency & stablecoin withdrawal per month, **additional withdrawals require a minor fee:** (0.0025 BTC / 0.0015 ETH / 0.0025 LTC / $0.25 USD). Also, BlockFi's interest account **rates are subject to change**, and were recently lowered in February 2020 as [price sentiment in the cryptocurrency space shifted](https://www.coindesk.com/blockfi-adjusts-interest-rates-to-lure-larger-crypto-deposits).

## Other features

BlockFi currently has a [**referral program**]([https://blockfi.com/refer-a-friend/](https://blockfi.com/refer-a-friend/)) where users receive _10% of all interest received by their referrals_. That’s on top of an already impressive compounding annual interest rate. BlockFi's customer service also stands out - you can actually call up BlockFi and **speak to a real human.** Users have the standard security features, namely 2FA and ability to whitelist trusted addresses. Also, cryptocurrency interest accounts aren't the only product BlockFi provides, users can apply for crypto-backed loans and trade between supported cryptos.

## Wrapping up

BlockFi combines **trusted custodianship** with a **quality user experience** for an interest account that's hard to beat. It's simple, transparent, and available almost everywhere in the world