I'll admit during the last bull run I should have been more into stablecoins and taking some profits on my crypto and pushing them into it. Now today these stable coins are paying our premium in terms of APRs and it could start to heat up even more.

However, one has also to into account about the risks involved with any of these. Often times when you see places giving you a higher APR that other more riskier investments or even fraud could be behind it. We should have learned our lesson from countless crypto platforms going belly up, rug pulling and countless lawsuits that came out of the last bull run.

That doesn't mean there aren't going to be any this run. Whenever there's money involved including around the world in countries that don't have many law enforcement or lower income these get rich scams prop up like wild fire so stay vigilant out there!

For now let's take a look at the USDC token which is gaining some traction again after all the crazy stuff going on with USDT but we will also venture a bit into our own "stable coin" HBD which well honestly doesn't hold all that well and what is holding it together in my opinion isn't the best and instead just a bandaid.

USDC APRs

Coinbase

USDC is Coinbases and Circles stablecoin. At the moment you can buy and hold it in your Coinbase account earning a respectable 5.1% APR on your stablecoin tokens. Why do I call this respectable? Because it's on par if not beating many other banks that offer high yield savings accounts.

Ledn

These are like your P2P (Peer to Peer) lending serviced which personally I loved back a few years ago when my state allowed it but recently got hit via new laws. It pretty much allows you to act as the bank and collect high rates on your loans. The easiest solution here on this service is what's know as Growth Accounts offering around a 8.5% APY.

8.5% may not sound like a lot but it current beats inflation and the highest of savings accounts while having minimal risks. (Yes there are always risks) This offers a 3.4% higher yield per year than that of Coinbase. Put 100,000 in and you'll see a extra 3,400 hit your pockets. Nearly 100 more each month on your investment.

Nexo

Some how nexo is still around which honestly surprises me due to all the crack downs that happened. Nexo is no longer in the US due to legal issues of which they pulled out of the USA. This one is for sure a more risky invesment but if you're outside of the USA it could be an option for you. It boosts 10%-14% APR now remember above when I said if it's supporting some crazy high APRs there also a lot of risk behind it.

Aave

The token itself has done very well and currently is a leader in decentralized lending and savings. They currently offer two options that I could find a supply APY of 7.38% and a borrow APY variable of 9.12% of which this will most likely always change demanding on their markets. It currently holds 530 million world of USDC.

Outside of that other platforms such as Crypto.com, Compound and KuCoin offer savings style APRs which to me would be more trustworthy and less likely for them to get into trouble being all they would have to do is invest in treasury bonds rolling and earn a profit.

HBD

Hive has it's own stablecoin called HBD which stands for Hive back dollar (of which I hate the name of it) This is known as an algorithmic stablecoin that gains its stability from Hive. Currently a massive DHF fund is what holds the token at a somewhat stable price and in theory it shouldn't ever run into troubles.

It currently boosts as massive 20% APR blowing many other so called stable coins out of the water. It honestly worries me a bit but it is what it is. I would consider this one high risk but that 20% APR is for sure attractive. I label it as high risk because of liquidity at the moment which would make it a little hard to pull anything substantial out of it if you wanted to. I'm talking about 10,000+ as you might get hit with a higher transaction cost instead of a 1:1 if you wanted to swap it for another stablecoin.

The places you may do that at are the internal market by converting your HBD into Hive and maybe finding a better pairing there again liquidity concerns there as well. Or leaving it as HBD and trying something like CubDeFi

Overall the point here is stablecoins can play a huge part in your earnings now in the crypto space which were not fully known yet back during the last bull run.

What stablecoins are you into?

Posted Using InLeo Alpha