Looking to invest your cryptocurrency with Celsius Network for passive income?
Then you want to be sure that your crypto is actually safe and that Celsius Network would deliver on their promise.
With many crypto scams parading as fintechs and crypto Investment pools, you have to look twice before staking your crypto for more earnings.
In this review, we’ll look at what Celsius Network is doing, and if their investment proposition is worth betting on.
So, What Is Celsius Network All About?
Celsius Network offers a two-way crypto finance platform where anyone can invest crypto for returns as well as borrow crypto to capitalize on price changes.
Celsius Network is more of a centralized platform than a decentralized one, with the company registered in the U.S, and has a growing cryoto community.
How Does Celsius Network Make Money?
Celsius Network makes money by staking any crypto you invest with them.
Also, the Celsius Network grows as the number of crypto investors in their community grows. This translates to a more valuable and more utilized Celsius token (CEL).
On the flip side, when users borrow crypto on Celsius Network, they pay a 1% annual interest rate while using their invested crypto as a collateral.
The more users that borrow on the Celsius Network, the more earnings Celsius can make while also holding crypto collateral throughout the validity of the loan.
How to Invest in Celsius Network
You can invest in Celsius Network via the Celsius Network app.
All you have to do is choose which crypto you want to invest and which crypto you want your ROI to be paid in.
Celsius offers Investment in over 30 cryptocurrency, so you’ll likely be spoilt for choice.
Once you have decided which crypto you want to invest, simply transfer your crypto investment to the unique address of that specific crypto in your Celsius wallet.
After a couple of minutes, the transfer should reflect in your Celsius wallet, which you can then invest for any duration ranging from 1 year to 20 years.
How Much ROI Does Celsius Network Offer?
The ROI you get from investing in Celsius Network varies depending on the crypto you’re investing.
It also depends on if you want to receive your ROI in the same crypto you invested or in CEL tokens, which gives a higher interest.
You could get anywhere from a 2.5% annual return to a 7.8% return if you’re investing in BTC and earning in CEL.
Is Celsius Network Legit or Scam?
The Celsius Network looks legitimate from all indications.
The company Registered as a Money Services Business (MSB) with the US Financial Crimes Enforcement Network (FinCEN), with number 31000192265811.
However, from the look of things, the network is yet to get massive traction. It is not yet listed on major exchanges, but for a start, it is listed on Bitfinex and Okex.
Can You Lose Money With Celsius Network?
From the look of things, there is no guarantee on your investment, and you could lose your crypto.
If Celsius Network were a sort of decentralized platform, then just maybe, you might have some hedge on your crypto Investment.
But as it stands, even though Celsius Network has shown genuine intentions, anything could go wrong, and you could lose all your crypto.
So, invest with whatever you can afford to lose.
What I Like About Celsius Network
What I like about Celsius Network is that they offer crypto loans side-by-side their investment option.
And their loans come with low APR, so you don’t have to pay through the nose to keep your crypto runs moving.
In that case, you could easily borrow crypto to capitalize on any price opportunity, while keeping your crypto invested.
What I Hate About Celsius Network
You can only invest in Celsius Network for a duration between 1 year and 20 years.
That is way too long to lock your crypto, as a lot of things can happen in the crypto world within that time frame.
Can you trust the company to remain active in the next 10 to 20 years? What if they close business before then? What happens to your invested crypto?
Should You Invest in Celsius Network?
If you’re looking to hold your crypto for a long time while looking for guaranteed interest, then Celsius Network may interest you.
But also, you should be willing to lose your crypto, as there is no guarantee on your crypto.
So, for example, if you want your Bitcoin to grow at least 5% annually in BTC value, irrespective of the market fluctuations, then Celsius Network will help you achieve that.
And if you feel the need to liquidate your investment before maturity, you can always take a crypto loan and work your way around the Celsius Network.