Why I Withdrew All Of My Bitcoin From BlockFi…

Crypto yield platforms are collapsing fast. LUNA imploded a few weeks ago, and now the Celsius Network is halting all withdrawals. It’s a 21st Century bank run.

Concerned over the growing number of illiquid platforms, I withdrew my money from BlockFi.

In this article, I’ll explain why.

Also, for anyone with a BlockFi account, BlockFi is liquid right now. They sent me my funds in under 48 hours. So if you have money with them, you‘re safe at the time of writing.

Current Risks Outweigh The Rewards

I’ve been a BlockFi user for over two years. In fact, I recommended the platform back when Bitcoin was still well under $10,000. It’s a great platform and I’ve always enjoyed using it.

However, over the past few months, the risks of keeping crypto on a staking platform have started to outweigh the rewards.

Here’s what I mean.

When I first started using BlockFi, the platform paid Bitcoin holders 6% APY.

That’s a great yield, especially during times when crypto prices are stagnant. However, BlockFi has slowly reduced their payouts down to 3% APY.

This isn’t terrible, but there are lower-risk assets yielding just as much (or…