krisadams on Nostr: I noticed today that Xapo Bank are offering Lightning payments. I’m on board with ...
I noticed today that Xapo Bank are offering Lightning payments. I’m on board with this and congratulate them on being the first.
However, I notice they offer 0.1% on your bitcoin deposits. This is not possible on a finite asset like bitcoin unless:
1) they are taking risk with your bitcoin and you stand to lose some or all of it. Hard to quantify without knowing what they are doing behind the scene.
2) they are taking risk with the USD deposits, as normal banks do and they are using any gain to purchase your 0.1% return. In which case your 0.1% is NOT guaranteed!
I’d rather 2) than 1), but because I don’t know which they are doing I would not deposit my bitcoin with them.
People need to be happy with just owning the bitcoin they have. It’s not worth the gamble for more!
However, I notice they offer 0.1% on your bitcoin deposits. This is not possible on a finite asset like bitcoin unless:
1) they are taking risk with your bitcoin and you stand to lose some or all of it. Hard to quantify without knowing what they are doing behind the scene.
2) they are taking risk with the USD deposits, as normal banks do and they are using any gain to purchase your 0.1% return. In which case your 0.1% is NOT guaranteed!
I’d rather 2) than 1), but because I don’t know which they are doing I would not deposit my bitcoin with them.
People need to be happy with just owning the bitcoin they have. It’s not worth the gamble for more!