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How to Use BlockFi: A Beginner’s Guide

BlockFi provides wealth management products for cryptocurrency investors.

They offer loans, an interest-earning account, and a trading account.

If you own a cryptocurrency like Bitcoin and you’re planning on holding it, it’s highly recommended that you store it on BlockFi.

With BlockFi, your cryptocurrency can earn up to 7.5% APY (Annual Percentage Yield).

For Bitcoin, you can earn up to 4% APY if you store 0 to 0.25 BTC.

The interest is paid out at the beginning of every month.

For example, if you store 0.1 Bitcoin on BlockFi, you can potentially earn $720 USD in a span of 5 years.

If you were to hold your cryptocurrency in a normal cryptocurrency wallet, you won’t be able to earn interest on it.

In this guide, you’ll learn how to use BlockFi and earn interest in your cryptocurrencies.

How to use BlockFi

To use BlockFi, you need to sign up for an account and verify your identity.

Then, deposit your cryptocurrency (e.g., Bitcoin, Ethereum, Litecoin) on BlockFi to start earning interest.

For example, if you own cryptocurrency on Binance or Coinbase, you need to withdraw it to BlockFi.

Once you’ve deposited your cryptocurrency on BlockFi, you’ll immediately start earning interest.

You don’t have to do anything else after.

BlockFi uses a tiered interest structure based on the amount of cryptocurrency that you own.

If you own less or equal to 0.25 BTC, you’ll have the highest APY at 4%.

Interest accrues daily and it’s paid out at the beginning of every month.

In addition, interest that your earn compounds, which increases your annual yield.

Here’s how to use BlockFi:

  1. Sign up for a BlockFi account
  2. Verify your identity
  3. Copy your cryptocurrency’s address on BlockFi
  4. Send your cryptocurrency to BlockFi
  5. Start earning interest!

1. Sign up for a BlockFi account

How to use BlockFi

Get a $250 bonus on BlockFi: https://blockfi.com/?ref=ebaebea5.

Firstly, you need to sign up for a BlockFi account.

You can use this link to sign up for an account: https://blockfi.com/?ref=ebaebea5.

Once you’re on the sign-up page, enter your name, email, and password.

Make sure to use the referral code “ebaebea5” for a sign-up bonus.

Then, tick the checkboxes to agree to BlockFi’s terms and policies.

To join BlockFi, you need to be at least 18 years old.

Next, click on “Submit” to proceed to the next step.

After you’ve clicked on “Submit”, you need to provide your information.

This includes your account type, address, phone number, date of birth, and source of funds.

Firstly, you need to select your account type.

If you’re creating an account as an individual, select “Individual”.

On the other hand, if you’re creating an account for your business, select “Business”.

Secondly, you need to provide your address including your country, street address, city, and postal code.

Thirdly, enter your phone number followed by your date of birth.

Lastly, you need to select your source of funds.

2. Verify your identity

Verify your identity BlockFi

After you’ve selected your source of funds, you need to verify your identity.

This is to prove that you’re at least 18 years old.

You can either verify your identity by submitting your driver’s license, national ID, or passport.

In this example, we’ll use the “National ID” option.

Firstly, click on the “National ID” option and upload the front of your ID.

Next, upload the back of your ID.

After you’ve uploaded a photo of your ID, you need to verify yourself with your phone’s camera.

Firstly, you need to continue the step on another device.

There are 3 options that you can choose from.

This includes “Send SMS”, “Send Email”, and “Scan QR Code”.

In this example, we’ll use the “Send SMS” option.

Click on the “Send SMS” option for BlockFi to contact you via SMS.

You’ll then receive an SMS from BlockFi containing a one-time link.

Click on the one-time link to verify your identity with your phone’s camera.

After you’ve verified your identity with your phone’s camera, you’ll land on the success page.

This means that you’ve successfully verified your identity with BlockFi.

You’ll now be able to deposit cryptocurrency to your BlockFi account to earn interest.

Click on “Done” to finish the verification process.

3. Copy your cryptocurrency’s address on BlockFi

Fund BlockFi

Now that you’ve verified your identity, it’s time to deposit your cryptocurrency to BlockFi to start earning interest.

Firstly, you need to sign in to your BlockFi account.

Once you’ve signed in, you’ll see several tabs on the top navigation bar.

This includes “Dashboard”, “Accounts”, “Fund”, and more.

Click on “Fund” to fund your BlockFi account.

BlockFi Bitcoin address

After you’ve clicked on “Fund”, you need to select the cryptocurrency that you want to receive.

Firstly, click on the “Currency” dropdown box.

Then, select the cryptocurrency that you want to receive.

For example, if you want to receive Bitcoin, select “Bitcoin”.

This will show your BlockFi Bitcoin address.

Click on the duplicate icon to copy your BlockFi Bitcoin address.

You need to send Bitcoin to this address to start earning interest.

4. Send your cryptocurrency to BlockFi

Send cryptocurrency to BlockFi

Now that you’ve copied your BlockFi Bitcoin address, you need to send Bitcoin to it.

For example, if your Bitcoin is stored on Binance, you need to send it to BlockFi.

On the other hand, if your Bitcoin is stored on Coinbase, you need to send it to BlockFi.

Sending cryptocurrency from a cryptocurrency exchange to BlockFi is easy.

For example, if you want to send Bitcoin from Binance to BlockFi, you first need to navigate to your fiat and spot wallet.

Then, click on “Withdraw” to go to the Bitcoin withdrawal page.

If you’re using Binance.com, you can click on this link: https://www.binance.com/en/my/wallet/account/main/withdrawal/crypto/BTC to withdraw Bitcoin.

Once you’re on the withdrawal page, paste your BlockFi Bitcoin address on the “Address” field.

You should have copied your BlockFi Bitcoin address from the third step.

Next, enter the amount of Bitcoin that you want to send to BlockFi and click on “Submit”.

After you’ve clicked on “Submit”, a confirmation pop-up will open.

The confirmation pop-up will show the amount of Bitcoin that you’re sending and the exchange fee.

Check the amount and fee before you click on “Confirm”.

After you’ve clicked on “Confirm”, you’ll receive an email to confirm your withdrawal request.

Once you’ve confirmed your withdrawal request, it’ll take about 30 to 60 minutes for it to be completed.

You can check the status of your request by navigating to the bottom of your interest account.

At the bottom of your interest account, you’ll see a “Transactions” section where you can check your transactions.

5. Start earning interest!

Earn interest on BlockFi

After about 30 to 60 minutes, your cryptocurrency will be deposited in your BlockFi interest account.

Now, you’ll automatically earn interest in your Bitcoin or other valid cryptocurrencies that you’ve deposited!

You can see your earned interest in your interest account.

Firstly, click on the “Accounts” tab on the top navigation bar.

Then, click on “Interest Account” to navigate to your interest account.

In your interest account, you’ll see your interest account balance, total interest paid, and accrued interest.

The interest is paid out at the beginning of every month.

If you’ve deposited 0.25 or less BTC, you’ll earn a 4% APY.

To learn more about the interest rates, you can visit this link: https://blockfi.com/rates/.

You’ve successfully learned how to use BlockFi to earn interest!

Conclusion

There you have it—a short tutorial on how you use on BlockFi.

If you want to make your cryptocurrency work for you, depositing it on BlockFi is highly recommended.

BlockFi offers a high APY of up to 7.5%.

In addition, there is no hidden fees or balance requirement.

The interest accrues daily, and you’ll be able to see it in your interest account via “Accrued Interest”.

You can also choose the currency your interest is paid in.

BlockFi might decrease their APY in the future, so make sure to sign up as soon as possible!

Further reading

How to Find Your Coinbase Wallet Address

How to Swap ETH to BNB

Best Binance Referral ID Code in 2021

About the author

Lim How Wei

Lim How Wei is the founder of followchain.org, with over 7+ years of experience in Social Media and 3+ years of experience in investing in stocks and cryptocurrencies. He has researched, tested, and written hundreds of articles ranging from social media platforms to messaging apps.