Abra Rolls Out Interest-Earning Accounts; Up to 9% on Cryptocurrency and Stablecoin Deposits
Abra users will now be allowed to generate extra income on the crypto investment application. Their customers are set to earn interest for their deposits on their Abra interest accounts as announced on their website.
In a short YouTube video, they have illustrated how by holding their deposits in the Abra interest accounts, they will earn income interests. The up to 9% interest rates yearly compounded at the end of every business day.
They are currently extending support for some popular crypto and stablecoins in the markets currently. The array of crypto assets to be deposited for interest generation are such as: Bitcoin (BTC), Ether(ETH) inclusive of some stablecoins like USDT, PAX, USDC and TUSD.
The BTC and ETH generating 4.1% and 4% respectively with the stablecoins accruing 9% interest rates according to Lomesh Dutta, the VP in charge of Abra’s growth. He however added that pending on the demand from their institutional borrowers the interest rates will be subject to evaluation. He remarked that their interest rates have surpassed what banks can currently offer in interest rates.
They have consolidated their place in crypto sphere receiving overwhelming response from the Philippine, US and UK markets garnering over a million users. They have collaborated with Prime Trust for custodial services in the project. This will obligate all the users that are to benefit from the initiative to confirm their identities with the Prime Trust as per the KYC policies.
Notably, Abra are onset to create a decentralized global banking solution on Stellar’s Blockchain. This move could have been inspired by Stellar’s Development Fund (SDF) $5 Million cash injection to the crypto wallet provider.
Abra’s recent tussle with the SEC and CTFC saw the digital asset firm fork over $300k in fines after the futures commission filed charges against Abra and their Philippine affiliate Plutus. According to the financial watchdogs, Abra failed to verify the eligibility of the clients to whom they offered their unregistered security swaps.