Best For

      Investors
      Tax Strategies
      Crypto Companies
      Hedge Funds
      Cryptocurrency Miners

BlockFi is a centralized crypto-to-fiat loan platform that enables users to access liquidity without selling their crypto assets. Users can loan against their Bitcoin, Ethereum, and Litecoin on this fully regulated and licensed service provider.

BlockFi Crypto Loans - 2020 Comprehensive Review

Overall Score:

8.5
Trusted
Global Access:
8 of 10
Loan Options:
9 of 10
Easy of use:
8 of 10
Trust:
9 of 10
Fees & Rates:
7 of 10
Support:
9 of 10

BlockFi Overview

APR Rates4.5% - 15.25%
Borrow AssetsUSD, GUSD, USDC
Rate VariabilityLow Variable
Loan Amounts$5,000 - $1,000,000
Receive FundsFiat : 3 Business Days, Stablecoin : Instant
Repayment TypeInterest Only
Available LoansFiat, Stablecoins
Accepted CollateralsBTC, ETH, LTC
Collateral LTV50% - 50%
Margin Call LTV70%
Collateral InsuranceNo
KYC CheckYes
Platform FeesLoan Origination Fee: 2% Already included in the APR percentages.
Network TokenNo
Token BenefitsNO TOKEN
Platform TypeCentralized Lender
Credit CheckNo
Supported RegionsAll Countries
Excluded RegionsSanctioned Countries

APR Rates

Borrow AssetAPR Rate
USD CoinUSDC4.5% - 13.25%
US DollarsUSD6.5% - 15.25%
Gemini DollarGUSD6.5% - 15.25%

Collaterals Accepted

Collateral AssetCollateral LTV
BitcoinBTC20% - 50%
EthereumETH20% - 50%
LitecoinLTC35% - 50%

BlockFi Crypto Loans Alternatives

Rating8.5/108.5/108.5/10
Best Stablecoin APRUSDC 4.5%USD 5.9%ETH 0%
Collateral LTV20% - 50%15% - 75%50% - 75%
Margin Call LTV70%80%80%
Fiat LoansYesYesNo
Collateral InsuranceNoYesNo
KYC CheckYesYesNo
Credit CheckNoNoNo
Learn MoreReviewReviewReview

Pros & Cons

Pros

  • Competitive Interest Rates - Users can choose LTV ratios on loans ranging from 20% - 50%. Currently on BlockFi, a user can secure a loan APR rate of 4.5% when electing to use a 20% LTV ratio on a fiat loan secured by Bitcoin.
  • Transparency - Blockfi does an excellent job of providing easy to use interest rate calculators to give potential users estimations of all costs and fees associated with their loan services. Additional costs, such as origination fees, are also clearly stated on BlockFi’s website.
  • Same Day Funding - BlockFi can often provide same day funding for customers after a loan application has been approved. Funding is provided in the form of a bank wire or stablecoin transfer directly into the user’s BlockFi account.
  • No Prepayment Penalties - Users are not penalized for paying off their loans early. In the event of prepayment, all remaining interest owed is forgiven and any value appreciation on assets used as collateral is returned to the customer.
  • No Credit Checks - BlockFi or any related third party does not conduct credit checks on users that are applying for loans, nor will any BlockFi services have an impact on credit scores.
  • Tax Benefits - BlockFi crypto-to-fiat loans are not considered a taxable event because users do not have to sell their crypto in order to secure the loan. For US customers in particular, this is important because they can benefit from long-term capital gains tax rates as opposed to selling their crypto assets for fiat and being taxed at short-term capital gains tax rates.
  • Custodian Insurance - Customer loan deposits are secured and insured by Gemini Custody.
  • Strong Backing - BlockFi has raised several rounds of operating capital from prominent VCs and funds. With this funding and advising that comes with it, BlockFi is well positioned to continue to offer services as one of the leaders in the crypto loan space.

Cons

  • Privacy - Blockfi requires KYC as all loans are crypto-to-fiat loans. Users are required to submit identity documents for verification during the application process prior to securing a loan.
  • Limited Collateral Options - Blockfi currently only allows users to use 3 crypto assets as collateral: Bitcoin, Ethereum, and Litecoin.
  • Origination Fee - Blockfi charges a 2% origination fee on the total loan amount for every loan issued.

Frequently Asked Questions

Is BlockFi legitimate?

How does BlockFi make money?

Is BlockFi insured?

Are BlockFi crypto loans anonymous?

Does BlockFi accept US customers?

Summary

Blockfi has quickly become one of the more popular crypto-to-fiat loan providers. Transparency, strong institutional backing, and a regulatory friendly approach has the company well positioned to continue its success.

In the near future, BlockFi expects to roll out several new blockchain finance products in addition to increasing the amount of assets that can be used as collateral to secure loans.

BlockFi is a solid choice for investors, funds, and businesses looking to access liquidity at a competitive rate without selling their crypto assets.

Learn More Best Features

BlockFi Official Website

  • Uses Gemini custody to hold the collateral, one of the most trusted custodian soluations in the market.
  • Based and regulated in the United States with registered lending licenses, makes them the most transparent lending platform in the regulation category

Legal & Regulation - Facts & Figures

Legal Name BlockFi Inc.
Incorporated Country United States
Headquarters New York, NY United States
Year Founded 2017
CEO Zac Prince
Total Employees 100
Regulators U.S State Lending Regulators
Links Website, Crunchbase, Whitepaper, Twitter, Blog, LinkedIn

Methodology: How We Review And Compare

Our mission is to provide the most informative, unbiased, and useful reviews and comparisons possible for products and services in the blockchain finance industry. Assessments are powered by experts with years of relevant experience.

The crypto lending platforms found in this category have been tested extensively by our team as part of the review process. Factors we analyze in our crypto loan reviews and comparisons include: APY rates, available assets, loan amounts, loan options, LTV ratios, platform fees, reputation, ease of use, loan terms and fees, and customer support.

The Blockfer Promise: We do everything in our power to keep content up to date and in the best interests of our audience. Blockfer does not shy away from poor ratings. Products or services that do not meet our reputability standards will be rated as 'Not Trusted'. Compensation from partners does not, and will never, effect our review process.

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