Coindesk Logo

Luno Exchange Launches Interest-Earning Bitcoin Wallet

Luno Exchange Launches Interest-Earning Bitcoin Wallet

Luno Exchange Launches Interest-Earning Bitcoin Wallet

Users of Luno's new bitcoin "savings wallet" can earn up to 4% interest per year, the exchange said.

Users of Luno's new bitcoin "savings wallet" can earn up to 4% interest per year, the exchange said.

Users of Luno's new bitcoin "savings wallet" can earn up to 4% interest per year, the exchange said.

AccessTimeIconOct 19, 2020, 9:45 AM
Updated May 15, 2023, 1:34 PM

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Users of the Luno cryptocurrency exchange can now earn passive income on bitcoin holdings through the firm's new "savings wallet."

  • Launched Monday, the product is said to bring bitcoin savers up to 4% in interest per year, with no fixed terms.
  • Luno – which is owned by CoinDesk's parent company Digital Currency Group (DCG) – said users can withdraw their bitcoin from the savings wallet into their normal wallet at any time.
  • Interest is calculated on the first of every month.
  • The firm's CEO and co-founder, Marcus Swanepoel, said in an announcement the wallet was launched after a 95% of customers indicated they would like to earn interest on their holdings.
  • The interest rate offered is "much higher" than those currently offered by traditional savings schemes in regions such as Europe, he added.
  • The firm's research found 54% of respondents earned zero interest on their cash savings internationally.
  • Luno was acquired by DCG in September, with the exchange to continue to operate independently as part of the blockchain investment company's group.
  • The bitcoin savings product comes at a time when investors are increasingly turning to ways to earn income from their cryptocurrency holdings other than merely holding in the hope of gains.
  • The area of decentralized finance, or DeFi, has soared over the last six months as the concept of "yield farming" saw wider appeal as a means to earn rewards by loaning liquidity.
  • However, DeFi, with its sometimes unproven protocols and anonymous founders, also carries risk.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.