Nexo Vs Cabital Comparison

Nexo Vs Cabital Comparison

Share this article


An editor at Coincrop

22 Sept 2022 | 19 min read


f you're like most people, you probably consider cryptocurrencies to be a speculative investment, something to buy and sell in the hopes of making a quick profit. However, you may be unaware that you can earn interest on your cryptocurrency holdings.

You can keep your digital money in a wallet and accumulate interest on it over time, just like with a savings account at a bank. Naturally, there's a little bit more to it than that.

We'll cover all you need to know about generating interest on your crypto assets in this article, including how it operates and what you should be aware of before starting.

So, whether you want to earn a little extra money on your digital currency holdings or you're just curious about how this process works, keep reading to find out everything you need to know.

Nexo vs Cabital Summary

How Does Crypto Saving Work?

A new method of putting money away is through cryptocurrency. It's a method of saving money that is unrelated to the established banking system. You can store your money in a digital wallet by investing in cryptocurrencies. Although it is not linked to any conventional banks, this wallet functions similarly to a bank account. Instead, it is linked to the network for cryptocurrencies.

Cryptocurrency saving allows you to save money in a variety of cryptocurrencies. These cryptocurrencies include Bitcoin, Ethereum, Litecoin, and many others. Each cryptocurrency has its own set of features and benefits.

One of the most significant advantages of cryptocurrency savings is that your money is safe and secure. Because your money is not kept in a traditional bank, it cannot be stolen or lost. Furthermore, your money is not affected by stock market fluctuations. As a result, cryptocurrency savings are a great option for people looking for a safe and stable way to save money.

Another significant advantage of cryptocurrency saving is the ability to earn interest on your money. The cryptocurrency network pays out interest, which can be quite high depending on the currency in which you choose to save.

You can lower your overall risk by investing in a variety of cryptocurrencies. This diversification can assist you in maximising returns while minimising losses.

You can find about more about high-yield crypto alternatives to low interest rates here.

In the sections below we examine both companies as part of comparing Nexo vs Cabital.

What Is Nexo

Nexo logo

Nexo is a company that allows you to earn interest on your cryptocurrency holdings. You can also use Nexo to take out loans against your crypto assets.

Nexo offers two different types of products: Nexo Wallet and Nexo Card.

With the Nexo Wallet, you can earn up to 12% per year on your cryptocurrency holdings. There is no minimum amount required to open a Nexo Wallet, and you can withdraw your funds at any time. Nexo does not charge any fees for using the wallet or for withdrawing your funds.

The Nexo Card is a debit card that allows you to spend your cryptocurrency holdings anywhere that accepts Visa. Nexo charges a 3% fee for using the card. There is no monthly fee or annual fee associated with the Nexo Card.

Both the Nexo Wallet and Nexo Card are available in over 200 countries. Nexo is a regulated financial institution, and all of your funds are held in segregated accounts at top-tier banks.

Nexo Review

When comparing Nexo vs Cabital, we should look at the background of each company.

Nexo was founded in 2017 by Nexo co-founders Antoni Trenchev and Kosta Kantchev. Nexo was founded in response to the global financial crisis of 2007-2008. Nexo is a European Union-based company, incorporated in Luxembourg.

Nexo is a subsidiary of Credissimo, a leading European financial group that has been providing banking and lending services since 2007. Credissimo is based in Bulgaria and is regulated by the Financial Supervision Commission.

The Nexo team has over 50 years of combined experience in the banking and financial industries. Nexo co-founder Antoni Trenchev is a former management consultant with McKinsey & Company. Nexo co-founder Kosta Kantchev is a serial entrepreneur who has founded several companies.

Nexo's founders recognized that traditional banking products were no longer meeting the needs of consumers and businesses, and decided to create a new kind of bank that would focus on providing innovative solutions and excellent customer service. Nexo has quickly become one of the leading online banks in Europe, with over 1 million customers across 20 countries.

Is Nexo Safe?

Nexo is one of the most trusted and well-known crypto lenders in the industry. They are a reputable company with a long track record of success. Nexo is also one of the few lending platforms that is fully licensed and regulated by financial authorities.

Nexo is licensed and regulated by the Financial Conduct Authority (FCA) and the Cayman Islands Monetary Authority (CIMA). This means that Nexo is compliant with all relevant financial regulations.

Nexo's strict adherence to financial regulation gives users peace of mind that their assets are safe and protected.

Nexo is also a member of the Crypto Finance Association Switzerland (CFA), an industry association for crypto finance companies. The CFA promotes best practices and self-regulation in the crypto finance industry. As a member of the CFA, Nexo is committed to upholding high standards of operation.

Nexo has insurance coverage for all customer assets stored on the platform. This insurance coverage is provided by Lloyd's of London, the world's leading insurance market. Nexo's insurance policy covers all customer assets stored on the Nexo platform, including crypto assets, fiat currencies, and even Nexo Tokens.

If Nexo is unable to repay customers due to insolvency, theft, or hacking, the insurance policy will cover the full value of customer assets. This gives users an added layer of protection and peace of mind knowing that their assets are safe and protected.

Nexo has implemented multiple layers of security to keep your assets safe. All customer funds are stored in offline cold wallets which are not connected to the internet. This reduces the risk of hacking and theft. Nexo also uses 2FA (two-factor authentication) to further protect user accounts.

Nexo is a safe and trusted lending platform with a long track record of success. They are licensed and regulated by financial authorities, and they have implemented multiple layers of security to protect user accounts.

In summary, Nexo is a safe and secure platform that you can trust with your crypto assets. They have implemented multiple security measures to protect users and their funds.

What Is Cabital

Cabital logo

In the world of cryptocurrency, there are many options for exchanges. So, what makes Cabital stand out? Founded in 2017, Cabital is a digital asset exchange that is headquartered in London, England. The company offers a wide range of products and services, including spot trading, margin trading, and derivatives trading.

Cabital is one of the few exchanges that offer 24/7 customer support. Here's everything you need to know about this exchange.

Cabital Review

When comparing Nexo vs Cabital, lets look at the background of the second company.

Cabital was founded in 2017 by entrepreneur Xavier Niel and is headquartered in Luxembourg. It offers a variety of products, including spot trading, derivatives trading, and margin trading.

Cabital has become one of the most popular exchanges due to its low fees, high security, and user-friendly interface.

Cabital offers spot trading, margin trading, and derivatives trading. The company also has a mobile app so that you can trade on the go. In terms of security, Cabital uses 2-factor authentication and stores all assets in cold storage.

One of the benefits of using Cabital is that it offers competitive fees. For example, the taker fee is 0.2% and the maker fee is 0%. In addition, there are no deposit or withdrawal fees. Another benefit of using this exchange is that it supports a wide range of cryptocurrencies, including Bitcoin, Ethereum, Litecoin, and Ripple.

Is Cabital Safe?

When it comes to safety, it's important to note that no exchange is 100% safe from hacks. However, Cabital has implemented several security measures to minimize the risk of hacks.

The company uses 2-factor authentication and stores all assets in cold storage. In addition, Capital employs a team of security experts to monitor the exchange for any suspicious activity.

It uses state-of-the-art security protocols to protect users' funds and personal information. In addition, all user funds are held in cold storage wallets that are not connected to the internet—this means that they cannot be hacked into by cybercriminals.

Nexo Vs Cabital Interest Rates

The following table shows products offered by both organizations on a flexible term basis. In comparing Nexo vs Cabital, we show the APY rates of each product. Such products do not require any notice period and deposits can be withdrawn at any time.

Deposit AssetNexoCabital
Tether (USDT)8%4%
Bitcoin (BTC)3%2.25%
Ethereum (ETH)4%2.25%

Data provided by Seedling

What Are the Risks of Nexo Vs Cabital?

Before you decide to earn interest on your crypto assets, you should be aware of the risks involved. Here are some of the most important things to remember:

1. Security: One of the biggest risks associated with earning interest on your crypto is the threat of theft or hacking. Make sure you only use reputable platforms that have a solid track record when it comes to security.. This is especially important when comparing Nexo vs Cabital.

2. Volatility: Because of the volatility of cryptocurrency values, your income may change significantly over time. Make sure you're comfortable with the potential for losses as well as gains.

3. Taxation: The tax laws surrounding cryptocurrency are still relatively murky, so it's important to consult a tax professional before making any decisions about earning interest on your crypto assets. You may need to report your earnings as income, and you may also be subject to capital gains taxes.

4. Liquidity: Depending on the situation, it could be challenging to sell your crypto assets when you need to withdraw money. If you have to sell at a lower price than when you purchased in, this could result in losses.

5. Fees: Most platforms that offer interest-bearing accounts charge fees for their services. Make sure you understand how these fees work and what they'll amount to in total.. Fees are a significant consideration when comparing Nexo vs Cabital

6. Regulation: The cryptocurrency industry is still relatively new, and it's not always clear how the various regulatory agencies will treat different aspects of it. This could imply that it's not always legal to generate interest on your cryptocurrency holdings. Be sure to check with a legal professional before making any decisions in this area.

Nexo Vs Cabital Facts

In the following table, we illustrate some key facts regarding Nexo vs Cabital

Year founded20172020
HeadquartersUnited KingdomSingapore
No. employees1025
No. products603

Data provided by Seedling

Nexo Vs Cabital Conclusion

Your portfolio's overall yield can be increased or your assets can be stored in a more secure method by earning interest on your crypto assets. We've listed the most well-liked approaches in this article. There are a few different ways to earn income on your crypto holdings.

Make sure to conduct your own study before selecting a platform because not all of them have the same advantages.

Disclaimer: All of the information written on Coincrop is without influence and based on our analysis. No guarantee is offered concerning the accuracy of this information and therefore, any individual following up on it does as such completely at their own risk. Rates are correct at time of publication.



An editor at Coincrop
View articles

Chris is a Coincrop staff writer based in the UK, covering the best rates for cryptocurrency earning and borrowing products. When not at work, he's likely assembling lego models.

Our sponsor

CoinLoan combine the best of traditional and novel finance helping you borrow, swap and grow your assets.

Compare over 45,611 CeFi and DeFi products across more than 212 organizations here

Related Links