A few days ago, I wrote an article about letting your money work for you. That is great, and in my quest for getting high interest on my investments, I also bumped into the USDT DeFi Smart Pool on Hotbit. It has operated since July in 2020, and in the last couple of weeks, they have given you very nice daily interests (if it would be constant, then you would have an interest of more than 120% per year). Of course, it can change and for sure will, but even on its worst days in the last month, it still had an interest in appx. 50%.
You can also go for a USDT and lock it up and get a 13% rate, but what is 13% compared to rates near or even above 100%?
Such an interest rate asks a few questions?
Do you remember Bitconnect? It promised you a fantastic income in a short time, and many people loved the idea. But, the day came when it disconnected, and the people warning against it, were proved to be right. And yes, when you hear about possible interest rates above 100%, you get that feeling... something has got to be wrong somewhere!
And that is why I would like to ask for your help and advice. What do you think? Would you get some red alerts if you read about this? Would you dare to invest?
This is on Hotbit... is it safe?
The biggest question might be whether or not Hotbit is a safe exchange. I have done some research on it, and it was registered in 2018 (January). It is registered in Hong Kong and Estonia. It has received some warnings for wash trading, but they have some legit trading pairs, and it is easy to use.
So, where to go from here? Is this just too good to be true?
It also feels as if more and more exchanges try to make you lock up your money on their exchanges. Is this yet another example of this, simply making traders move their money to the exchange, which will help the actual exchange get liquidity?
I would love to hear your thoughts in the comment field. Please, do not write a comment, simply to write a comment. But, if you have some actual thoughts, experiences, or anything else that will enrich me and the community looking for ways to grow our money, please share whatever might be on your heart!
This is an original article written by me for Project Hope!