YouHodler Review: Is it legit, safe and trustworthy for UAE citizens and residents?
This cryptocurrency lending company offers an annual interest rate of 12% on
stablecoins and 4.88% on bitcoin, depending on which you choose to invest in. Is
the deal that YouHolder is offering too good to be true, or can one trust that
they are dealing with a genuine platform? Discover the answer in our in-depth
analysis of YouHodler. When evaluating any crypto lending platform, it is very
necessary to look at its track record in order to have a better understanding of
the risks and opportunities associated with depositing bitcoin in exchange for
interest. Visit YouHodler Website.
Although work on the platform didn't begin until 2017, it wasn't released until November 2018 at the earliest.
Tweets by YouHodler
Since that time, the number of active users on YouHodler has increased to almost 163,000. On YouHodler, crypto holders have an average holding value of $11,528.
YouHodler reports that 14.23 percent of its customers have bitcoin stored in their cryptocurrency wallets. Users get an annual interest rate of 8.05 percent on average, and if they deposit stablecoins, they earn an interest rate of 12 percent, which is a highly competitive yield.
Signing up with YouHodler is a fairly simple process. To access your account, you will need to enter your email address. In order to make use of it, you will be required to present a valid form of identification and pass the Know Your Customer checks, which will require you to submit a selfie along with your personal information.
The criteria for know your customer checks for cryptocurrency transactions are rather light. If, on the other hand, you choose to engage in FIAT transactions, you will be required to reveal further information about yourself.
You must be at least 18 years old.
DO NOT call any of the following nations home: the United States of America, Afghanistan, Bangladesh, China, Cuba, Germany, Iran, Iraq, North Korea, Pakistan, Sudan, Syria, or Crimea.
It is important to note that the option that allows users to save money on YouHodler is not accessible to users in Switzerland.
During our conversation with the YouHodler customer service team, we learned that the company does not presently possess the legal authorization required to conduct business in the United States.
When you add funds to your YouHodler wallet, you put yourself in a position where you might potentially lose some or all of those funds. The danger that you put yourself in will be determined by the goods that you use.
If you would want a greater understanding of the services that YouHodler provides, please refer to our "Usability" section, which explains how these services function.
You will put yourself at danger of the counterparty risk no matter which product you decide to purchase. As soon as you deposit your cryptocurrency with YouHodler, you will forfeit the use of the coin in return for extra benefits such a loan or interest on your cryptocurrency deposits. This will happen as soon as you make the deposit.
Let's go through some of the things that can help you reduce the risk of dealing with your counterparty, even if this risk can never be eliminated entirely.
YouHodler uses both hot and cold wallets to store your cryptocurrency. Cold wallets, which Ledger Vault provides and serves as the custodian for YouHodler, are made available. Your cryptocurrency holdings are protected from theft by Ledger's crime insurance policy, which offers coverage of up to $150 million. Arch UK Lloyds of London syndicate is the company that provides insurance.
Because doing so lessens the likelihood that you would lose your cryptocurrency in the event that YouHodler is subjected to a hacking assault, storing your crypto assets on a cold wallet has become an industry standard in recent years.
2019 saw the exposure of some datasets taken from YouHodler's databank Source by malicious actors. As a result of our conversation with the Chief Executive Officer, Ilya Volkov, we learned that none of the sensitive data, such as credit card information, was leaked as was stated in the article.
Even if YouHodler is a participant of the Blockchain Association, which serves as a self-regulatory body for the cryptocurrency community, this does not guarantee that your data is secure one hundred percent of the time or even most of the time.
You want to be sure that you obtain the greatest interest rates possible when you deposit your valuable crypto assets, right? YouHodler provides its customers with some of the most competitive pricing in the market. At this time, the platform is able to support 54 different digital assets.
After conducting research on the business model utilized by YouHodler, our team came to the conclusion that it is perhaps one of the most open and honest methods being utilized within the sector.
The ONLY purpose for which the platform will use your deposits is to promote their loan offerings inside YouHodler. This method of conducting business is significantly more open and honest because the borrower is not required in any of the transactions because all loans are secured by collateral.
YouHodler generates revenue via the collection of fees from customers who utilize cryptocurrency loan products in addition to the savings account offered by the company.
Bank wire deposits are free of charge (with the exception of SWIFT fees of 25 USD or 25 EUR), however credit card deposits cost 4.7% of the deposit amount. There are no fees associated with cryptocurrencies or stablecoins.
Withdrawal Fees are as follows: USD SWIFT is 1.5 percent of the amount withdrawn (with a minimum of 70 USD), EUR SEPA is 5 euros, EUR SWIFT is 55 euros, GBP,CHF is 0.15 percent, and ONLY NETWORK FEES REQUIRED FOR CRYPTOCURRENCY Turbocharged: 0.5 percent to 2.1 percent for each loan, with a maximum of 15 loans per applicant
Multi HODL: 0.01 percent rollover cost, 0.3 percent - 0.4 percent profit sharing fee
Loans: 1 percent - 8 percent charge
There is a conversion fee ranging from 0.2 percent to 2 percent.
You may utilize YouHodler at no cost by moving your cryptocurrency from a hardware wallet to the YouHodler platform, where you will then be eligible to earn interest on your deposits.
YouHodler's withdrawals are completed in a matter of minutes, although the same cannot be said for the majority of other cryptocurrency lending services.
When it comes to the protection of your assets on a specialized platform, two of the most important things you can do are familiarize yourself with the terms and conditions and research the background of the management.
Ilya Volkov is the current CEO and co-founder of YouHodler. According to his profile on LinkedIn, he has prior experience working in the foreign exchange market for the Libertex Group in Moscow. Specifically, he was based in Moscow. Ilya previously held a position with Eurokommerz, a factoring firm based in Russia, during his professional career.
YouHodler is self-regulated, according to industry norms and taking into consideration the advice of a number of different attorneys in Cyprus (C.Samir & Co. LLC).
The chief executive officer of the platform is also a member of the Crypto Valley Association, an organization that works to advance the use of cryptocurrencies in Switzerland.
During our conversation with YouHodler's support team, we found out that the firm is founded on the principle of intelligent regulation; as a result, they work closely with the authorities in Switzerland.
Despite this, the services continue to be managed by the NAUMARD Limited firm, which has its headquarters in the city of Limassol in Cyprus. This business is the official holder of the trademark for the YouHodler name.
It is important to note, however, that the majority of the crew is now based out of the headquarters in Lausanne, which is located in Switzerland.
When going through the terms and conditions, it is important to study both the terms of the website itself as well as the terms of any individual services such as loans or savings features.
When comparing several P2P platforms, the terms and conditions of specific items were the most perplexing papers we came across; if you are not a lawyer, you will have a difficult time understanding what you are agreeing to when you sign a contract for one of these products.
The Service Level Agreement is a little bit more specific, and it provides you with a clearer comprehension of the duties that are associated with the platform. It is highly recommended that you read those, particularly if you intend to make use of the exchange function that is available on YouHodler.
YouHodler is an intriguing platform that gives you the opportunity to earn interest on your cryptocurrency holdings. The platform's administrative offices are located in Switzerland, but its cryptocurrency interest account is legally operated out of Cyprus.
Even though crypto lending is not regulated in Europe, the platform nonetheless devotes a significant amount of its resources to ensuring that it is functioning lawfully and providing certain safeguards for its customers.
We have communicated with YouHodler's support team on many occasions to gather more information regarding their business practices. Their responses demonstrated a deeper level of knowledge than those that we obtained from any of their competitors, including Nexo.
YouHodler provides a comprehensive range of services. You should exercise extreme caution while using any of YouHodler's other services, despite the fact that the cryptocurrency savings account option is arguably one of the most user-friendly methods to generate interest on your Bitcoin holdings.
The Multi HODL, Loans, and Turbocharge features all come with additional risks and expenses, some of which are not as easily understandable as others. It is quite tempting to leverage your crypto deposits in order to earn profits on other investments; nevertheless, there is a risk that this strategy may fail.
If you do want to utilize some of the additional capabilities, we strongly advise you to familiarize yourself with the terms and ensure that you have a complete comprehension of what you are doing before it is too late.
The aspect of YouHodler that we value the most is this seemingly little point in their terms and conditions.
YouHodler is not one of the numerous platforms that automatically assumes ownership of the cryptocurrencies you deposit into its system when you do so, as is the case with many other platforms. As long as you don't spend any of your coins and solely utilize the savings option, the coins will continue to be yours to keep.
During our conversation with YouHodler, we discovered that the platform obtains the capital needed to fund loans through deposits. Therefore, it would be beneficial if you did not place too much stock on the concept of "ownership" of your coins. However, from a legal standpoint, it puts you in a little better position when depositing your coins compared to when you do so on other platforms or exchanges.
Let's say you want to make absolutely certain that your coins are secure, but you don't require the interest rate of 5% on your bitcoin. If this is the case, the safest place to keep your cryptocurrencies is on a specialized hardware wallet such as Trezor, which happens to be our go-to option for preserving the security of our digital assets.
YouHodler is among the best platforms available for maximizing the return on investment from your cryptocurrency holdings. Every Friday, the site will distribute the interest that has accrued on your cryptocurrency deposits. However, you should be informed that in addition to low-risk trading features, such as the Multi HODL or Turbocharged function, the platform also offers high-risk trading options, which can result in the complete loss of any cash you have committed.
When evaluating YouHodler, we primarily considered its "savings account" function, which we then compared to that of other other cryptocurrency lending services.
Because we have tried out every element of the platform and have a complete understanding of how it generates revenue, we are confident in recommending YouHodler as one of the most reliable crypto lending platforms currently available on the market.
There are crypto enthusiasts who claim they have never heard of YouHodler, which leads them to question the services that the company provides. Keep in mind that the amount of money a company spends to market its products is not indicative of the quality of the services that the company provides or the validity of the firm.
YouHodler is more than simply an online wallet for cryptocurrency; the site also provides a wide range of other goods and services to its users. The following is an explanation of the many features that are available to you on YouHodler.
Due to the fact that YouHodler does not pay any interest on your fiat currency holdings, exchange is an integral component of the site.
If you want to earn interest on your coin, you will need to either send fiat to the platform and then trade it for cryptocurrency, or you may transfer your cryptocurrency or stablecoins to YouHodler, which is the less expensive alternative.
You merely need to put your coins into the wallet provided by YouHodler in order to start earning interest on them. If you do not utilize the funds that you deposit for other services such as the Multi-HODL, Turbocharge, or Loans, you will have your deposits earn interest for you automatically.
The interest will be applied to the currency you have placed on a weekly basis, namely every Friday.
It is essential to emphasize the fact that Ledger Vault safeguards all saved assets and provides insurance coverage of up to $150 million. YouHodler is presently one of the greatest platforms available for lending your cryptocurrency and earning a yield on your investment.
YouHodler has only recently implemented a restriction on the total amount of cryptocurrency that may create yield in a user's account, which they refer to as "the dynamic yield limit."
The majority of customers have a default limit set at 24,000 Euros (or USD). If you deposit more crypto into your YouHodler wallet, you won't earn any yield on it unless you increase this yield limit first. Until then, you won't earn any yield on it.
In order to raise your limit, you will need to engage in more platform-related activities and begin utilizing more services, such as MultiHODL, Turbocharge, or the in-house exchange.
In a nutshell, you have two options: either increase the risks you incur or utilize the exchange to raise your limit. It is important to keep in mind that the MultiHODL function is a short-term trading option that utilizes leverage. Using this tactic, it will be much simpler to cut down on the total value of your portfolio.
The yield restriction was implemented because YouHodler is interested in boosting its income so that it can pay out the competitive rates to crypto hodlers. As a result of this interest, the yield limit was implemented.
It is important to keep in mind that the platform does not participate in any highly speculative yield-generating activities outside of the YouHodler ecosystem. This considerably minimizes the risk when compared to rival platforms that rely on DeFi protocols and other speculative investments.
YouHodler has developed a unique tool called Multi HODL that gives users the ability to leverage a portion of their deposited cash in order to possibly improve their profits by placing a wager on whether or not the value of the currency will rise or fall.
When you use Multi HODL, a chain of loans will be initiated, which means that you will take out a loan using your cryptocurrency as collateral, then buy cryptocurrency and repeat this process up to 25 times.
You may improve the possibility for profit by using the cryptocurrency assets you already have.
How does it work?
You get to decide the currency pair to use.
You are the only one who can decide whether you think the price will go up or down.
You get to decide where your deposits are coming from and how much of those deposits you want to put into your Multi HODL account.
You will select the "Multiplier" option (the higher the multiplier the tighter the margin call)
You are the one who decides when you want to start taking a profit.
You are responsible for determining the greatest potential loss that you are willing to incur, after which you accept the conditions and begin.
Leveraging your cryptocurrency holdings might be enticing, but you should be aware that the likelihood of making a profit is quite low. After putting the YouHodler Multi HODL through its paces, we are unable to endorse it. The odds are constantly stacked against you, and you simply cannot anticipate how the price will fluctuate over such a short period of time.
In order to become familiar with the offerings, we make use of a variety of platforms and features and reflect our findings here on P2P Empire. To be able to provide reports of a high quality, we are willing to put our finances at risk. Please be aware that not all of the features are going to be worth the price you make. The Multi HODL tool is a trading feature that has a high level of risk and has the potential to result in the complete loss of any cash that you have invested.
If you have read our comparison of several crypto lending platforms, then you are already familiar with the advantages of crypto-backed loans.
YouHolder gives you the opportunity to obtain a loan in the form of either US Dollars or Euros in return for depositing your cryptocurrency. The system will automatically give you with three distinct offers to choose from.
LTV of 90% for a period of 30 days
70 percent LTV for a period of 60 days
50 percent LTV for a period of 180 days
The greater the LTV, the lower the minimum amount of cryptocurrency that you will be required to deposit. With a loan-to-value ratio of fifty percent, the quantity of crypto assets that you plan to deposit must be equal to two times the total amount of the loan that you intend to take out.
You may obtain further information on the loan terms by picking one of the deals. The "loan charge" might be anywhere from 2% to 8% of the total loan amount.
In the example that follows, you will be offered a secured loan for the amount of $27,306, but after 180 days, you will be required to repay $29,490. In this particular instance, the charge for the loan is $2,184, and it is only for a period of six months.
YouHodler also gives you the ability to request particular conditions or even set a closure price, which will cause an automated sale of a portion of your collateral whenever the price climbs to pay the cost of the loan.
Turbocharge is a function that enables you to take out a loan and then use that loan as collateral for a second loan that you take out. This procedure can be carried out as many as fifteen times.
You also have the option of establishing a closing price, at which YouHodler will sell the collateral you provided in order to repay the loan. You will be able to view the specific payment plan for your cryptocurrency loan if you click on the option labeled "Turbocharge."
It is important to keep in mind that when you leverage your cryptocurrency assets, you raise the chance that the platform will liquidate your assets if the value of your cryptocurrency drops. Every borrower has a responsibility to pay close attention to the Price Down Limits (PDL). If the value of your currency lowers, then YouHodler will sell all of the turbo loans, which implies that they will liquidate whatever collateral that you have.
YouHodler requires a minimum loan sum of one hundred dollars (or one hundred euros or one hundred US dollars sterling). You will not receive the money from the turbo loans in the same way that you would with a standard loan. Your account will be credited with the turbocharged loans, and in the best case scenario, you will be able to close your position, return the loan, cover the costs, and earn a profit. This is assuming that the value of the currency will improve.
YouHolder is a centralized platform for crypto-lending and borrowing that
offers services that are geared at providing both lenders and borrowers with
opportunities to earn interest and receive loans. Additionally, it provides a
service for exchanging either fiat currency for cryptocurrency or different
types of cryptocurrency for one another. The MultiHODL and Turbocharge products,
which assist customers in maximizing their profits in a hazardous manner, are
what set it apart from other platforms that perform a role that is comparable to
what it does.
YouHodler is a digital asset exchange that facilitates trades between fiat currency and cryptocurrencies. The service is geared for those who are new to the cryptocurrency field. This site allows you to make cash deposits and then swap those funds for various cryptocurrencies. It is also helpful for people who wish to switch things around in the other direction.
There is a possibility that the rates will change depending on the cryptocurrency that is being exchanged; nonetheless, for your convenience, the following chart will outline the costs associated with deposits and withdrawals:
Before you make any deposits or withdrawals, make sure you check everything thoroughly.
To get started, you will need to make a deposit of at least $5. Going through the Know-Your-Customer (KYC) procedure is necessary in order to create an account with YouHodler. At this point, you will be needed to upload several pieces of personal information in order to link your identity with the account. This procedure is an essential part of the Anti-Money-Laundering (AML) laws that have been put into place to put a stop to illegal behavior.
After that, the safety of the monies that are kept on the platform should be the next item that is taken into consideration. Insurance and the individuals who are in charge of operating the business are the two primary factors that are of the utmost significance.
On the site of the platform, there is an advertisement stating that it utilizes Ledger Vault to give pooled crime insurance of up to $150 million. In all seriousness, what does that entail? In order to provide an answer to that query, I decided to take a cursory look into Ledger Vault, and the following is what I discovered there:
It is a product designed for use in large businesses and is offered by the Ledger firm (the same ones that make my Ledger cold wallet).
It is a software that can manage private keys and has access to the storage area where tokens are maintained. This application also has access to the storage area.
In contrast to some of its competitors, which only provide security to a limited number of users, one additional platform for lending relies on Ledger Vault. This is a positive development since it means that fewer businesses will be looking for insurance at the same time in the case of a significant occurrence.
To put it another way, gaining access to the tokens is just as difficult as breaking into one of those high-tech bank vaults that are featured in action movies. Therefore, the individuals who have access are the weakest link in the chain. Let's put the attention on the team for a moment.
YouHodler was founded in 2017, and it is now managed by two different companies: Naumard Ltd., which is headquartered in Cyprus, and YouHodler SA, which is located in Switzerland. Because of the "golden passport" program that caused a little bit of a ruckus, I'm going to have to give the location in Cyprus a little bit of a second thought here.
On the website, there is information provided on three significant personnel: Ilya Volkov, who serves as CEO, Renat Gafarov, who serves as CTO, and Alex Vinny, who serves as Head of Product.
Before entering the field of financial technology, Ilya earned his degree in Philosophy from Moscow State University. Following ten years working in commercial finance, he moved on to work for ten years in the internet trading industry. During a recent interview, he discussed the process through which he founded YouHodler, which was influenced by the LUMIAMI methodology and Design Thinking. He sees YouHodler as an essential component that bridges the gap between traditional banking and bitcoin trading. This is unmistakably evident in the selections that can be seen on YouHodler.
Renat began his professional life as a frontend developer and swiftly rose through the ranks, all the while working for a variety of different firms. The time he's spent at YouHodler thus far is the longest he's ever spent working for a single firm (4 years).
According to what I have gathered, I believe that Alex attended the same university as Renat in Russia, which is the Altai State University. He worked at The Forex Club initially as a UI/UX Designer and later as a Product Designer before moving on to YouHodler as a UI/UX Designer. He also has a connection to Ilya from this previous employment.
The members of the management team appear to have grown up through the ranks, which is something that appeals to me since it indicates that they are knowledgeable about what they are doing in their respective fields. The fact that there is not a great deal of managerial expertise is a potential problem that, with any luck, will be resolved as the firm expands its operations.
In that interview with the creator, the founder's aim to develop something better seems persuasive enough, which raises the question of how probable it is that they will run away with everything in the middle of the night, also known as doing a rug pull. I am going to go ahead and give them the benefit of the doubt until I can find more dirt on them, which won't be easy given how low-key they seem to be.
You now have enough information about the firm to decide whether or not you would want to continue investigating the platform and the other services it offers based on what you know about it. Personally, I am interested in seeing what more is offered; hence, I am going with extreme care.
The fact that you may earn interest of up to 12.3 percent per year on both fiat currency and cryptocurrency assets is the website's primary selling feature. In most cases, the truth is stretched a little bit in order to accommodate these sorts of assertions. They were kind enough to supply an earnings calculator so that I could assess what I'm probably going to obtain in exchange for my crypto tokens. What I discovered is as follows (listed in order):
REP, COMP, and MKR HT, BNB, BAT, BNT, DOGE, and OMG all at 2.5 percent 3.0 percent XLM, XRP, YFI. ZRX 4.5 percent BTC 4.8 percent EOS 5.0 percent LTC, BCH, DASH, ETH 5.5 percent SNX, ADA, AAVE 6.0 percent LINK 6.2 percent UNI, SUSHI, TRX 7.0 percent
PAXG 8.2 percent
DOT 9.0 percent
BUSD 10 percent EURS, USDP 12 percent USDT 12.3 percent
When I compared my findings to the list that they had published below, I discovered that it included two tokens that were not available on the calculator's dropdown menu (marked in red). I'm curious as to why.
MATIC, XTZ Not in Calculator Could this have been a mistake?
In general, the concept of receiving interest payments on a weekly basis appeals to me, particularly if those payments may also be compounded. The interest that is paid is also made in the same currency or token that was initially deposited. It is not necessary to accept a platform's native token in order to qualify for a better rate, as this is not a prerequisite. I think one may look at this from two different perspectives:
Having interest paid back in its original form offers a certain degree of protection. For instance, I'd rather have interest in BTC than any other native asset any day of the week.
If there is a native token, then what you are betting on is that the amount of interest in the original form is less than what you might possibly acquire with the native token. This is especially true in the event that the native token is performing well and fetches a higher price in the market. Because of this, there would need to be one more level of monitoring. How much effort are you prepared to put into keeping an eye on your possessions and making sure they are secure?
There is also the convenience of being able to withdraw my cryptocurrency at any moment. It is important to point out that I will not receive any interest for the week in which I make the withdrawal from the account.
In order to put my cryptocurrency to work on this platform, I would need to make a minimum deposit of $100 worth of each sort of asset on which I wish to receive income. For example, in order for me to be eligible to get interest on BTC, USDT, ETH, and UNI, I will need to have a minimum of $400 worth of tokens locked up in my account. It makes perfect sense why they set the maximum deposit amount across all currencies at $100,000. When compared to other platforms that do not need a minimum, this one does provide a bit of an obstacle to admission.
The MultiHODL product is one of the aspects that sets YouHodler apart from other platforms that are designed for lenders. The fundamental concept behind this item was developed by Nassim Taleb, a mathematician and risk analyst who is well known for his book "The Black Swan." Taleb's concept is referred to as "The Barbell Strategy."
I contributed one thousand dollars in USDT. The remaining 10% is in a deposit, and I am betting $100, which is 10% of my investment, that the price of a cryptocurrency token such as AAVE will increase in the near future.
In other words, I place my wager and open a position. After then, I keep an eye on everything and wait to see what develops.
In the event that I am incorrect, I will forfeit the one hundred bucks.
Depending on where I decide to place the degree of profit-taking, if I'm correct I stand to make more than 12.3 percent even if I just break even. My bank account is automatically credited with the profit.
It is up to me to decide for how long the post will remain vacant, as well as when it will be filled. There is a cost involved for the length of time that the post is available to be filled.
In addition, the position will be closed out automatically after ten days (just in case I forget about it), or if the price drops below the threshold of loss that was set. In addition to stable currencies, I also have access to other crypto tokens that I may employ as capital.
The placing of a bet follows a process that is mechanically analogous to margin trading. In margin trading, one party sells another party's shares and then buys back those shares at a later price that is either lower or greater than what was projected. It is typically used in conjunction with leverage, such as when I invest $100 and buy $200 worth of anything (that's a 2x leverage). In the event that things don't go as planned, I stand to lose $200.
Trading on margin is something that I have never been comfortable with since I do not like the idea of losing more money than I have initially invested. Leverage is available as an option when using the MultiHODL product. They refer to it as a "multiplier." There is a slider that allows you to determine the depth of the search. Naturally, the risk/reward ratio will get more severe the more times you multiply.
If you are just starting out in the world of cryptocurrency trading and have a basic understanding of how to read charts and do technical analysis (TA), you might want to think about putting your predictions to the test here on whether or not the price will move up or down. If that's not the case and you're in the mood for some luck, just close your eyes and choose something. Regardless, you have an equal probability of being correct and being wrong.
Having said that, it is worthwhile to test it out with a low percentage, such as little more than 10 percent of the total sum. If you are unsure of the level of risk you are taking, consider asking yourself the following question: "If I woke up the next morning and found out that I had lost the amount that I had put in, on a scale from 1 to 5, how bad would I feel?"
It takes a little more work to keep track of your bets when you go the MultiHODL route, as opposed to the deposit-and-earn route, which is essentially a "set it and forget it" scenario. If monitoring is something that might cause you stress, I would advise you to avoid using this product.
As for myself, I'm almost ready to invest the meager amount of BAT that I have in this platform, allocating perhaps 20 percent of the total amount of BAT that I own to this product. But hold on, there are some costs to think about:
One-time charge for loan origination
Rollover cost is another name for the hourly fees that are charged during the term of the wager.
One-time charge equal to ten percent of the profit shared
Illustration of the computation for the rollover fee
As a side note, YouHodler is now running a promotion that rewards first-time users of the MultiHODL product with exclusive bonuses. In essence, the YouHodler team will make up for any losses that you incur during your trial run by covering the costs themselves. It seems like they have a lot of faith that the product will be well accepted once people get the opportunity to test it out for themselves.
According to the website that discusses loans, the top 20 coins that are put up as collateral can be used to guarantee a loan of up to 90 percent of the value of the collateral. This concept is most frequently referred to as the Loan-To-Value ratio, abbreviated as LTV. In this scenario, a loan-to-value ratio of 90% indicates that I may borrow $900 against collateral that is valued at $1000.
I scrolled down the page and saw that it indicated top 14 coins may be used as collateral. On the other hand, the advertisement on the webpage mentioned the top 15 coins. Getting messages that are so muddled and contradictory just doesn't set well with me. If it is a real mistake, they need to pay greater attention to the copywriting; if it is not, there may be something else at play. The fact that the most valuable coins were not included in the list was not helpful.
If you meet the requirements for the loan and have the necessary collateral, you will very certainly be approved for it, as is the case with all crypto platforms that employ smart contracts. The drawback is that there is a possibility of immediate liquidation if the amount of the collateral is worth less than the amount of the loan, which is especially problematic given the volatility of the market. Here is where Price Down Limit, sometimes known as PDL, comes into play. It's kind of like the bare minimum quantity of things that need to be stored in the warehouse before they can be sold. When you hit that threshold number, it is important to place an order for more stock so that you do not run out of products to offer. In this particular scenario, the YouHodler team will get in touch with you in order to request further collateral after two-thirds of the Price Down Limit has been achieved. Activating the Extend PDL option will allow you to add more collateral to the loan if that is something you would wish to do.
You also have the option of doing one of the following with regards to your loan:
You can avoid having to repay the loan by having the collateral that was used to secure it liquidated and then closing the loan using the Close Now option.
Set Close Price, also known as Take Profit, is a function that allows you to determine the price at which you wish to take profit. Once it reaches that price, a portion of the collateral will be sold to repay the loan, and the remaining amount will be put into the account. This can be established at the time of the loan application or it can be defined throughout the entirety of the loan.
Activating the reopen feature will allow you to prolong the loan without making any payments toward it. There will be additional costs incurred for each renewal of the loan.
Let's check over the terms and conditions of the loan, including any associated costs.
Loan minimum: $100 or its equivalent.
The maximum amount that can be borrowed fluctuates depending on the market circumstances and the collateral that is employed.
Currency for loans can be provided in USD, EUR, CHF, GBP, BTC, or stablecoins.
The following methods can be used to repay a loan: cryptocurrency (after having it converted to fiat), wire transfer, debit/credit card, from account, and the Close Now tool.
Fees Related with Loans Fees that are associated with the loan function
The example of a traditional loan that was just shown is for people who wish to borrow money using their cryptocurrency holdings as security. But what if you want to profit from your cryptocurrency investment? You've just introduced the concept of leverage. It is similar to taking out a mortgage on your second home by using the first property, which still has a mortgage on it, as collateral for the loan. Imagine for a moment that we are speaking about loans in exactly the same way. Take for example that you make a collateral deposit that nets you $1,000. After that, you take out a second loan for the same amount, which brings your total to $800. After then, it is used as "capital" for the third loan, and so on and so on.
To put it simply, Turbocharge is another another one-of-a-kind product that can only be purchased on YouHodler. The concept of a "cascade of loans" was used in the development of this product, which strikes me as a phrase that may have extremely negative consequences. It is nothing more than the domino effect being put into play, but preferably in a positive sense, meaning that everything is heading up rather than down. Although it may appear that you only need to take money out of your pocket once for the first loan, and that you are using "free money" to take out the next loan and the one after that, you are still accountable for the entire amount of the loans that you take out. One loan going into default is all that is required for the entire structure to collapse like a house of cards.
If you are serious about gaining experience, you should start off with a very little sum, such as $100, and borrow no more than three times to acquire a feel for the process rather than attempting to borrow the maximum amount allowed, which is fifteen times.
As the graphic that follows demonstrates, there is an abundance of rivalry for the market segment that YouHodler works in:
Considering that YouHodler was the one who prepared this chart, it is safe to assume that it presents the platform in a positive light overall. Despite this, it is also aware that it is not the greatest at everything, and it most likely does not strive to be the best at everything. It is self-assured enough to believe that it can catch the amount of consumers it needs to continue to be healthy and competitive thanks to the two distinctive goods it offers.
YouHodler has, ever since the data breach problem that happened in 2019, implemented additional security measures, such as two-factor authentication (2FA) password protection (also known as "what you have and what you know") for all of its customers. They also implemented a third-factor authentication (3FA) security precaution, which enables customers with an account balance of more than $10,000 to stop all withdrawals from the account. In the event that a withdrawal is required, further verification procedures will be carried out in order to make this happen. Traditional three-factor authentication (3FA) calls for some type of pre-authorization of the device on which the action is carried out. The use of a digital certificate that is specific to the computer is a standard method for accomplishing this. I am unsure as to whether or not YouHodler incorporates this approach into their definition of 3FA. It is important to keep this in mind.
Given the location of their headquarters, there is no need to be concerned about regulatory issues, such as the possibility of the platform being rendered inoperable by a local or national authority.
The manner in which the platform really generates revenue is one of the primary sources of worry. There is nothing on their website that provides a clear indication of how they intend to conduct business. It is possible to believe that the fees they collect from the transactions made by users would be sufficient to cover all costs related to the operations of the company; however, this is only a possibility. Some of their rivals are quite transparent about the fact that they rehypothecate the funds borrowed from institutional investors. This indicates that the collateral that was placed is going to be utilized as a pledge for another loan that the firm is taking out in its own name. Although YouHodler does not make any mention of this, this does not indicate that they are not engaging in this practice. It would be beneficial to get more information on the openness of this subject.
YouHodler is not much inferior than other platforms of this kind that are already available. They currently have an advantage thanks to the two distinctive products that they offer, but this advantage will only last until the next best thing appears on the market. Because I believe it is important to diversify my holdings, I will not concentrate all of my assets on a single trading platform. What I would do is the following:
Put in a tiny amount, perhaps just a little more than the minimal sum of $100, in order to begin accruing interest on your investment.
When the amount of interest I have gathered reaches a significant threshold for me, I will invest fifty percent of it in the MultiHODL product so that I may make educated judgments about how the market will develop.
After considering everything that may go wrong and everything that could go well, I believe that it would be beneficial to go through the KYC procedure in order to test out this platform. The amount of money that I am putting at danger is not an amount that will keep me up at night worrying about it. It would be a pleasant shock to find out that everything worked out well.
YouHodler is a cryptocurrency lending platform with headquarters in
Switzerland. It allows users to obtain loans with low rates of interest by using
their cryptocurrency holdings as collateral, which enables the customers to save
money. YouHodler is a supplier of cryptocurrency-backed lending services, and
the company was founded on the premise that it will be profitable for consumers
to HOLD their cryptocurrencies during bear markets and sell them during bull
YouHodler is an exchange that gives its members the ability to borrow fiat currency at any moment based on the worth of their crypto assets at the time. The platform has had rapid growth ever since it was first established. It has become one of the most well-known crypto-banks by providing its clients with investments in more than 50 supported currencies. These coins include BTC, UNI, ETH, BNB, and so on. Additionally, it provides investments in stablecoins like as USDC, USDT, TUSD, DAI, PAX, HUSD, and so on. In addition, YouHodler will add five cents to each quarter.
According to the evaluations provided by YouHodler, this platform was initiated in the year 2018. YouHodler provides financial services that involve converting cryptocurrencies into fiat currency and vice versa. When users deposit crypto assets, they have the opportunity to get assured financial returns; in addition, users have the ability to borrow cash against their crypto holdings. They also have the option of converting cryptocurrencies to fiat currency, exchanging them for another cryptocurrency, or using stablecoins.
Users of the YouHodler exchange have the ability to obtain cheaper fiat loans in EUR, USD, GBP, and CHF by using cryptocurrency as collateral for their loans. Users may choose from a variety of cryptocurrency investment opportunities, however the company does not provide its services in Iraq, China, Bangladesh, North Korea, or the United States.
This exchange is a member of the blockchain association as well as the financial commission in Western Switzerland, according to the review that was published on YouHodler. In addition, it acts as a venue for the resolution of any disputes that arise outside of its platform.
This platform operates as a centralized financial service, and users hail from more than one hundred and eighty nations. YouHodler offers simple and compound interest, both of which are contributed to the user's account on a weekly basis. It is possible for the user to make a greater profit if they do not want to withdraw their interest. The calculation of the additional interest takes place usually every six hours.
When you use the YouHodler platform, you won't have to deal with any hassles. The user may find out anything that they are interested in learning about the investment in cryptocurrencies and the ownership of cryptos. They will be able to maximize the value of their cryptocurrency holdings by utilizing this platform.
The YouHodler wallet is one of the straightforward and time-saving solutions that are made available by the site. Users are able to keep their cryptocurrencies in the wallet so that they may utilize them for investment purposes, and they are also able to convert their fiat or crypto assets into another form and save it in the wallet.
This website allows users to manage their assets, apply for loans, and open cryptocurrency savings accounts by utilizing the crypto-to-fiat wallet that is provided by YouHodler.
The ability of YouHodler to provide its members with loans is perhaps the most alluring aspect of the platform; this function may be analogized to hedging. It offers an entry point into the bitcoin market that is both straightforward and adaptable.
The users and consumers have the ability to borrow money through their crypto-backed credit line. They are able to get money instantaneously, and as a result, the user does not need to touch their cryptocurrency holdings. This eliminates a number of the hazards that are connected with making investing decisions.
The subsequent action is to set up an account and add additional cryptocurrency to the wallet. The user has the ability to make a loan request, and before doing so, they are required to investigate all of the possible loan terms and conditions, including loan length, extend loan duration, price down limit, and loan-to-value ratio. After selecting the loan they want to apply for and pressing the button, the application is processed and authorized almost instantly.
If the user makes their loan payments on schedule, they are eligible to receive their initial collateral back at any time. They may also manage their loans using the built-in loan calculator that is available to them.
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This particular exchange will take a variety of cryptocurrencies as collateral, and they will provide a loan-to-value ratio of up to 90 percent. They are the market leaders in the bitcoin lending field as a result of their competitive pricing, which is deemed to be competitive in this industry.
YouHodler was first conceived as a one-dimensional platform for lending or crypto loan transactions. In under two years, it has developed into a full-fledged ecosystem by providing a comprehensive crypto-fiat financial service. This evolution took place much more quickly than anticipated. Without having to actually trade the cryptocurrencies themselves, this platform makes it easier for cryptocurrency investors to capitalize on price swings in the market for such assets.
Protecting the lender's bitcoin holdings should be the first priority for any company that offers cryptocurrency loans. YouHodler provides consumers with an exclusive cryptocurrency wallet that enables users to utilize their services in a secure and efficient manner. This is in contrast to other traditional financial institutions, which are more resistant to security breaches.
The wallet service provided by YouHodler may be accessed on a mobile device by way of an app, and the company also provides a wallet that can be used to store cryptocurrencies on the site itself.
YouHodler's crypto lending solutions allow customers to borrow cash using bitcoin held as collateral assets without having to liquidate their cryptocurrency holdings. The method of obtaining crypto collateral-backed loans is one way that this can be accomplished.
Other features include MultiHODL and Turbocharge, which function in a manner analogous to that of margin trading tools in that they assist users in multiplying a certain cryptocurrency asset by utilizing fast cash loans.
YouHodler savings accounts provide their users with a high income, in addition to being a safe and secure method of earning interest through the use of stablecoins and other cryptocurrencies.
Users who are interested in using YouHodler to invest in cryptocurrencies in order to earn interest will have their earned interest sent straight to the cryptocurrency wallet they use. Additionally, YouHodler is compatible with both digital currencies and traditional currencies.
In addition to that, they provide the best market rates in a straightforward transaction that only requires one click.
When the LTV is higher, the amount of cryptocurrency that the user is required to deposit is reduced. When the loan-to-value ratio (LTV) reaches fifty percent, the customer is required to put up twice the amount of their cryptocurrency as collateral for the loan amount. The interest rate on the loan will range from 2 to 8 percent as the fee.
YouHodler's loan application process consists of the following steps:
This website gives users a number of different choices to select from when asking for their first loan, whether in traditional currency or Bitcoin. Additionally, users may utilize their various cryptocurrencies, which can be pledged as collateral in order to facilitate the processing of the initial loan. In addition, you can acquire further information by checking out some of the finest BTC lending sites below.
The very first thing that borrowers need to do is submit a request for a loan while simultaneously pledging the assets that are held in their cryptocurrency portfolio. Instantaneously, the user is credited with the agreed-upon loan amount in fiat money; the fiat currency may be denominated in euros, pounds sterling, United States dollars, bitcoins, or stablecoins. They are eligible to obtain their collateral back after the loan has been repaid, regardless of whether or not the crypto value of the collateral has grown.
The application process for loans is simplified significantly by YouHodler. There is no need for the user to wait for the completion of credit checks or the qualifying requirements for the loan. The user will have finished the first step of the procedure once they have confirmed both their account and their collateral.
YouHodler's Terms and Amounts of Their Loans
According to the YouHodler review, the customer has the option to select from a variety of loans, each of which comes with its own unique set of terms and conditions. It provides three different loan term options, including 30 days with an LTV of 90%, 60 days with an LTV of 70%, and 180 days with an LTV of 50%.
It is not the quantity of collateral that the user offers that impacts the interest rate on the loan; rather, the kind of loan that the user selects is what determines the interest rate on the loan. In addition, the interest rate is the same for each and every user, and it is reasonable to assume that as the community expands, the interest rates will continue to drop even more. YouHodler has its own affiliate network; in this way, it encourages other users to invite them through referral links while also allowing them to earn cryptocurrency for doing so.
YouHodler runs promotions on a regular basis that provide reduced rates, and occasionally even loans with no fees at all. Visit their website to stay up to date on the most recent deals.
The following is a list of the key features that YouHodler provides:
YouHodler gives its customers the opportunity to open savings accounts, which can result in high returns and provide users access to a passive income stream. This account functions in a manner that is analogous to the way in which a conventional savings account awards interest payments. The user deposits cryptocurrencies such as Bitcoin and Ethereum rather than fiat money such as the US Dollar.
When the user deposits monies into their account, they will immediately begin to accrue interest, which will be paid out to them on a weekly basis. Additionally, if customers are interested, they have the option of keeping their cryptocurrency interest in their account and earning compound interest on it.
If a user intends to keep their cryptocurrencies for the long term but suddenly finds themselves in need of cash, our platform can assist them in obtaining a loan in fiat currency by using their cryptocurrency holdings as collateral. The user will be able to have prompt access to fiat currency in this manner without having to sell any of their crypto holdings. The cryptocurrency will be returned to the user once they have paid off any outstanding loans. If the values of cryptocurrencies continue to rise, they may be certain that they will not be left behind by the bull run.
MultiHODL is the ideal option for investors who are comfortable taking on greater risk in exchange for potentially higher returns. The unique software known as MultiHODL is designed to assist users in expanding their financial holdings and maximizing the earnings that may be made from such holdings. Users of MultiHODL have the ability to save up to 80 percent of their cryptocurrency holdings in a crypto savings account that provides them with a guaranteed constant income. On the other hand, the remaining twenty percent of the assets will be reserved for high-risk speculation with a potential for great profit. investments that do not involve a greater degree of danger.
Turbocharge is one of the one-of-a-kind tools that the YouHodler team makes available to its customers. Through this tool, customers can obtain a series of loans. When the user anticipates that there will be a price increase, they may decide to purchase additional cryptocurrency in order to increase their potential gains. Users are now able to utilize their borrowed fiat money to repay their prior loan and acquire more cryptocurrencies without paying any fee thanks to the introduction of the Turbocharge function. Additionally, they are able to utilize their newly acquired cryptocurrency holdings as collateral for additional loans.
YouHodler, the Good and the Bad:
Conversions between cryptocurrencies and fiat currencies as well as crypto-crypto currencies are supported. In comparison to other exchange platforms, it does not provide the maximum possible profits for stablecoins.
A high ratio of LTV and weekly compound interest are also shown. The bare minimum required for a deposit is $100.
Platform that is subject to extensive monitoring and is secure. The returns on Bitcoin lending are not increased as a result of this.
Offers flexible loan repayment alternatives.
Users are not required to have their credit checked.
The user is able to promptly withdraw any profits.
Offers annual percentage yields (APY) of up to 12 percent for stablecoins.
YouHodler allows you to earn interest on your cryptocurrency holdings.
YouHodler provides customers with a number of useful options for making use of both their digital assets and their traditional money holdings. The user is able to deposit their cryptocurrency and earn interest on it through this method. They are able to accomplish this by moving their crypto holdings to a savings account that is validated, where they may then use a variety of cryptocurrencies.
If the user does not own the appropriate form of cryptocurrency, they will be required to convert it into fiat currency. Additionally, the customer has the opportunity to earn returns of up to 12% interest every year. Additionally, customers are eligible to receive weekly interest on the cryptocurrency that has been deposited.
The initial step is to move cryptocurrency into the wallet provided by YouHodler. This platform will take a variety of cryptocurrencies as collateral, and both deposits and withdrawals of cryptocurrencies may be made free of charge.
It just takes a few seconds for the approval of the fast cryptocurrency loans, and the user is not required to locate any peer-to-peer network in order to complete this procedure. They are able to accept fiat money such as USD, EUR, and CHF as well as stablecoins quickly.
In addition, crypto-backed loans are quite similar to secured loans offered by pawn shops. When applying for a loan through the cryptocurrency exchange, the consumer will need to provide collateral. The borrower will receive their cryptocurrency after the loan has been returned in full.
The user is always able to retrieve their cryptocurrency collateral, and they have the option of repaying the loan with stablecoins, a personal credit card, or a wire transfer from their bank account. Find the answers to your questions right here. The platform offers users access to a support center where they may get answers to questions such as how to make use of the YouHodler services or any other topic on their own.
Through the use of the savings account that the site provides, one of the simplest methods to get started generating passive money online is to do so. This platform gives users the option to choose from a variety of stablecoins as well as cryptocurrencies. In addition, the interest rates begin at three percent and go up to twelve percent, and customers have the option of receiving compound interest on their earnings.
To begin, the user is required to join up or make an account on the site, open a savings account, verify their identification, and then begin putting the cryptocurrency of their choosing into their wallet. Instantaneously, YouHodler will begin the process of calculating their interest, and they will update the profits every four hours. The users will be given their share of the profit once per week.
In addition, customers have the ability to deposit monies into their YouHodler account that total up to $100,000 worth of cryptocurrency. They have the option of opening a MultiHODL position, which will allow them to earn interest on the value of the whole amount, if they wish to earn interest on the amount that is greater than $100,000.
Wallet Software for Cryptocurrencies YouHodler YouHodler offers its users a wallet app that allows them to swap, store, and spend any of 32 cryptocurrencies as well as 8 stablecoins. In addition to that, it has staking, crypto incentives, and integrated crypto loans. Both the Google Play Store and the Apple App Store have the wallet app as a download option. Because of this, it is now much simpler for consumers to manage their cryptocurrency holdings while they are on the move.
YouHodler uses LedgerVault to protect the important cryptocurrency assets company holds. If the users have assets worth more than $10,000, they will be given the option to implement three-factor authentication. Because YouHodler is a member of the blockchain organization, it follows that users of the platform have access to an independent authority with whom they may pursue dispute settlement.
Because this platform abides by the regulations and legislation of the EU, it enjoys a legal advantage over other platforms because of its compliance with those regulations and laws. In addition, it keeps track of the transactions and prohibits illicit schemes such as the laundering of money and the funding of terrorist organizations.
YouHodler places the cash of their customers in a cold storage facility that is both offline and secure. YouHodler has formed strategic alliances with a number of respected financial institutions in Switzerland and Europe in order to ensure the security of the users' loaned cash. In addition to this, it ensures that the contract is legally enforceable and adheres to all EU guidelines and regulations.
YouHodler customers' funds are kept safe by LedgerVault, a global leader in cybersecurity, which also provides its users with an additional multi-authorization self-custody method option.
When compared to other crypto loan sites, YouHodler's customer care and support team is by far the most helpful and professional. It provides customers with a dedicated assistance area, in which they can learn about how specific products function as well as the terms and conditions that apply to loans on the site.
Customers can utilize the support part of the website to conduct research on a variety of products, such as the Turbocharge loan or the MultiHODL. Live chat and an email address, support@YouHodler.com, are both available for users to utilize to communicate with the customer service team.
To summarize, YouHodler is a genuine platform that provides holders of bitcoin with a variety of different benefits in a variety of different ways. This platform is ideally suited for cryptocurrency holders who would want to earn interest on their holdings rather than letting them sit dormant in their best crypto wallets and who are interested in doing so. According to the findings of the YouHodler study, due to the high interest rates that it charges, YouHodler is not the most suitable choice for obtaining financing for extended periods of time.
On the other hand, YouHodler is the finest option for the user who needs a short-term loan to meet their cash flow requirements if they are seeking for such a loan. It paves the way for the customers to have numerous new options available to keep their cryptocurrencies rather than selling them. If the user is in need of cash, they do not have to sell their cryptocurrency holdings; rather, they may borrow funds at a rate of interest that is far lower.
The YouHodler review indicates that the YouHodler platform is a legitimate one that provides a quicker and less complicated approach to acquire a loan. It provides the users with a single platform on which they may trade and lend their bitcoins.
Reviews found on YouHodler indicate that due to the extremely high interest rates, this platform is not the greatest option for consumers who are looking for loans over a longer period of time. However, if the consumer wants money immediately, our platform provides an easy-to-use solution for that problem. In addition, consumers located in the United States of America are unable to utilize this platform because it is not offered in that country.
YouHodler has its headquarters in Cyprus, however the majority of its business is conducted in Switzerland.
Sites like YouHodler in the UAE
Here is a list of quality Forex, CFD, Stock and Crypto Brokers for new and professional traders living in the UAE:
- Olymp Trade - People simply love this one (Olymp Trade Review)
- Binance - World's largest cryptocurrency e-wallet and exchange that also has an online trading platform, where their members can invest or trade in virtually hundreds of cryptocurrencies and new tokens. (Binance Review)
- IG Markets UAE - UK broker located at Tower 2, Level 27, Al Fattan Currency House, DIFC. (IG Markets UAE Review)
- City Index Middle East - London-city broker with a branch in the UAE. (City Index Middle East Review)
- eToro - Social trading platform, but much better options are available out there. (eToro Review)
- IQ Option - It's a below-average broker with no Dubai office, but does have a toll-free virtual number for UAE: 800 032 0891 -> No Arabic, English only. (IQ Option Review)
Reviewed by Arpita Singh
Arpita Singh is the main writer at ForexBroker.ae. As a senior investment professional with 10+ years of experience working at top-tier Private Equity and Sovereign Wealth Fund; she is also responsible for fact-checking concepts, reviews, and related details about brokers and exchanges listed on this website. Full Bio.