How can Freeway offer up to 43% annual rewards on $BTC and $ETH?

In a report by PWC on global asset management, (AuM) predicted that assets under management will rise to $145.4 trillion by the year 2025.

But is important to note that in the report, it was said that passive investment is set to grow faster than active investing in the next four years.

Most importantly, the $100 trillion asset management industry continues to witness a surge in use from individual investors despite the low rate of return. While asset managers typically put the needs of institutional investors and high net worth individuals over and above those of low-income earners, the latter are starting to have a greater impact on markets.

How Can Freeway Pay up to 43% in Annual Rewards?

The tl;dr answer is that the entire Investment Management space is getting flipped and new, leaner shops like Freeway are able to cut out all the bullsh!t and deliver direct returns to Investors.

That’s why right now Freeway is offering annual rewards up to 43% on $BTC $ETH and up to 21.5% on Binance, Cardano, Polkadot and Gold.

Skip the line and create a Freeway account with my referral link.

However, the rise of investment in the asset management industry does not directly translate to a higher return for investors, especially when it comes to private individuals. For instance, the annual average rate of return on a brokerage account is 10%, without considering fees and inflation. The return is low when you factor in additional costs, fees, and inflation. So, how can retail investors maximize their earnings from participating in this industry?

AuBit is continually gaining momentum as the first regulated asset brokerage with one of the highest yields by industry standards. At no additional cost, an investor in AuBit freeway can earn a minimum of 8% and a maximum of 12% APY on cryptocurrency and up to 16% on fiat deposits. AuBit’s mission of making investment accessible for all is to ensure that both high net worth individuals and low-capital investors enjoy high yields.

What is APY on a Crypto Savings Account?

Many Crypto savings accounts boast a high rate of return to persuade investors. While some savings accounts specifically mention APY, others, through intentional omission, do not. Before you invest in a crypto savings account, APY is one of the important concepts you must understand because it will tell you how much your money will have accumulated after a specified period.

APY means Annual Percentage Yield. The Annual percentage yield is a way of calculating how your savings have appreciated in a year. APY is also known as Effective Annual Rate (EAR), the real interest rate paid on savings or investment. When tracking the rate of return accumulated on investment using APY, compound and not simple interest must be considered. There is an addition to both the principal and the interest using compound interest. Therefore, compound interest increases the rate of return on investment more rapidly than simple interest.

Understanding how APY works in crypto savings account include the knowledge of compound interest. Apart from your term of investment or savings, the compounding period also matters. For instance, a crypto interest account with a 5% return compounded daily is different from crypto savings account with a 5% return compounded monthly.

The formula for calculating APY is thus;

APY= P (1+r/n) n -1

Where P is the principal, r is the rate, and n is the number of periods the interest is compounded.

Hence, if you invest $10,000 in crypto savings account with an 8% APY for one year, you will get $10,832.78 if your savings are compounded daily. Using this example, if your investment is compounded monthly, your balance plus principal will be $10,830.00 at the end of the year. You will realize 8.33% APY from crypto savings account with daily compounding interest, whereas a savings account with monthly compounding interest will offer 8.30%. Therefore, a crypto savings account that has a more frequent compounding interest will accumulate more interest.

How Is APY Different From APR?

As mentioned above, a crypto interest account offering APY uses compounding interest while APR uses simple interest. The annual percentage rate or APR is the percentage of interest paid on a loan or received from savings in a year. The APR uses the simple interest to calculate the value to be paid after a given period in addition to the principal. Although APR is calculated without considering the effect of compounding interest, it factors in processing fees. So, it is better to know the actual amount that will accrue on borrowing as interest, including any added fee from the crypto lending network, because APR does not completely capture the percentage of interest on the principal.

There are two types of APR viz; fixed and variable APR. In a fixed APR, the interest rate on a loan does not change throughout the repayment period. On the other hand, the lender can change the interest rate in a variable APR. As lenders are only mandated to disclose 51% of the interest they charge on a loan, it is important to thoroughly know the total amount you will be paying at the end of the loan term before signing up on any borrowing.

In cryptocurrency, crypto lending platforms tout APR rather than APY. Not only that, depositing funds in DeFi platforms accrues APR and not APY. However, you can get compound interest by manually withdrawing interest accrued on savings and re-investing back into your savings account daily. The main difference between APR and APY is that investors use compound interest to arrive at APY, but not APR. Also, APR includes additional costs that are added at the discretion of the borrower.

Simple is calculated using; P x R x T/100.

In the formula above, P represents the principal, R is the rate, and T is the time or duration of the loan or investment as the case may be.

For example, if you borrow $10,000 from a crypto lending account with an 8% APR for one year, using the formula above, you will pay $10,800 at the end of your loan period. However, if you save funds in a DeFi savings account, you can earn more by taking the monthly interest of $66 and re-investing with the principal.

What is AuBit?

AuBit is an asset management company with the mission to give back 80% of the total return to investors. AuBit combines the seamlessness of blockchain technology with traditional finance to ensure that investors realize a huge profit from their investment. AuBit seeks to democratize the asset management industry by increasing the total earnings accrued by individuals and institutional investors. Established in 2017, AuBit, in partnership with AuBit Prime, can provide services to citizens of over 180 countries. The asset brokerage firm is revolutionizing investment by making high returns accessible to all. Through this, investors with low capital can invest with as little as $1 and build wealth without additional risk or irrelevant charges that cripple investment.

To ensure better inclusion for all, AuBit combines both the traditional assets classes and cryptocurrencies. You can invest in virtual Gold, stocks, Eurobonds, and fiat currencies like the USD, Pounds, and Euros. Retail and institutional investors can also venture into cryptocurrency with crypto assets like Bitcoin and Ethereum and pegged stablecoins like USDT and USDC. The network accepted 16 cryptocurrencies as listed below;

AuBit is built on the two-pronged missions of investment accessibility for all, irrespective of where you live or what you earn, and greater returns with no additional risks. Through network effect, investors can deposit their fiat currency and get part of the 80% given back by the platform in a system is known as AuBitization. Unlike other brokerage firms with little return and high transaction fees, which eventually accumulate, leaving no interest for retail investors with low capital, AuBit only deducts entry, exit, and conversion fees from investors. The one-time entry fee is 0.44%, the exit fee is 2.56%, and the conversion fee is 1%. If you invest in a different currency from the currency you deposited into your account; you will be charged a 1% conversion fee. For example, if you buy AuBitized Ethereum with AuBitized USD, a 1% conversion fee will be deducted from your account. Furthermore, when others invest in a product you are holding, you get a percentage of the 80% AuBit redistributes to members of the same product.

Although users can earn rewards by making and enjoying Redistribution rewards, AuBit further offers a chance to maximize returns through its Freeway Token. The Freeway Token is the network’s native utility token that investors can utilize to maximize return on investment. Investors can stake the AuBit Freeway token for 12 months and earn up to 43% compound interest on their investment by staking 25% of their total asset portfolio in Freeway token on the Freeway Lite Platform. Staking AuBitized supercharger product has its benefit, and you can earn daily interest, but it is not compulsory because you can also get up to 12% APY without staking.

AuBit is a platform with many firsts and unique features that set it apart from other brokerage firms.

• AuBit is the first to bring the network effect into finance
• The asset management ecosystem is the first asset brokerage firm
• AuBit blends cryptocurrency with traditional asset classes
• The network leverages blockchain technology to automate trade, transaction, and revenue redistribution
• Paving access to users in several countries that would otherwise not have access to certain forms of investment
• Even though it offers investors high-interest rates by industry-standard, AuBit securely keeps funds safe.

Is AuBit Regulated?

The short answer is YES. AuBit is the first regulated asset brokerage firm. In furtherance to this, AuBit Prime is a part of AuBit Prime brokerage, which Ardu Prime operates. Ardu Prime is a fully regulated brokerage and authorized investment firm with licenses to secure investors’ funds while generating returns. Ardu Prime is regulated by Hellenic Capital Market Commission (HCMC) in Greece. Not only that, Ardu Prime is authorized by the FCA to provide services in the United Kingdom. In the Federal Republic of Germany, Ardu Prime is authorized by the BaFin to provide financial services. AuBit Prime brokerage does not lend out users’ funds or trade them but keeps them tightly secured in a vault as a brokerage firm. However, this does not diminish the rewards that are accrued to investors on their investment.

How can AuBit afford to pay 8-12% APY on cryptocurrencies?

Even though AuBit keeps investors’ funds under lock and key, investors are guaranteed between 8 and 12% APY on any AuBit network’s cryptocurrencies, excluding stablecoin, without buying any supercharger product. On the AuBit network, investors are divided into three different tiers based on the number of Freeway tokens staked. Investors who own any of the cryptocurrencies available on the platform but staked zero Freeway Token are Bronze members, and they can earn 8%. Silver members with 20,000 Freeway Token staked enjoy 10% APY, while Gold members with 100,000 FWT staked will receive 12% APY.

Deposit rewards on cryptocurrency are paid daily, and the reward compound as long as the network continues to grow. The platform operates on the philosophy of social financing to ensure that everyone benefits from the realized revenue to build wealth through the network effect. AuBit can share revenue generated on the 80/20 formula (with the investors owning 80% and the network taking 20%) due to its adoption of the AuBit edge protocol. To reduce the cost of network maintenance, AuBit Edge Protocol, built using Blockchain Technology, automates all trades, transactions, and revenue distribution.

How Can AuBit afford 12-16% APY on fiat?

According to the AuBit co-CEO, Sadie Hutton, when you buy fiat currency on AuBit, it is exchanged at a 1:1 exchange rate. However, due to redistribution reward, your asset would have grown in value and volume no matter how fast you want to withdraw your money. Therefore, as other people are trading the same asset you subscribe to, you enjoy the redistribution reward even if you do not stake FWT. Like cryptocurrency, fiat interest is also tiered into Bronze, Silver, and Gold depending on the amount of FWT staked by an investor.

Conclusion

Skip the line and create a Freeway account with my referral link.

Through the effect of compounding, AuBit offers access to fiat and crypto deposit reward accessible to everyone regardless of their income level or where they live. Investors can enjoy the network effect on their investments that are securely kept with AuBit Prime. While staking your FWT can offer you so much reward, you can still earn rewards by merely holding your asset in the first fully regulated asset brokerage firm if you are testing the waters.