Coinbase and BlockFi are big names in the cryptocurrency space, and for good reason. I’ve been using both platforms for quite a while now, and I find they work really well together. Coinbase is what I typically use to buy and sell crypto, while BlockFi is what I use to earn interest on that crypto.
In this guide, I want to walk you through the steps of sending cryptocurrencies like Bitcoin and Ethereum from Coinbase to BlockFi, so that you can start earning interest as high as 8.6% on them!
Why Send Crypto from Coinbase to BlockFi?
Before we jump into the guide itself, you may be wondering why you would want to send cryptocurrency from Coinbase to BlockFi.
Well, the main reason is interest.
While I think Coinbase is a superb platform for buying and selling cryptocurrencies against fiat currencies like the Dollar and Euro, it doesn’t offer many good ways to earn interest on your cryptocurrency.
For example, Coinbase pays no interest on Bitcoin or Ethereum deposits, and offers a measly 0.15% per year on USD Coin.
BlockFi, on the other hand, offers fantastic interest rates of up to 8.6%, including peak rates of 5% and 4.5% on Bitcoin and Ethereum, respectively:
That’s why I typically buy my cryptocurrency on Coinbase and then send it to BlockFi to earn interest. Anyway, let’s get to brass tacks!
How to Send from Coinbase to BlockFi: Step-by-Step
- Sign up for Coinbase and BlockFi
If you haven’t already done so, the first thing you’ll want to do is create an account on both Coinbase and BlockFi. The signup process itself is pretty simple and self-explanatory. The only thing to bear in mind is that you’ll have to complete Know Your Customer (KYC) procedures for both platforms, so have some identification ready.
- Purchase cryptocurrency on Coinbase
Once you’re signed up, you’ll want to open up Coinbase and click on the blue “Buy / Sell” button at the top-right of your dashboard. Then, choose the cryptocurrency you want to purchase, like Bitcoin or Ethereum, and select the amount and payment method. For your first purchase, I recommend using a debit or credit card.
- Find your BlockFi deposit address
Next, open up BlockFi so that you can retrieve the address that you’ll deposit cryptocurrency to. Click on the “Deposit” button on the top navigation bar of your dashboard. Then, choose the cryptocurrency you just purchased on Coinbase. You’ll be your deposit address in two forms: a QR code and text. For now, we won’t worry about the QR code; instead, click the copy button next to the textual address to copy the address to your clipboard.
- Send cryptocurrency from Coinbase to BlockFi
Now you can open Coinbase back up and find the “Send / Receive” button, which is also in the top-right corner of your dashboard. After clicking this, all you’ll need to do is type in the amount of cryptocurrency you want to send to BlockFi (or click the “Send all” button) and paste the BlockFi deposit address from your clipboard into the “To” section. Press “Continue” and, on the next page, verify you have entered the correct details before clicking “Send now”.
- Check you’ve received the crypto on BlockFi
After about half an hour (depending on the cryptocurrency you sent and its network congestion), you should receive the cryptocurrency in your BlockFi account. What’s awesome is that it’ll immediately start earning interest for you!