BlockFi, a financial services firm offering wealth management products that crypto investors require via a platform powered by blockchain technology, had recently launched an over-the-counter or OTC desk for institutional or ultra-high-net-worth-individuals (those who have at least $30 million in assets).
Jason Williams, a long-time BlockFi customer and general partner at Morgan Creek Digital and founder of FastMed Urgent Care, has revealed that the company paid him $1 million in interest payments.
BREAKING: @BlockFi has paid me $1,000,000 in interest payments.
— Jason A. Williams “The Parabolic Guy” (@GoingParabolic) February 6, 2021
Williams thanked BlockFi for making him a “crypto millionaire.” He added that the BlockFi team has also sent him a special belt and that he can’t wait to see others do the same.
As covered in June 2020, Williams had revealed that he made over $200,000 in interest alone after depositing $2.5 million in Gemini USD (a “scalable” stablecoin that has 1:1 “transferability” with the US dollar) on BlockFi.
BlockFi helps digital asset investors manage their funds while earning crypto by offering interest accounts, trading, and digital currency backed loans.
Williams had noted (last year):
“I had a huge position in GUSD and I put it all in BlockFi as a test so I did that over a year ago. I took, as a test, $2.5 million in a money market in a bank and then I took $2.5 million cash and bought GUSD, and put it on BlockFi. I just held it there and the proof is in the interest…minus fees, minus [all other transaction costs,] I got $5,000 in interest from my money market. I think they were paying me 0.20%. I was getting 8.6% APY on GUSD, so I made $215,000 in GUSD cash via BlockFi.”
He also claimed:
“It’s a no brainer.”
The founding team at BlockFi (which includes Zac Prince) have confirmed that they’ve introduced “major innovations” to their line of products and services. Last year, they had launched the BlockFi mobile app, which aims to empower customers to take the BlockFi platform with them “everywhere they go.”
Additionally, BlockFi has introduced ACH and wire payments, which aim to make it easier to send funds. They’ve also added support for many different currencies, such as Litecoin (LTC), USD Coin (USDC), Tether (USDT) (USDT is “available to non-U.S. clients only”), and PAX Gold (PAXG), the first digital currency that allows users to make direct investments in gold.
“We’re not just expanding what we do for clients, either. These innovations are also helping us build new bridges with institutions. In 2020, BlockFi became the first crypto company to join Symphony, one of the top collaboration platforms for the world’s leading financial firms, introduced lending on tokenized assets to help investors become more capital efficient, and partnered with Fidelity Digital Assets to enable clients on Fidelity’s institutional-grade digital assets custody platform to pledge Bitcoin as collateral in a transaction.”
As reported in August 2020, BlockFi closed on a $50 million Series C funding round led by Morgan Creek.
BlockFi might also provide competition to Grayscale Investments which recently filed for EOS, Cardano, and Chainlink Trusts.