Aussie exchange Swyftx to offer ‘no lock-in’ yield on crypto

cointelegraph.com:

Swyftx exchange will begin offering interest-bearing yields on a wide range of cryptocurrency assets — the first Australian-operated crypto exchange to do so.

Swyftx’s new product, called Earn, will offer Australian and New Zealand residents the ability to earn interest on 21 different digital assets, including large-cap cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), Solana (SOL), Cardano (ADA) and stablecoins like Tether (USDT) and USD Coin (USDC).

Swyftx Chief Executive Officer, Ryan Parsons, said the exchange’s Earn feature was one of the most competitive in the crypto industry, as the Brisbane-based company will allow customers to withdraw their assets from Earn at any time, with no exit fees, lock-ups or minimum notice period.

Parsons added that this fee-free flexibility is the main differentiator between its Earn product and similar ones offered by larger, multinational exchanges such as Binance and Crypto.com.

Swyftx stated that the amount of yield that can be offered to lenders ultimately depends on the volatility of the underlying asset. Large-cap stablecoins such as USDC and USDT are set to bear interest rates of up to 6.7%, while mainstay crypto assets like BTC and ETH will offer up to 5.1%. Slightly more risk-on assets such as Polkadot (DOT) will offer returns of up to 12.7%, while DeFi token KAVA is set to offer up to 25.8%.

Earn will also offer yields on TrueAUD (TAUD), an Australian-dollar pegged stablecoin. Users can expect to earn up to 5.3% APY on TAUD deposits.

Swyftx clarified that the rates offered by Earn will be variable, with Swyftx providing a seven-day notice period for any changes.

Parsons said that he expects Earn to appeal to a large array of Australian investors. Currently, around 28.8%