Uphold USD Interest Accounts Launched With Up To 5% APY

Key Points:

• Uphold USD interest accounts are introduced with interest rates up to 5% APY, integrated into its app with FDIC insurance up to $2.5 million.
• The interest is funded through Atomic Brokerage’s Cash Sweep program, where user funds are

Uphold, a crypto trading platform with 12 million monthly active users, revealed plans for U.S. dollar interest accounts offering as high as 5% APY.

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Uphold USD Interest Accounts Launched

The Uphold USD interest account, in an attempt to gain new customers and retain users longer, will let U.S. users earn interest without having to take out the funds into a separate bank account of their own. These accounts are integrated into the Uphold app and give coverage to participating funds through FDIC insurance up to $2.5 million.

In a company-run survey, almost half of its customers showed interest in the high-interest options for savings.

“Users want more ways to maximize the earning potential of their assets, whether crypto or fiat,” said Uphold’s CEO, Simon McLoughlin.

According to The Block, McLoughlin maintained that Uphold is the “first major crypto trading platform to embed a brokerage account offering interest on USD,” reducing the friction associated with main net banking withdrawals.

Atomic Brokerage Powers Interest Program with FDIC Coverage

Uphold USD interest accounts come about through a partnership with. Atomic Brokerage through its Atomic Cash Sweep program. It basically invests the money deposited by users into interest-bearing accounts at a few banks, the deposits are insured through the FDIC, and it accrues interest. For that matter, Uphold is not funding the interest payments through its balance sheet.

Those less than $1,000 earn 2% interest, and balances over $1,000 earn the 5% APY. For now, this is a U.S.-only offering, but a fairly convenient way to give your savings a bump-up while remaining on the platform.

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