By Modupe Gbadeyanka
A new savings initiative aimed to boost wealth preservation among Nigerians in the midst of a challenging economy has been introduced by Paxful.
The leading global peer-to-peer fintech platform said the new solution is called Paxful Earn and will launch first in Nigeria before being introduced in a handful of other countries in the following months.
A statement from the organisation said Paxful Earn was designed and made possible through the assistance of Celsius, the global industry-leading cryptocurrency yield-earning platform.
With the initiative, Paxful users in Nigeria can now accrue yield on the Bitcoin (BTC) within their digital accounts. The company said it expects to add Ethereum (ETH) and Tether (USDT) to Paxful Earn down the line.
“It’s our bread and butter to build products that support the users who are driving mass crypto adoption. We are incredibly proud to bring this to our Nigerian users as we continue to support them on their journey to financial freedom.
“The Nigerian people have entrepreneurship in their DNA and I cannot wait to see how Paxful Earn enables even more wealth and opportunity for the country,” the CEO and co-founder of Paxful, Mr Ray Youssef, said.
Also, the COO and co-founder of Paxful, Mr Artur Schaback, while commenting on the new initiative, stated that, “Through Paxful Earn, we’re using Bitcoin as a means of wealth creation and preservation, something that is massively needed in emerging markets.
“At its core, Bitcoin was created for the masses, and we’re thrilled to offer a savings solution that delivers on that promise.”
The CEO of Celsius Network, Mr Alex Mashinsky, on his part, stated that, “It’s great to see DeFi partners like Paxful advancing the Celsius mission of making blockchain-based finance more accessible by expanding to emerging markets and continuing to make a positive impact on people’s lives in even more places across the globe.”
Business Post learned that Paxful Earn enables the company’s over 1.5 million Nigerian users to open an account where they can earn a yield on Bitcoin funds.
Once users opt-in, they will see a new tab within their Paxful Wallet page and can then specify which funds they want to earn savings on, which would then be transferred to an Earn Wallet so they can accrue yield. Users remaining funds will be available for usage on the Paxful platform.
Currently, Paxful Earn offers annual yields of 3.51 per cent on Bitcoin – but this number has the potential to change based on market conditions.
The accrual period starts every Friday at 05:00 UTC and it will be based on the participating user’s Earn Wallet balance. The accrual period ends every Friday at 04:59 UTC. Participating Paxful users will automatically receive their payout every Tuesday.
Founded in 2015 and completely bootstrapped since then, Paxful is headquartered in New York with offices in Estonia, the Philippines and Russia. The team has doubled in size over the last 12 months, growing to over 400 people.
