Celsius network primarily functions to make users earn passive income. It has been in existence since 2017 and has so many unique features that make them stand out among other similar network. In this Celsius network review, we will look at the features, pros, cons, safety, cryptocurrency available, and a general overview.
What is Celsius Network?
Celsius network is a decentralized platform designed for beginners and people looking to earn passive income from cryptocurrency. It is ideal for crypto borrowing, lending, and earning. Celsius was founded by Daniel John, Alex Mashinsky, and Nuke Goldstein in 2017 and has its headquarters in London, United Kingdom. Celsius was also designed as a cryptocurrency app that allows users to purchase 10 specific cryptos that can be converted to over 30 thousand e-currencies. The network gives a good interest in crypto collaterals and bitcoin deposits. It is always easy to get loans on the top cryptocurrencies like Bitcoin, and other popular fiat currencies such as US Dollar (USD coin).
Features of Celsius Network
Celsius Network fees overview –
Different transactions in the Celsius Network require different fees. However, a top perk of the network is that most of the transactions are free. Most fees the users pay are fees attached to the third-party services that are offered via the app.
Withdrawal fees in Celsius Network are completely free. This is in sharp contrast to what is applicable in some other networks that have a stipulated withdrawal fee.
When it comes to depositing fees, the Celsius network also doesn’t charge any deposit fees.
For early termination fees, the network also doesn’t charge for this. Some networks charge you when you want to cut down on the terms of the agreement, but it is not applicable in the Celsius network.
however, a 0.1% to 1% fee is attached to loan origination. This percentage will be taken from your loan and is charged to the lender. Lenders take the 0.5% to 1% fee as compensation for the loan they are giving you. The charge does not come from the Celsius network.
Celsius can run without charges because of the profit they make from the lending and borrowing services they perform. Also, the Celsius app allows you to buy coins using ACH transfer (via Wyre), Debit card purchase, credit card purchase, bank transfer, and SEPA transfer.
CelPay is a feature of Celsius Network that allows you to pay and get paid with Crypto. The Celpay feature allows you to send up to $2500 every 24 hours. It is an in-app payment solution where users can network with other users thereby enabling send and receive cryptocurrencies. The CelPay feature enables to send fees without attracting network fees. With the CelPay, you can send funds to anyone who has the Celsius app on their phone. If the person you wish to send does not have the app, the Celsius network will send them a link that will enable them to download the app.
CEL is the native token of the Celsius network. It runs on the Ethereum blockchain. Having the CEL token unlocks numerous Celsius benefits. CEL has numerous functions but the primary purpose is for staking, lowering interest rates on loans, and earning rewards. This sounds good but have in mind that the CEL tokens can also experience volatility like other native tokens. It is also prone to risks like having a drop in value.
The Celsius earn
This is an account in the Celsius network that enables you to earn passive rewards. The Celsius earn account enables you to earn up to 13 types of Stable coins. You can also earn over 35 types of cryptocurrencies, including BTC and ETH, and also gold tokens (PAXG).
How does the Celsius earn account work?
The method is simple, you can start earning interest in a short time, sometimes within minutes once you transfer your cryptocurrency to your Celsius wallet. Different levels o rewards depend on four factors: your selected country of origin, whether you are getting your rewards in CEL, whether you are holding your rewards in CEL, and the type of crypto asset you deposited.
However, as an accredited Investor with CEL, you can earn an extra 30% profit if you decide to receive your rewards in CEL. If you want to get the highest reward which is up to 18.63%, you MUST have SNX in your wallet, be an accredited Platinum member which entails that you own up to 20% or more in your CEL portfolio, and also earn your rewards in CEL and lock them up. In this case, your rewards will be locked for one year, meaning that you can’t transfer, swap, or withdraw the funds for one year.
Bear in mind that although you are going to earn extra profit, the CEL token like every other native token can experience volatility within that period of one year.
However, we must point out that as of April 15, 2022, the Celsius Earn Account was discontinued for new US deposits. The only exceptions to this are the accredited Investors. The coins transferred to Celsius before April 15, 2022, will keep earning rewards once they are still in the Celsius Earn Account. Other deposits made by non-accredited investors In the US after April 15, 2022, will not earn rewards, but the Non-Accredited investors can go on to swap, transfer, and borrow assets.
Security on Celsius
The Celsius Network is intentional about the security of its user’s assets. To buttress this, Celsius has over 6 security certifications. They also have ISO/IEC, 365/24/7 network monitoring, cyber intelligence, incidence response experts, and the latest cryptographic innovations. They also provided some features that will enable the users to be accountable for the security of their assets.
Some of these security features include:
- Whitelisting of crypto withdrawal addresses within the app
- Activation of HODL mode. The HODL mode is a safety feature in Celsius that blocks withdrawals once activated.
- Storage of HODL code offline
- Two-factor authentication on the mobile app
- SMS-based two-factor- authentication (like the Google Authenticator app)
Also, the Celsius network makes use of unique technologies like multi-party computation to provide asset protection and standard security.
Account Creation on Celsius
To get started on the Celsius network, you will have to create an account and also go through the KYC process. You can follow the detailed steps below to create your account.
- Open the Celsius website and click on Get started.
- Next is to input your contact details including your email and sign up.
- Verify your email.
- Log into your account and create your PIN
- Do the KYC process. For this process, you need your Social Security number and any government-issued ID like Driver’s license or passport
Pros of using Celsius network
- Celsius supports up to 40 different cryptocurrencies and stable coins. This gives you multiple options to choose from.
- The fund’s transfer system in Celsius is easy to navigate and use.
- Celsius funds loan in Stable coins and USD
- You can enjoy instant funding in Stable coins.
- Celsius does not charge fees for transactions.
Cons of Celsius network
- Celsius has an overly Centralized control. This was made evident in a statement on their site which read “We have the right to suspend, freeze or close your Celsius Account at any time for any reason without advance notice, including by blocking your access to the Account or the services”. This shows that the network is authoritarian despite claiming to be democratized.
They also stated that users may be responsible for expenses and fees that the network incurs from conflicts or disputes including internal costs and attorney fees, and they may charge or deduct such fees from users’ accounts.
- the network lacks an insurance policy to cover hacking events.
- You cannot withdraw your CEL rewards until after a year. Although this might increase your earning reward, it is still prone to market volatility
- The earn product in Celsius is unavailable for new US customers.
Cryptocurrencies available in Celsius Network
Celsius network does not have a trading exchange. Users can only make purchases for supported crypto using Wyre or Coinify.
Using WYRE, you can get the following Cryptos
- USD Coin (USDC)
- Tether (USDT)
- Dai Coin (DAI)
- Ethereum (ETH)
- Geminin Dollar (GUSD)
- Binance USD (BUSD)
- Paxos Standard (PAX)
Using COINIFY, you can get the following cryptos
- Tether (USDC)
- Bitcoin (BTC)
- USD (USDC)
- Bitcoin SV (BSV)
- Bitcoin Cash (BCH)
- Stellar Lumens (XLM)
- Ethereum (ETH)
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Is your Cryptocurrency safe with the Celsius network?
Celsius has made a great effort to secure the assets of its users by using unique technologies, and cyber intelligence, among others. While on the Celsius network, you also have a big responsibility of protecting your assets. Ensure that you activate the two-factor authentication on the mobile app, Activate HODL mode, Store your HODL code offline, whitelist your crypto withdrawal addresses, protect your email and account from SIM swap attacks, avoid unsecured and public wi-fi, use an encrypted password and always log out and end the session when you are done using the app. These few safety tips will further keep your assets safe on the Celsius network.
Celsuis review 2022
Celsius is much suitable for people looking to earn a passive income from crypto. Using the Celsius network will enable you to send and receive crypto funds directly from the Celsius wallet app. In terms of security, you can trust the network with your assets. However, have in mind that Celsius is also prone to risk just like other networks, therefore you should make proper inquiries and weigh the risks involved before participating in any of its reward programs