BlockFi Drops Minimum and Fees on Interest Bearing Crypto Accounts

BlockFi has done away with minimum deposits for its BlockFi Interest Account (BIA).

Under its new rules, anyone can deposit bitcoin, ethereum, or the gemini dollar and allegedly get up to a 6.2 percent annual return.

BlockFi told CoinDesk on Friday that while the price of bitcoin and other cryptocurrencies has risen substantially since BIA's launch in March, it dropped its minimum deposit requirement because of consumer demand. BlockFi previously mandated a 0.5 BTC, 25 ETH, or 2,500 GUSD minimum on deposits before the rule change.

Early withdrawal penalties have also been lifted on the BIA product and users can receive up to one free withdrawal per month.

“This update to our terms will make our products more widely accessible - which is a key theme of the crypto sector and part of our mission at BlockFi,” CEO and Founder Zac Prince said in a statement.

The company is eyeing an imminent Latin America market push which complements a launch in India earlier this year.

"By making BIA open to all, we plan to target clients in Latin America, where banking services and credit reporting are limited. BlockFi's platform leverages blockchain rails to make wealth management products available on a much broader scale,” said Co-Founder and VP of Operations Flori Marquez in a statement.

"US-grade financial products have typically only been available to high net worth individuals in countries like Argentina and Costa Rica," he added.

The product launch comes a month after the closing of an $18.3 million Series A round led by Valar Ventures. At the time, BlockFi said the funds would go toward launching additional products like BIA.

BlockFi CEO Zac Prince image via CoinDesk archives