U.S. crypto lender Voyager Digital filed for bankruptcy in July 2022, becoming another casualty of the prolonged volatility and contagion in the cryptocurrency sector. Prior to the sector’s collapse, Voyager boomed during the COVID-19 pandemic, drawing depositors with lucrative interest rates and easy access loans rarely offered by traditional lenders.
Voyager’s Chapter 11 filing came a few days after Three Arrows Capital (3AC) defaulted on a loan provided by Voyager. Approximately $1.3 billion worth of crypto assets are held on the Voyager platform; however, Voyager only has $110 million in cash and crypto on hand. While Voyager plans to reorganize its debts and remain operational, it is imperative that alternative platforms are explored. The following article will investigate the best Voyager alternatives that allow cryptocurrency investors to earn interest on idle assets.
What is Voyager?
Voyager is a U.S.-regulated cryptocurrency broker that pays high interest rates on select cryptocurrencies. Voyager was founded in 2017 and is based in New York City. It trades on the U.S. OTC market under the ticker symbol VYGVF.
Voyager isn’t an exchange; instead, it connects with and routes orders to over a dozen exchanges where they’re executed. Users can access more than 50 tokens and coins. Moreover, Voyager supports a mobile platform.
Voyager Alternatives
Currently, Voyager plans to restructure its company to meet its obligation to customers. However, customers with assets at Voyager may not get all their assets back. Voyager is actively trying to offer tokens or other assets to pay off debts. Because of several red flags, Voyager is not recommended to readers. The following options, at the time of writing, are possible alternatives to Voyager.
Coinbase
Coinbase is one of the Internet’s largest cryptocurrency trading platforms. From Bitcoin to Litecoin or Basic Attention Token to Chainlink, Coinbase makes it exceptionally simple to buy and sell major cryptocurrency pairs.
You can even earn cryptocurrency rewards through Coinbase’s unique Coinbase Earn feature. More advanced traders will love the Coinbase Pro platform, which offers more order types and enhanced functionality.
Though Coinbase doesn’t offer the most affordable pricing or the lowest fees, its simple platform is easy enough for complete beginners to master in as little as a single trade.
Best For
- New cryptocurrency traders
- Cryptocurrency traders interested in major pairs
- Cryptocurrency traders interested in a simple platform
- Simple platform is easy to operate
- Comprehensive mobile app mirrors desktop functionality
- Coinbase Earn feature rewards you with crypto for learning about available coins
- Higher fees than competitors
Coinbase Global Inc. (NASDAQ: COIN) is a reputable, web-based crypto exchange platform that was founded in 2012 as a place to send and receive Bitcoin. The exchange allows users to buy, sell, trade and earn interest on an extensive suite of cryptocurrencies. Coinbase’s mission is to create an open financial system for the world and to be the leading global brand for helping people convert digital currency into and out of their local currency. With over 98 million users and $256 billion in assets on the platform, Coinbase is a trustworthy choice.
Compared to Voyager, Coinbase offers a wider range of cryptocurrencies, enabling users to trade over 100 different types of digital assets. Coinbase is a great choice for cryptocurrency beginners because of its straightforward interface. Coinbase also accommodates more advanced investors and traders. These users can take advantage of the additional features and order types offered through Coinbase Pro, available to any Coinbase user.
While Coinbase’s interest rates are lower than those boasted by Voyager, users have plenty of opportunities to earn cryptocurrency. Unlike Voyager, transaction fees are relatively expensive on the primary Coinbase platform. Users can earn up to 5.75% annual percentage yield (APY) on their crypto by putting it to work staking with Coinbase. You can start with as little as $1, with rewards appearing in your account periodically, depending on the asset. Lastly, Coinbase offers a unique way to earn cryptocurrency through its education platform called Coinbase Earn.
Crypto.com
Crypto.com strives to make cryptocurrency a part of everyday life by offering a full suite of services for crypto users. The company offers a Crypto.com App, Exchange, Visa Card, DeFi swap, DeFi Wallet, DeFi Earn, Crypto.com Price, staking, crypto lending, and many other services. What really sets them apart, however, is the combination of super low fees and incredibly generous rewards programs for their users.
Best For
- Traders who want access to a secure, low-cost cryptocurrency exchange
- Passive investors who want to earn interest on their balance without frequent trading
- Mobile investors who prefer to handle all their crypto needs via their phone or tablet
- Low fees
- High security
- One-stop shop for all your crypto needs (wallet, trading, spending, and more)
- Lots of ways to earn interest, rewards, and rebates
- Low privacy
- Customer service response time could be improved
Crypto.com is a popular U.S. cryptocurrency exchange that offers an extensive list of tradable assets and relatively low trading fees. Users can buy, sell, trade and earn interest on more than 250 cryptocurrencies with spot trading, futures and advanced order types. However, it is worth mentioning that Crypto.com users that only CRO currency holders can benefit from the significant discount on trading fees.
Crypto.com was founded in 2016 in Hong Kong. Today, it offers more than 250 cryptocurrencies to over 10 million customers across 90 different countries. While Crypto.com may not be as user friendly as Coinbase, it is still suitable for beginning traders, although some find the vast range of features intimidating.
Crypto.com employs a wide range of security measures, including multi-factor authentication (MFA) and whitelisting, to help keep customer accounts secure. Crypto.com uses robust compliance monitoring and stores customer deposits in cold storage to avoid hacks and losses.
Crypto.com offers interest-earning capabilities for 40+ cryptocurrencies and stablecoins. Users can earn up to 14.5% on their cryptocurrency and up to 10% for stablecoins. Rewards are generally paid weekly in the coin that you stake.
Gemini
Gemini is a cryptocurrency exchange and custodian that offers investors access to over 100 coins and tokens. Founded in the US, Gemini is expanding globally, in particular into Europe and Asia. Offerings include both major cryptocurrency projects like Bitcoin and Ethereum, and smaller altcoins like Orchid and 0x.
Gemini is 1 of the only brokers with multiple platform options based on skill level. New investors will love the streamlined interface of Gemini’s mobile and web apps, while advanced investors might appreciate all the tools that come with ActiveTrader.
In addition to a host of platform choices, Gemini users also have access to insured hot wallets to store tokens without worrying about digital asset theft. Learn more about what Gemini can do for you in our review.
Best For
- New investors looking for a simple mobile and web app
- Day traders looking to use technical analysis tools
- Users looking for a 1-stop-shop to buy, sell and store all of their cryptos
- Easy and quick signups — can get started in as little as a 5 minutes
- Multitude of platforms to accommodate traders of all skill levels
- Hot wallets include insurance to protect your from theft and hacking attempts
- Charges both a commission and a convenience fee for users buying and selling through the desktop or mobile app
Gemini is a stellar cryptocurrency exchange with industry-leading security features and a robust support center; it is a great choice for beginners and experienced traders alike. Gemini was founded in New York by the famous twin billionaires, Tyler and Cameron Winklevoss. It is regulated by the New York State Department of Financial Services (NYSDFS). The four key operational pillars of Gemini include licensing, product, security and compliance. Unlike some of its competitors, Gemini is available in all 50 U.S. states and offers digital asset insurance in the event of a hack or security breach.
Users can buy, sell and trade nearly 100 different digital assets. You can access several products and services, including the opportunity to earn interest on holdings and a cryptocurrency rewards credit card. However, to use all of Gemini’s trading features, account holders need to complete an identity verification process.
With Gemini Earn, you can receive up to 8.05% APY on your cryptocurrency. Gemini allows users to redeem and move their cryptocurrency back to their trading account (plus interest) at any time, with no minimums and no redemption or transfer fees.
Cryptocurrency Market Cycle
It is safe to say that the cryptocurrency market is in a severe bear market. Having lasted for eight months and counting, the current bear market can be attributed to a variety of factors. Experts point to concerns over tighter monetary policy, rising inflation rates and the war in Ukraine as the primary drivers for slumping prices for risk-on assets such as cryptocurrency. Moreover, the cryptomarket has been following the stock market in recent months, which makes it even more intertwined with macroeconomic factors. Nonetheless, based on previous bear markets such as the 2012 or 2018 bear markets, many crypto natives are expecting the current bear market to last until late 2022 or early 2023.
Where to Buy Cryptocurrency
Popular cryptocurrencies such as BTC and ETH can be traded on major exchanges such as Coinbase, Gemini, Crypto.com, KuCoin and Kraken. Many of these platforms allow you to purchase cryptocurrency using your credit card, through swapping features or through different trading pairs such as BTC/USDT.
Voyager Alternatives
Overall, these Voyager alternatives are great choices that you can start using today. The cryptocurrency sector offers a lot of growth and earnings potential. The number of cryptocurrency investors around the world has steadily increased, with recent growth being explosive. However, because of the high risk of cryptocurrencies and uncertainty regarding government regulation, investing in cryptocurrencies isn’t for the faint of heart. For the most up-to-date cryptocurrency prices, check out Benzinga’s table below.