Per data, credit card debt in the US accounts for $841billion in 2021-2022, which presents a grim picture of Americans who remain in debt. The pandemic period added more to their woes as many lost employments in 2020. The bills pile up each year, throwing the people into a tumultuous debt cycle. Are you finding it hard to pay the past debt on your credit card? Then, cryptocurrency might act as a great assistance. Yes, you read it right.
Recently, cryptocurrency has generated considerable hype in the market, and businesses accepting crypto in payment have further added to its popularity. Tesla, Microsoft, and PayPal accept bitcoin as a mode of payment. According to data, in 2022, almost 2.5 billion crypto-linked card transactions occurred.
Debt payments made easier with cryptocurrency
With cryptocurrency gaining acceptability from top business enterprises, it guaranteed its place among the authentic medium of exchange. Those crypto enthusiasts with extra bitcoins, Ethereum or any other currency in their digital wallets can now use them to pay their long-pay dues on credit cards. You can convert digital currencies into liquid money because credit card companies allow customers to link their bank accounts with crypto wallets. It enables you to pay for credit card debt in an instant.
Another technique one can deploy is pulling a loan out of crypto assets. If you recently earned assets from paying crypto games, it’s an excellent idea to stake them in return for a loan. Many Americans avail another loan to pay their queues of debts. However, to carry out the process, research is necessary because you need to approach a legible platform, furthermore settle your math. Remember, to gain from a crypto loan; your crypto asset holding should be five times more than the debt amount.
As you must be aware of crypto market volatility, be diligent enough to decide to stake crypto assets or take out crypto loans based on the market situation.
Settle debts with the top 3 trading apps
Some applications can help you trade, buy and even earn interest from crypto assets. Let’s take a closer look at the top three trading apps.
Gemini is one of the most popular platforms for trading, selling and storing digital currencies. It’s a legitimate site as it undergoes occasional audits by the Department of Financial Services, New York. The earn platform in Gemini allows you to earn good interest in crypto holdings.
Abra is another firm offering trading services and a great option for those looking to use crypto holdings to unburden themselves from credit card debt. The platform helps users to directly transfer bitcoin into bank accounts by linking crypto accounts with their respective banks.
eToro offers a trading app that allows users to copy the trades of other eToro traders. This technology helps users choose a trader, set their investment limit and let the app automatically execute trades when conditions are favorable. eToro also provides a Trading Academy that educates investors on cryptocurrencies, which can help boost financial confidence.
If your debt is causing you distress, you may want to consider using cryptocurrency as collateral for a loan. There is a certain amount of risk associated with taking out such a loan or earning interest from your cryptocurrency because the value of a currency can change based on its popularity at any given time. Consult an expert before making this decision.