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Freeway Lite is a rewards platform unlike any other. And because of that uniqueness, it pays interest on your crypto of up to 43% APY.
What makes it so different from the others? There are a few things. Primarily, it’s the Freeway Lite business model that sets it apart.
I’ll call it simply Freeway for the rest of this article. You’ll also see mention of Freeway Prime, which is a separate entity from Freeway Lite.
Other rewards platforms lend out your crypto to institutions and liquidity pools, paying you interest for the right to use your assets.
That’s the same business model as the banks use, but with crypto instead of fiat money, and much higher interest rates.
Freeway puts our crypto into segregated client accounts, then borrows fiat money, using our crypto as collateral.
It then uses those loan funds to trade on foreign exchange (FX) markets.
It uses mathematical formulas to examine and evaluate currency pairs such as the USD/euro, USD/GBP and euro/GBP, to determine what to invest in.
The revenue it earns from those trades is enough to pay up to 43% interest on our crypto, and still leave Freeway with income to pay its employees and enhance the entire platform.
The video below has a great explanation of what Freeway does in the FX markets.
Typical crypto rewards platforms let us deposit in 20, 40 or more different cryptocurrencies, which helps the platforms gain a wide audience while giving them more options for lending crypto.
Freeway currently offers just five cryptocurrencies, plus five fiat currencies, and gold to earn interest on. It calls each one a Supercharger.
The 10 Superchargers are:
You can earn up to 43% on BTC, ETH, USD, EURO (euro), GBP (British Pound), CAD (Canadian dollar) and AUD (Australian dollar) Supercharger purchases. And you can earn up to 21.5% on BNB, ADA, DOT and Gold purchaches.
U.S. citizens and residents have a different website, with only BTC, ETH, USD, EURO, GBP, CAD and AUD Superchargers at this time. This is due to Securities Exchange Commission regulations.
Perhaps Freeway’s biggest difference is that it’s also a regulated crypto brokerage.
This model is what allows Freeway Prime (which is the brokerage’s name) to borrow against our crypto assets and use the funds to trade on markets worldwide.
European Union regulations on brokerages ensure that Freeway Prime follows risk management best practices to ensure that our crypto assets remain safe.
Before the end of 2022, Freeway will also have a regulated brokerage set up in the U.S.
This will help it meet U.S. requirements so that it can offer a full range of crypto options to its members in the U.S.
Unlike a bank, which “owns” depositors’ money after they deposit it, and can do with it whatever it wants, a brokerage has to ensure that funds are untouched in the client’s account.
Brokerage accounts work differently than bank accounts. Banks can use client money to lend or invest for a return. The Freeway Prime Brokerage is regulated to protect and guarantee client funds, and never lends, trades, or risk deposits in any way.
Freeway interest rates start at 20% for BTC, ETH, USD and EURO, GBP, CAD and AUD Superchargers.
BNB, ADA, DOT and Gold Supercharger interest rates start at 10%.
If you agree to lock in your crypto for 30 days, you’ll receive an additional 10% on BTC, ETH, USD, EURO, GBP, CAD and AUD. You’ll receive 5% more for BNB, ADA, DOT and Gold.
You can lock it in for a shorter period, which will earn you less interest:
Given that you receive extra interest, why wouldn’t you want to lock in for 30 days?
You can sell some of your Supercharger before a notice period is over. If you do that, Freeway stops paying interest on the amount you requested (and only that amount) for the length of the notice period, then releases the crypto so you can withdraw it.
With good planning, you could, for example, request some crypto on the first of every month, knowing that on the 30th of every month, you’ll be able to withdraw it and convert it into fiat money.
If you deposited $10,000 into Freeway Superchargers, then locked it in for 30 days, you’d earn $3,000 a year in interest. At the end of the first year, you could request the earned interest every month, and never touch the $10,000 principal.
This article will help you decide whether to change your Supercharger notice period. It also walks you through the process.
If you hold at least 5% of your Supercharger totals in the Freeway Token (FWT), you’ll receive an additional 10% interest on BTC, ETH, USD, EURO, GBP, CAD and AUD. Or you’ll earn an extra 5% on BNB, ADA, DOT and Gold.
And if you sign up to receive the weekly newsletter, you’ll receive 3% more interest on BTC, ETH, USD, EURO, GBP, CAD and AUD (1.5% on BNB, ADA, DOT and Gold).
Signing up for the newsletter is part of what’s called your “platform activity score.” There will be other activities that can boost your interest rate by another 7%, to a total of 50% (or 3.5% to a total of 25% on BNB, ADA, DOT and Gold).
I always recommend that retirees on a fixed income hold stablecoins, which have little price volatility. That protects their capital while earning them more interest than banks will pay them.
Here’s a scenario to show you what’s possible if you purchase $10,000 of the Freeway USD Supercharger and buy $600 of the Freeway Token.
If you live in Europe, you could use the EURO Supercharger, or use the GBP Supercharger if you live in the U.K. If you live in Canada, use the CAD Supercharger, or the AUD Supercharger if you live in Australia.
Why only $300 per month if the interest rate is 43% per year? Because that interest rate is the annual percentage yield (APY) rate, which takes into account the daily compounding.
The annual percentage rate (APR) — the rate without compounding — is 35.785%. If you couldn’t compound the interest, your $10,000 would earn $3,578.50 by the end of the year.
As you can see, that’s less than $300 per month of interest.
But if you leave the $10,000 to compound for just 45 days before you start your monthly withdrawal requests, you’ll have enough to withdraw $300 every month and grow the principal by a small amount each month.
Each Supercharger has its own page on the Freeway web app.
This article walks you through the various parts of a Supercharger page.
Depending on which country you live in, you have one or two purchase methods available to you.
This article goes step by step through both ways to buy a Freeway Supercharger.
Check out this article on how to sell a Supercharger.
And this article covers swapping from one Supercharger (e.g., USD) to another (e.g., BTC).
As I mentioned, owning 5% or more of your total Supercharger amounts in FWT earns you an additional 10% (or 5%) interest.
It will also earn you an estimated 15 - 30% interest, paid in whichever crypto asset you want.
That makes it an excellent way to increase your exposure to appreciating assets, like Bitcoin or Ether. (I’m putting mine into my Ethereum Supercharger, since I think it has the biggest appreciation upside.)
Since my goal is to help you keep pace with inflation, I always recommend that you stick with stablecoins if you’re on a fixed income.
With Freeway, you can buy the USD, EURO, GBP, CAD or AUD Supercharger, earn high interest, and then earn some Bitcoin or Ether via your FWT tokens.
Or, using my scenario above, you can earn the interest in the USD, EURO, GBP, CAD or AUD Supercharger, letting your principal grow while you also make monthly withdrawals.
Do keep in mind that you must have at least 5% of your Supercharger total(s) in FWT.
If you continue to grow the amount in your Supercharger, eventually you’ll need to increase your FWT holdings, or you risk losing almost one-quarter of your interest.
That’s why I recommended buying $600 or more of FWT to start. It gives you some room for Supercharger growth without having to buy more tokens regularly.
Click here to learn more about the Freeway Token.
Don’t feel that you need to hold FWT tokens though. Earning 33% APY interest is more than enough to stay ahead of inflation. If you want to take advantage of monthly withdrawals, keep your principal untouched for three full months and you’ll be able to pull out the 4300 every month going forward.
Or skip the lock-in notice period as well, and withdraw your funds whenever you want. You’ll earn 23% APY on your Superchargers, which is still enough to stay ahead of inflation. If you don’t make any withdrawals for at least six months, you need never touch the principal.
You can earn more from Freeway by helping grow the Freeway Family.
Give your referral code to everyone you talk to about Freeway. They’ll earn a 2% bonus on the interest they earn, and you’ll earn an 8% bonus on that interest. The best part is that Freeway pays the bonuses. They don’t come out of anyone’s interest earnings.
They’re Freeway’s way of saying thanks for growing the family.
Click here to read more about Freeway referrals.
Of course, earning up to 43% annual interest would be pointless if your assets weren’t safe. This article discusses the Freeway security for your account.
Only you know your financial situation, so it’s up to you to choose whether to join Freeway Lite and start earning up to 43% interest, 430X what your bank is paying you.
If you’ve already retired, you’re on a fixed income, and you’re eating into your savings, it might be essential to start earning more than the inflation rate.
If you’re planning your retirement and you’re in your high earning years, earning a high interest rate may help you grow your assets enough to ensure your retirement lifestyle.
Regardless of your situation, don’t go into debt to buy Freeway Superchargers. And never put in more than you can afford to lose. No investment is ever 100% risk-free.
That includes your bank’s savings account, which is paying you less than 1% interest per year.
If Freeway Lite is the right fit for you, click the button below to join. You'll soon be earning 20% on your crypto assets, up to as much as 43%.
Disclosure: If you join using the button, you’ll receive a bonus of 2% of the interest you earn, for the next two years. Freeway will also pay me for referring you.