Freebitco.in is an old (est. 2013) and trusted Bitcoin faucet. I’m not here to discuss their faucet, or the merits of earning 0.1 cents worth of Bitcoin an hour clicking a button (although you can do that if you really want to).
I’m here to explain how to safely earn 4.08% annual interest, paid out (& compounded) daily on all that Bitcoin you’re idly HODLing in your wallet. Hurray!
Click Here to join Freebitco.in
< 1 min superfast how-to:
- Create a Freebitco.in account
- Click ‘Earn BTC’ in the top menu and then ‘Deposit’ to get your deposit address.
- Deposit a minimum of just 30,000 Satoshis (0.0003 BTC) to your Freebitco.in BTC address and you will earn 4.08% annual interest, paid out (and compounded) daily.
- Withdraw your Bitcoin any time, to any BTC address.
- That’s it
Grow your Bitcoin balance, earn a passive income and beat the bear market, starting immediately: here.
What does 4.08% annual interest paid daily, look like?
Below is a table illustrating modest annual interest earned on Freebitco.in using 1 BTC as a simple example (though you can start with as little as 0.0003 BTC).
You are right to be skeptical.
In the Wild West of crypto — every actor should be questioned, investigated, and assessed. So…
Who are Freebitco.in?
Freebitco.in is a Bitcoin faucet and mining business with a ‘provably fair’ higher/lower dice game and lottery.
- 18.5 million registered users 👪
- Founded 2013, one of the oldest names in Crypto 🏺
- Bitcoin mining company ⛏️
- Bitcoin faucet 🚰
- Bitcoin higher/lower dice game and lottery 🎰
- Registered in the British Virgin Islands 🇻🇬
How do they make money?
Most of Freebitco.in’s income comes from their higher/lower ‘Multiply BTC’ betting game. A version of a classic casino dice game where you stake Bitcoin on whether a random number generator will generate a number above or below a certain value. The house has a 5% edge in this game and so, mathematically, eventually… they always win.
Yes they’ve distributed 173,140 BTC to their users, but they’ve made 161,000 more:
Their current setup is very financially successful. From their website:
"When you hold money in your FreeBitco.in account, we split it into 3 parts — the first part is used to cover user withdrawals, the second part is used to bankroll our MULTIPLY BTC game and the third part is used to expand our bitcoin mining operation (which is currently 9.065 Petahashes or 0.021% of the total hashpower of the bitcoin network). We make a profit and assume the full risks of our businesses and in return for you saving your money with us, we give you a risk-free fixed rate of return"
Can you trust them?
When reflecting on the great scams of crypto past, Freebitco.in is comparatively red-flag free. Personally — I have stored my BTC with Freebitco.in for around 14 months. Here are some important observations:
- ‘Instant’ Bitcoin withdrawals happen within 15 minutes of initiating them, every time.
- Interest payments are made (in BTC) into your account, automatically, every day, without fail.
- There is no lock-in for Bitcoin you hold with them.
- 4.08% per annum is actually a very modest rate of return.
- The minimum balance (0.0003 BTC) to start earning interest is very low.
- You can see transparent statistics and data across a range of their website operations.
- Their current business model is hugely successful, and independent of market swings—making around twice as much BTC in their higher/lower game as they have paid out.
The major (and obvious) caveat here — is that Freebitco.in do HODL your Bitcoin for the period it earns interest. They have the private keys, not you.
In terms of external assessments of Freebitco.in’s trustworthiness, I point to an in-depth review by Tim from educational blog ‘scambitcoin.com’ as well as numerous Bitcointalk threads on this exact topic: [1] [2] [3]. As ever — Do Your Own Research.
In their own words:
"We have been in business since 2013 and are one of the most popular bitcoin websites (check our Alexa rank here). Our users have deposited thousands of bitcoins and we have paid out tens of thousands of bitcoins over the years. We have also published proof of our mining operation above which can be used to monitor the mining payments we receive. We would recommend that you start saving small amounts first until we have earned your trust after which you can save larger amounts with us if you feel comfortable doing so."
"We have been in business since 2013 and are one of the most popular bitcoin websites (check our Alexa rank here). Our users have deposited thousands of bitcoins and we have paid out tens of thousands of bitcoins over the years. We have also published proof of our mining operation above which can be used to monitor the mining payments we receive. We would recommend that you start saving small amounts first until we have earned your trust after which you can save larger amounts with us if you feel comfortable doing so."
Further information (Freebitco.in FAQ)
Is there a lock-in period or minimum investment period before I start earning interest?
No! You start earning interest from the first day itself. There is no lock-in period, you can withdraw your bitcoins anytime you wish by using the WITHDRAW button at the top of the page.
Will the interest rate be fixed forever or can it change?
We may change the interest rate in the future if circumstances change. However, we shall communicate all rate changes at least 30 days in advance via the website and our twitter account (https://twitter.com/freebitco).
How do you store bitcoins securely?
We use a combination of hot wallets, hardware wallets (Trezor) and BIP38 encrypted paper wallets to store bitcoins. At no time do we keep more than 5% of our total bitcoins in the hot wallet which is used for making payouts. The hardware wallet is used as a “warm” wallet and bitcoins are transferred from it to the hot wallet as required. Our paper wallets serve as our “cold” storage with the wallets generated on an air-gapped computer running Tails OS. Our hardware and paper wallets are also secured against physical theft as the hardware wallet requires a pin code and encryption password to access and the private keys in the paper wallet are encrypted which means that the coins in the wallet cannot be accessed without having both the private key and the encryption password. We also keep physical copies of the cold storage wallets at multiple locations.
Comment if you have any questions!
Everything discussed in this article is for education purposes and in no way financial advice. Links to Freebitco.in included in this article are affiliate links and I will receive a small amount of BTC if you do decide to register/save with them.
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