Could A Wallet-Native Yield Make Stablecoins Stickier Than Bitcoin Or Ethereum?

A new crypto wallet product, Stablecoin Earn Plus, powered by an Aave AAVE/USD integration, offers a 10% annual percentage yield (APY) on USDC USDC/USD.

The initiative presents an alternative to holding volatile assets like Bitcoin BTC/USD or Ethereum ETH/USD.

According to Jamie Elkaleh, CMO of Bitget Wallet, the product allows users to generate income from their stablecoin holdings.

This addresses a challenge for investors who want to use their crypto assets without daily market speculation.

The yield on a stablecoin like USDC provides a new option for users.

Instead of relying on price appreciation, investors can earn a return with instant liquidity and no lock-up periods.

The product makes a decentralized finance (DeFi) yield opportunity available within a wallet interface.

The product routes user funds into Aave’s lending pools on the Base network.

Bitget Wallet supplements the interest earned to ensure a 10% APY for deposits up to $10,000.

The structure is designed as a long-term service.

Trending Crypto Products

Earn Up to 3% Back in Bitcoin and Crypto on Every Purchase You Make

Invest Your IRA or 401(k) in Real Estate, Crypto, and More with IRA Financial.

Also Read: Warren Paul Anderson: Token Buy-And-Burn Mechanisms Could Damp Volatility Spillovers Into Bitcoin, Ethereum

While some capital rotation from BTC and ETH is possible as investors seek higher yields, the product’s per-user cap and retail focus limit its market impact.

The price of major cryptocurrencies remains tied to broader trends and adoption milestones, such as ETF flows and network upgrades.

Elkaleh noted this initiative could increase demand for USDC, potentially pushing up aggregate DeFi borrowing rates and channeling more liquidity into lending protocols.

Compared to traditional financial products, the 10% APY on USDC offers an alternative for global users who lack easy access to fixed-income instruments.

Bitget Wallet has integrated with Aave, and all user transactions are verifiable on the blockchain.

The company maintains a User Protection Fund backed by 6,500 BTC to provide security.

The Stablecoin Earn Plus product is currently available on the Base network, with plans for expansion to other stablecoins, protocols, and blockchains.

Read Next: