Yotta Bank Review (2022) - Why I Stopped Using Yotta Bank
Yotta Bank, also known as Graham Stefan's Bank, is an online banking and savings app that gained popularity among finance YouTubers over a year ago. The app allows users to receive tickets for their savings, and numbers are picked on Sunday evenings with the final number being picked on Sunday evenings. The more matches users have with their tickets, the bigger the cash reward they will receive. Customers can win as little as a nickel and up to $10 million dollars.
While the app is great for helping people save money and making it more fun, it may not be the best option for maximizing the return on your money. The first reason for this is that Yotta Bank reduced its APY savings rate for the crypto bucket from 4% to 2%, which is lower than the average high yield savings account. The second reason is that the way Yotta Bank pays its 2% apy rate is through investment in stablecoins, which come with a lot of uncertainties and are not FDIC insured. Additionally, stablecoins are not held in cold storage and are more susceptible to being hacked.
Instead of using Yotta Bank, people should put their money in US Treasury ibonds, which are currently paying nearly 10%, or a high yield savings account. Capital One and Ally Bank are recommended because they offer a higher apy and are safer and more established than yada Bank. Overall, while Yotta Bank may be fun, it may not be the best option for maximizing the return on your money.
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