Earn Interest with DeFi: Let Your Crypto Work While You Sleep

Goal: Move a small amount of crypto into a reputable lending / staking protocol and watch it earn ~4‑10 % APY—without giving custody to a shady exchange.

Who’s it for? New wallet owners who’ve already bought and sent crypto at least once.

Time required: 20–25 minutes (including a test deposit and safety checks).

The Problem Traditional Banks Won’t Solve

Savings accounts pay <1 % (in Indonesia often 0.5 %). Meanwhile DeFi lets savers earn more by lending directly to the market—no multi‑storey office buildings to fund. The catch? You’re your own bank, so mistakes bite hard. This guide shows a risk‑balanced, beginner‑friendly path.

Yield Options at a Glance (Pick ONE to start)

ProtocolChainTypical APY*CustodyRisk Level✅ Why We Like It🔗 Link
Aave v3Polygon (MATIC)4–7 % on USDCNon‑custodialLow‑medBlue‑chip audit, insurance optionsEarn on Aave →
Lido (stETH)Ethereum L2 (Arbitrum)3‑4 % on ETHNon‑custodialLow‑medLiquid staking—exit anytimeStake with Lido →
Binance EarnFlexiBNB Chain5‑8 % on BUSDCustodialMedDead‑simple UIStart Binance Earn →
Tokocrypto TokoEarnBSC6‑9 % on USDTCustodialMedIDR on‑ramp, Indo regulatedTry TokoEarn →

*APY changes daily—check live rates.

Starter tip: Stick to stablecoins (USDC/USDT/BUSD) or ETH on audited platforms; ignore 200 % APY memecoins.

Step‑by‑Step: Lending on Aave (Polygon) ⏱ 10 min

A) Bridge Funds to Polygon (5 min)

  1. In your exchange, withdraw USDC via Polygon (cheapest) to your wallet. (Need a bridge? Use Binance → Polygon direct, fee < $0.5.)
  2. Confirm receipt in wallet (should show 0x... address on Polygon USDC).
  3. Keep 0.1 MATIC handy for gas (≈ $0.05). Binance withdraw adds some automatically.

B) Supply to Aave (5 min)

  1. Visit app.aave.com (bookmark; phishing is rife!).
  2. Connect wallet → choose Polygon network.
  3. Locate USDC → click Supply → input small test amount (e.g., 20 USDC).
  4. Confirm in wallet (gas ≈ 0.002 MATIC).
  5. After Tx confirms (~5 s), dashboard shows aUSDC balance earning ~5 % APR.

Test‑first mantra: Always lend a coffee‑sized amount before the full stack.

C) Withdraw Interest Later

  • Click Withdraw → choose amount.
  • Interest auto‑accrues; no compounding clicks required.

Risk Management 101

🛡 Smart‑contract risk → Stick to protocols with ≥2 audits + long track record (Aave, Lido, Compound).
🔐 Custody risk (centralised platforms) → Only park what you can afford to lock up; prefer “Flexible” over “Fixed” if unsure.
📉 De‑peg risk (stablecoins) → Diversify across USDC+BUSD, avoid algorithmic stables for now.

Download our DeFi Risk Checklist (PDF) free → email capture pop‑up.

Tracking Your Earnings

  • Bookmark debank.com – shows live APY & total portfolio.
  • Use the DeFi tab in our free Google Sheet tracker (link after email signup).
  • Earnings paid in same asset (USDC in, more USDC out). No taxable event until withdrawal in most jurisdictions*.

Consult local tax advisor; Indonesia treats crypto gains as PPh 26 (0.1 % final).

Graduating Beyond Basics

  1. Auto‑Compounder: Try Beefy Finance on Polygon (tiny extra yield).
  2. Diversify chains: Supply stETH on Lido (Arbitrum) for ETH bulls.
  3. Leverage‑less Loop: Supply & borrow stablecoins on Aave to farm lending rewards (advanced—covered in Bootcamp).

Ready to master DeFi and avoid rug‑pulls?
Join the DeFi Beginner Bootcamp – IDRxxxxx . 3‑hour live, Q&A, portfolio review.
👉 Reserve My Seat →

FAQ

Q: Gas fee shows 0.3 MATIC, that’s $0.15—is that normal?
A: Under $0.50 is healthy. If > $1, try again off‑peak (UTC 02‑06).

Q: Can Aave lose my coins?
A: Smart‑contract exploits are possible but Aave has the industry’s largest bug‑bounty + safety module. Use insurance like Nexus Mutual if holding large sums.

Q: Fixed‑term vs flexible staking?
A: Fixed yields more but locks funds; beginners should choose flexible until comfortable.

Affiliate Disclosure: Links to Aave, Lido, Binance, and Tokocrypto may earn us referral fees—funds that keep education free.

Last updated: 31 July 2025