Webull vs BlockFi: Which is Better for Crypto Trading?

It’s impossible to scroll through social media without someone promoting crypto trading. This new form of currency is quickly becoming one of the most popular investment opportunities for those looking to build their financial wealth through investing. Alongside traditional stocks and options, more people than ever are choosing to get involved in crypto trading.

While crypto trading is booming, there is a limited number of platforms that truly allow you to utilize its investing potential. Webull and BlockFi are amongst the most popular online broker platforms for crypto trading.

This in-depth guide compares the two platforms to help you decide which one will be better for your crypto trading to give you maximum return on your investment.

What is Webull?

Webull is a commission-free online broker platform that offers crypto trading and is widely popular due to its no minimum balance requirement. With Webull, you have access to traditional and Roth IRA accounts, alongside taxable accounts to trade stocks and options. However, if you’re interested in a margin account, you’ll need to have a minimum balance of $2,000 due to industry regulations.

Through Webull, you’ll be able to trade over 6,000 different EFTs and stocks at a competitive margin rate, along with 11 different types of cryptocurrencies. The popularity of Webull comes from its ability to put you in control of your stocks and options trading, including your crypto trading. Webull is an ideal platform to choose if you’re interested in investing in cryptocurrency alongside other financial instruments, such as stocks and options.

Webull does not charge a commission fee for any trades, including options trading. However, you will occur a fee when using domestic and international wire transfers for deposits and withdrawals. You can also expect to be charged interest if you’re using a margin account through Webull.

Want to find out more about Webull and what makes the platform so popular? We have an in-depth review on Webull that you can check out here.

Webull Crypto Trading

Like almost all online broker platforms, Webull supports market orders and limit orders for crypto trading. The platform does not have a minimum equity requirement. You can access crypto trading 24/7 through Webull with 11 cryptocurrencies to invest in, including Dash, Bitcoin, and Ethereum Classic.

Unlike some platforms, Webull also allows you to purchase fractional quantity in cryptocurrencies. You can also take advantage of the option to pay in cryptocurrency or USD when making your deposits on Webull. You can buy and sell cryptocurrencies at a minimum of $1 on Webull’s trading platform.

What is BlockFi?

BlockFi is one of the innovators within the online cryptocurrency investment space. While the platform is young, it’s gained a loyal following since its launch. Their major selling points include their affordable loan interest rates, easy-to-navigate platform and their Gemini security for ultimate peace of mind.

What makes BlockFi one of the best platforms for crypto trading is that it is backed up by several leading investment firms. Their team of investors include Akuna Capital, Arrington XPR Capital, Avon Ventures, Coinbase Ventures, Castle Island Ventures, and ConsenSys.

BlockFi’s Products and Crypto trading

What makes BlockFi unique – and better for some crypto traders than Webull – is its unique product range. The most popular product that BlockFi offers is their Interest Account that allows you to gain interest on your deposited funds. You can earn various incentives for your account depending on the amount and type of cryptocurrency that you’ve deposited into your account.

The other most popular product offered by BlockFi is their traditional Trading Account. This allows you to transform BlockFi into a trading platform to buy and sell crypto currencies.

One of the most unique products that BlockFi offers is their crypto-backed loans. This product works by allowing you to take out a loan based in US dollars by providing BlockFi with virtual currencies that are held in your online wallet as collateral against the loan.

Another advantage that BlockFi offers its customers over Webull is its Bitcoin rewards credit card that allows for worldwide card-based purchases. The so-called ‘BlockFi Bitcoin Rewards Credit Card’ allows you to get 1.5% back in BTC for every transaction as a reward.

BlockFi also offers a corporate product for institutional clients to take advantage of. Their ‘BlockFi Global Digital Markets’ product allows users to access USD-backed loans in order to facilitate market-making and hedging, along with allowing them to borrow virtual assets. As a corporate client, BlockFi will provide you with negotiated terms that are tailored to fit your specific needs.

Another corporate product offered by BlockFi is their ‘OTC Desk’ that acts as a bridge between the cryptocurrency industry and corporations looking to migrate over from conventional financial services to crypto trading.

Webull vs BlockFi: Best Yields

If you’re buying cryptocurrency as a long-term investment, you want to consider what account will give you the best yields. With Webull, any money on your account – including cryptocurrencies – that are not invested will sit dormant. With interest rates sitting as low as 0.01%, Webull is a platform to utilize if you want to be actively trading and buying cryptocurrency for the best return on your investment.

Unlike Webull, you can gain interest – although nominal – on any deposited funds held in your BlockFi Interest Account. The interests and other incentives that you earn will depend on the specific cryptocurrency you deposit and the amount.

Webull vs BlockFi: Fees

One thing that’s often overlooked when comparing different online cryptocurrency trading platforms is the fees or charges involved. While these potential charges might seem small, they can quickly start to add up if you find that you’re being charged these fees on a regular basis.

Webull operates as a zero-commission online broker platform, including $0 on cryptocurrency transactions. The company makes their revenue through account interest, margin rates, order flow, and transfer fees.

You’ll primarily come across a charge if you’re looking to make a deposit by a wire transfer. There’s a $8 fee for domestic clients and $25 withdrawal fee through a wire transfer. For international clients, this is $14 for a deposit fee and $45 for a withdrawal.

If you’re planning on opening a margin account on Webull, you’ll need to make a minimum initial deposit of $2,000 to qualify for this account time.

Webull vs BlockFi Referral Programs

Now that you know about Webull and BlockFi’s crypto trading, it’s worth looking at how their referral programs can help you maximize the potential of your portfolio.

With Webull, you’ll receive 5 free stocks valued up t0 9,600 when you sign up to Webull using a unique referral link. Webull’s referral program changes from time to time and you may check the recent updates in our Webull referral program article. 

Webull’s referral program is the ideal way to maximize the value of your portfolio if you’re interested in investing in stocks as well as crypto currencies. For more information about Webull’s referral program, visit our in-depth guide here.

BlockFi offers two referral programs – BlockFi Partner and BlockFi Refer-A-Friend. The ‘partner’ program is relatively unique within the cryptocurrency investment space and is an ideal way to boost and grow your cryptocurrency portfolio. This in-depth program allows users to engage directly with their peers. You’ll have to be vetted and approved by BlockFi before being admitted into the partner program, which allows you to get rewards when you introduce your audience to financial tools.

When you’re accepted into the BlockFi Partner program, you’ll get access to exclusive marketing materials, helping tracking tools, exclusive offers, and trading support. This program is unique as it rewards its members with 0.5% of all deposits made by their referrals into their interest-earning accounts during the first month of their time on BlockFi.

If that sounds too complex, you can use BlockFi’s traditional ‘Refer-a-Friend’ program to earn additional credit on the platform. This referral program is one that you’ll be familiar with, operating similarly to Webull’s. Existing users can invite their friends to the platform, allowing both of them to earn $40 in BTC. It’s worth noting that the new user will need to deposit at least $100 into their BlockFi Interest Account for you to receive your referral credit.

Webull vs BlockFi: Which is Better for Cryptocurrency Trading?

Webull is a great platform to use as a beginner with its easy-to-navigate website and app. As the platform doesn’t require a minimum investment, you can usually get started with your investing within minutes. Webull’s limited withdrawal options and smaller number of financial instruments means it may not suit your specific investing needs.

If you’re focusing solely on crypto trading, you’ll likely want to choose BlockFi. It’s the sole focus on the platform and allows you to take advantage of their other products, including their crypto-backed loans and rewards credit card.

BlockFi’s exciting range of products means that it’s ideal for all sorts of crypto currency traders from beginners to corporations looking to bridge the gap from traditional financial instruments. If you’re an institution, BlockFi is the clear winner as the better cryptocurrency trading platform for you.

You can find out more about Webull and BlockFi by reading our in-depth comparison between these cryptocurrency platforms and their direct competitors.