Interest Bearing Asset

    An interest-bearing asset is traditionally defined as any asset that earns interest for its owner. Liquid assets (primarily cash and balances, interest due from banks, trading, and available-for-sale securities), non-liquid assets (various financial assets designated at fair value, held-to-maturity investments, and gross loans), and other interest-bearing components of assets are examples of interest-bearing assets. Interest-bearing assets are quite common in the blockchain and crypto industries and can include any cryptocurrency or crypto-related financial instrument that earns interest for its holder. Interest-bearing assets are frequently used in blockchain’s evolving financial paradigm.