Bybit USDC Flexible Savings is the Flexible Term tier of Bybit Earn's Easy Earn product, an on-demand custodial earn account on the Bybit exchange. Deposited USDC is lent to Bybit and deployed in its own lending book, paying 4.36% on the first 200 USDC and 1.36% above it. Redemption is instant, with no lock-up or fee.
CC
High RiskPotential BB+
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CurrentPotential
This rating is based solely on publicly available information. Custodial platform risk assessed across Security, Strategy and Operations on the AAA–D scale. The range from CC to BB+ reflects the gap between the current assessment and the potential rating achievable if all identified improvement areas are addressed.
OTROperator Track Record49
TVTransparency & Verifiability39
RLSRegulatory & Legal Standing19
YSYield & Strategy59
LTLiquidity & Terms70
Market Details
FeeNo subscription or redemption fee; management fee embedded in the displayed APR, quantum undisclosed
CustodianSelf-custody (no third-party custodian named)
InsuranceNo (the ~$1.077bn Insurance Fund is futures-liquidation only and does not cover Earn or spot)
Founded Since2018
Strategy TypeLending
Proof Of ReservesYes (monthly Merkle-tree PoR attested by Hacken OU; liabilities in scope, ~350–450 addresses published, self-serve per-user verification; limitations statement only in the attestor's report, not on Bybit's own PoR page; 50 assets in scope)
Supported AssetsUSDC
Regulatory LicensesContracting entity Bybit Technology Limited (Seychelles, reg. 226958) — unlicensed; group licences held by other entities: MiCA CASP (Bybit EU GmbH, Austria FMA, 28 May 2025, passported to 29 EEA states), UAE SCA/CMA Virtual Asset Platform Operator (Bybit Virtual Asset Platform Operator LLC, 9 Oct 2025), AFSA Kazakhstan (AFSA-A-LA-2024-0027), Türkiye CMB, India FIU-IND, Indonesia OJK; no Dubai VARA licence; not offered in the US, Canada, Singapore, Hong Kong or mainland China
Stated Withdrawal TimeInstant
Component Ratings
SecurityCC39
StrategyCCC63
OperationsC37
Key Strengths
S1Eight years of continuously verifiable operation at genuine scale — incorporated 22 August 2018, $16.006bn of tracked assets, more than 65,000,000 liability holders in the audited proof of reserves (DefiLlama)
S2The strongest demonstrated stress record of any rated custodial provider — through the largest exchange hack on record withdrawals were never paused, clearing 99.994% of more than 350,000 requests within ten hours (Bybit security incident timeline)
S3Recurring, published independent assurance over reserves — a monthly Hacken OU engagement since June 2024, each report retrievable in full at a stable URL (Hacken case study)
S4A proof of reserves that actually proves liabilities — a Merkle liability tree across every client balance above zero, with an MIT-licensed self-serve validator whose exact commit hash the attestor pins in each report (bybit-exchange/merkle-proof)
S5A yield that is economically conservative — 1.36% attainable against roughly 3.3% market for USDC lending, with no leverage, no own-token dependency and no algorithmic-stablecoin exposure (Aave v3 Ethereum USDC)
Key Risks
R1The contracting counterparty is an unlicensed offshore company with no capital floor — a Seychelles IBC with no financial-services licence, no identified AML supervisor and no parent recorded; the group's real licences sit in entities that do not offer this product (GLEIF LEI record)
R2The terms transfer title to the assets — the risk disclosure states the user "temporarily loses legal ownership rights to the assets lent", the user is contractually defined as the Lender, and no trust, bailee or insolvency-segregation clause exists in the global terms (Risk Disclosure)
R3Unlimited contractual re-use with no like-amount obligation — the earn terms grant an irrevocable authority to deal with subscribed assets "in any way it deems fit", with no cap, no collateralisation requirement and no retention covenant (Easy Earn Terms and Conditions v2.0)
R4No loss backstop of any kind reaches Earn or spot balances — there is no SAFU equivalent, the insurance fund is a futures-liquidation mechanism by its own definition, and the platform terms state account assets are not insured (Insurance Fund definition)
R5No named custodian and no verified custody certification — self-custody described only in marketing terms, no MPC vendor named, no signing threshold disclosed, and contradictory public statements on the cold-storage share (User protection page)
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