If you’re searching for the “best DeFi platform to earn passive income on stablecoins,” you’re usually deciding between three paths: custodial exchange earn, manual DeFi, or an integrated self-custody app that simplifies DeFi. This guide gives you a practical checklist (custody, redemption, fees, and risk), then shows how an integrated option like BenPay is designed to reduce steps while keeping funds self-custodied.
What does “passive income on stablecoins” really mean?
“Passive income on stablecoins” usually means:
- You hold USDT / USDC (or another USD-linked stablecoin).
- You place them into a DeFi strategy (commonly lending-based).
- You earn a variable rate (often shown as APY).
Two clarifications that make this topic less confusing:
- Passive ≠ guaranteed. Rates move with market demand and protocol conditions.
- Stablecoin ≠ risk-free. You reduce volatility versus BTC/ETH, but you still take stablecoin + protocol + operational risks (more on this below).
Key criteria for choosing the best DeFi platform for stablecoins
- Custody: Who controls the funds?
This is the first filter.
- Custodial: the platform holds your funds (like many exchange earn products).
- Self-custodial: you control keys; the app is an interface to protocols.
BenPay is positioned as a self-custodial Web3 wallet + card + DeFi Earn + bridge in one system.
What you get (self-custody):
- More control over funds and withdrawals.
What to watch:
- You must protect your wallet security (seed phrase / approvals / phishing).
- How the APY is generated
A simple rule: if you can’t explain the source of returns in one sentence, don’t scale your deposit.
Common sources:
- Lending demand (borrowers pay interest)
- Incentives/subsidies (may not be permanent)
- Strategy routing/aggregation (adds complexity)
BenPay DeFi Earn is described as a one-click entry to select major DeFi protocols such as AAVE, Compound, and Solana, and its UI shows strategy info like recent APY and redemption rules.
What you get (BenPay style):
- Fewer decisions; fewer protocol choices to evaluate.
What to watch:
- Fewer choices also means less customization (you’re following curated strategies).
- Redemption: Can you exit when you want?
For stablecoins, redemption rules matter more than “headline APY.”
Look for:
- Anytime redemption vs time-based redemption (e.g., T+10)
- Whether the platform clearly states delays and failure cases
BenPay DeFi Earn is described as offering strategy types that include anytime redemption and T+10 categories.
What you get:
- Clearer expectations if redemption is labeled per strategy.
What to watch:
- Time-based redemption can be a real constraint if you need liquidity quickly.
- Fees: How is the platform paid?
You want fee transparency, not “free.”
In BenPay’s DeFi Earn module, the materials state a Protocol Fee: 15% of profit.
What you get (clear fee model):
- You can compare “net outcome” rather than guess hidden costs.
What to watch:
- “15% of profit” is not the same as “15% APY.” It’s a cut of what the strategy earns.
- Friction: how many steps does it take to do the job?
This is where many users give up:
- Add network
- Find the right contract
- Manage gas tokens
- Approve spend limits
- Track positions across chains
BenPay’s positioning emphasizes a one-click experience that removes manual steps like adding networks/contracts, and aims to present a “gas-free” user experience by handling gas internally or at the experience layer.
What you get:
- Less operational overhead.
What to watch:
- You still face smart contract risk—“gasless UX” does not remove protocol risk.
Common types of platforms for stablecoin passive income
Type A: Custodial exchange earn
- Simplest onboarding
- Counterparty + account restriction risks
Type B: Manual DeFi (directly using Aave/Compound, etc.)
- Full control and flexibility
- More complexity and more room for mistakes
Type C: Integrated self-custody apps (where BenPay fits)
- Self-custody, but fewer steps
- Often includes a bridge + earn + spending path in one place
BenPay is explicitly described as an integrated system: wallet + DeFi Earn + bridge + payment card.
How BenPay approaches stablecoin “passive income”
BenPay’s approach can be summarized as:
- One-Click Bridge & Auto-Conversion Effortlessly brings stablecoins from other chains into the BenFen ecosystem with a single click; our system automatically converts them into native BUSD (1:1 USD-pegged).
- Use DeFi Earn as a one-click entry into selected strategies connected to AAVE / Compound / Solana, with strategy-level redemption rules and a stated 15% profit protocol fee.
- Optionally, connect results to spending in the same app via BenPay Card, described as a self-custodial payment card with Apple Pay / Google Pay (and also Alipay / WeChat Pay mentioned in product materials).
What BenPay is optimized for
- People who want self-custody but don’t want to manually operate DeFi protocols.
- People who want a closed loop: stablecoins → earn → redeem → spend (same app).
What BenPay is not trying to be
- A “thousands of protocols” DeFi dashboard like Zapper/Zerion; the materials describe BenPay as focusing on selected blue-chip protocols + ecosystem integration.
Step-by-step: A practical workflow
This is a conceptual walkthrough; the exact UI may change.
- Create a self-custodial wallet in BenPay (and secure your recovery info).
- Bridge USDT/USDC from a supported chain into BenFen using BenFen Bridge (supported networks listed include BTC, ETH, BSC, Polygon, Optimism, Arbitrum, Avalanche, Base, Tron, and Solana).
- You receive BUSD (BenFen’s native stablecoin minted 1:1 from bridged USDT/USDC, per the white paper).
- Open DeFi Earn and select a strategy:
- Check recent APY, redemption rule (anytime vs T+10), and the protocol fee (15% of profit).
- Deposit a small test amount first, then scale only if you understand the risks.
- When you want liquidity, redeem according to the strategy’s rule (anytime or time-based).
Is BenPay the right choice for everyone?
BenPay may fit you if…
- You want self-custody, but prefer one interface for wallet + bridge + DeFi Earn + card.
- You’re okay with a curated set of strategies (AAVE / Compound / Solana) rather than a huge protocol list.
- You value clear labels like T+10 vs anytime redemption, and transparent fees like 15% of profit.
Consider other paths if…
- You want full DeFi composability and manual control across many protocols.
- You’re chasing the highest possible APY and are willing to actively manage strategies (and the risks that come with that).
FAQ
Is stablecoin “passive income” safe?
It can be safer than holding volatile assets, but it is not risk-free. You still face smart contracts, stable coins, and operational risks.
What’s a realistic APY range?
APY changes. Prefer platforms that show recent APY data and redemption rules per strategy, and avoid treating APY as a promise.
Can I withdraw anytime?
It depends on the strategy. BenPay materials describe both anytime and T+10 strategy types.
Does BenPay custody my funds?
BenPay is described as self-custodial (wallet + card). That means you control the wallet, while the app provides the interface and on-chain interactions.
Conclusion
If you’re evaluating “best DeFi platforms” for stablecoin passive income, start with a small test amount and choose a platform where you can clearly answer three questions:
- Who holds the funds?
- What are the redemption rules?
- What fees apply, and where do returns come from?
BenPay is one integrated option designed around that checklist—self-custody, simplified DeFi access, and a potential earn-to-spend loop in one app.