For years, self-custody wallets focused on one core promise: keeping your crypto safe. If you held your keys, you controlled your assets. Simple. But earning yield without giving up custody was always a challenge.
Tangem has changed that.
With the introduction of Yield Mode, you can now generate passive income on your stablecoins directly from a cold wallet — no exchanges, no custodial platforms, no complicated DeFi dashboards.
It’s the first time everyday users can access on-chain yield while their assets remain secured by Tangem’s verified hardware. If you’re using or planning to buy a Tangem Wallet or Tangem Ring in New Zealand, this feature adds an entirely new layer of utility.
Visit: https://tangem.nz/ to explore the full range.
What Exactly Is Yield Mode?
Yield Mode is a native feature inside the Tangem Wallet app that lets you safely interact with decentralized finance protocols. Once enabled, your selected crypto (such as USDT, USDC, or DAI) is supplied to the Aave lending protocol.
In simple terms:
- You remain fully in control of your keys through your Tangem card.
- Your crypto is supplied to a decentralized lending pool.
- You earn yield based on real-time supply and demand.
- You can withdraw or move funds anytime.
There’s no central authority holding your assets and no lock-in periods.
Why Aave? A Look at the Yield Engine Behind Tangem
Aave is one of the most respected names in decentralized finance. Launched in 2017, it operates as an open-source, non-custodial liquidity protocol built on Ethereum.
Here’s why Tangem chose Aave as its yield partner:
- Billions in Total Value Locked and years of proven stability.
- Smart contract–driven, not human-controlled.
- Transparent and auditable, with all transactions visible on-chain.
- Highly liquid, enabling fast withdrawals even during busy market periods.
Tangem’s integration removes the technical hurdles—no need for WalletConnect, browser extensions, or navigating complex interfaces.
How Yield Mode Works (Explained Simply)
Traditionally, if you wanted to earn yield on Aave, you needed to:
- Visit the Aave app.
- Connect your wallet through WalletConnect.
- Approve tokens manually.
- Supply funds.
- Repeat the process every time you top up.
Tangem eliminates all of this.
Here’s the streamlined flow:
- Enable Yield Mode for the asset you want to earn on.
- Approve the Tangem smart contract to manage that specific token.
- Tangem automatically supplies your deposit to Aave.
- Any future top-ups of that asset are supplied automatically.
- You can withdraw or disable Yield Mode at any time.
Your private keys never leave your Tangem Wallet or Tangem Ring, keeping everything self-custodial.
Full Liquidity: Withdraw Anytime Without Penalties
One of the biggest advantages of Tangem Yield Mode is complete liquidity.
Unlike centralized platforms that lock funds, Aave’s liquidity pools allow near-instant withdrawals.
This means you can:
- Send crypto
- Receive funds
- Swap tokens
- Disable yield mode
- Withdraw your full balance
All without delay.
Everything continues to work even while your asset is generating yield.
The Security Behind Tangem’s Smart Contract
Tangem’s smart contract acts as a routing layer between your hardware wallet and Aave. It has been independently audited, ensuring:
- No one can move your assets without your permission.
- Every action is visible and verifiable on-chain.
- The contract handles yield calculations, deposits, and withdrawals securely.
You can view the contract’s source code directly for full transparency.
This is the advantage of true self-custodial DeFi: your wallet, your private keys, your control.
Understanding Fees Simply
There are two fee types:
Network Fees
These are standard blockchain fees. Tangem does not control them. They are required to execute transactions on chains like Ethereum.
Top-Up Fees
When you add funds, Tangem temporarily pays the network fee in the native token (like ETH).
The smart contract then deducts the equivalent amount in the asset you’re supplying — this is the “top-up fee.”
The app displays:
- Network fee
- Maximum fee threshold
- Minimum recommended top-up amount
This helps you avoid sending very small amounts where gas fees would eat your yield.
How to Start Earning Yield in Your Tangem Wallet
Here’s the quick setup:
- Open the Tangem Wallet app.
- Choose a supported token (USDT, USDC, DAI).
- Tap Learn More to check APY and details.
- Tap Continue and approve the terms.
- Enable Yield Mode and confirm the transaction.
- Add funds anytime — Tangem supplies them automatically.
Your earnings appear in real-time on the home screen.
Withdrawing Your Funds
When you want your assets back in your regular Tangem balance:
- Tap Disable Yield Mode
- Confirm
- Assets move back instantly
- Yield remains yours
No waiting. No lock-up. No hidden steps.
How Tangem Yield Mode Compares to Banks
| Feature | Tangem Yield Mode | Banks |
|---|---|---|
| Custody | You hold keys (self-custody) | Bank controls your funds |
| Access | 24/7, global | Limited to business hours |
| Transparency | Fully on-chain | Closed systems |
| Yield Type | DeFi lending | Centralized interest |
| Typical APY | 3–10% (variable) | Usually under 2% |
For Kiwis who prefer self-custody and want their money working for them, this is a major leap forward.
Frequently Asked Questions (Simplified)
1. What is Tangem Yield Mode?
A feature that lets you earn yield directly inside your Tangem Wallet through Aave, without giving up self-custody.
2. Do I still control my private keys?
Yes. Tangem never has access to them.
3. Can I withdraw anytime?
Absolutely. There are no lock-in periods.
4. What tokens can I earn yield on?
USDT, USDC, DAI, and other assets supported by Aave.
5. Is it safe?
Tangem’s smart contract is audited, transparent, and verifiably secure.
Conclusion
Tangem’s Yield Mode brings something rare to the crypto world: simple, self-custodial yield generation that works for both beginners and advanced DeFi users. You no longer need to navigate complex dashboards or trust centralized platforms. Everything happens inside your secure Tangem Wallet or Tangem Ring.
If you’re in New Zealand and want a hardware wallet that protects your assets and helps you grow them, explore the full Tangem range at:
You can also check partner sites for gadgets, smart tech, and secure devices:
https://annke.co.nz | https://mowrator.nz | https://ereaders.co.nz | https://mrtech.co.nz
