On Monday, Apple introduced its Apple Card savings account, which offers customers an annual percentage rate of 4.15%. Apple has stated that there is no requirement for a minimum deposit or balance, and customers can set up an account directly by using the Wallet software pre-installed on their iPhones. Now, whether this poses a threat to DeFi’s high-yield protocol, let’s find out.

Apple has released this new savings alternative to the public in collaboration with Goldman Sachs. The 154-year-0ld financial institution is theoretically in charge of managing savings accounts, and therefore all balances are covered by the Federal Deposit Insurance Corporation (FDIC).

Customers who use their Apple Cards can take advantage of this newly launched high-yield savings account. Apart from that, when Apple Card users pay for their purchases, they are eligible for certain cashback on those transactions. Users earn 1% cash back on every transaction, and 2% cash back on every purchase made with Apple Pay by default. However, obtaining 3% back in rewards requires making purchases with certain retailers.

(By Pratik Bhuyan)