CEXs Introducing Wealth Management Features & Why Coinchange Is Especially Important Now

More and more CEXs are introducing Wealth Management features for earning passive income.

Bybit offers wealth management, and so does Gate.io, along with BitGet. Moreover, Coinbase showed off its yield generation this year of up to 4-8% APY, and even Binance has a Wealth page now. This clearly points to this becoming more of a necessity as so many larger platforms are including it - so smaller and medium-sized exchanges would need to keep up.

Despite this, Coinchange provides stable and reliable yields around 8-10% APY through a multi-strategy, multi-management approach.

In this blog, we will break down the recent trends in passive income generation such as wealth management.

What is Wealth Management?

Wealth management is a service that helps increase one’s investments by holding them and growing them through a variety of methods. For cryptocurrency, it can work by generating yields passively. It includes using different DeFi protocols, stake systems, and yield farming techniques to make money from digital assets without doing anything. Crypto wealth management systems help users find their way around the complicated world of blockchain-based financial goods. They do this while reducing risk through diversity and professional control.

Earn, Yield, Wealth Management - What’s the Difference?

These terms are often used similarly, but they mean different ways to make passive income from digital assets.

Earn usually refers to simple accounts or goods that pay interest on deposits and give clear returns on those deposits, like regular savings accounts.

Yield is a more general term for the money you make from loan, staking, and giving liquidity to decentralized finance protocols, among other crypto activities.

However, wealth management is a more complete method that uses several strategies under the supervision of a professional to get the best risk-adjusted results while giving each client individual service and spreading their money across a range of asset classes and investment vehicles.

Centralized Exchanges Offering Wealth Management Features

Let’s look at the details of wealth management features of the mentioned CEX platforms.

Bybit

Bybit has developed a sophisticated wealth management ecosystem that caters to different user tiers and investment preferences. Their Wealth Management service allows users to stake crypto assets and earn interest through a suite of professional investment tools and diverse portfolios tailored to individual investment goals.

The platform generates Annual Percentage Rates (APR) through trusted third parties who employ advanced trading strategies in Bybit's Spot and Derivatives markets. This approach enables potential return accumulation over time while maintaining asset security within the Bybit ecosystem. All asset transactions remain confined within the platform, eliminating the need for risky on-chain transactions.

Bybit offers multiple tiers of wealth management services: Classic Wealth Management provides 7-day USDT plans with up to 5.4% APR and 30-day BTC plans with up to 0.6% APR. VIP users with a lot of money to spend can only use Premium Wealth Management, which offers reliable long-term yields and custom goods. Private Wealth Management creates personalized investment portfolios with more freedom and higher return potential for clients with very high net worth.

Gate.io

Gate.io launched Gate Wealth as a wealth management solution designed to provide professional, customized services to global crypto investors. The platform offers a wide range of investment tools and structured products with stable income and considerable return rates, including interval interest calculation, bilateral non-touch, snowball, and quantification strategies.

Gate Wealth serves individual investors, institutional investors, high-net-worth individuals, and wealth managers. The platform provides suitable investment products and wealth management solutions according to users' risk tolerance and investment objectives. A unique feature is its 100% fund mapping principle, ensuring complete transparency and security of customer funds through Merkle tree audits.

The service maintains strict separation between investment and transaction accounts, ensuring high security and transparency. Users can track their investments in real-time through an intuitive interface, with net worth income visible at a glance. Gate.io has also introduced Gate.io Staking as an additional wealth management tool, offering secure, flexible, and high-yield solutions for growing digital assets through advanced financial models and blockchain technology.

BitGet

BitGet's Wealth Management service is positioned as a premium crypto investment solution designed for users seeking secure and stable returns. The platform offers principal-protected goods that focus on security while deploying professional asset management strategies.

Key features include principal safety intended to defend initial investments and reduce exposure to market changes, competitive rates providing stable and reliable returns, and diverse investment choices suited to different financial goals. BitGet stresses a user-friendly experience that is easy, open, and available to all users.

The platform works with zero managing fees and adjustable terms, providing greater investment freedom without term limits. BitGet uses professional asset management strategies to improve investments while ensuring capital safety, giving both fluid and fixed-term investment choices based on users' risk preferences.

Coinbase

Coinbase Earn put itself in front of institutional-grade wealth management through its Coinbase Bitcoin Yield Fund. Launched in 2025, this fund targets non-U.S. professional clients and aims to offer yearly net returns between 4% and 8% through complex basis trading techniques.

The fund's method involves trading price gaps between Bitcoin spot and futures markets, a strategy that gained significant ground when hedge funds recorded peak short holdings of $14.2 billion in BTC futures while buying spot Bitcoin ETFs. This trade technique is considered relatively low-risk compared to other yield-generation methods, though it requires careful risk management and moderate leverage.

Coinbase's wealth management service marks a significant shift from traditional crypto loan models, focused instead on market-neutral strategies that don't rely on client credit rating. The fund has drawn backing from companies like Aspen Digital, showing institutional trust in Coinbase's approach to professional asset management. 

Binance

Binance Earn represents one of the most comprehensive wealth management ecosystems in the cryptocurrency space. The platform offers a suite of products including Simple Earn, Launchpool, BNB Vault, and various staking opportunities designed to help users grow their crypto holdings.

Binance Earn provides two main categories: Protected earnings for predictable returns and High Yield options for users willing to accept higher risks for potentially greater gains. The platform offers both flexible and locked savings options, with locked savings typically providing higher APY rates. Users can earn interest on a wide range of cryptocurrencies, with interest paid out daily and automatically added to accounts.

The platform's wealth management features include flexible and fixed-term products, automated reinvestment options, staking services for Proof-of-Stake cryptocurrencies, and liquidity farming opportunities. Binance's scale and liquidity provide users with access to some of the most competitive rates in the industry while maintaining the security and reliability expected from a tier-1 exchange.

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What This Means for the Industry

As more CEXs introduce these features, the bigger the demand grows. Therefore, other platforms and businesses would need to keep up with such innovation being incorporated into such large platforms.

As more platforms introduce these capabilities, user expectations have evolved from simple trading services to comprehensive financial ecosystems that can generate passive income.

This “trend” creates a competitive imperative for all exchanges, regardless of size. Platforms that fail to offer yield-generating products risk losing users to competitors that provide these increasingly standard services. This means that wealth management features are becoming a baseline requirement rather than a differentiating factor.

Moreover, these kinds of implications extend beyond user retention or revenue model transformation. Exchanges can now generate income through asset management fees, yield sharing arrangements, and premium service tiers. This diversification reduces reliance on volatile trading fee revenue and creates more sustainable business models. Additionally, the integration of wealth management features increases user stickiness as customers become more invested in the platform's ecosystem through locked staking periods and complex financial products.

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Digital Asset Management vs Wealth Management

The distinction between wealth management features and digital asset management is that the latter employs several strategies and management approaches.

Digital asset management is a complete framework that extends beyond basic wealth management to include sophisticated portfolio design, risk management, and strategic asset allocation across numerous venues and protocols. Unlike traditional wealth management, which focuses on client advisory services and standard investment products, digital asset management uses quantitative models, algorithmic trading strategies, and multi-manager approaches to maximize returns while mitigating the unique risks associated with digital assets. This method often includes:

• Multi-strategy diversification across DeFi protocols, centralized exchanges, and various yield-generating mechanisms.
• Active risk management through real-time monitoring and dynamic rebalancing.
• Institutional-grade custody solutions with advanced security protocols.
• Quantitative analysis and performance optimization across different market conditions.
• Automated portfolio management that can respond to market volatility momentarily.

Coinchange’s Digital Asset Management API

Smaller to medium-sized exchange platforms can keep up with the competition with larger centralized exchanges by integrating Coinchange’s API, which enables yield generation for their users.

Coinchange Earn operates as an investment management platform that delivers customizable yield solutions for digital assets. The platform handles security, compliance, and risk management, enabling the rollout of custom return solutions that allocate assets across diverse strategies to meet unique client demands. The platform uses institutional-grade custody infrastructure with multi-party computation (MPC) technology from Fireblocks, keeping secret keys secure and protecting assets even if individual security measures are compromised. Client assets are safeguarded through separate "For Benefit Of" (FBO) accounts that remain completely isolated from business funds.

We combine multiple security layers, including SOC 2 Type II certification and ISO standards covering information security management, cloud security, privacy, and business resilience. Regular penetration testing maintains security standards while the platform operates like a hedge fund-of-funds, allocating capital across diverse strategies that are actively managed and risk-mitigated.

Multi-Strategy Digital Asset Management Approach

Coinchange operates as a multi-strategy platform, functioning fundamentally as a hedge fund-of-funds that allocates capital across diverse strategies that are actively managed and risk-mitigated. The Conservative Portfolio composition demonstrates this approach through strategic diversification:

• 50% CeFi Delta-Neutral: Basis trades and funding rate arbitrage on institutional exchanges, targeting consistent returns with minimal directional exposure.
• 40% DeFi Market-Neutral: Hedged liquidity provisioning, stablecoin lending, and protocol-based arbitrage, deployed across Tier-1 audited DeFi protocols with TVL caps and real-time risk monitoring.
• 10% CeFi Directional Hedged: Select high-liquidity directional positions balanced with volatility and drawdown controls to opportunistically enhance yield while preserving downside protection.

This portfolio is optimized for T+1 liquidity and monitored continuously through Coinchange's risk engine, enabling agile reallocation and partner-specific customization. The platform also provides a Balanced portfolio, and an Aggressive one for the client's needs for yields - they allocate differently according to what is needed.

Conclusion

Centralized exchanges offering wealth management services is great for users as they get more investment options available, but it also means that smaller exchanges would need to keep up. As key platforms such as Bybit, Gate.io, BitGet, Coinbase, and Binance extend their offers beyond basic trading and into complex yield-generating products, the competitive environment is constantly changing. This kind of “trend” reflects rising consumer desire for passive income prospects, as well as the industry's awareness that long-term business models need revenue sources other than conventional trading fees.

Digital asset management solutions, especially via APIs such as Coinchange's platform, has given smaller and medium-sized exchanges the tools they need to compete successfully in this new environment. These platforms may provide customers with access to complex financial products that were previously only available to big institutions by utilizing multi-strategy methods, institutional-grade security, and automated yield optimization. As everything evolves, the integration of wealth management services is expected to become a basic necessity rather than a competitive advantage.

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Read more:

Building Trust in Crypto Yield: How Robust Security and Risk Management Protect Your Users and Business

Bitcoin as a Strategic Reserve: Implications and Yield Strategies for Corporate Treasuries

Riding the Mainstream Wave: How to Seamlessly Embed Crypto Yield as Digital Payments Expand