When you deposit money into a traditional savings account, you give the bank permission to loan out the money in your account to 3rd parties. In exchange, the bank provides you with a set percentage of interest each year.

I wish that were still true. My dad tries to talk about this all the time, and I have to explain to him that is only for the rich.. a typical person's savings account either doesn't earn APY, earns under 1%, and in either situation it's possible they will occur monthly fees. You have to have something outrageous like minimum $20,000 USD for a typical bank to actually pay interest in these "roaring 20s"

Yes, I have started using the term "roaring 20s" since last week when I realized we are, technically, in the "'20s", which is for some reason hilarious to me.

I know read on to realize you explained that. My mistake.

I would like to add one thing about my experience with Coinbase. Yes, I have a coinbase.. it's user-friendly and I am, despite my years of experience, still learning and I like to keep certain coins there. I'm not sure if it used to be only USD coins but that is no longer true. At the moment you can earn an average of 4.63% APY on Tezos, 5% on ATOM, 6% on ALGO, and 2% on DAI. They are not locked for any period and you can trade them immediately(I learned that from trading out some DAI recently because I was curious about the withdrawal of these "staked" coins there- immediate)