Soon is a cryptocurrency platform allowing users to invest in a cryptocurrency portfolio and tap into their crypto balances for daily transactions with a linked payment card.
Soon offers a suite of tools combining what you get from a bank, cryptocurrency investment platform, and automatic tax saving calculator in one app.
While going all-in on cryptocurrency is certainly risky, Soon is one of the most interesting platforms we’ve come across, giving you everything you need to use cryptocurrency for your daily needs, not just locked away in an exchange or digital wallet. Keep reading for an in-depth Soon cryptocurrency app review to help you understand the pros and cons and if it makes sense for you.
Soon is a cryptocurrency app founded in 2017. The company is based in Salt Lake City. It provides automated cryptocurrency investing for people wanting to build a long-term crypto portfolio while limiting exposure to black swan events, like the recent FTX debacle.
How Soon Works
To avoid putting a large amount of your money at risk, Soon takes an approach called “micro-investing.” This involves making small investments across various asset classes and different market values rather than a smaller number of larger investments. With Soon, you continue to invest in smaller amounts each time you deposit money in your account, an automatic approach to dollar cost averaging across multiple currencies.
Soon pairs micro-investing with a process it calls “micro-divesting.” When you spend money with a card linked to Soon, Soon sells the highest available gain to pay for the purchase. The economic concept behind this is called mean reversion, the theory that asset prices eventually return to their long-term mean level. The platform relies on an algorithm and hopes to avoid emotional investing decisions, purposefully not trying to predict and capitalize on future market trends.
Put another way, imagine a graph showing the minute-to-minute price of a certain stock. Now imagine a straighter line on top of that one representing the stock's average price over a certain amount of time. The first line will, by definition, cross the second many times, sometimes multiple times within the same day. Soon’s algorithm identifies investments that, when you spend money, are the highest above that average price line.
Soon intentionally does not market itself as a replacement for long-term investing tools like a 401(k) or IRA. Rather, it aims to provide near-term liquidity and reduce the threats posed by the volatile crypto space.
Investing with Soon Crypto
The platform offers a mostly hands-free investment process designed to save you time and stress. Soon suggests recurring deposits on a regular schedule to employ dollar cost averaging. They also provide a standard portfolio, so users don’t have to research which companies they want to invest in. They automatically set aside a portion of every gain in a “Tax Stash” for capital gains taxes.
Soon advertises an average percent return of 9.1% during a recent five-month period. While this is far from a guarantee, it’s a good sign that Soon offers strong crypto returns, even during the long crypto winter of 2022. Still, it’s wise never to invest more in cryptocurrency than you can afford to lose.
Every Soon account is given a custodial wallet through a partnership with Wyre, which connects directly to your bank. Soon also allows you to add multiple credit and debit cards to your account. Though the only currently available assets on the platform are different cryptos, the company has said additional investment categories may become available later.
Soon Pricing & Fees
The main fee is an incoming transfer and purchase fee for buying new cryptocurrency. Soon charges 3.19% for onboarding funds via ACH to USDC, and the same fee applies when selling and withdrawing USD to your bank account. Exchanges between cryptocurrencies incur a 0.5% fee.
Soon announced a premium plan for $5.95 per month, with lower transaction fees and additional features, such as tax loss harvesting. Soon premium isn’t yet available as of this writing.
There are not any cryptocurrency apps exactly like Soon. It’s truly a unique offering in the crypto space from our research. If you’re looking for an alternative place to buy and hold crypto, check out our list of the best cryptocurrency exchanges as Soon alternatives.
Account Opening Process
To access Soon, you currently have to go through a waiting list, which you can join by downloading the Soon app and creating an account. It’s possible to move up on the waiting list if you share the app with friends or family.
To create an account, you must be 18+ years old, live in a jurisdiction served by Soon’s service partner, Wyre, and be able to provide the standard information all banks and brokerages require to verify your identity and open an account for you.
Get started here.
Safety & Security
Per Soon’s website, “Military-grade 256 bit encryption protects your data, especially your personal financial information.” The company says personal information is encrypted, so not even employees of Soon can access it.
There’s always some risk when using online financial services, so follow best practices, such as using unique passwords on every website and keeping your apps updated, to put up a barricade keeping the digital bad guys out.
Soon has only recently become available, so we don’t have much information on its customer service quality. After meeting Soon team members at a recent event, however, we believe users will find a positive experience.
Soon is available by email for customer support at [email protected]
The Bottom Line
Soon is an automated crypto investing platform hoping to take the emotion and guesswork out of investing. Through its innovative micro-investing and micro-divesting strategies, the service offers near-term gains without as much of the volatility associated with the digital assets space.
The crypto space has been riddled with black swan events this past year, and with many experts expressing concern over crypto’s future, companies like Soon might now offer an edge.
Eric Rosenberg is a financial writer, speaker, and consultant based in Ventura, California. He holds an undergraduate finance degree from the University of Colorado and an MBA in finance from the University of Denver. After working as a bank manager and then nearly a decade in corporate finance and accounting, Eric left the corporate world for full-time online self-employment. His work has been featured in online publications including Business Insider, Nerdwallet, Investopedia, The Balance, HuffPo, Investor Junkie, and other fine financial blogs and publications. When away from the computer, he enjoys spending time with his wife and three children, traveling the world, and tinkering with technology. Connect with him and learn more at EricRosenberg.com.