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REDDIT

Is interest on cash really dangerous? (Trading 212)

Hello! I deposited some of my money into Trading 212 (I like the design of the app and I got used to it, I've downloaded it back in 2020) and I've invested a part in stocks, while the rest I just hold it because I'll need it in some months. From what I've read, if I activate the "interest on cash" (2.40% on EUR right now) my money won't be protected anymore by CySEC.

So if, God forbid Trading 212 goes into insolvency, I will lose all my money (or I'll wait years until I'll be able to get them back).

It sounds like a very specific, low risk, but at the same time I'm trying to be cautious because I don't wanna lose my cash. There won't be any legal laws protecting my deposits if interest on cash is active?