Different ways to make money with Cryptocurrency.
So, to start we have to know what crypto is. Cryptocurrency is a digital currency that is online, secured and probably impossible to counterfeit like naked shorting. most cryptocurrencies are on their native Blockchain so they are not issued by a government or centralized authority.
How many ways are there to make money with Crypto?
To answer that question we have to think in all directions. there are many ways to use crypto and generate revenue but mostly used ones are these few,
- Miner way: you can mine a specific crypto and get rewarded for that. usually, mining requires you to provide the power of your CPU or GPU but these days hard drive mining is also possible. I would suggest GPU mining just because of the hashrate and amount of coins you will get, on the other hand, if you mine the same amount of coins when you are mining on CPU, you would end up paying more in the electric bill. the more you contribute to the network the more crypto tokens you will get.
- Lender style: In this way you lend all or some of your coins to the network which goes to the network’s wallet and gets used for the transaction process, when this happens you will get your part of the rewards directly on the staking page. this is usually a process that asks you to make a commitment to give your tokens to the blockchain for some time, it’s probably 1 month to 3 months or sometimes 1 year. My ko-fi page has one screenshot of how much I made in rewards while staking my BTT on the blockchain, Link.
- Day trader: If you like to trade most of the time or selling and buying every day is your type of investing then you might be a day trader. people can choose to make money in crypto by being a day trader, but it requires long research in the company and full focus on the daily news so if something is affected by the media you know when to jump out. crypto is too volatile, it’s dropping 10% in just a day then going up 10% in a day. day trading in these times is profitable just cause you can practically study your way in the market and day trade.
- Long-term investor way: This is a simple buy-and-hold strategy, in most cases, the blockchain will attract more users and build a strong base with time. when you buy some random coin on the internet and after 2 years it goes from $0.0005 to $0.009, you will realize that you made money while holding your usual amount of coins in your wallet, that’s why this method is safe and wise in long-term. holding your assets long-term has its own advantages but that is another post for another time.
- Airdrops or faucets: Airdrops are something the exchange or blockchain could do in order to increase the user base, or in case they want to kickstart the inner economy of their blockchain. They provide you or mostly everyone with a small amount of inter-tradeable coins that helps start their project. In return, you can send that coin on the app to anyone, you can tip that if the app allows it and you can also trade that coin with some other currency on the market. Sometimes you are already part of the airdrop cause of being a member of the crypto exchange but sometimes you will have to register for an airdrop. On the other hand faucets, faucets are something where you have to give your wallet address and email address to get added to the faucet list. they are mostly generating their revenue by ads and the more time you spend on their website the more rewards will be generated and distributed. it’s like rewards are getting slowly stored like water gets stored in the form of droplets before it drips out of the faucet.
- Way of an user: You use certain apps that will pay you a few amounts of tokens that will be exchangeable with tradable crypto. there are many options on the internet posing as the best crypto social media or crypto-based LinkedIn but I would say there is still more improvement coming in future. In this process you get paid by contributing to the network while using the network.
Some of the apps that will let you earn crypto to used their platform are
Fun fact: the first bitcoin faucet was giving out 5 Bitcoins per person, it was created by Gavin Andersen in 2010. (You can google it!)
There are many ways to make money with crypto, I mean delegate your ADA, stake your Tron or Eth on the chain or go and sell some stuff for bitcoin. In some years the stuff you can do with a dollar, you will be able to do with crypto.
Alright thanks for reading this post, I will be back with something else by next week or the end of the month.