5 January 2021
As cryptocurrencies continue to gain widespread adoption and recognition around the world, it only becomes more imperative that you familiarize yourself with this asset of endless possibilities. Through simple tricks and habits, people have been able to amass impressive amounts of money using digital currencies. And while there are a multitude of ways to earn money with cryptocurrency, each method varies slightly in degrees of risk and is truly dependent on what each person would like to delve into. If you’re looking to upgrade your finances with the help of crypto, here are three ways to do just that – each at varying levels of risk and exposure!
1. Sign up for Coinbase and invest in Bitcoin
Does earning crypto while you learn about crypto seem like a good deal? One of the simplest ways to start earning money is to invest in Bitcoin. You can do so by signing up to the popular digital currency exchange platform Coinbase. With their user friendly interface and handy guides, Coinbase allows for easy sign ups and boasts high liquidity. Investment is fairly straight-forward and caters to beginners. After you create an account, it is as simple as hitting the “Buy Crypto” button and entering the dollar value you’d like to exchange for Bitcoin. After that, you are a Bitcoin owner and can wait for the price to rise before you choose to sell or, alternatively, hold out for bigger gains. You can also use Coinbase to send and receive crypto, also allowing users to routinely withdraw their earnings. Alongside Bitcoin, you can also choose to invest in Ether, Ripple (XRP), and Chainlink – all of which available on the platform.
2. Sign up for BlockFi and earn interest on your Bitcoin
If earning more money from your crypto sounds good, then this option is ideal for you. A BlockFi interest account can help you accrue money and increase your gains simply by you owning Bitcoin. BlockFi enables users to earn competitive interest rates on digital assets, keeping all cryptocurrency deposits secure. Varying interest rates depend on how much Bitcoin you own and how long you are going to keep it “frozen” for, but this is a simple and straightforward way to earn on your capital. Moreover, BlockFi allows users one free withdrawal per month, meaning you can withdraw your coins at any time! It is as simple as entering your information to create a BlockFi account, depositing the amount of Bitcoin you’d like to freeze and determining how long you’d like to do so for, then laying back and watching as your interest money rolls in.
3. Expand your portfolio beyond Coinbase and purchase market-cap cryptocurrencies that offer periodic dividends
This method is so simple, most people describe it as “earning money while you sleep”. Here, you are buying crypto and holding them for the dividend (a dividend is a benefit from an action – in this case, buying). It is as simple as buying the types of coins that pay dividends and holding them, then waiting for your payout! This method includes initial investment on your part, and your returns are relative to how much you put in, and how well the coins perform. Examples of coins that issue dividends include Tezos (XTZ), Cosmos (ATOM), VeChain (VET), NEO (NEO), Tron (TRX), and Ontology (ONT). Different coins offer varying interest rates as dividends, and the amount of crypto received as dividend is typically based on the amount held. This is another example of earning a passive income.
With the world of cryptocurrencies continuously expanding and evolving, there are bound to be countless new ways to earn money with crypto whether they be passive or active ways. While investing and holding appear to be some of the more straight-forward methods, it is important to keep in mind that other possibilities with lower financial risks exist, too. Whether it is through earning dividends or interest on your coins, it appears as though the possibilities of making money with cryptocurrencies are only increasing as time goes by.