For most people looking for ways to make money online, mining cryptocurrency never seems to cross their minds. Thinking of it, cryptocurrency is undoubtedly among the fastest developing digital assets in the modern business world. Since it is enabled for trading while being backed by the blockchain, it offers effective means for anyone wishing to make their money online.
However, numerous stereotypes surround the trade that makes it difficult for investors to risk their money. However, you should understand that there are multiple ways to make money trading cryptocurrencies, some of which only demand your time and effort. This means that you don’t need to invest a colossal sum in order to leverage from the trade.
To cancel your doubts on whether you can make money trading cryptocurrency or not, we have prepared some of the best yet simple ways that have been tested. Have a look:
1. Trading
Similar to stock trading, crypto trading allows you to purchase and sell coins/tokens for profit margins. The trade includes various types of exchanges where you can purchase the cryptocurrency of your choice. Afterward, you may choose to sell them immediately or hold them up as soon as its price shoots.
Furthermore, day-trading exist solely for those wishing to generate enough profits for those purchasing and selling cryptocurrencies on the same day. In such instances, you only have to purchase a crypto-coin, wait for its price to escalate, and sell the token for profits.
2. Staking
Staking denotes the process of locking up or investing your money in a crypto-coin and earn interest in the form of new cryptocurrencies. Additionally, you may enjoy the benefit of price appreciation for choosing to keep your coins for a stipulated period. Luckily, there are numerous proof-of-stake cryptocurrencies that will enable you to generate a good income without having to stake.
Such options include PIVX, WISE, NAV Coin, and DASH, among many others. For instance, being an ERC-20 token, WISE enables you to earn an attractive amount of revenue through interests by having your funds locked up in the WISE contract.
In addition to a yearly interest of up to 5% of your stakes, you are also entitled to benefit from regular bonuses and offers. However, before staking your hard-earned money, ensure that you stake in a low-risk, highly flexible, and secure option. Most importantly, to prevent your money from being washed down the drain, invest in an option that allows you to liquidate your stake or withdraw your interest at any time.
3. Referral
Besides being a very common program, crypto-referral is a good and reliable way to earn money trading cryptocurrencies. Typically, you don’t even have to invest anything to refer and earn with a project. You can easily register on the cryptocurrency website, receive a referral link, and begin referring while earning.
Many cryptocurrencies offer good profits for every referral made. In most cases, both the referee and the referrer get a bonus toke of up to 10% for every staking through referral.
4. Buying and HODLing
HODLing is the act of purchasing powerful cryptocurrencies with good use cases and great concepts and holding on to them for some time while hoping for their prices to significantly shoot up. Once the coin’s price is high enough to enable you to earn good profits, you may choose to sell them in the market.
However, it’s best to understand that HODLing doesn’t generate any interest on the funds you’ve invested. For example, cryptocurrencies such as Bitcoin, Ether, and BNB are the best option to HODL and for long-term investment.
5. Sell for cryptocurrencies
For merchants who have cryptocurrencies such as Ripple and Bitcoin allowed in their region, you can accept payment in the form of crypto-coins in exchange for goods and services. Luckily, for cryptocurrencies, they are digital currencies that allow for the seamless transaction and worldwide use without converting them into other currencies. Subsequently, you can accept any of the leading crypto coins for seamless global transactions.
Moreover, for Bitcoin, there are a number of payment processors that allow you to incorporate crypto payment options in your online/offline shop.
6. Investing
Investing is inarguably one of the easiest and safest way to make money trading cryptocurrencies. Through investing, you can earn in a cryptocurrency in several ways; through Initial Coin Offering (ICO), exchanges, or partnerships/ direct investments.
In crypto investments, you earn revenue through price appreciation of the token/coin you buy and your shares in the project. While it depends on the type of cryptocurrency you are investing in, you can access the product/ project or use the token to meet your payments.
7. Bonus coins
Partaking in airdrop/ bonus offers is one way of earning with cryptocurrencies. Fortunately, this type of earning doesn’t demand that you invest anything. To earn the free bonus coins/tokens, all you have to do is join the bounty or airdrop program of a cryptocurrency and follow some simple steps.
You may also attain bonus tokens by investing a cryptocurrency during the token sale or ICO phase since new projects often offer bonus tokens to its early visitors.
8. Get paid in cryptocurrencies
AS the reach and popularity of cryptocurrencies are rising, more companies employ the use of digital coins to pay salaries, among other benefits to their employees. In addition to being secure, cryptocurrencies are secure and transparent.
Moreover, it is much simpler as well as affordable to pay your freelance/ remote workers in bitcoin compared to sending cash through other options. Whether you are a designer, writer, or developer, you can find a number of international companies who are willing to pay for your services in cryptocurrencies.
9. Dividends
In one way or the other, cryptocurrency dividends work similarly to stock dividends. By investing in a dividend cryptocurrency, you can receive a fixed interest on the investment. To attain maximum profits, some of the best dividend cryptocurrencies to invest in include NEXO and BNB, among others. For these coins, you needn’t have to stake to be able to earn interests.
Conclusion
Investing in cryptocurrencies could be the best thing to do in 2020 and beyond. Although it may pose as risky at first, it features long-term profits. To mitigate the risk of trading cryptocurrencies, you should perform thorough research on the field and diversify your portfolio. Try any or all of the above tips to earn money in this venture.
