Satoshi Nakamoto published the Bitcoin currency research whitepaper in 2008. Since then, the popularity and the use of Bitcoin in today’s world have increased tremendously. In today’s world, the term Cryptocurrencies or Bitcoin is not alien to anybody. According to Google, “How to buy Bitcoin currency” was the most searched result under “How to…” in 2017. Eventually, it has become a billion-dollar industry, creating and contributing to the technological revenue of a country. By now everyone, at least the tech-savvy world, investors and the business people are aware of making money by using Cryptocurrencies like Bitcoin and Litecoin. But how? Read more to find out!
Can you make money?
Cryptocurrencies have been around for nearly a decade and already has gained immense popularity. The crypto increases in cycles – which is it starts with an increase in the prize, covering excitement and media buzz, which eventually marks the onset of the next cycle. The world has witnessed three crypto cycles so far in 2011, 2013 and 2017.
How to make money?
There are various methods to generate income in the crypto space. While some believe this involves a higher degree of risk, the others believe this could involve high knowledge and expertise.
- Investing: Investing involves buying and holding assets. Crypto assets hold a higher value in buying and holding assets and are considered to have a long term potential. Due to the volatile nature of the Crypto industry, long term investments are better in making money using cryptocurrencies.
- Trading: Often, people confuse between trading and investing—the main difference between the two lies in the difference in the time horizon. Trading is a short term opportunity which demands high amounts of skills and expertise. Anyone who possesses the ability to read charts, with statistical data analysis, can thrive in making money by trading with crypto.
- Social media: Dan Larimer launched the STEEMIT in 2016, which is a social media platform that rewards users for creating and curating content. Although the startup saw a downfall in 2017, and the numbers are declining ever since, many other companies were built on the same idea, like narrative, Sapien and many more.
- Mining: Mining is by far the oldest ways of making money using crypto. Mining is a process that verifies the Proof of Work network. By performing the functions diligently, they’re rewarded with coins through secured transactions.
- Staking and lending: Both are similar that allows users to make money using altcoins. Staking means to lock the crypto coins in a crypto wallet and to validate all transactions based on a Proof of Stake. This process does not require hardware but is every energy efficient. The investors can also verify the transactions and maintain the security of their wallet. Lending is another option which facilitates leading through decentralized finance applications and many more methods.
Forks and Airpods: Airpods refer to the free tokens distributed to create awareness about a project, and forks are the changes in the protocol, which are great ways of making money using crypto.