Cryptocurrency is the best way to make some good money. But, how? Investing and trading crypto coins are very common today. It was in 2013 that the revolutionary intervention of digital currency has been made.
Ways To Make Money With Cryptocurrency
There are many ways to use cryptocurrencies to make money:
Buy and Hold
This is the most common and easiest way of making money with cryptocurrency. This does not require any experience to do. We just need to buy a certain currency when its price is low and sell these currencies when the price increases.
The currencies can be held safely in the crypto wallets. The investment should only be made with currencies that follow an uptrend in price variation like bitcoin, Ethereum, etc.
Buy and Hold for Dividends
It is the same technique as buying and holding currencies, but in buying and holding we get profit only when we sell the currency for a higher price.
Some currencies actually pay for just holding the currency. These are called Dividends. Neo, Kucoin, Nexo, etc. are some of the cryptocurrencies that pay dividends to hold them in a wallet.
Staking is the combination of the first two ways. We need to buy a currency, and hold it in a wallet until it is sold for a greater price. In this case, we get the profit for the price action as well as additional coins of profit in the form of dividends. Some of the coins suitable for staking are Neblio, Tezos, Komodo, PIVX, ETC.
Mining currencies is one of the most popular ways of making money. The only investment is made in buying the machinery for mining. These machines run eventually my coins by solving mathematical problems. Better the hardware of the equipment, faster the mining process hence faster money-making.
Trading is the method of buying and selling currency on the same day. The currency bought on a day can be sold on the same day when the price increases after some hours. This is a more difficult method because it requires a lot of financial analysis. With proper study and analysis, it is a very quick method of making a profit.
Microtasks are small online works in which the payments are given in cryptocurrencies. You should do a very small task like taking an online survey, testing an app, writing a blog, etc. and the payment is received in cryptocurrencies.
There are many exchanges in which we can buy, sell, and trade cryptocurrencies. These different exchanges have different prices for a particular currency. This allows the user to buy a currency from an exchange at a lower price and sell it in an exchange at a higher price and thus making a profit. This is called arbitrage.
If you are a person who is holding a particular amount of crypto coins, you can lend the money to earn a profit. There are a lot of crypto lending platforms that provide the above service with a return of about 10-18% for your investment.
Thus cryptocurrencies provide a very good platform for making a huge profit for our investment. But there are many illegal scams that promise high returns. Beware of such scams and try to stay away from them.