For many people, earning crypto income is a dream, and to some – it is a myth. So, is it possible to earn passive income from cryptos?
The answer is a resounding “yes,” and in this post, we are going to reveal some of the best ideas that you can use to create a solid stream of revenue from cryptos.
First Things First: What Is Bitcoin Passive Income?
Bitcoin passive income is the process of maximizing returns from your BTC. Bitcoin is the most popular crypto today, with a market capitalization of over USD 500 billion (at the time of writing), which means it is among the best options to earn with.
Methods You Can Use To Earn Passive Income From Cryptos
This process entails solving complex cryptographic puzzles to help process transactions on the Bitcoin blockchain. You can do this by setting up your own mining rig or joining a mining pool. Cloud mining is considered easier because you do not have to worry about buying expensive equipment or their set up.
2. Buy and Hold (HODL)
This is a common method employed when dealing with other assets, such as stocks and properties, but it also works excellently for Bitcoin. It means that you buy when the price is low and then sell when the price moves up to make crypto income.
3. Lend Bitcoins
Instead of buying and holding your cryptos, why not lend them? This works like standard bank loans, where you lend Bitcoins and they are returned with interest. Some platforms, such as Bitbond and Coinbase, allow you to make up to 15% from lending Bitcoins.
More Methods: Earn Passive Crypto Income Right from
The next seven methods allow you to earn from cryptos through activities that generate money, from staking to yield farming.
Stake Your Coins
If you have proof of stake (POS) coins, like ADA and ATOM, it is possible to earn passive crypto income by locking them in the respective network over a specified period. In return, you are rewarded with part of the transaction fee used on the network.
This is the process of depositing cryptocurrencies in a lending pool to earn extra coins. One of the best examples is hi.com. The platform launched a 200 million $HI liquidity reward program that allows participants to add liquidity to HI/BUSD pair on Pancake Swap and then stake their LP tokens directly on hi.com.
Use Air Drops
A lot of crypto projects use airdrops to promote their coins and get some traction in the crypto community. Often, the involved people are asked to do simple tasks, such as signing to a platform or sharing a post in exchange for tokens. Once the project is launched, you can trade the coins on the crypto market.
Use Cloud Mining
This is the process of leasing mining equipment, allowing you to earn passive income without worrying about purchasing and mining gear. Make sure to calculate the cost of mining plus hiring the equipment and compare with the rewards to be sure of making some profits. Also, factor in the high volatility of cryptos on the market.
Engage in Crypto Trading
Trading cryptos works like stock or forex and can be an excellent way to earn passive income. One of the best ways of doing this is using crypto CFDs, which allow you to speculate on both price increase and decrease. So, you will be able to benefit in both bear and bull markets.
Consider Running a Lightning Network Node
This is a 2nd tier system based on blockchain systems, such as Bitcoin. It is a billing system that operates without connecting to the main blockchain. It helps to speed the transactions and allows you to earn cryptos when people use your channel to send funds or other actions.
Cryptos work like fiat cash in many ways. So, you can also act as a lender and receive interest from borrowers. This is collateralized using an asset that will be liquidated to recover money if the borrower fails to repay.
In addition to these ten suggestions for earning passive crypto income, you should also consider using sign-up or referral systems, such as hi.com, for bonuses. You simply refer friends to join hi and get free HI dollars. Simply visit hi on Telegram or WhatsApp, type “hi” on the chat box and a menu will open to allow you to select what to do.