When Bitcoin hit the headlines in 2009, not many investors knew about the fascinating implications of cryptocurrencies. Cryptocurrencies failed to gain traction till 2017 and almost gave up the ghost. In the first half of 2017, Bitcoin rose like a phoenix from ashes and breached $1000. In the next couple of years, Bitcoin almost touched $20000. Its performance was jaw-dropping and unstoppable.
In 2020, Bitcoin is oscillating between $6000 and $6900. But Ethereum, another popular cryptocurrency, has become the hot favorite of investors.
No doubt, the cryptocurrency industry is still in its nascent stage. However, the positive movements in crypto cycles that we witnessed in 2011, 2013, and 2017 shouldn’t be discounted. There are many interesting anecdotal pieces of evidence of amateur investors becoming rich by amassing and subsequently selling Bitcoin.
Want to become rich? Want to learn how to earn money from cryptocurrencies?
Staking is the practice of holding crypto coins for 24*7 in a digital wallet. You are awarded additional coins for holding the crypto coins. When it comes to staking, Tezos is the most popular coin. Going by the historical trends, Tezos offers as much as 6% ROI.
As more and more users adopt Tezos, its value appreciates. Consequently, ROI also increases. You can purchase Tezos (XTZ) on Bitcoin Exchange.
Other popular examples of coins best suited for staking are Komodo, Nebilo, Decred, etc.
There are many dividends paying stocks. Similarly, there are many dividends paying cryptocurrencies. Interestingly, you aren’t required to stake them. If you are looking for passive income, then delve deep into the process of identifying crypto exchanges that provide native coins.
For example, BitMax is a crypto exchange that offers BTMX tokens. For every BTMX token you lock, you are paid a fair amount as dividend.
Allow me to disclose yet another money earning hack. But before that, let me explain what a masternode does.
Blockchain technology is essentially about decentralized networks. A masternode is nothing but a server on a decentralized network. This server functions as a digital wallet and maintains a copy of the entire blockchain in real- time.
You can set up and run your own masternode. Different cryptocurrency networks have different rules. However, one common rule is that you should own a certain number of coins before running a masternode. There’s no rule of thumb but if you own anywhere between 1000 and 25000 coins, you can earn passive income by running masternodes.
Bitcoin mining is one of the most popular ways of earning good money. There are two ways – Personal mining and Cloud mining
Personal mining is no longer easy. It’s complicated as Bitcoin resources are scarce. Cloud mining is relatively easier and requires you to pay a fixed one-time fee for contract duration. Very often, at the fag end of every month, you are likely to receive your earnings.
There are many other direct and indirect ways of earning money from cryptocurrencies. The best ways can be discovered through experimentation and practice. Keep reading our blog for more content. Good Luck:)