Before you learn how to make money with cryptocurrencies, consider the following eight ways:
In this part of our guide on how to make money with cryptocurrencies, we will discuss the eight methods listed above in detail. It involves not only how each approach works, but also the expected risks and upside potential.
"first-mover advantage" is the concept that some of the most successful investors in the world have incorporated into their investment strategies. The idea here is that by investing in innovative encryption products, top-notch utility tokens or services as early as possible, you will usually offer the best admission price. In other words, those who invested in Ethereum at a price of $0.31 per token during the Ethereum pre-sale period are now expected to earn more than 1.6 million %. Or, if BNB were purchased at $0.11 when it was first launched at the end of 2017, a gain of more than 600,000% could be achieved. To get the most promising cryptocurrency investments in 2024, you need the best cryptocurrency portfolio configuration. While traditional projects such as Bitcoin, Ethernet Square, BNB or Caldano will no longer have a first-mover advantage, there are plenty of other undervalued and deflationary cryptocurrencies. In fact, through research, we can find some low-market value cryptocurrency gems that provide their tokens at preferential prices through pre-sale activities.
Those who want to know how to make money from cryptocurrency through pledge can consider a variety of options. One of the best ways to consider this is to sign a contract with the famous cryptocurrency pledge platform. In short, a pledge is a tool that enables investors to become interested in encrypted assets that would otherwise be left idle in private wallets. These tokens will be stored behind the scenes in the blockchain protocol to keep the network safe and running. The deposited tokens will then generate interest, which will be transferred to the investor after the agreed time limit. For example, this could be a fixed period of 30 or 60 days. In addition, some pledge platforms offer flexible terms-meaning investors can reclaim their tokens at any given time. In terms of yield, this usually depends on the cryptocurrency pledged and the duration of the pledge. In most cases, pledged tokens with smaller market capitalization over a longer lock-up period will yield the highest yield. By contrast, holding large-market tokens such as Etay Fong for flexible terms may result in more conservative interest rates. Either way, the first step in participating in cryptocurrency pledge is to choose the right platform. OKX is one of the best choices in this market. This large cryptocurrency exchange supports the pledge of a variety of tokens and terms. To provide some insight, large-market tokens such as Shiba Inu and Dogecoin can be pledged for 90 days at an annual interest rate of 12 per cent and 5 per cent, respectively. Small-cap tokens such as Zebec Protocol yield much higher, with an annualised return of 60 per cent over a 15-day period. The best pledge deals on OKX are usually sold out quickly, so the pledgee needs to act quickly.
When evaluating how to make money from cryptocurrency, a popular option for people with limited budgets is to consider playing moneymaking games. This concept is growing rapidly in cryptocurrency because it offers many benefits that traditional game developers cannot match. For example, playing moneymaking games is usually based on blockchain networks. This means that the game results are supported by smart contracts to achieve fairness and transparency. In addition, when a player acquires an in-game asset, such as a weapon or armor, this will be represented by a unique NFT stored on the blockchain. In turn, players will actually own in-game assets-which means it can be traded on the open market. In addition, perhaps most importantly, games that make money while playing enable players to win rewards. This is usually paid in native tokens to provide motivation for playing moneymaking games.
Want to know how to make money from cryptocurrency in the most passive way? If so, the best option may be liquidity mining or loans. Let's start with the former, which provides a way to generate incentives by lending idle cryptocurrencies to decentralized exchanges. For those who don't know, decentralized exchanges use the automatic Market maker (AMM) model, rather than the traditional order books on the centralized platform. This means that in order for traders to buy cryptocurrencies without a seller at the other end of the exchange, AMM needs enough liquidity. Now, this is where investors step in, because idle encrypted tokens can be lent to decentralized exchanges to provide liquidity. In turn, investors will receive a portion of any transaction fees charged by the corresponding tokens. Importantly, liquidity mining requires investors to provide the same amount of tokens for specific currency pairs. For example, suppose an investor wants to add money to the ETH/DAI liquidity pool. At the time, ETH was trading at $1500, while DAI was pegged to the dollar and priced at $1. Therefore, if investors deposit 2 ETH in the liquidity pool ($3000), they must also provide 3000 DAI ($3000). For those interested in mobile mining, one of the best platforms on the market is OKX. Those who do not want to provide liquidity to exchanges may consider using cryptocurrency interest accounts. Investors deposit tokens on the platform and then use them to finance third-party loans. The borrower will pay interest on the encrypted assets and then forward the interest to investors. The rate of return will change in the same manner as the pledge according to the terms and the corresponding token.
Trading in encrypted currencies can also make money. Day trading provides another option for long-term investment, as the process requires traders to actively buy and sell digital assets to take advantage of market volatility. In fact, traders may move in and out of multiple positions during the day and avoid keeping trading after standard market hours. To profit from cryptocurrency daytime trading, the idea is to get a small return, but frequently. It should be pointed out that in order to make money with cryptocurrencies through daytime trading strategies, it is necessary to have an in-depth understanding of how to analyze the market. This means an advanced study of the pricing relationship between the two currencies. For example, day traders buy and sell currency pairs, such as BTC/USD or ETH/USDT. In order to determine whether the currency pair should be bought or sold, the trader will conduct a technical analysis. This means looking for trends and how the current pricing level determines the future direction of the currency pair. This can be achieved through economic and technical indicators such as MACD or RSI. Of course, this cannot be mastered overnight. On the contrary, it can take months or even years to be proficient in technical analysis and chart reading. In this regard, a noteworthy shortcut is to choose the copy transaction function on the regulated cryptocurrency automated trading platform.
In sharp contrast to intraday trading, the most successful investors in cryptocurrency will adopt a long-term buy-and-hold strategy. So this raises the question: how much cryptocurrency do you have to invest to make a profit? This is usually not only the best opportunity to witness significant growth, but also the most suitable strategy for beginners. After all, investors only need to buy the cryptocurrency of their 's choice and leave the tokens in their private wallets. No other action is required before cashing in. Crucially, investors can avoid the need to constantly check market prices when adopting a long-term buy-and-hold strategy. In addition, long-term cryptocurrency positions enable investors to cope with short-term fluctuations and sharp price fluctuations. This is especially true in cryptocurrency, which is prone to long bull and bear market cycles. Let's consider some examples to illustrate this point. During the pandemic, Bitcoin traded at $10000. Bitcoin fell 50% to about $5000 after the market crashed temporarily because of concerns about novel coronavirus. As a result, those who sell tokens in panic will suffer considerable losses. On the other hand, those who adopt a long-term buy-and-hold strategy will see the exact opposite. After hitting a low of $5000, Bitcoin began a long bull market-the digital asset then topped $68000 at the end of 2021. So how much bitcoin should you invest? Another example is that during the bear market that lasted in 2018, Tai Fong hit an all-time low of $85. Fast forward to the end of 2021, Etay Fong hit an all-time high of nearly $5000. Compared with the above lows, the increase is more than 5700%. Those looking for the best long-term cryptocurrency purchases on the market may consider the Tamadoge and Battle Infinity discussed earlier. In theory, the two projects are still in their infancy, so by taking advantage of the first-mover advantage, investors can buy these newly launched encryption assets at very favorable prices. Did you know that some companies now accept bitcoin as a method of payment?
As explained earlier in this guide on how to make money with cryptocurrency, users who play moneymaking games can earn free digital assets simply by playing games. This means that there is usually no need to take any financial risk. In this regard, there are actually several other options to consider, which provide an almost risk-free way to earn cryptocurrency. The first method is to airdrop cryptocurrency. This process usually refers to newly launched projects that distribute free encrypted tokens as a means of increasing their exposure in the target market. To participate in cryptocurrency airdrops, users often need to complete a basic task-such as following the project on social media or whitelisting their wallet addresses. Similarly, some items will choose encrypted giveaways. This is similar to the nature of encrypted airdrops, especially since the project will require users to complete certain tasks in order to qualify for freebies. Users can get free giveaway tickets in a variety of ways, such as following the item on Twitter or joining their Telegram group. In order to get the best chance of winning, it is recommended that users complete all available tasks-this will get the maximum number of free ticket entries. For those who want to know how to use cryptocurrency to make money without risking any capital, another option to consider is to sign up for faucet sites. Again, the main concept is that users can get free encrypted tokens by completing basic tasks. In the case of encrypted faucets, this can be anything like completing a CAPTCHA form or playing a new game. Note, however, that the rewards offered by encrypted faucets are usually small. In fact, this is usually only a few cents worth of bitcoin, so the process is not worth it. On the other hand, there is no need to deposit money on the faucet website, so it is still a risk-free way to earn cryptocurrency.
The last option to consider when learning how to make money with cryptocurrency is mining. This refers to the process of connecting professional hardware to a desktop device to connect to a blockchain network. In turn, the hardware consumes power to verify blockchain transactions. When miners successfully validate a block, they are rewarded in the form of encrypted tokens. Unfortunately, mining large-cap cryptocurrencies such as bitcoin is no longer feasible for the average user. Instead, the process is dominated by large mining machines that have a lot of resources and acquire the most professional hardware technology on the market. The good news, however, is that cryptocurrencies can be mined without actually buying any hardware or consuming a lot of energy. This can be achieved through a cloud mining platform that brings together investors' resources remotely. The process only requires investors to deposit the cryptocurrency of their choice, and cloud mining providers are responsible for the rest. The token will then generate revenue, representing the share of any mining bonus. This share will be proportional to the amount deposited in the cloud mining site. Please note, however, that it is essential to conduct a comprehensive study of the legitimacy of the provider. The reason is that many cloud mining platforms are actually scams. There are many cloud mining projects available.
To learn how to enter a cryptocurrency, you must first choose a reputable and trustworthy cryptocurrency exchange. In fact, all the ways to make money discussed above have one thing in common. In other words, in order to get rich through cryptocurrency, investors need to choose the right platform to promote related transactions. In this regard, we find that OKX is one of the best cryptocurrency moneymaking platforms on the market. First and foremost, OKX lists the newly encrypted tokens that have recently been pre-sold. A good example is Tamadoge, which was accepted by OKX as its first exchange after raising $19 million in pre-sale funds. It is essential, however, that OKX does not list tokens without due diligence. In fact, very few tokens can pass the strict OKX verification procedure. Another bright spot for OKX is the revenue generated from cryptographic assets. Including one of the best pledge facilities on the market, OKX provides double-digit APY for a variety of tokens. OKX also provides alternative DeFi encryption profit services, such as interest accounts, liquidity mining, dual investment and so on. Those who want to trade cryptocurrencies during the day may also consider OKX for a variety of reasons. Most importantly, OKX has more than 600 tradable markets and a high level of liquidity and trading volume. In addition, OKX provides a very competitive fee structure. For example, the spot market charges only 0.1 per cent commission per slide, or $1 for every $1000 of trading. For those with large trading volume and holding OKB tokens, they can enjoy a lower commission. OKX also makes it easy to buy cryptocurrencies for the first time because the exchange supports debit and credit card payments.
All in all, there are many ways to make money with cryptocurrency. While some approaches focus on short-term returns, others focus on long-term value-added. One of the best mechanisms for value investors to consider is to buy high-quality cryptocurrency projects that are still in their infancy.