7 Ways to Make Money from Crypto in 2023
Are you interested in making money with cryptocurrency? This article was written to provide information on how to earn money. People have recorded good success from trading crypto, but there are still many more who haven’t tapped into it yet.
If you’re still figuring out how cryptocurrency works or want to expand your ways of earning from it, you have to read through this article, which has provided educational information to help you make money in the crypto market.
This won't be an article about how to make $100 a day trading cryptocurrency. This article might make you want to learn more about how to make money from cryptocurrency every day.
We can't deny that most people are interested in crypto because of the money people have made with the numerous opportunities in the blockchain space. It would be good to also note that people do fail to accomplish that dream due to lack of knowledge or because they get demotivated due to bad experiences like cryptocurrency scams.
The cryptocurrency market is still in its early stages of growth. As the value of crypto-assets rises, more people enter the market. These newcomers are continually looking for methods to profit from cryptocurrency.
The good news is that there are numerous methods to profit from cryptocurrency. Since 2011, the bitcoin business has seen a steady rise in the number of start-ups, the number of developers getting involved, and the number of social media posts.
We'll look at 7 ways to generate money with cryptocurrencies in this article:
Cryptocurrency may be used to create money. In general, crypto assets are high-risk because of their volatility. Some require knowledge or skill in a certain field.
There are multiple ways to earn with crypto. Here are seven ways to put cryptocurrency to work for you and make money.
Buy and Hodl Cryptocurrency
Investing in crypto requires you to have the knowledge of researching to identify assets (coins and tokens) that have good potential, in the long term, understanding the market possibilities.
While they may be volatile in the short-term outlook, the right coins will have a huge growth rate if you buy and hold (hodl) for the long term.
In crypto, doing proper due diligence on blockchain projects is key to identifying gems. The reason you see the common term "DYOR" meaning "Do Your Own Research.
Staking your Crypto
Staking involves holding or locking your funds in a crypto wallet in order to participate in maintaining the processes of a proof-of-stake (PoS) based blockchain system.
Proof of your stake is then used as a way of accessing your coins to validate transactions. Once it’s validated, you will receive rewards such as a pre-stated interest rate for the use of it.
The reward you are given is quite similar to how a bank would give you interest for a certain credit balance. Their list of cryptocurrency networks that have the staking opportunity, coinmarketcap, has helped create a list of top staking networks in the crypto market by market cap.
Lending
You can also earn money from crypto by lending your coins to high-end investors. You can get a different interest rate based on how many and what kind of coins you're going to lend to someone else.
Many crypto platforms, like CoinRabbit, BlockFi, and Nexo, have interesting offers for people interested in crypto lending. With Decentralization technology, technology has enabled more financial activities on the network with DeFI.
We see the lending of crypto assets as a tool that brings utility to the assets on the network.
Creation of crypto-related content
A large number of crypto platforms will either reward you for creating crypto-related content, or they’ll hire you to curate and come up with content for the coins related to their platform. For example, Dogecoin may hire a writer to write articles on the use of Dogecoin, the prices, and how to invest in it, and the writer would then be paid in Dogecoin.
Even better, a platform could create its own blog to post information about its native coin and hire content creators to market said coin or create content that’d appeal to newcomers who are trying to find their way into crypto.
Airdrop Crypto
The term "airdrop" refers to a system deployed by a blockchain project to reward early contributors with their crypto assets. There are many different things you can do as a member of the community. You can also do different tasks and be active on its platform.
If we can recall, in 2020, during the COVID period, we saw a big trend of airdrops for DEX early users. For example, UniSwap rewards its users with more than $1,000 USD in its native token. Airdrops have been a great way to earn crypto assets in the space.
As someone who is exploring and looking for opportunities, you may come across this as a way to begin earning.
The blockchain industry keeps evolving, and we see new projects using this system to build their community and create awareness for their platform. Read more about airdrops here.
Mining cryptocurrency
This method is closely related to how the original pioneers of cryptocurrencies earned money. It is a crucial component in the proof of work mechanism that operates in cryptocurrencies. It is how the value of cryptography is generated. When mining crypto, you are often rewarded with new coins.
However, to mine, you need to have extensive knowledge and experience, as well as upfront investments.
There is a list of equipment needed to start mining competitively, especially for the Bitcoin network, as the reward has been halved over time. This
difficulty in the network has made it more energy-consuming and we need to implement a good cooling system to ensure the rigs don't get overheated. With research, you can always discover new opportunities in mining that will reward you and put less demand on you.
Become a Trader
While the other methods of earning from crypto-like investing may involve long-term methods before money is earned, trading is one way to earn that makes use of short-term opportunities.
The crypto market has always been volatile, which means the price of your assets can have a bull run and at the same time be bearish in a dramatic way over the short term.
To be successful in trading crypto, you have to be good at technical market analysis and evaluation. You’ll have to analyze market trends and charts on the performance of listed assets to make accurate predictions.
When you trade, it is advisable to pick either a long or short position, which depends on whether you expect the price of a crypto asset you own to have an upward trend or a downward movement.
This will help you make a profit regardless of how the crypto market reacts at any given moment. You can also learn about different types of traders in the market: short-term, scalpers, and long-term traders.
Obiex made trading easy by giving an opportunity to trade arbitration in the market without charts. All you need to do is buy and resell your crypto asset with different price actions. This happens with zero network conformation, making your trade instant with less risk of market drawdowns. (You can also quickly convert your crypto assets into cash.)
Trading crypto gives you access to different channels of wealth creation.
Get into NFT
NFTs are one-of-a-kind digital assets that can be traded like any other marketplace item and are subject to the standard market laws of demand and supply. Like any other collectible item, they rise and fall in value due to supply and demand, as well as factors such as the artist's reputation.
If you believe an artist's reputation will grow over time, purchasing NFTs of their work now can be extremely profitable.
For example, a visual artist like Anthony Azekwoh, who has created well-received visual art and is quite popular on social media, is the ideal type of creator to invest in because demand for his original work will increase as his reputation grows.
Value of any NFTs you own of original Azekwoh work will go up when there is a lot more demand than there is supply. You can either sell them for money or enjoy having "an original Azekwoh."
If you'd rather create art, you can sell your content on NFT marketplaces like OpenSea, SuperRare, Foundation, and Axie Marketplace. Once you make sales, you will be paid in ether (ETH).
Conclusion on ways to make money from Cryptocurrency
After reading this article, you should have a good idea of how to make money with cryptocurrency. Before investing in order to make a safe and profitable investment, you must conduct research. Twitter is the best place to get the most up-to-date information on the crypto industry.
It is critical to understand cryptocurrency before engaging in any money-making activities.
You should thoroughly research the market's ups and downs.
One thing you must remember is to have your wallet ready before you begin your journey.
Disclaimer: This article was written by the writer to provide guidance and understanding of cryptocurrency trading. It is not an exhaustive list and should not be taken as financial advice. Obiex Finance will not be held liable for your investment decisions.
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Josephine Inika
Josephine Inika
