Every person involved in the crypto community knows that cryptocurrency is the best way to optimize profits in 2021. The accessibility to cryptocurrency in these times have made it easier for potential investors and traders to start using the crypto sector to earn huge profits.
The cryptocurrency industry is the fastest-growing sector when it comes to digital assets. The blockchain technology that backs cryptocurrencies makes it simple and convenient for regular people to invest, trade, and own digital assets. For anyone looking to earn profits online during this pandemic can try their hand at the crypto sector.
Now, there are myriad different ways to earn using cryptocurrency. Some of the income sources are so easy that you only need to invest time and effort, and you’ll be able to succeed. Anyone associated with the crypto community will tell you that the only requirement to prosper in the industry is perseverance and the desire to learn.
Here we’ll talk about the possible ways to leverage to earn a decent income and get rich in the crypto sector.
How to Multiply your Crypto Income?
- Holding Crypto Assets
Purchasing and holding cryptocurrency is the process of stacking up profitable cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), RippleCoin, and LiteCoin. A Bitcoin wallet like Binance, Exodus, and Electrum is used to store or hold cryptocurrencies.
The purpose behind holding crypto-assets is to analyze and predict that the value of the cryptocurrency will rise in the near future. And, as you sell the crypto at a higher price than what you bought it for, you earn profits that are deposited in your account. Cryptocurrency can be a great investment option for people who believe in long-term investments.
In the crypto community, staking is popular as the alternative to mining, which involves the utilization of fewer resources. It’s locking up or investing your money in a cryptocurrency and earning more cryptos as interest. Another benefit of staking is that you get the price appreciation for the specific period you’ve held the asset.
Another term associated with staking is Proof of Staking (PoS). It involves the locking up of coins at definite time intervals, and the system randomly allocates one of them to validate the succeeding block. Various PoS cryptos will help you earn a decent income using staking. PIVX, WISE, DASH, NAV Coin, and Tezos are some of the best PoS crypto coins.
For example, WISE is an ERC-20 crypto coin that helps you earn huge profits in the form of interest when you lock up your funds in the WISE contract. Not only can you earn a 5% annual interest on your stakes but also regular bonus offers with your WISE contract.
Your stake in WISE is low-risk, highly flexible, high-interest yielding, and secure. You can liquidate your funds anytime and get the money in your bank account.
Crypto trading is similar to stock trading, where you rapidly buy and sell crypto assets to earn profits. Trading cryptocurrencies involves more risk, but if somebody can master it, they can start accumulating small profits every day.
For crypto trading, there are multiple cryptocurrency exchanges where you can purchase and sell profitable cryptos. Once you buy some assets, you wait for a couple of hours (also called intraday trading) or a few days and sell it when its price rises. You’ve got the option of buying and selling assets from different exchanges too. Your selling price minus the cost price of your crypto asset make up your profit margin. Most people associate high risk with crypto trading but it can engender more profits than investing if mastered.
- Bonus Tokens/ Coins
One of the most cost-efficient ways to earn profits using cryptocurrencies is participating in airdrop and bonus offers. In this process, you need to participate in the bonus programs and complete the required tasks. For every completed task, you’ll receive free bonus coins.
Another way of earning free coins is investing during ICO (Initial Coin Offering) of a cryptocurrency or during the initial phases of the launch of a coin as developers tend to give bonus coins to early investors.
It is probably the most popular way to earn cryptocurrencies. It’s the easiest as well. There are multiple ways to earn by investing in cryptocurrencies, ICO, through crypto exchanges, the direct partnership being some of them.
People believe that you can only earn profits when the price of the crypto assets you own appreciates. But it’s not the full story as you can also earn from your share in the project. This is why investing in new projects is always encouraged. You can also use the cryptos you own for payments and other transactions (depends on your crypto asset)
Create and Develop your Cryptocurrency
Now, after reading this heading, you might get scared and apprehensive. But, it’s not as difficult as you think. Yes, you can create and develop cryptocurrency on your own, and earn huge profits.
The only requirement to create your cryptocurrency is expertise in blockchain technology and a thorough understanding of the entire system. You must know how cryptocurrencies and blockchain network function.
To create your cryptocurrency, you should figure out the type of cryptocurrency you’d like to build. You must check if the type you’re thinking of developing is already created and patented. If you’re a venture capitalist or an investor in blockchain, you can hire a team of blockchain experts for the job too.
Once you’ve developed your cryptocurrency, you can start to sell it and offer it to potential investors via ICO or different exchanges. To be successful at it, you need to aggressively promote your coin and let investors know why they should be backing your cryptocurrency.
- Work to Obtain Cryptocurrencies
As cryptocurrencies become more popular and accessible with each passing day, companies are now using these digital assets for many purposes, including paying employees’ salaries.
The benefits of using cryptocurrency for payments are the security, transparency, and affordability it offers. It’s also more convenient to pay your freelancers through Bitcoin and other cryptos than paying cash through other methods.
If you’re a freelancer, developer, writer, or designer, you’ll find thousands of potential clients online who pay their freelancers through cryptocurrencies.
Certain companies give regular dividends to their stockholders. Similar to dividend-paying stocks, some cryptocurrencies also pay dividends to the holders. If you invest in cryptos like NEXO, BNB, etc., that pays dividends you will receive regular interests on your holding. What you have to do is, buy and hold these cryptos and keep on getting the dividends. You need not be a stakeholder in the crypto i.e. become a partial owner of the cryptocurrency to receive the dividends. Holding these cryptos is your digital currency wallet will give you the privilege of receiving a regular interest for your investment.
It is very simple to make money through crypto referral programs without making any investments. The basic concept involved here is that you introduce or refer a person to buy that particular cryptocurrency by sharing a link. You can generate the unique referral link by registering on the official website of the crypto and then share it with your contacts or potential buyers. If any person buys that crypto using your referral link, you earn a bonus. In cryptocurrencies like WISE, both the referee and the referrer get 10% bonus tokens for every cryptocurrency purchased.
- Sell for Cryptocurrencies
Cryptocurrencies are digital money and do not need to be converted to other currencies to online or offline transactions using this mode is becoming very popular. Any merchant or entrepreneur can register on the cryptocurrency platform and accept this mode of payment to sell their product or service. Bitcoin and Ripple are amongst the most popular cryptocurrencies that can be easily transacted and if you are a seller, you can accept this form of payment and increase your sales.
The Final Verdict
If you’re looking at cryptocurrencies as a potential avenue to optimize your profits in 2021, you’re far-sighted and more practical. In these times, when the world is just opening up from a disastrous lockdown that had terrible repercussions on the global economy, the digital world seems to be the way forward.
It’s the right choice to invest, trade, and use cryptocurrencies to earn huge profits in 2021. You might think it has more risk associated with it, but this is actually the time to leverage the crypto market. It’s a long-term investment you’re making. You can lower your risk by diversifying your portfolio and hiring a financial expert who understands cryptocurrency.
The 10 points listed above are proven techniques to optimize your profits. If you can make your way into the crypto community, you’ll start earning massive profits, and it’ll become your primary income source. Choose the method most suitable to you, work towards it, and start seeing solid returns.