Cryptocurrencies are still in their infancy, but there are
already thousands of iterations, and their market value is in the hundreds of
billions. They are already big business, and it is in all of our best interest
to get on board with cryptocurrencies in one way or another. They are both an
investment and a currency all in their own, so consider earning cryptocurrency
with any of these options:
Buy Cryptocurrency
Buying
cryptocurrency just as an investment is a perfectly reasonable strategy.
Even if the price drops, you are banking on its lifetime value over the years,
not a few days or even months. Bitcoin used to be worth $5USD per coin, now it
is worth around £8000, though its exact value fluctuates by hour. As
cryptocurrencies become more widespread and popular amongst traders, that value
is only set to increase as an average. If you don’t like the risk associated
with trading, buying, and waiting for a great way to earn money through value
increase.
Trade Cryptocurrency
Rather than buying cryptocurrency and sitting on it, which can be a brilliant strategy, you will be trading it. This means in simplest terms that you buy low and sell high, or that you trade different cryptocurrencies to take advantage of the price differences to make a profit. You can make this process a lot easier as well by using trading software to set up automated trades and to better monitor the market on the go.
Request Payment Via Cryptocurrency
If you have the option, you can actually just ask to be paid with cryptocurrencies
or offer your customers the option to pay you in cryptocurrencies. This is a
great way to earn them without any risk to your capital, and you won’t need to
pay tax on that income until you cash out your Bitcoin into bank-regulated
money.
Take Advantage of Airdrops and Forks
If you trade with Bitcoin or other cryptocurrencies, you can
actually earn free coins all the time. New technological breakthroughs often
mean new currencies, and coins are given away, as a result, to bump up their
market. These free coins often have two names, Airdrops,
which are tokens given away freely to market new coins or projects. The second
is a Fork, which is a change in the tech that physically splits a coin in two,
creating new cryptocurrencies that your money will automatically be converted
to.
Mine Cryptocurrency
The last option is certainly not an option for most people
on an everyday basis, though it did use to be. Mining for Bitcoin used to
require nothing more than a computer, but today you will need very specialised
tools.
Mining is a part of the Proof of Work consensus, and it is
one of the first and oldest ways to earn money with cryptocurrencies. They are
the ones that make new coins through block rewards, though the amount of coins
that can be created is limited. Though it is unlikely you will get involved in
mining, it is a good idea to understand its basic mechanics when looking to
trade, earn, or work with cryptocurrencies.
