Hi guys! There have always been a lot of uncertainties and question about how possible it is to earn money from cryptocurrencies. People always ask questions like is cryptocurrency scam or real? How much money can i earn from cryptocurrency? who Is eligible for cryptocurrency money? well hello! most of this question has been answered and in this post i will be sharing with you how you can get started on the journey of making money through cryptocurrency.
Before we begin let’s see a brief background of cryptocurrency.
Cryptocurrency industry just like every other industry has an invention history. It is believed that the industry started from the publication of the original bitcoin whitepaper by Satoshi Nakamoto. But in almost a decade later, the term bitcoin and cryptocurrency became popular to most people. By 2017, there came lot of question on how and where to buy bitcoin because the cryptocurrency got to the peak of yielding interest although the price of cryptocurrency fluctuated over the years is still increased greatly. Cryptocurrency has since inception created a fair share of the world’s wealth to those who bought the idea and invested early. For instance, we have Changpen Zhao Who use his gain and profit to start binance one of the greatest cryptocurrency exchange in the world. There are other examples which might not be covered in this post.
Many people currently ask questions like can i still earn from cryptocurrency? well yes although the early gains have already been made by early investors, the industry still provides opportunities for wealth creation. so yes you can still make money from cryptocurrency.
Now let’s start the real deal
How to make money from cryptocurrency
There are many and different ways to make money and more money from crypto-currency. Just like every other business Investment cryptocurrency investment is associated with a number of risks and require special knowledge and expertise. Some ways include:
This is one of the most common and profitable way of earning from cryptocurrency. It involves “buying and keeping”. Since the price of crypto asset grows it is generally cool to buy and hold. Imagine buy 10BTC for $100 in 2010 and by 2020 it cost $100000. Great gain right? that is how investing work. Due to the volatility of cryptocurrency, it is advisable to do long term investment.
Trading for profit
Just like investing, trading is another great way of earning from cryptocurrency. The difference between both is the period involved. Investing is long-term while trading in a short-term. Unlike investing, trading require special skills like the ability to read, understand and interpret technical indicators. Trading is more about understanding the price history and predicting future price of cryptocurrency but often in short Period of time. Trading cryptocurrency can be through buying real crypto coins or buying alternative derivatives like contracts-for-difference (CFD). By using contract for difference, you speculate price direction of assets without actually owning them.
This is one of the oldest way of making money from cryptocurrency and it still works. By mining you verify transaction and secure proof of work ( PoW) network. As a miner, you get rewarded with new coins through block reward for performing those functions. Mining initially could be done on any desktop computer but today it requires special hardware device.
Hope this post was helpful? You can comment below on any questions or ideas.