Most people that take an active interest in investing are constantly looking for new opportunities to bring them great returns. Unfortunately, many of the traditional options are not generating impressive returns. Luckily, they can consider investing in cryptocurrency and earn some profits.
However, you may still be wondering, “How can I earn cryptocurrency?” There are several ways you can earn cryptocurrency and grow your wealth. And because Bitcoin is the most popular digital coin, you should look into how to earn Bitcoin as you start and then move onto other digital currencies. But one thing you need to note is that the cryptocurrency market is very uncertain because of the volatility in the digital assets’ prices. As you work to earn your crypto, you should implement some risk management strategies such as diversifying the coins you invest in to avoid heavy losses.
Ways to Earn Crypto
If you want to know how to earn crypto, here are some of the ways you can acquire digital currencies through less risky methods, and at times, without so much effort:
1. Earn crypto by mining
While mining is an excellent way to earn crypto, you cannot use it to acquire some digital coins because it does not work for all of them. Contrary to the popular notion that mining is getting as many coins as you can for yourself, the entire process is a bit complicated.
Mining entails using your computer to work out complex mathematical problems that validate transactions blocks. This is because all digital coins are already created within a protocol, and all that is needed is to verify them, they become accessible on the market.
If you are the first to validate it, you get a piece of the virtual token you validated. The first step to successfully mining crypto is to know the requirements to mine, which depend on the coin you intend to mine. For example, Bitcoin mining needs advanced equipment, like Application-Specific Integrated Circuit (ASIC), but you can mine other cryptocurrencies with an ordinary computer.
However, if you want to earn Bitcoin by mining, you can avoid investing thousands of dollars to begin the mining process. You can join existing mining networks by paying a fee and work with other members to mine But you should bear in mind that you have to split the rewards among the members whatever rewards you manage to get. Among the crypto options, coins you can mine include Ethereum, Litecoin, Monero, and Dash.
2. Earn crypto by earning interest on your coins
After acquiring a few digital coins like Bitcoin, you can earn more crypto from your assets by depositing them into interest-earning savings accounts with crypto exchanges like YouHodler. This is a better way to earn crypto passively instead of keeping the digital currencies idle. For example, YouHodler allows you to earn interest of up to 12.3% per year on your deposits. You can earn interest on Bitcoin (BTC), USD Coin (USDC), Pax Gold (PAXG), True USD (TUSD), etc.
To earn crypto as interest with YouHodler, you need to follow the following steps:
- Deposit your digital coins into a saving account with YouHodler. If you do not have any accepted cryptos, you can convert fiat money or other cryptocurrencies to an accepted coin.
- After the cryptos have been transferred into your savings account, your first weekly payment period count down begins
- When the weekly payment period ends and your coins are still in your savings account, the earned interest is deposited into your account. You can withdraw the interest paid or keep it in the account to earn more money. You need to note that you lose the interest accumulated during the uncompleted week if you withdraw the digital currencies you have deposited before the weekly pay period ends.
One of the most significant advantages of using YouHodler to earn crypto interest is being able to download the earn cryptocurrency app like Swyftx that allows you to explore the platform’s user-friendly savings account, loan process, and even trading tools. You can monitor your accounts on the earn crypto app to remain updated and make wise decisions.
However, you must be careful when earning crypto by depositing with savings accounts from crypto lending platforms. This is because they lend out the coins to borrowers, which can increase the risks on top of the in-built cryptocurrency risk. Therefore, you need to choose the platform on which you deposit your coins wisely and only use reputable and trusted exchanges such as YouHodler. Also, take other measures like diversifying the platforms.
3. Earn crypto by buying
Buying is the most straightforward way to acquire crypto, as is acquiring most things in life. It is pretty easy to earn Bitcoin by buying because you only need to visit a Bitcoin ATM and use cash or a credit card to pay for them. However, Bitcoin ATMs have high charges, so they may not be the best option.
You can also buy cryptocurrencies from exchanges, and you can do so online. The beauty of purchasing digital currencies from the exchanges such as Coinbase, Coinmama, Binance, Kraken, and others is that their transaction fees usually are low or reasonable and have many coins, so you have an excellent variety to choose from.
To buy cryptos on an exchange, you need to sign up to open an account, verify the account, and that’s all. You can use various modes of payment, such as credit cards and bank transfers, among others. The downside to buying cryptos using exchanges is that some of them need verification from your bank, and this may take several days or even weeks, delaying the process.
You can also buy crypto from individuals you trust, such as relatives, friends, or other people that may be referred you to. This buying method allows for flexibility but also needs caution to avoid losing your funds if the seller turns out to be fraudulent.
Conclusion
In addition to the above ways of earning crypto, you can also get your hands on digital assets by performing online tasks and getting paid in cryptos. You can also get them by bonus gambling, taking, and other methods.
