Earning Passive Income Online From Bitcoin
It has never been easy to earn passive income, even online where some say you can literally “make money in your sleep.” However, with the coming of blockchain, Bitcoin, and other types of cryptocurrencies, it is now possible to make a passive income online. But there is a risk because the easy income channels have made many people lose mind-boggling amounts of money through scams.
Some of the most well-known scams include the Tezos and Bitconnect scams. What this means is that it is not all that easy to make a passive income online from Bitcoin and other cryptocurrencies if you have not taken the time to educate yourself on the newest revolutions in the industry. Besides educating yourself, you need to rely on reputable Bitcoin trading sites for information and guidance, but that does not mean for you to neglect your duty of doing your research.
Some of the best ways to earn passive income online from Bitcoin include:
Among the easiest ways to earn passive income from Bitcoin is to buy good coins and retain (hold) them for some time. Good coins, in this case, are those that have impressive fundamentals and use cases that give indications that their value is going to rise over time. But the big question is: how do you identify good coins? Well, you need to rely on reputable sites and Bitcoin communities to get information on the coins that they deem good and those with a promising future. Besides, you need to do your independent research before deciding what good coins to buy and hold. After buying them, you should typically hold the coins for a period of six months to two years and then sell them on the market, and you can do this online on websites such as Nakitcoins and others. Get your principal amount from the sales amount and you are left with your profit.
This is another excellent way of making passive income in the cryptocurrency world. It involves buying and holding your crypto coins in suitable wallets, and you get regular payouts for it, which are profits. The token balances normally perform crucial network security functions. With staking, you need to maintain the wallet online most of the time to get the dividends, which are normally paid in the native cryptocurrency referred to as the staking reward. Some of the coins that you could stake include Komodo, Neblio, BTMX, Nav Coin, and PIVX.
Trading is simply buying the coins when their prices are low and selling them when their prices rise, say by 10 to 30 percent, or to whatever figure your target price is. To use this method to earn from crypto, you need to be good with technical analysis and projecting the price movement using analytical tools. You can also earn from this method by being keen on the market to make buy and sell decisions depending on the fundamental developments and news on certain coins. Day trading, as well as seasonal trading, has turned out to be a massive income-generating channel for a sizeable number of Bitcoin users.
The basic concept of lending dates back many centuries, and the same idea can be applied to Bitcoin and other cryptocurrencies like Ethereum. You need to have a significant amount of Bitcoins, Ether, or any other cryptocurrency and lend it out to people or businesses who will repay it with interest, thus earning you extra Bitcoins or Ether. You could also engage companies that help to lend out your Bitcoins so you do not get involved at all but just receive your profit after the lending company gets its share.
There are other ways of earning passively from Bitcoins, and they include getting cryptocurrency dividends by holding them offline, receiving airdrops where you get new cryptocurrencies added (dropped) into your wallet depending on your current holding, and others.