Ways to make money on Cryptocurrency
You will be able to earn over $1,000 a month from this article even as a novice. Let’s take a look at 5 simple ways to make money through cryptocurrency.
First method: retrodrops and airdrops, which do not require any initial investment. Hence it is the ideal option for beginners entering the crypto sphere without any capital outlay. The most successful means of making money through cryptocurrency is therefore Airdrops and Retrodrops.
The process of an airdrop involves distributing a project token as a reward for certain simple actions, such as following the project’s social networks or using the blockchain technology for reposting and liking posts.
A retrodrop is considered one form of an airdrop where tokens are awarded as loyalty rewards. The recipients of these tokens are users who have shown support for the project since its inception.
Retrodrops are given out for early actions; Airdrops reward early users for their activity at the beginning. Would a project give you money for such a simple action and an earlier time you were active?
In the initial phase, the crypto project has to draw in numerous fresh participants. This falls under the purview of a marketing tactic. The project needs to demonstrate its promise to future investors; hence, captivating the audience’s interest and establishing your identity is essential.
All you need is a crypto wallet and some spare time— you can scout for projects on well-known crypto platforms or even Telegram channels.
To illustrate, had you participated in the Optimism project in 2022, you would have received around $500-$1,000 per account on average. The following year, there was a substantial decline from the Arbitrum project whereby users were granted $1,500 or above per account.
Is every project in a sound financial position to distribute funds equally among all its users?
Not every project has the financial capability to disseminate funds evenly among all users. Consequently, certain individuals walk away empty-handed despite their high levels of activity. In some cases, drops aren’t distributed to anyone which means you could invest a significant amount of time only to receive nothing in return. Users are often left in the dark about whether or not they will receive a drop— let alone the terms or quantity involved. As such, it is essential for users to conduct due diligence prior to participation in any project as these details can impact your potential returns significantly.
You must, therefore:
However, there are exceptions again. An instance is a ZKC drop whereby several users complained of receiving very few tokens or nothing at all even though the project seemed highly promising and the audience number surpassed 1 million; still Not coin with 30 million users distributed more tokens.
The best way to earn money using cryptocurrencies is trading. It refers to frequent short-term purchase and sale transactions with the aim of making a profit based on price changes. To put it simply, I bought a coin at a lower price and sold it at a higher price. However, in order to make proper trades you should possess knowledge on various aspects including understanding the market participants work along with its patterns— risk management as well as other related details like those.
There are 2 main methods of trading:
For those who are new to cryptocurrency and looking to profit through trading, the recommendation would be not to deal with futures — but instead, try your hand at spot trading.
Trading in spots is simply the act of purchasing or letting go of the ownership of any financial instrument or asset without delay. The deal is sealed on the spot market, where what you see is what you get; the new owner takes possession promptly. Only way to make profits through cryptocurrency trading via spot: Buy low, sell high.
The trade of the future involves making a contract to either buy or sell an asset at a price that will be determined in the future. You are, thus, not actually buying an asset immediately, but buying or selling a contract. In trading futures you can make money both with the growth of prices and their decline. The primary basis for trading is the market analysis and forecast of the price dynamics.
Fundamental and technical analysis are the two main approaches to assessing and predicting the price behavior of cryptocurrencies. However, it is important to remember that there are many risks.
You can quickly earn $1,000 but lose it the next day. Therefore, it is very important to have solid knowledge and patience. Everything seems complicated, but with practice you can achieve a stable income.
The third way to make money on cryptocurrency is investing. Many people believe that trading and investing are the same thing, but this is completely false. Investing is putting money in cryptocurrency to make a profit or income in the future. In passive long-term investing, there is no immediate quick income. However, the risks are much lower compared to trading. With a properly constructed trading strategy you will be able to achieve decent passive income.
How to start investing?
You don’t need a huge amount of capital to start. You can start this type of activity even with $20 in your pocket. Which is why this is an excellent option for beginners.
This is the fourth way to make money on cryptocurrency. Already, every second school child knows what Notcoin, Hamster Combat, and Tap-Swap are. In a matter of months, crypto games have attracted the attention of many people. So It all started with Notcoin, where you just have to click on the screen.
In a short time, Notcoin became very popular as people wanted to earn money without doing anything, and they succeeded. When the Notcoin was listed, many people sold tokens for $100, $500, and even $1,000. After Notcoin was released, people saw how much they could earn on crypto games and began to join new projects.
Crypto games such as Notcoin, Hamster Combat, Tap-Swap, and others are games and applications in which users can earn cryptocurrency for performing various actions such as clicking, completing tasks, or participating in game mechanics.
Usually, the tasks are as simple as possible:
But you can also earn tokens by simply clicking on the screen and upgrading functions in the application. One example of a good project is Tap-Swap, the most promising crypto games as it has several interesting partnerships. Players collect coins by completing tasks. The game has a paid boost to speed up farming. The player’s task is to accumulate the maximum number of coins using the bot.
As practice with Notcoin has shown, earnings directly depend on you. You can earn both $10 and $500. There are several recommendations for increasing token earnings. You can try to create several accounts, but some projects may ban you for this, so you need to be careful.
This is a certificate that confirms your ownership of a digital asset. Such as an image, music, or item in the virtual world. It is created using blockchain technology, making it impossible to counterfeit. One of the main ways to make money from NFTs is by creating and selling them.
Whichever ones you want, and it’s not a joke. Here’s the digital toilet paper from the US brand Charmin that sold for $4,100. The first tweet from Twitter co-founder Jack Dorsey sold for $2.9 million. There is another way to make money from NFTs: investing.
But don’t forget about the risks. There are also scammers and scams in the NFT world. So always think about safety and do not fall for dubious deals. Also, remember that not every toilet paper or famous person’s tweet can sell for several million. This is the exception rather than the rule.
So we looked at the main ways to make money on cryptocurrency. However, there are many more.
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