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7 Ways to Make Money in Crypto

 

 

How to make money in crypto – a free guide

By now I’m sure you’ve heard about this crypto thing. Key words such as Bitcoin, Ethereum, alt coins and blockchain technology are becoming main stream as more money and more interest pours into the space. The industry has been landing 18-year-olds in brand new Lamborghinis, revolutionizing money and freaking out the oligopoly power banks have held over global populations for decades.

But when it comes to you making money in crypto, it may all seem a little overwhelming.  Well, investing in crypto is not as difficult as you may think. These days, digital assets are a hot topic in the vast financial world as the revolution of blockchain and crypto technology is transforming almost all areas of money, investment, commerce, contract law, intellectual property, supply chain security and much much more.  In fact, the technological capabilities of the blockchain are so powerful, they are set to revolutionize almost every business globally just as the internet did since its inception.

Countless new business investment opportunities are making millionaires of the people who support and embrace cryptocurrencies, distributed systems, decentralized entities and the blockchain that powers all of it. Ultimately, whether you or the big players like it or not, digital assets, smart contracts and hard money are the new way of doing business; nothing can stop them, and they will be the foundation of the biggest wealth shift in the history of mankind.

Since the Bitcoin white paper was first released in 2009, countless millionaires have been created by investing in this technology – not just as a buy and sell, but by changing the way they manage information, store data, execute contracts, trade and move money around the world almost instantly, with little to no fees. It is these innovative financial opportunities, among many other reasons, that so many are scrambling to learn how to invest in fast paced and ludicrously profitable world of crypto.

Beyond the technological advancements of blockchain development and the business innovation that comes with it, the more people trade digital assets, the more market caps rise and the greater the opportunities to make profits of a life-time become apparent.  It’s a perfect digital business storm that is creating more wealth than that seen in countless other industries combined!

If you are looking for ways to make money in crypto through identifying the greatest digital asset opportunities, using the world’s safest and most established platforms, and avoiding the scam sites (which there are many) then this video is for you. Note this video is for both the crypto newbie and veteran alike as I’ll discuss seven ways to make money in crypto – all of which will be new to the beginner, some of which may be methods the experienced crypto goer may have overlooked or underestimated.

To get started, one should understand that outside of making your own crypto innovation or appropriately incorporating the blockchain into your existing or new business, there are seven fundamental ways to make money in cryptocurrencies (which by now you’ve probably already figured out are typically referred to as cryptos).  Note these are not the only ways to make profits, but they are the key areas that will allow you to begin, expand and then innovate into even more profitable avenues. So, to get in on this wild ride and take a punt at insane returns, you could use any one, of or a combination of the following methods as a starting point to make money in crypto:

1. Fiat-to-crypto trading
2. Crypto-to-crypto trading
3. Storing crypto
4. Earning crypto
5. Lending crypto
6. Mining crypto
7. Staking crypto

For those with experience in the crypto land, you’ll notice that some of the aforementioned sound similar, but when you break each area down, you will in fact find, there are some distinct differences that should be considered to maximise your retruns.  This is not to say that you could not or would not use a combination of these methods, just that it’s handy to be able to make a distinction among each area.

So let’s explore each one in detail for you to consider.

1. Firstly, Fiat to crypto trading: If you are planning to invest your fiat money in crypto (fiat being that olden day money known as dollars, pounds, rupees, won, yen, euros etc), and then immediately pull your profits back out into fiat, then fiat-to-crypto trading is the perfect (and currently most popular) option for you. The portals that connect you to this vast world of cryptocurrencies are known as exchanges and there are so many out there, it can become a little overwhelming deciding which one to use. Thus, before choosing which exchange you are going to join, it is important to consider certain aspects such as validity, reputation, safety, crypto prices listed, spreads, fees and exchange rates relevant to the buy and sell. Note some of the more questionable sites also demand minimum deposit and withdrawal amounts whilst slugging you with an additional fee to move your money in or out of their exchange. Such sites should be avoided as there should never be a fee for depositing or withdrawing your money.

Fees, prices and rates aside, typically the biggest danger to first-time investors is experienced not through the act of buying and selling crypto itself, but rather, falling for a scam site that pretends to be an exchange when in actuality, it’s just a façade to steal every dollar you deposit without any possibility of ever getting any of your money back – irrespective of what growth crypto has made. To avoid either a scam site or an otherwise legitimate exchange with unreasonable fees or expensive crypto prices, only go through trusted portals such as www.thecrypto.land to take both the guesswork and risk out of the equation. 

When trading crypto, it is a legal requirement in almost every country to enter personal information (typically referred to as KYC – or Know Your Customer). Just like opening a bank account or setting up an email address, you will need to enter some personal information to not only validate who you are, but also add security parameters to your account. This will allow you to add payment and withdrawal methods to your trading account whilst complying with international anti-money-laundering laws. Because KYC does involve you sharing personal information, it’s even more reason to ensure you are never joining a scam site as getting it wrong leads to a greater long-term loss through identity theft.

It should be noted that leaving your crypto on an exchange for the long-term is not advisable. Exchanges should not be viewed as a bank account where you can keep your money (crypto or fiat). Some say that exchanges should be used like bathrooms: get in there, do your business, and then get out. How to properly store your crypto safely will be discussed in the third point to this video.

For now, when it comes to fiat to crypto trading, the absolute basics of making money is to buy low and sell high. This method is the most common with traders globally, but it’s only the beginning of making money in crypto. Please also remember, that crytpo profits are real, which means so it is your tax liability. Just as you would be subjected to a tax burden in other areas of making profits, so too is your responsibility to report crypto profits in your annual tax return. In the big picture, this is a good thing as governments legitimately recognise the value, hence tax liablity, in this fast money making power house of a technology.  My advice, keep good records, get a good accountant, be honest and report your profits to do the right thing by you, your country and the tax man.
Also note within this method, you can invest in coins before they are released on exchanges.  Initial coin offerings (referred to ICOs) or IEO (which stand for initial exchange offerings) are a tool for crypto creators to raise capital for their project from countless investors including you and me.  Similar to an IPO in traditional shares, investors are given the opportunity to purchase a portion of the company, coin or project prior to its launch.  ICOs have come under massive scrutiny and critism from many financial commentators as unlike IPOs, there is little to no regulation around the offer.  Consequently, countless ICOs have led to countless people being ripped off by investing in a coin that was either never going to launch or failed terribley as soon as it did.  None-the-less, ICOs and IEOs have infact returned unforeseen riches to the wise investor. Massively successful examples if ICOs include Ethereum, IOTA, NEO, and EOS to name a few.  Unfortunately, there are way more ICOs that have failed that have succeeded.  At the end of the day, if you’re using your fiat to invest in crypto, ICOs provide you with the absolute highest risk to reward ratio. Know that losing everything in an ICO is verly likely.  None-the-less, ICOs do provide an insanely profitable opporunity, if (and that’s a big if) you invest wiseley. When it comes to ICOs, a relatively small investment could see returns on par with some of the biggest lotto winners globally.  

1. The second way to make money in crypto, is known as Crypto-to-crypto trading: Similar to fiat-to-crypto trading, in this method, you use your crypto instead of fiat to trade or invest in other cryptos. To do so, you initially need to create an account on an exchange (just as you would on a fiat-to-crypto trading platform). Most exchanges that allow you to do fiat-to-crypto trading will also allow you to do crypto-to-crypto trading.  However, there are some crypto sites that don’t deal with fiat at all and only allow for crypto trades.  The problem for newbies using the crypto-only platforms is gaining access to any crypto to trade in the first place. This challenge is usually referred to as an “on-ramp” where users have to first establish a way to enter the land of crypto by getting their own crypto holdings in their own crypto wallets.  While buying crypto with fiat is likely the most simple and common way of doing so, crypto can also be earned through mining or earning crypto for goods and services. While mining crypto typically involves an investment in mining hardware (typically referred to as miners) then funding the massive amounts of energy required to power those miners, earning crypto can be as simple as asking anyone you have provided a good or service to, to pay you in crypto. We’ll explore these methods a little later, but for now, the main thing to remember when it comes to using crypto-to-crypto trading to make money is that some exchanges work with both fiat and cryptocurrencies, while others only deal with crypto. On this point, you may have heard of “stable coins” such as Tether or USDC.  Stable coins are used by traders to move their money in and out of other coins (such as Bitcoin, Ethereum, XRP,  and other alt coins) without the need to sell or liquidate into fiat currencies. Because stable coins are pegged to the price of the US dollar, it enables traders to quickly move in and out of the volatile crypto prices to a stable and constant priced coin (hence the term “stable coin”), without the need to entirely exit then re-enter the crypto markets. Stable coins do come with risks as there is a fear that if every stable coin were to be sold by every stable coin holder immediately, there would not be enough money in holdings to pay everyone.  This argument is fiercely debated within the crypto community as some do and don’t believe that stable coins have the liquidation (or financial backing) they claim.  In any case, stable coins have proven their worth and pending a crypto-dooms-day scenario, they are an integral part in crypto trading that avoids fiat currencies all together.

While we typically use the USD a global stable currency, we can see that this claim is quickly becoming a thing of the past as the endless printing of USD is in fact, making it less stable, more volatile and less reliable than other currencies such as Bitcoin. Many people, myself included, say that in several years, we won’t be valuing global assets against one US dollar, but more likely, against one Bitcoin, or bitcoin cent, known as a Satoshis. Concurrently, I argue that while other cryptos will be measured against the price of Bitcoin, Bitcoin itself will be measured against ounces of gold (not the price of gold) but how many ounces of gold can be exchanged for one Bitcoin and vise versa.  But that discussion is for another day.

Atomic swaps are also a popular method in trading crypto. They’re basically a peer-to-peer exchange of cryptocurrencies between two parties without any involvement of a third-party service (such as a crypto exchange as previously described). During this process, a user has full control of the private keys to enable the transaction. Private keys are in simple terms, a password to your crypto holdings. In an atomic swap, the two parties must verify the private keys amongst themselves in order for the transaction to be finalized. Atomic swaps can be a little more complicated than going to an exchange, but it does avoid the fees of an exchange.  Noting the risks involved with atomic swaps and realizing the relatively low fees on the best crypto exchanges, most traders (myself included) are more than comfortable with trading on an exchange in the spirit of speed, simplicity, predictability and security.
 

1. Next we have Storing cryptocurrencies: Storing cryptocurrencies is also a way to make money in the world of crypto. Parallel to fiat-to-crypto or crypto-to-crypto trading, by storing your crypto in the long-term, you can later withdraw or move that crypto out of storage to either liquidate it for fiat currency or simply use it with a seller who accepts crypto for payment.  In contrast to trading, long term storage may be anagaolous to putting money in the bank or burying it in the back yard – the only difference is however – if you save fiat money, it deals with inflation, hence goes down in value over time (particularly as inflation is higher than the savings rate), while typically, crypto, Bitcoin in particularly goes up over time.  And in case you’re wondering how much it goes up: well, about 600% in the past year, about 11 and half thousand percent in the last five years, 1.82million per cent over the past decade and a mind boggling 3.5million percent in the last 11 years.

To put his in perspective, uf you had stored just $100 worth of Bitcoin ten years ago, locked it away similar to a long-term savings account, you would now be sitting on more than $10 m. That’s right, your $100, would now be more than $10m (and about $25 m had you locked that same $100 away in BTC just one year before that). There is no other stock, company or entity in history that has performed that well – and no, it is not too late get on this crypto cash train as there is still only a tiny percentage of the world’s population who understand and invest in crypto today.   Moreover, the rapid development and application of crypto technologies is providing new opportunities in new areas, never before imagined. Bitcoin was the first, the biggest and arguably the best, but this doesn’t mean there aren’t other coins that haven’t experienced or are yet to experience similar returns.  

There are essentially three main ways to store your crypto: on an exchange (the least preferred), on a hot wallet (which is like a secure storage space on the cloud), or on a cold wallet (which is where you remove your crypto holdings from internet and store it on a secure hardware device that kind of looks like a fancy thumb drive).

Cold wallets also include paper wallets, but we’ll discuss those in a minute.  It is important that when buying a hardware wallet, you are not caught out by scam sites that send you hardware that has been compromised by the seller resulting in your crypto being stolen as soon as you transfer your funds (or technically your private keys) to it.  The way to avoid a compromised hardware wallet, is to ensure you never ever buy from a shadow or malicious site.  Further, never buy a used or second-hand hardware wallet and only ever shop for new devices through safe and secure sites such as www.thecrypto.land.

Opting for off-line storage (often referred to cold storage) through paper or hardware wallets is typically viewed by the crypto community as the most secure way of storing your crypto holdings as it protects you from exchange or system hacks. Hardware wallets are physical devices that store cryptocurrencies giving you complete control over your holdings. However, the risk in cold storage comes down to losing either the physical device itself, or the password to that device.  Lose either, and you lose your crypto forever – and no, there is no third party that can recover these lost coins. Anyone who states they can is a scammer and their business is not in recoving your crypto, but taking your money.

In the case of losing a hardwared wallet, there are horror stories of girlfriends throwing out the old laptops or storage devices of the early crypto adopters that contained tens of thousands of Bitcoin and other alt coins that would today be worth hundreds and hundreds of millions in dollars. Remember, with great power, comes great responsibility. The power to hold a technically unlimited amount of money on a small device comes with a great responsibility to ensure YOU secure it properly. This is part of the reason why cryptos are referred to digital cash or digital gold; lose either and there is no undo button to get it back. 

Paper wallets are the simple and fast way to cold store your cryptocurrency. You can create a paper wallet in seconds through a number of sites and then print out the public and private keys on a piece of paper to carry it with you. A paper wallet may be used if you’re going out for the evening and want to take some crypto with you to make purchases. This is similar to making a cash withdrawal from an ATM – you have the money in your pocket ready to go, but if you lose the cash or your paper wallet, there is no way of getting it back (hence in this scenario, you only transfer what you need to the paper wallet for the evening).  Just as you wouldn’t withdraw $1 million in cash to go out for drink at the pub, the same theory applies to using a paper wallet – only take or transfer what you need knowing it’s no big deal if you lose it.  Mind you, there nothing stopping you printing several versions of the same paper wallet to carry in different pockets. Just remember, you can’t double-spend any crypto as doing so goes against the fundamental power of cryptocurrencies – overcoming the double-spend rule where money cannot be infinitely copied.

A paper wallet enables fast, easy and anonymous purchases in the same way cash does. A paper wallet (or any wallet for that matter) will consist of a public and private key. These keys are a random string of numbers and letters that can also be printed as a QR code that you can scan to send or receive your funds. The same rule applies in making a paper wallet as it does with buying a hardware wallet – DON’T start the process with a scam site as any money you transfer to it, will be stolen and lost forever. To make a safe and free paper wallet instantly, again, go to thecrypto.land where you can create one securely within seconds.

 It’s important to note that when writing down a public key (also referred to as wallet address), that every character is exact. If there is one error in entering an address (even something as simple as a lowercase instead of an uppercase or vise versa), funds transferred can be lost forever. This is why the cut and paste method, or using a QR code is far safer than manual entry during a transfer of cryptos using a paper wallet, hardware wallet, crypto exchange site or via an atomic swap.

Another fun fact about paper wallets, is that you can use them as a type of cash gift to your friends and family.  Consider, instead of putting $20 of fiat in a birthday or Christmas card, try putting the same value in Bitcoin on a paper wallet and slipping that into the envelope.  Who knows, in doing so, you may have just made the recipient a multi-millionaire in years to come. Sure beats dirty fiat or a losing scratchie

1. Next up, and as described briefly before, you make big money in crypto, by Earning crypto: One of the easiest ways of obtaining or trading crypto is often overlooked despite how obvious it should be to all of us. The trading of time or products for money is well understood. That is, we go to work or do a side gig to earn some money. In almost all instances, that money earned is paid to us in fiat. With the exclusion of some behind-the-time governments who have banned crypto, there is no reason why you as a worker or seller cannot request crypto for the payment of your time, services or products. Ultimately, this is what cryptocurrencies are supposed to be used for at their core – digital money that is faster, fairer and harder. By harder, I’m referring to its inability to diluted through fractional reserve lending, quantitative easing or endless printing as we see with fiat currencies globally.
   
   The next time you have the opportunity to sell a product or service and then choose which currency you are going to be paid in, ask yourself this:
   
   “Do I want to be paid in a currency that has constantly gone down in value for decades, or, do I want to be paid in Bitcoin that has proven to constantly go up in value over the long run?”
   
   “Do I want a money that bank can confiscate or freeze at any time without my knowledge or permission, or do I want a currency that is entirely mine and immune from the absurdities of the prehistoric and corrupt fiat system?”

Once you make this distinction, you’ll begin to understand why so many companies are offering the payment option of Bitcoin and other cryptos when selling their goods or services.

1. Next at number 5, we have Lending crypto – Now this one is big. In the past, there were essentially only two main entities that could lend out money: Banks and loan sharks.  The power of crypto brings many financial innovations, but arguably the most exciting (parallell to smart contracts), is that of Decentralized Finance – typically referred to as DeFi. Through the utterly amazing designs, yet simple application of smart contracts, you can be a bank. Not to be mistaken with using, joining or aiding a bank, crypto enables you the individual to be a bank to not only hold money, but also borrow and lend it to the global market.
    

While so many facets of crypto are very real threat to the banks, DeFi is likely the greatest to the banking industry globally as it removes banks from the saving, transferring, lending and borrowing facets of all money entirely, this in turn leads the absurd power of banks to create new money through fractional reseve lending, being stripped from their vast profit making portfolio forever.  Once you start to understand these powers of crypto, you very easily understand why banks are desperately threatened by crypto, hence will throw endless critiszms against it. That is, banks don’t want you to use your money, they want you to use their money.

Lending crypto is enabled through the power of smart contracts where you lend your money through decentralized platforms to the market, resulting in a win/win scenario for both lender and borrower alike.  The lender wins through a reduction in administrative, capital and default risk, while the borrower wins through a reduction in interest rates and time wasted in speaking with the bank, preparing applications that will never be approved, or waiting for a prolonged response to a request that would be.

As a lender of crypto, you stand to make more money than any savings interest rates offered by any of the banks anywhere at any time.  Equally, you are earning interest in crypto (a currency that goes up in value over time), instead of fiat (a currency that is constantly being diluted thus going down over time). The best lending platforms on the market have been tested, approved and are listed on www.thecrypto.land if you’re interested in getting into incredibly exciting world of DeFi. Why on earth would you be a slave to a bank, when you can be your own bank?

1. Next at number 6, we have Mining crypto. Cryptocurrencies, in particular Bitcoin, operate on a decentralized model. This means there is no bank, central authority or single entity that holds and controls a list or ledger of every transaction made by everyone one every occasion. Unlike fiat money that is controlled entirely by centralized bodies such as federal reserves, governments and banks who can not only stop, lose or manipulate transactions, but also create money out of thin air through fractional reserve lending, quantitative easing and good old money printing, cryptocurrencies are controlled by everyone, which ironically means they are safer, fairer and faster.
   
   Using Bitcoin as the primary example, crypto transactions are recorded on the blockchain which is a decentralized, immutable, trustless ledger that is powered by crypto miners. A miner has a double-meaning of both a person or a machine.  That is, a crypto miner may be an individual (or entity) who has invested in mining hardware (aka miners) to power the blockchain.  Without miners, there would be nothing to power the blockchain. Miners (the machines) are expensive, noisy, hot and energy hungry devices that validate transactions on the blockchain and ultimately enable crypto transactions to occur while protecting the immutable and decentralized ledger of every single transaction in the history of Bitcoin.  Miners (the people) invest in these machines and their associated costs because of the rewards they receive for facilitating transactions. Just as a bank is rewarded a fee for enabling a transaction between two parties, miners are rewarded with Bitcoin for powering the blockchain that manages the decentralized global ledger.  The key difference between a banker and a miner however, is that a banker is paid with the fees taken from the user, while a miner is paid with Bitcoin “buried” in the code. It’s for this reason that the term mining was used to describe the process. That is, just as a gold miner invests in expensive and energy hungry equipment to mine gold from the ground, a crypto miner makes an analogous investment in mining the digital gold of Bitcoin, from the code.

Those who mined crypto in Bitcoin’s early days were able to mine thousands upon thousands of Bitcoins with nothing more than a laptop using very little power.  Mind you, at that time, one Bitcoin wasn’t worth much more than a cent or two. Fast forward to today, and you typically need expensive Application-Specific Integrated Circuits (referred to as ASICs) that use unforeseeable amounts of power to mine just fractions of a Bitcoin (referred to as a Satoshi). Despite the costs involved, because one Bitcoin is now around $40,00 at time of writing this article, mining is still a highly competitive and profitable way of making money in crypto.

For small-time or hobby miners, there are safe, easy and power-efficient ways of mining crypto through community mining pools where you can use your desktop or laptop’s spare computing power to earn Bitcoin Satoshi’s in the background.  The best and safest site to join in on the crypto mining phenomenon can again be found on www.thecrypto.land

1. Staking crypto. Some crypto currencies allow and encourage staking as part of their model. You may think of staking as a less resource-intensive alternative to mining. It involves holding certain cryptos in a specified cryptocurrency wallet to support the security and operations of its network. Simply put, staking is the act of locking away cryptocurrencies to receive rewards. Looking at staking through and olden-day paradigm, one may see staking as earning interest on a savings account. Though not technically identical, the outcome is more or less the same. That is: put money in the bank (or stake crypto currencies in a wallet), and you get a reward for doing so. The more you deposit or stake, and the longer you leave it in your account or wallet, and the more you’ll be paid. When it comes to rewards or interest however, saving fiat pays you in fiat while staking crypto pays you in crypto. And on this point, don’t forget which money typically goes up in value over time, and which one is GUARANTEED to go down over time.

In some cases, you can stake your crypto directly from your own wallet. In instances, many exchanges offer staking services to their users. The best sites to stake your coins and let you earn rewards in an outright simple way are listed on www.thecrypto.land.

Essentially when it comes to staking, all you have to do is hold your coins in the right wallet on the right exchange and you get paid – it’s really that simple. Staking is yet another reason why banks hate crypto. Why would you hold your money in bank that robs you of your savings through inflation, fees, account freezes, bail-in laws and a dismal interest rate that doesn’t even match inflation, when you could simply stake your money in crypto to avoid the nonsense of  banks while making massive returns?

This brings us to the end of today’s video buy let me emphasise, the 7 aforementioned methods are not the only ways to make money in crypto.  Just as there are countless ways to make money on the internet, the same rings true for crypto. We are just at the beginning of the biggest wealth shift in human history and it is genuinely becoming financially irresposibile to not have some investment of some kind in the crypto land.

Hopefully this guide has provided you with the foundation to get you started on your journey to building wealth through the power of crypto. Knowing these seven main methods to gaining financial freedom through the endless possibilities of blockchain technology will provide you with options in considering which path or paths you wish to pursue in the exciting and fast-paced land of crypto.  Don’t forget to subscribe to hit like, subscribe and that bell to keep up to date on all that is happening in the fast lane of all things crypto. If you’re new to buying crypto, there are how to videos on my channel that will take you through several processes step by step.

Finally, everything discussed in this vidow and more can be found on the one safe and simple site. www.thecrypto.land has been created to take the guess work out of the almost endless options out there by providing you with up-to-date in pertinent information, while listing only the fairest, safest and most crypto profitable sites with which you can join. Beyond crypto exchanges, you’ll find everything from hardware wallet providers, mining pools and trusted educational resources, to staking pools, crypto calculators, live crypto prices and other ways to earn crypto.

www.thecrypto.land will not allow advertisements of any links that have not been tested and proven over a long period. It is for this reason every crypto investor at any level is encouraged to bookmark the site as a useful tool to aid you in everything that is crypto.