{"id":4100,"date":"2020-06-30T06:58:31","date_gmt":"2020-06-30T06:58:31","guid":{"rendered":"https:\/\/paybis.com\/blog\/?p=4100"},"modified":"2024-10-30T13:25:46","modified_gmt":"2024-10-30T13:25:46","slug":"how-to-make-passive-income-with-cryptocurrency","status":"publish","type":"post","link":"https:\/\/paybis.com\/blog\/how-to-make-passive-income-with-cryptocurrency\/","title":{"rendered":"How to Make Passive Income With Cryptocurrency – 13 Ways"},"content":{"rendered":"

Cryptocurrencies are constantly evolving. Faster transactions, better features, improved roadmaps, and now, the ability to create an additional income source.<\/span><\/p>\n

If you want to learn how to make passive income with cryptocurrency, you are in the right place.\u00a0<\/span><\/p>\n

This article will help you get a better understanding of the concept and<\/span> show you how cryptocurrencies can earn you money on a regular basis<\/b>.<\/span><\/p>\n

Before we talk on how to make money off of cryptocurrency, let\u2019s start with the basics.<\/span><\/p>\n

What is passive income?<\/span><\/h2>\n

Passive income defines recurring earnings that happen without any action taken<\/b> on the part of the individual (passive). This means that your current assets or prior actions are now generating cash flow that needs no overview on your part.<\/span><\/p>\n

Is it even possible to make a passive income?<\/span><\/h3>\n

The idea of passive income has been massively inflated by Youtube and the Social Media culture. Everyone has at least once come across posts that look like this:<\/span><\/p>\n

Millennials, which form<\/span> one of the biggest audiences<\/span><\/a> for cryptocurrency, entertain the idea of passive income programs more than any generation before them.\u00a0<\/span><\/p>\n

But is it possible for everyone to start earning money on autopilot<\/a>?<\/span><\/p>\n

Well, the power of the internet gives everyone the opportunity to earn passive income with cryptocurrency!<\/span><\/p>\n

But it is a little more complicated than 10-minute Youtube videos. If passive income was as easy as everyone describes it then we would all be world travelers and living off their favorite coin.<\/span><\/p>\n

The truth is that crypto-based passive income requires some work to set up a system that works in your favor.<\/span><\/p>\n

Therefore, in the next chapter, we will show you 12 realistic ways to earn passive income through crypto.<\/span><\/p>\n

13 Ways to make passive income with cryptocurrency<\/span><\/h2>\n

Not many people are experienced, cryptocurrency investors. And even less understand how to earn passive income through it. Choosing one of the following options is a good place to start.<\/span><\/p>\n

1. Cryptocurrency Mining<\/span><\/h3>\n

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Want to know how much you can earn by \u201cexploiting\u201d the power of your computer? Mining cryptocurrency has been very popular ever since the early days of Bitcoin.\u00a0<\/span><\/p>\n

Before exchanges helped investors to buy and sell coins, mining was the only way one could use to obtain coins. Today, mining is still popular, with most miners being part of larger <\/span>mining pools<\/span><\/a>.<\/span><\/p>\n

So, how can your computer earn passive income through BTC mining?<\/span><\/p>\n

How to make passive income with mining<\/span><\/h4>\n

The process of <\/span>cryptocurrency mining<\/span><\/a> is one of the best ways to earn passive income. And here is a quick walkthrough of the steps you need to take:<\/span><\/p>\n

    \n
  1. Decide which coin you want to <\/span>mine<\/span><\/a> by checking their specifications.<\/span><\/li>\n
  2. Calculate your costs<\/span><\/a> to determine if your investment will pay off.<\/span><\/li>\n
  3. Purchase mining hardware<\/span><\/a> that can support your operations.<\/span><\/li>\n
  4. Install the open-source mining software that supports the coin you chose, and start mining cryptocurrency. <\/span>Simplemining.net<\/span><\/a> is a great choice.<\/span><\/li>\n<\/ol>\n

    How much do you need to invest?<\/span><\/h4>\n

    Before you start, there are three expenses you need to keep in mind.<\/span><\/p>\n

      \n
    1. The price tag of your miner ($200-$2000 <\/span>depending on your needs<\/span><\/a>).<\/span><\/li>\n
    2. The cost of electricity (depends on the miner).<\/span><\/li>\n
    3. Fees you need to pay when exchanging your coins for FIAT.<\/span><\/li>\n<\/ol>\n

      You will also need to make sure that your computer can support your miner or mining rig. If it doesn\u2019t, you may need to upgrade your computer\u2019s power supply or your Motherboard.<\/span><\/p>\n

      How much can you earn from Bitcoin mining?<\/span><\/h4>\n

      Wondering how to earn money from Bitcoin mining? While you can setup a basic mining rig for approximately <\/span>$3000<\/span><\/a>, the more passionate often invest up to <\/span>$10.000<\/span><\/a>.\u00a0<\/span><\/p>\n

      And while you may think this is a good idea, Bitcoin mining is not as rewarding as it once was. As of <\/span>December 2019<\/span><\/a>, BTC mining is not profitable for US citizens.<\/span><\/p>\n

      Since electricity costs and hash power differ depending on the location and setup, it is hard to give exact ROI numbers. What you can do, however, is to use a mining <\/span>profitability calculator<\/span><\/a>.\u00a0<\/span><\/p>\n

      Enter details of your miner\u2019s hashing power, power consumption, cost per kW, and the fee of your mining pool to see how much you should be earning.<\/span><\/p>\n

      If the earnings are below your expectations, consider mining less popular coins that can still offer decent returns. <\/span>Here is a list<\/span><\/a> of the latest trending options.<\/span><\/p>\n

      2. Staking<\/span><\/h3>\n

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      Staking is the process of locking up a certain amount of funds (coins) in your personal wallet, in exchange for a small amount of interest that is paid out monthly. This reward is also paid in digital currency.<\/span><\/p>\n

      How to make passive income with Staking<\/span><\/h4>\n
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      1. Find out which coins have a <\/span>POS<\/span><\/a> (Proof of Stake) consensus model. These are the only coins that entail a staking mechanism.<\/span><\/li>\n
      2. Discover the best staking coins through <\/span>personal research<\/span><\/a>. Check for lockup period, volatility, staking rewards, etc.<\/span><\/li>\n
      3. Buy a certain amount of coins and store them away in your wallet. Note that some coins will require you to \u201cfreeze\u201d your coins for a certain amount of time while others will start paying out rewards the moment your coins are stored.<\/span><\/li>\n<\/ol>\n

        To see the most popular staking coins in 2021, <\/span>click here<\/span><\/a>.<\/span><\/p>\n

        How much you need to invest<\/span><\/h4>\n

        This will highly depend on the coin you choose to use for staking purposes.\u00a0<\/span><\/p>\n