The process of making money from cryptocurrency in 2022 is easier than ever.
Guess what? We have seven proven ways and strategies how to make money with cryptocurrency in 2022.
So, lets dive in.
1: Investing (Main stream of making money from cryptocurrency)
1.1: What is investing?
In cryptocurrncy, we define investing as:
Simply buying and holding crypto assets for a longer period of time for higher gains.Modernage
Crypto assest is any coin or token that uses the blockchain technology.
1.2: Skills required for investing
In 2022, making money from cryptocurrency is super simple. You do not a college degree to be an investor.
All you need is to do proper research and check which crypto asset have a bright future.
You must have information about the fundamentals of that crypto asset. What they have plans for the future.
1.3: How you will earn as an investor?
Crypto market is super volatile. Unlike forex market, crypto market is not a stable market. The price fluctuations are high in short term trading.
But when it comes to long term investment, any crypto assest with good fundamentals will give you huge gains.
1.4: Some good options to invest
You can invest in bitcoin(BTC), etherium(ETH), cardano (ADA), polkadot(DOT), Solana(SOL), polygon matic(MATIC) etc
The term investing refers to the phenomenon where you put your money and forgets for a longer period of time.
Whereas the term trading refers to the short term gains. While crypto trading , a trader usually prefer short term oppurtunities and gains.
2.1: What is trading?
We define trading as:
Buying and selling of crypto assets to short term gains and profits.Modernage
While trading we long or short the positions. That means we can gain profits in bullish as well as bearish market.
2.2: Skills required for trading
Trading is a difficult way of making money from cryptocurrency as compared to investing.
Technilcal analysis and fundamental analysis are the prerequisites for trading.
Technical analysis is the study of charts of crypto assets.Modernage
You must have the skills to do technical analysis so that you can guess the next move of the market.
2.3: Make money as a trader
It is a fact that trading is difficult from investing. Yet it is the most common way of making money with cryptocurrency.
Due to volatility of the crypto market, it is easy to make money as a trader if you have the required skills.
In trading, you buy crypto assets for a shorter period of time from few hours to few days. When you are in gains, you sold the assets and get the profit
2.4: Some good options for trading
You can trade in etherium(ETH), solana(SOL), polkadot(DOT) and polygon matic(MATIC) are few good options for trading.
3.1: What is staking?
We define staking as:
Staking is a way to validate the crypto transactions.Modernage
3.2: Skills required to make money from staking
You must have basic knowledge of buying and selling of crypto assets. You have the knowledge of transferring the crypto assets from one wallet to another.
The skills mentioned above are easy to learn. It is one of the easiest ways of making money from cryptocurrency.
3.3: How staking works?
You buy some crypto assts and instead of spending the assets, you stake the assets or lock the assets in a crypto wallet.
A proof of stake network uses your coins to validate the transactions. After validating the transactions, they earn some coins as reward which they also share with the coin owners.
3.4: Some good options for staking
You can stake polkadot(DOT), CAKE etc. These are few optons by which you can make money from cryptocurrency as a staker.
4.1: What is lending?
Lending of crypto assets is also a very easy and profitable way. By lending your crypto assets you can make money from cryptocurrency.
We define lending as:
Sharing your crypto assets with other experienced traders and investors and earning money through interest.Modernage
4.2: Skills required to make money from cryptocurrency by lending
Like staking, lending is also one of the most easiest ways of making money with crypto. In 2022, there are numerous platforms that offer their services.
By using those trusted platforms, you can share your crypto assets safely with a matter of few clicks.
4.3: How lending works?
In lending, you lend your crypto assets with other experienced traders and investors.
These traders and investors will use your coins to gain profits. You will get your commissions via the platform you used.
4.5: Some good platforms for lending
BlockFi, Nexo, Celcius and Binance are few good options for lenders as well as borrowers.
5: Mining (Main stream of making money from cryptocurrency)
Mining is crucial part of proof of work mechanisim.
5.1: What is mining?
We define mining as:
A way by which new units of digital currency is created and added to the blockchain.Modernage
5.2: Skills required to make money as a miner
Mining is the most difficult and capital consuming way of making money from cryptocurrency.
You must have technical expertise on how the blockchain technology works. You can also read our detailed guide on how the blockchain technology works here.
When you are staring you must have a handsome investment for hardware as well as for the electricity consumption.
5.3: How you can earn as a miner?
As a miner, you validate crypto transactions with you computer or other hardware. After validating the transaction, you will earn some coin as a reward.
Most of the time they reward you with the platform’s native coin. You can use that coins for trading, investing, staking, lending or whatever you wants.
When a new project is launched, they dedicate some coin for the awareness of the project among the normal people.
The team behind the project giveaway these coins as a lucky draw. They want you to follow them on their social media’s and to share the project with other people.
You can participate in these airdrops to earn free crypto assets. You can use these crypto assets for investing, trading, staking or whatever you want.
Summing up all the discussion, if you have good investment but you do not have time for crypto you can make money as an investor.
You con invest in some good projects for a longer period of time for huge gains. You can also stake your assets at the same time or lend the assets to other experienced
If you have low, moderate or handsome investment and you are willing to put your time in it. You can dive to make money from cryptocurrency as a trader.
You can read more about blockchain technology here.
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