10 Method to Safely Earn Cryptocurrency With Minimal Risk

10 Method to Safely Earn Cryptocurrency With Minimal Risk

Let's face it - everyone wants to make some cryptocurrency. We do not want to miss another increase in the value of Crypto coins.

But the cryptocurrency market is uncertain, and most of us don't want to risk losing our hard-earned money.

Here are some of the best 10 Methods to Safely Earn Cryptocurrency with minimal risk (and sometimes effort).

1: Earn cryptocurrency by buying
2: Start mining crypto
3: Earn crypto by staking
4: Earn Crypto with Defi Yield Farming
5: Airdrops
6: Earn Bitcoins from crypto faucets
7: Coinbase Earn
8: Shopping Rewards
9: Join a network of publishers
10: Start freelancing and get paid in Bitcoin

1: Earn cryptocurrency by buying

The straightforward way to get cryptocurrencies is like most things in life - buy them.

Buying cryptocurrency is now easier than ever.

As the industry has grown in popularity over the last few years, demand has grown. Many companies have started offering services that enable anyone to enter the market easily and safely.

But how can you buy Cryptocurrency?

Buying a bitcoin, for example, can be just as easy as going to a bitcoin ATM and getting it with cash or credit. Although other cryptocurrencies are not so accessible, you can only buy them through crypto exchanges.

But there is one thing you should consider - transaction fees.

On most online exchanges, transaction fees are updated in real-time, based on market fluctuations. And the fees themselves are very low.

ATMs, on the other hand, charge higher transaction fees. It is therefore generally advisable to buy bitcoin (or other cryptocurrencies) through exchanges such as Coinbase, Binance, or Kucoin. And most of the time, the process is straightforward.

All you have to do is sign up for an account, verify it, and you're good to go.

However, some exchanges require verification from your bank, and this process can take several weeks.

If you're in a hurry, you'll want to check out the sign-up and verification process or buy directly in cash.

2: Start mining crypto

Mining is a great way to get some crypto coins. But that doesn't work for all currencies.

Most people think that mining is about getting as many coins as possible. But the whole process is a bit more complicated.

Through mining, a person uses his computer to solve complex mathematical equations that validate transaction blocks. All cryptocurrencies are already created within the protocol. They only need to be verified to be available in the market.

As a reward, the first person to verify receives a piece of the virtual token that he or she has verified.

But what do you need to start mining?

First of all, it depends on what you want me to do. While bitcoin mining requires advanced tools such as ASICs (application-specific integrated circuits), others can only be mined through a regular computer.

But if you want to try your luck at bitcoin mining, you don't have to invest thousands of dollars to get started. You can always join the mining network. All you have to do is pay the joining fee, and then you can work with other members. The only downside is that you also have to distribute prizes.

Here are some of the best cryptocurrencies you can now:
  • Ethereum
  • Monero (XMR)
  • DASH
  • Litecoin (LTC)

3: Earn crypto by staking

Don't worry if you have your eye on something you can't do for me. There is still a way to get them.

There are 2 main ways to verify blocks - proof of work and proof of stake.

While POW requires users to mine blocks and verify transactions through pure computational power, POS works quite differently.

In the proof of the stack system, the person who confirms the creation of a new block is chosen decisively, based on the number of coins he has.

Stacking sounds like a lottery game. The more coins you grab and stack, the more chances you have to choose to verify the transaction.

But at stake, you need to keep a lot of crypto coins, so this method works well only when you want to increase your stock.

4: Earn Crypto with Defi Yield Farming

Known as yield farming or liquidity mining, decentralized finance projects come with a reward system that in a way resembles the bond market.

With a very straightforward understanding of this process, yield farming is a way to generate rewards by locking up cryptocurrencies. As you lock your funds and liquidate the default token, you will receive rewards and interest. Depending on the project, you may receive additional tokens in addition to the output.

Here are some of the ones you can do right now:
  • Compound
  • Cable Network (KNC)
  • 0x (ZRX)
  • REN

5: Airdrops

Of all the ways to earn free cryptocurrencies, AirDrops carries the greatest risk - more than we think it is worth to most investors. Developers drop air when they want to get traction for their new cryptocurrency. Simply put, they try and give coins to adopt.

You can see online when airdrop projects are taking place. They are often promoted by users on the company's website as well as on social media platforms and some crypto news sites. If you qualify, developers often send a certain amount of coins directly to your digital wallet address.

It is important to be careful with any new cryptocurrency project. Offering counterfeit airdrops and ICOs— initial coins - common scams used by hackers. Even when they are real, many of the coins issued at AirDrop are not a large stock of valuable investments. Experts suggest that with the most well-known cryptocurrencies, Bitcoin and Ethereum, especially for beginners. If you follow this recommendation then move to AirDrops.

Any cryptocurrency you earn through AirDrop is also taxable income. According to the IRS, you will be responsible for reporting it as recorded on a ledger distributed based on its fair market value (in most cases, when you receive an AirDrop in your digital wallet) IRS).

6: Earn Bitcoins from crypto faucets

One way to make money without investing is through faucets. It may take some time and commitment, but in the long run, it will generate a reasonable income.

There are many cryptocurrencies that you can join, and most of them pay in bitcoin or Ethereum. People who pay bitcoins will reward their customers with Satoshi for every micro-task, and those that pay Ethereum will reward Wei.

The faucet system is fairly easy to understand. You have to look at advertisements, complete surveys, and play games to get a small portion of Cryptocurrency. You can cash in your cryptocurrency once you reach the minimum withdrawal limit.

Although it may feel relatively slow, a crypto faucet can get you your first bitcoin if you have the time and determination.

7: Coinbase Earn

The popular cryptocurrency exchange offers incentives to use the Learning Hub of the Coin Base platform. To get a free change, you'll need to watch Coinbase videos, take quizzes, and then deposit a little bit of Coinbase into your wallet. Content is usually focused on a specific inverse coin (such as GRT and BOND) and as a result, these are the coins you will earn to go through the lessons.

Since altcoins are not generally recommended for long-term investments, you can convert these lesser-known coins into bitcoins or ethers. But remember to keep an eye on these transactions, as every crypto-to-crypto trade is taxable. In addition, you should track the value of all your earnings through Coinbase Earn, and report them on your federal tax return as income. If you earn more than $ 600 through the program, Coinbase will issue you a 1099-MISC, which you can use to report your earnings.

To start earning from Coinbase Earn you will need a Funded Coinbase Account, living in a qualified country, and verifying all your personal information.

8: Shopping Rewards

Lolli, Google Chrome, or Firefox browser extensions offer "bitcoin back" when you shop with your retail partners. It works in the same way as browser extensions like Rocket or Honey that offer discounts and cashback when using portals or extensions for online shopping. Like these programs, Lolli rewards you for spending regular money as you usually do when shopping online - not for shopping with crypto.

Lolli retailers range from Nike to Sephora to Malaysia Airlines. Depending on the retailer and the product, rewards return 1% to 30% bitcoin. Your rewards will go to your Lolli account, and then you can transfer them to your crypto wallet or exchange account.

9: Join a network of publisher

Do you have a website, but it's not for e-commerce? Even then you can get some coins.

Because Google has banned or restricted the business related to cryptocurrencies through its network, the advertising industry has had to adapt.

Countless crypto ad networks (such as Coinzilla) appear to be meeting the advertising needs of the market. Their platforms created a vast network of corrupt publishers, where advertisers could display their banners.

In return for showing ads, the publisher is paid. And while most networks will only pay their customers in one currency (such as EUR or USD), many people also pay in cryptocurrency.

10: Start freelancing and get paid in Bitcoin

However, you can take the micro-task a step further and choose to pay in bitcoin or another cryptocurrency to work.

Numerous platforms facilitate freelancing through blockchain technology. Most of them have no expenses or transaction fees, so employees get what the employer pays.

Freelancing is a great way to start your professional career. And while accepting bitcoin payments can be a bit risky due to volatility, you can always choose a more stable cryptocurrency.

If you want to get involved in the freelancing business, here are some places to get started:
  • Ethlance
  • Cryptocurrencyjobs

Final thoughts.

The crypto industry is huge.

Through this post, I tried to cover some of the safest ways to earn, so I didn't include activities like trading.
While there are ways to make extra money for free, don't let the greed for free get you down. Cryptocurrency is a very volatile, new investment, and you should only put in what you can afford to lose.

Even free cryptocurrencies cannot be free during the tax season. Any cryptocurrency that can be considered income, as well as crypto-to-crypto exchanges or holdings that you withdraw for US dollars, is taxable. You will need to track the market price of any crypto when you receive it, and again when you sell it, report the upcoming tax season to the IRS.
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