Invest a small amount. You can get started in the Cryptocurrency market with small capital.
At Paxful, we believe that Bitcoin is worth much more than its price, but we understand that millions of people around the world have found ways to earn extra income through cryptocurrencies.
To the average person, making money with cryptocurrencies may be a daunting idea, but we’re here to tell you that you don’t need large start-up capital. In fact, it’s easy to get started with a small investment.
Let’s take a look at some of the ways you can earn extra income.
1. Buy and hold
Hold for the long-term (Hodl), i.e. hold for a better life, has become one of the mantras of the community and many cryptocurrency enthusiasts, meaning to keep holding your cryptocurrency, even inDuring a bear market.
Holding is a convenient but relatively low-risk strategy that can potentially yield high returns. The challenge with this strategy is fighting panic.
All you have to do is choose to buy a cryptocurrency (preferably when its value is falling), hold, and sell it when it reaches the desired value. On a platform like Paxful, you can start with as little as $10, and of course, if you put more money in and sell at the right time, you’ll make more money – but it’s no mean feat. Remember, the more money you put in, the more risk you face.
This strategy is similar to traditional investing and is a long-term method of making money with cryptocurrencies.
Difficulty level: easy
Speed: slow
2. Cryptocurrency Loan
You can also make money with your cryptocurrency by borrowing, which is similar to borrowing (or lending) money at a certain interest rate. The platform you choose determines which cryptocurrencies you can borrow or use as collateral.
Users can choose a centralized or decentralized financial cryptocurrency lending platform. A centralized platform will have a central authority to manage and oversee operations and verify the identity of users.
Decentralized platforms, on the other hand, are handled by computers, allowing users to run semi-autonomously. Since these platforms run on the blockchain, the verification of transactions is done by the community, as all transactions on the platform are easily viewable.
As for interest rates, fixed or floating rates may be adopted. A fixed rate is a stable rate charged on the loan amount, while a floating rate changes according to market movements.
Difficulty level: easy
Speed: fast
3. Play games to earn money
If you’ve heard of NFTs (Non-Fungible Tokens), you’ve probably also heard of games like Axie Infinity and Decentraland. These games allow users to earn money by playing, and as a reward, players can earn tokens that are sold on the public market.
If you’re willing to put in the time and effort to make money while you play, then this method might be your best entry point.
Difficulty level: medium
Speed: Moderate
4. Buying and selling
Trading digital assets is how most traders make money with cryptocurrencies. The idea is simple: buy cryptocurrencies at low prices and sell them for a short period of time.
If you haven’t yet but want to give it a try, you can easily trade Bitcoin on Paxful. On the home page, select Buy Bitcoin (BTC) in the box on the left to buy. Set the amount you want to spend, choose your preferred currency, and choose your preferred payment method.
Click the Find Bids button to see all sellers, then sort by price: Lowest to Highest to see the lowest prices.
Look out for the “Dollars Earned” section. This data represents the amount you gained (or lost) on that trade. A lower percentage means that you are buying BTC below the market price. A higher percentage means you will pay a little more than the market price.
Once you’ve made your purchase, it’s time to sell the bitcoins you just earned. Click the Sell button in the main menu and select the type of cryptocurrency you want to sell. Ideally, you’ll earn a little bit of money from this deal, so you’ll want to sort buyers by price: highest to lowest.
Keep an eye on the price per bitcoin — a higher percentage means buyers are willing to pay more than the current market price. Your benefit depends on how you want to be paid. If you sell BTC to a buyer who wants to pay with Paypal or bank transfer, you can earn up to 25% profit. You can even earn up to 50% if you exchange BTC for unused gift cards.
Or, if you can’t buy or sell anytime, anywhere, you can use a cryptocurrency trading bot to automate your trades. The bot continuously monitors the market, and once the set parameters are met, it can buy and sell cryptocurrencies.
Difficulty level: medium
Speed: fast
5. Mint your own NFT
Minting your own NFTs with the ultimate goal of creating unique, attractive and profitable tokens. For example, digital artist Beeple created an NFT called Everdays: The First 5000 Days, which was sold at auction with$62 millionprice sold.
The value of the market is that projects like Built With NFT partnering with Satoshibles can take advantage of the popularity of NFTs to benefit developing nations in Africa with the help of the Built with Bitcoin Fund. It also marks a change in the cryptocurrency market: In the past, only the Ethereum blockchain had access to NFTs, while the advent of Stacks allows users to use smart contracts, dApps, and NFTs on the blockchain. With the help of Stacks, we can now mint our own NFTs on the Bitcoin blockchain.
There are no limits to the format of NFTs, so we can safely say that when it comes to ideation, only your imagination can limit you. You can browse the NFT marketplace to learn about the community and get some inspiration.
First, you need your own “product” (eg, songs, paintings, digital artwork, or even physical objects, etc.) and enough cryptocurrency to mint. You will also need a cryptocurrency wallet to store payments. Note that the blockchain you choose also matters, the most popular being the Ethereum blockchain.
Once you have an NFT, you can create and activate an account on OpenSea (which can cost $ 70-300 ), then mint the NFT into that account for $10-30. The platform will then charge a 2.5% fee for each sale. Of course, there are other marketplaces where NFTs can be sold, and some even offer a free minting service that transfers the cost of minting to NFT buyers.
Difficulty level: difficult
Speed: fast
Precautions
Most people will remind you to avoid fear, uncertainty, and doubt (also known as FUD ), as well as the fear of missing out, or FOMO. These aren’t just buzzwords in the crypto community, they should be taken seriously. You can think of these as consequences of insufficient information. That’s why, in the community, you are often advised to do your own research, whether novice or veteran.
Also, remember that there are many online tools that can help you. For example, you can use the Fear and Greed Index as a social barometer to help guide trading.
DeFi is for people, not markets
Everyone can make money with cryptocurrencies. Going back to the goal of decentralized finance, the focus is on developing for people, andNot something for the market.As with Bitcoin users, the point is not how much passive income is earned, but whether people are using Bitcoin for the purpose it is used for.
Of course, those looking to earn extra income can start with a fraction of their own wages and save the money they earn for reinvestment. Your trading and investment strategy will depend on how fast you want to make money, flexibility is in your hands.
The point is, making money with cryptocurrencies depends on your level of operation. Regardless of what people think, it doesn’t have to be expensive to start investing or trading in cryptocurrencies, and it ‘s never too late to do so.
Please click "Introduction of Paxful", if you want to know the details and the company information of Paxful.
Comment by Hans
April 24, 2024
as I am trading here various assets, for me it's the most important feature. i mean, flexibility in tradable markets. i alternate trading styles, meaning that sometimes I trad...