Yes, you can start to earn passive income on your crypto savings every single day. It`s easy, it`s lucrative, and there are many different ways to do so.
So here they are, in no particular order, the TOP 5 ways to earn passive income on your crypto every single day.
A very popular way to earn passive income with cryptocurrencies is staking. You need to have a particular coin in your wallet and then you stake it there to secure the network and earn staking rewards. It`s a really popular and lucrative way to earn cryptocurrency.
There are many popular staking coins out there like Tezos, KAVA, BAND, or Cosmos. The choice is up to you.
If you don`t know what wallet you should use for staking, you might want to check out my post about the "TOP 5 Staking Wallets To Grow Your Assets 2020".
Besides staking coins in my Atomic Wallet, I really like staking BNB on Binance at the moment. You can stake your BNB on Binance launchpad, Binance`s token launch platform for transformative projects. At the moment, you can choose if you want to farm CertiK, Alpha Finance Lab, Venus, or Flamingo Finance with your staked BNB that you can redeem any time.
The second way to earn passive income with cryptocurrency is cryptocurrency mining. Now, to be honest, cryptocurrency mining is really not for everyone. You need to have enough money to invest in the hardware and you need to have access to cheap electricity. Then and only then you can mine cryptocurrencies like Bitcoin, Litecoin, or Monero in a profitable way.
I don`t recommend cloud mining on some websites online where you don`t need any hardware at all. All cloud mining providers are either ponzi schemes to their terms are so bad that you are never going to make any money out of it.
But before you run and invest in some mining hardware, you should be aware that you are going to compete with big companies that are specialized in mining. So mining is a popular way to generate passive income in cryptocurrency but definitely not the easiest.
Decentralized Finance Protocols
Another way to earn passive income with your crypto savings is by using a Decentralized Finance protocol like Compound Finance. Another good example is Uniswap. If you have some Ethereum and some $USDC, for example, then you can become a liquidity provider on Uniswap. Every time, someone trades Ethereum for USDC, you will receive some of the trading fees as a reward for providing liquidity. For this particular pair, you will also be able to earn the $UNI token on top.
By the way, you can check out the top yield farming pools by value locked here on CoinGecko.
Another great example of earning passive income by using a DeFi protocol is Compound Finance. Everything that Compound Finance basically does is matching those who want to borrow crypto-assets and those who want to earn interest on their crypto-assets.
If you like to know more about Compound Finance, you might want to check out my post "Compound Finance Is One Of The Hottest Lending Platforms in DeFi Space 🔥"
One of the most popular and easiest ways to earn passive income on your crypto is to use a lending platform. Simply take your Bitcoin, Ethereum, or your Stablecoins and deposit them into a lending platform like BlockFi.
The lending platform will lend it out to borrowers on your behalf. For putting up your crypto as collateral, you will be rewarded with interest on your crypto savings. This is actually really easy to do. Just set it up, forget about it, and the money comes in.
Recently, I`ve decided to give BlockFi a try and deposited some Bitcoin to receive the massive Halloween first deposit bonus. The thing is, if you fund your BlockFi Interest Account for the first time on or before October 31, 2020, you can get a bonus of up to $275 in Bitcoin. That`s why I believe that the best time to give BlockFi a try is right now.
If you like to know more about BlockFi, you might want to check out my latest post "BlockFi Offers Interest-Earning, Low-Cost Loans, And Fee-Free Trading!"
Finally, when it comes to generating passive income with your cryptocurrency savings, you shouldn`t forget about collecting cashback rewards.
For example, you can earn cashback rewards in cryptocurrencies for your normal shopping. So every time when you shop, you can get a reward in cryptocurrencies.
The options that are available to you depend on the region you are living in. Here in Europe, for instance, I use an app called Shoop to collect Cashback in Bitcoin. In some special promotion cases, you can even receive up to 30-40% in Bitcoin cashback, for example when you order yourself a pizza. I mean if you don`t use a cashback program like Shoop then you are definitely throwing away Bitcoin each time you are doing a purchase online.
My Final Conclusion
As you see, there are different ways to generate passive income with your crypto on a regular basis. I believe that it is smart not to use just one of these options to generate passive income. Diversification is not only important when it comes to your portfolio but also when it comes to your investments. In this way, you can spread your risks out. In case something goes wrong with your investment, you don`t have all eggs in one bag.
However, the fact is, that if you are not using any of these ways to generate passive income with your crypto then you are definitely missing out on big times.
At the end of my post, I also like to remind you that my intention in this post is to raise your awareness of passive income opportunities and my intention is not to replace your own research. However, it really reflects my own opinion.
So I hope that I could provide you with some interesting and useful information about generating passive income on your crypto savings.
Thank you guys as always for reading, liking, following, and tipping 👍
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You may also like: BlockFi Offers Interest-Earning, Low-Cost Loans, And Fee-Free Trading!