How to become Rich with Cryptocurrency
What if I said that you can become rich with cryptocurrency or you can fulfill all your dreams with crypto market, many would thought that here comes one more person who start talking about crypto and shows dream to peoples which never became reality. But hold on there are many stories floating around the globe that speaks of Crypto Billionaire and they all aren’t false.
Here I am pretty much sure that you heard stories about peoples who bought crypto at lowest price and sold it when price is at its peaks and make million out of it, or you must have heard about people investing in crypto and make steady income out of it.
People came in this field to make money but with improper knowledge, lack of experience and wrong selection of asset make them end up with nothing. It’s wrong to say that crypto market has fully grown and became mature but in reality this field is still in its early stage of development. As the news of market rise floats more people start attracting toward this field and when market goes down those same people start saying that the future of crypto is still dark.
Is there any formula to enter in this market and grow your wealth? Good news is yes there are lots of way in crypto market that has a potential to increase your wealth many times.
Here in this article we take a closer look at those formulas and tips that you should know before entering in this field.
Table of content
- Type of Cryptocurrency
- Platform’s to Buy Cryptocurrency
- Formula for Making money with Cryptocurrency
Type of Cryptocurrency
Let’s first start with understanding cryptocurrency, in precise language we can say it is decentralized digital money designed to use over internet. First cryptocurrency or the mother of cryptocurrency is Bitcoin launched in 2008 and since then it is most talked about and most bought currency in the market. In past decade digital asset like Bitcoin, Ethereum and other currency have grown and now they are considered as a digital alternative to money issued by governments.
There are four major type of cryptocurrency that’s include Utility, Payment, Securities and Stable coin. There are also DeFi tokens, NFTs and asset-backed tokens. Of all these Utilities and payment tokens are most used.
Some examples of cryptocurrency are Bitcoin, Ethereum, Cardano, Dogecoin, Polygon, Tether, Shiba etc.
Platform’s to Buy Cryptocurrency
There are lots of platforms that allow you to buy these assets like Binance, Coinbase, Robinhood, KuCoin and many more. Here you have to create an account with these applications and follows some steps to complete your account. After creating account you can easily buy cryptocurrency from them.
These platforms also provide many facilities for trading, staking and lending likewise in stocks trading applications.
Formula for Making money with Cryptocurrency
There are six strategies to make money with crypto:
- By Investing
- By Trading
- By staking and lending
- By Mining
- By crypto social media
- By Airdrops
By Investing
Investing here is a long term strategy of buying and holding your crypto asset for some times. Long term hold is a general strategy of your portfolio growth and it is a suggested one. Crypto market is a volatile market in the short term but have very high long term potential for growth.
Before investing one should identify the stable asset that will be around for long term. Bitcoin and Ethereum consider as a safe long term investment however there are more currency that are considered as a safe investment.
By Trading
Investing is a long term strategy while trading is a short term money making strategy. As we know that crypto is a volatile market so the price can increase or decrease over short duration of time.
With proper analytical and technical skills you can make handsome money with this volatility. One should be vigil and analyze the market charts for the performance of selected asset so that he can make accurate prediction about price increase and decrease.
Long and Short are the calls you take while trading, you take long when you expect the asset will go up or you take Short when you think that market will go down in either way you can make money regardless of market movement.
By Staking or Lending
Staking is locking your coins in crypto wallet instead of spending it. When you stake your coins proof of stake network uses your coin to validate your transaction and we get reward of doing so.
Staking allow networks to maintain its security and verify transaction. It is similar to the interest bank would pay us for credit balance.
By Mining
Mining is another method of making money in crypto field. Mining is an important component of Proof of work mechanism. It is where value of crypotocurrency is generated.
Mining provide you with new coins. Technical expertise and specialize hardware is required to mine a currency.
By Crypto Social media
There are many Social media platform that rewards you with native token for creating contents. This is another way of making good amount of money and getting tokens.
By Airdrops
Airdrops are tokens of a new project, project companies provide you with airdrops to create awareness about the projects. Be part of that program you can get free coins that you can use for trading or to buy things.
Conclusion
Above talked methods can be useful to make money with cryptocurrency but one needs to keep in mind always that there is no shortcut to become wealthy, if you think that just investing is enough to make money or trading can generate wealth for you then you need to think twice. In any field the person having patience, knowledge and skill grows so one needs to keep updated and learn about the field he is interested in and then nobody can stop the person to become ultra-rich.