Passive income in crypto explained, and how it can help you during a pandemic
The COVID-19 pandemic has had an incredibly negative impact on the world economy. With millions losing their lives and countless individuals losing their jobs, passive income may offer a solution. But before we dive into the rabbit hole, for beginners in crypto investments, passive income is not money that’s been thrown down from the heavens on us like we would like to believe. It is an income that requires some sort of investment upfront in the form of actual money or crypto assets in this matter. So you might have to put money upfront that then grows over time and gives you returns. This time we’re going to take a look at some of the most common ways of making money passively with cryptocurrency, whether you’re looking to start a new career path or a side income during a pandemic. Passive income in cryptos has become a buzzword over the past couple of years since it can generate high interests when idle or even sleeping.
Here are 5 ways where you can earn passive income with cryptocurrencies
1. Mining Bitcoin
If you want to start mining in the first place, you have to own a mining rig. Although at the beginning of the Bitcoin history, miners used ordinary domestic computers, and later graphic cards, today you will not acquire any Bitcoin with these machines (or more precisely you may gain something, but it will be a really small amount in a very long period of time). Nowadays, Bitcoins are mined by special hardware designated just for mining Bitcoins or other currencies based on the same algorithm. It is called ASIC (Application-Specific Integrated Circuit chips), use less energy, and mines Bitcoins much faster.
2. Staking in NOBI Staking
Cryptocurrency staking was first introduced in 2012 by Sunny King and Scott Nadal. Crypto staking can be described as holding interest over some amount of money fixed in your bank account. In this case, the coins are locked in a wallet for a period of time and as a reward, more coins are added to the wallet. The more a person stakes their coins, the additional coins they get. This is similar to a person acquiring money interest from their bank through their fixed deposit accounts. Sounds good, right? One of the 3 features in NOBI: NOBI Staking (previously Honest Mining), provides the best selection of coins in the market that has been handpicked by the NOBI team. All selected coins listed on our platform are the best coins in the market and have a solid project background.
In addition, NOBI Staking uses a shared masternode method. This means we offer more flexibility especially for beginners in Staking with a minimum amount of budget. By joining NOBI Staking, now everyone can grow their crypto assets anytime-anywhere. Carrying the system Proof of Stake (PoS), users are only required to have a number of coins if they want to become the masternode as part of our shared pool on NOBI Staking. Then users can earn an attractive amount of reward that is shared as part of the coin validator.
Cryptocurrency trading can provide a great deal of passive income when done correctly. But it also has a downside, trading is risky and requires a strong understanding of both fundamental analysis and technical analysis, along with the ability to act without emotion and execute a strategy with a high probability of success. Trading should only be done with caution, but if you understand the markets, trading a small percentage of your portfolio in altcoins during times of Bitcoin stagnation can be a great way of stacking sats and generating an extra income. Nevertheless, always be mindful of the risks potentially associated with trading.
Introducing; NOBI Strategy. It consists of a number of automatic trading strategies and algorithm-driven financial planning services, with little to no human supervision. It provides several strategic choices that are compiled and made by NOBI’s partner strategy makers. Before being launched to the public, each strategy has gone through an internal selection and testing stage by the NOBI team to ensure that the strategy is feasible to follow and can help NOBI users optimize the growth of their crypto assets. Its runed by Robo trading that has been tested and can run 24/7 automatically, making it easier for you to join and follow the strategy whenever and wherever you are.
HODL which stands for Hold On For Dear Life is slang in the cryptocurrency community for holding the cryptocurrency rather than selling it. A person who does this is known as a Hodler. This approach is known as one of the best strategies for investing in Bitcoin. Buying and holding means purchasing fractions of Bitcoin or other cryptocurrencies and keeping them for quite some time, hoping that their price will rise later on. Bitcoin is known for its extreme upward and downward price shifts brought about by its volatile nature, making it an ideal asset for market investors.
However, its volatility can also be considered a double-edged sword. Because of BTC’s unpredictable price shifts, you can’t surely tell how much the coin will cost in the next few hours or days. On the flip side, you can try checking and monitoring the market to understand the price movements and make the most of these cryptocurrencies.
Lending is a completely passive way to earn interest on your cryptocurrency. There are many lending platforms for crypto assets that you can find on the DeFi ecosystem that allows you to store your crypto assets for a certain period of time then make a profit out of it. Crypto asset lending is currently gaining popularity along with the development of DeFi. The platforms that can be selected for lending on DeFi include Aave and Compound which are available in our latest feature, NOBI Savings, where you can join starting with just 10 USD!
Earning passive income with crypto is growing and gaining popularity, and in the near future, passive income can become a valid option for a steady source of income. Many blockchain businesses have also been adopting some of the methods of passive income, and of them is NOBI. NOBI is the easiest and safest way to passively grow your cryptocurrencies. With NOBI’s easy-to-use tools and technology to enhance your crypto-growth. Save and grow your crypto with the industry’s best crypto assets at your fingertips!
“If you don’t find a way to make money while you sleep, you will work until you die.”
― Warren Buffett