Generating passive income from crypto assets is not an impossible thing to do. Right now, there are numerous ways to earn passive income through crypto assets. The crypto space is overflowing with opportunities; with small efforts, one can achieve a lot. Now, let’s have a look at how to earn passive income from crypto assets so that you may get closer to financial freedom!
1. Crypto Cloud Mining
In a nutshell, this activity is similar to a rental service. But, in this case what you are renting is crypto mining hardware. So, you don’t need to own and maintain this device to be able to mine crypto from the cloud.
Until now, there are many popular operator options available for this activity. You only need to pay a daily fee if you want to use their device. Even so, you need to really look at the mining contract. Nowadays, buying and holding crypto is more profitable than mining. Not to mention other risks like hacks and scams
2. Crypto Staking
This is a type of activity in which you lock up some of your assets in order to generate interest. The rewards are determined by the terms and the tokens used. You can stake in a staking pool, individually, or through an exchange.
Simply put, staking operates on a similar basis as making a deposit at a bank. You deposit a certain amount of money with a certain limit in order to get a percentage of interest as profit. The difference is that, as compared to banks, bitcoin can offer greater interest rates. In addition, certain staking platforms also offer services with no lock-in period, which is very beneficial for the users themselves.
Staking your crypto assets allows you to earn interest while holding onto your favored coins. At the time of writing, the interest for FIRO staking has crossed +17.15 APR on NOBI. Also, there is no lock-in period on this platform.
Masternode is one of the variants of nodes in the Blockchain network. This node performs a specific function. Typically, nodes are created by community members which require an initial and dedicated investment.
The way it works is almost the same as PoS, how to operate a masternode also requires a stack of many crypto assets in return. A masternode is a node in the blockchain that plays a role. Often the main node is started by community members for a specific purpose. If this project has become too expensive for you, lately there are many more projects that you can work on with less capital.
4. Margin Trading
If you can’t pay back the direct loan risk, you can also leave the asset with the margin seller. Many digital asset exchange apps can help you earn passive income with minimal risk.
Participating in margin trading will make it easier for you to keep trading using borrowed capital, and you can also use leverage or borrowed capital funds that will strengthen your trading position.
However, for margin trading even though it is tempting, you must remain careful and pay attention to the price movement of Bitcoin or other crypto assets that will be picked. Even if there is little risk on the part of the debtor, this does not mean that this activity is risk free. This crypto investment tip poses a hacking risk.
5. Crypto Lending
You can get passive income faster if you use crypto asset lending methods. This means that you have to lend these assets to other traders in order to get some profit. The profit comes from interest on the loan.
If you want to find lots of borrowers, you can take advantage of a lending platform. Currently, platforms that offer various loan projects are easily found via DeFi.
6. Crypto Savings
Due to the difficulty and complexity of engaging with new protocols on your own, crypto assets savings accounts were created. The crypto savings account might be a smart choice for folks who want to earn interest on their crypto assets rather than let it sit there.
There are various crypto savings accounts on the market, each with a unique payout structure and rate of return. Furthermore, the rules about lock-in periods and withdrawals can vary. All of the options can be overwhelming, but knowing where to deposit your digital assets to maximize profits is essential. For this reason, we need to always do a thorough research (DYOR) before anchoring a choice.
There are a number of high-profile platforms that provide crypto savings accounts. One of the most commonly used platforms, which also offer high yearly yields, is NOBI. At the time of writing, crypto assets listed on NOBI savings include DAI, Tether (USDT), Bitcoin, Ethereum, USDC, and UNI, with each coin offering attractive interest.
Nothing is guaranteed safe, but this platform is arguably one of the most trusted and secured options in the market. In addition, on the NOBI platform itself, you don’t need to save your crypto assets with a lock-in period. Therefore, you can make withdrawals at any time you want to, without limits.