Many people view cryptocurrencies as assets and promising investments which will allow them to reap benefits in the form of massive profits in the future. At the same time, quite often, people do not know what else they can do with their crypto, apart from hodling. We have compiled a list of the most interesting options for you to consider when looking for a way to make extra money off your crypto funds.
Key Points:
- Crypto investors can use different ways to get extra income.
- Staking, lending, affiliate marketing are only some of the methods.
- NOWPayments recommends businesses to accept crypto payments to generate cryptocurrency income.
Is it possible to get crypto passive income?
Yet, the main question still remains: Is there a way to make crypto passive income? You may find numerous articles in any search engine after typing in the words “passive income, cryptocurrency,” and the majority of them will most likely contain positive answers. In fact, there are five main ways to earn crypto income, these are staking, lending, affiliate marketing, yield farming, and starting your own crypto business.
How to boost income with crypto
Staking
Staking is the process of validating transactions on blockchains which is used by several networks in the industry. As a reward for their activities, people participating in staking usually get cryptocurrency. As opposed to mining, staking does not involve using any kind of special equipment and only requires users to lock a certain sum in crypto in a smart contract. Staking is perhaps the easiest and most secure way of earning a passive income. In fact, it is virtually guaranteed that you will get your money when using staking. At the same time, it is important to choose blockchains carefully, picking only those with proper protection and security mechanisms.
Lending
Lending is another way of generating passive income from crypto funds available in your wallet. Lending is a form of decentralized financing implying providing your cryptocurrency to borrowers, who, in their turn, must allocate a certain sum in crypto as collateral. Crypto lending enables lenders to earn a steady income in the form of interest. The exact interest rates vary depending on a situation on the market or a particular coin. Yet, most of the time, lending interest rates are extremely tempting. At the same, it is crucial to remember that lending is risky, and there is always a possibility of not seeing your money again.
Affiliate marketing
Affiliate marketing is a fairly safe way of setting up an additional stream of crypto income. Affiliate marketing is used by different companies selling crypto services which offer special programs for their partners. Basically, members of affiliate programs can invite other people to use the services of a certain crypto company and receive a reward for it. For instance, NOWPayments let anyone become a partner and participate in an amazing affiliate program. If you refer a merchant to use NOWPayments’ solutions, you get a percentage of their income. The program lasts 5 years, so if your referral uses NOWPayments’ services extensively, you can consider yourself set for the next several years.
Yield farming
Yield farming is in many ways similar to lending, only that it involves adding your cryptocurrency to a decentralized liquidity pool, as opposed to the centralized one. Yields farmers earn their income in the form of annual percentage yields, which often surpass all the imaginable interest rates. For instance, in some cases, yield farmers can earn twice the amount of the crypto they invested. Nevertheless, yield farming is also riskier than usual lending. Yield farming occurs on decentralized apps. Moreover, when locking their crypto, in addition to interest, yield farmers can earn other coins.
Starting your crypto business
If you find yourself in need of more cryptocurrency income, you may consider running your own business. After all, entrepreneurship is the most effective path to financial success. In fact, it is not necessary for you to create a business which is based on digital assets since pretty much any company can become a crypto one, once it starts offering cryptocurrency as a form of payment. For instance, you can start selling clothes online and accept cryptocurrency for it. It is one of the easiest ways of receiving crypto as income, especially if you already have a firm.
How to boost income with NOWPayments
NOWPayments can assist businesses in deploying their crypto payment gateways. For example, online stores can use plugins for accepting cryptocurrencies which are compatible with PrestaShop, WooCommerce, Magento 2, WHMCS, OpenCart, Zen Cart, Shopify, and Shopware. You can also utilize crypto invoices and a virtual Point-of-Sale terminal which are excellent for both online and offline companies.
Conclusion
Many people want to earn crypto as income. In order to get crypto income, you can try staking, lending, affiliate marketing, and yield farming. Yet, the best way of making cryptocurrency income is through your own business. NOWPayments is ready to provide your company with reliable solutions for accepting crypto as payment.