6 crypto side hustles to generate passive income
Back in 2009, when Bitcoin made its debut, everyone saw it as a means to complete transactions, but things have now changed. The crypto space has grown massively, appealing to more enthusiasts and creating fantastic earning opportunities. Many start side hustles to earn extra money, and technology has made this more straightforward. But did you know there are different ways to generate passive income from crypto? It's true! The crypto space is filled with endless possibilities, from yield farming to staking and decentralized app development. Without further ado, here are 6 great crypto side hustles to consider.
This is the most common way you can earn extra income with crypto. You purchase assets and expect their value to boost so you can make a profit when that happens. Suppose you want to buy Ethereum, which is among the most rewarding cryptos. To get started with investing, you purchase the coin and hold it until the ethereum price usd increases. However, to be a successful investor, you must learn the ins and outs of the market. Once you do so, the next step is choosing an exchange to buy and sell cryptos. But it's essential to keep in mind that digital assets are risky, as their value could go down at any time instead of rising, and you could lose money. On the bright side, the potential earnings are considerable, so if you aren't faint-hearted, it may ultimately be worth taking a risk. Just remember to invest wisely and let your logic guide you instead of your emotions.
Become a miner
The first things that come to mind when thinking of mining are precious gems and metals. In the crypto universe, decentralized miners are the ones that power digital currencies. While mining gems and metals require industrial tools, computers are indispensable when mining crypto. So, if you want to become a miner, you must start by getting many computers. Since mining crypto requires significant computing power – which can be expensive to acquire and maintain – most miners choose to join mining pools to combine their resources and share the rewards with others. Thus, this is a good option to start with, as it increases your chances of earning rewards at a reduced rate.
DApps have gained massive popularity recently due to their decentralized nature, which enables greater transparency, security and trust in transactions. Building a DApp requires a deep understanding of blockchain and smart contracts, so it isn't for everyone. On the other hand, if you are a software developer, you can start building decentralized apps in a few steps:
- Choose a blockchain platform and then design your DApp, which involves deciding its purpose, features and functionalities.
- Start developing smart contracts, which are the backbone of a DApp and responsible for executing transactions on the blockchain. Once you do this, the following step is to build the front end of the DApp, which is the user interface.
- When the DApp is ready, it's crucial to test it and determine whether there are any vulnerabilities or bugs.
- Deploy the App on the chosen blockchain platform.
Get into crypto gaming
Crypto gaming is another way you can make extra money, and it has become popular in recent years due to its advantages. One of its significant benefits is that you can own your virtual assets and even earn money by selling them, which isn't possible in traditional gaming. Not only that, but you can also use them as a means of payment for in-game transactions, ensuring security and lower transaction fees. If you want to get into crypto gaming, there are different games you can try, such as Axie Infinity, which enables you to earn money in different ways. For instance, you can breed and sell Axies or become a real estate agent virtually and invest in Lunacia Land. Once it increases in value, you can then sell it. Lunacia Land and Axies are both NFTs, which are also quite popular these days.
Become a crypto financial advisor
This side hustle can be a bit more complicated than the ones mentioned before, as you need to prove that you have knowledge of the topic. You need expertise in the field to educate others on investing. Just think about it: crypto is new territory, and so much information is out there that it can get overwhelming to discern reality from fiction. By becoming a crypto financial advisor, you can give advice to people and help them make the right decisions. Here are the steps you must take if you want to follow this path:
- Gain a deep understanding of the crypto industry;
- Get a solid foundation in traditional finance;
- Acquire relevant certifications;
- Gain practical experience;
- Stay up to date with the latest developments and trends in the market.
Everyone in the crypto space is talking about NFTs, which is unsurprising, considering their amazing use cases and potential to make extra money. Non-fungible tokens are unique because they can't be subdivided or replicated. They enable creators to sell digital assets like images, videos, music, or other digital content as verifiable items. You can charge a fee every time someone views your digital asset or receive a percentage of the sale whenever someone sells it to another party, which creates a new revenue stream and, at the same time, provides a way to protect your intellectual property. But this isn't the only way to make money with NFTs. Buying and selling them is also an option and works similarly to trading cryptocurrencies. Basically, you buy them when the price is low and sell them at the right time for a higher price.
Side hustles are great because they help boost your financial security while making it easier to save money and pay off debts. There are many side hustles you can try, including in the world of cryptocurrencies, and we hope this article inspired you to choose what best fits you.
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