How to Earn Bitcoin — Most Popular Ways
Bitcoin was the first and remains the most popular cryptocurrency with the highest market cap, recognized name, and ease of access. Many people get into the Bitcoin market by purchasing the cryptocurrency using fiat, but you can also earn Bitcoin in a range of ways. Some of these require having some Bitcoin, while others do not have such a requirement.
Top 3 Ways That Require Initial Capital
When Bitcoin first arrived, it was feasible for the average person to earn the crypto by mining. You could buy the necessary computer hardware, and it would eventually pay for itself as miners received a lavish reward in BTC for each added block. In 2009 it was 50 BTC, while today the reward is 12.5 BTC.
Unfortunately, mining Bitcoin has gotten harder and more competitive, making it highly impractical for the average person to mine it. Now, you need expensive equipment that will cost you $1,000-$1,500 at the least. Given the high electricity use and the competition from mining farms, most people will no longer want to use this method to earn Bitcoin, especially given the lower Bitcoin rewards for solving each block.
Yet another way to earn Bitcoin is by trading it, but like gambling, this carries a high risk. The principle behind trading Bitcoin for a profit is very similar to the process of buying and selling forex or various foreign exchange currencies. You buy or sell Bitcoin depending on how you think the market will go and whether you believe it will increase or decrease in value.
You can choose to trade Bitcoin as a short-term trader or a long-term trader depending on your strategy, namely how long you plan to hold each position. Short-term Bitcoin traders try to benefit from price fluctuations, while long-term traders focus on overall trends and the idea that Bitcoin will rise in value.
It is possible to create an excellent investment strategy using both long- and short-term trading positions. Decide what works best for you and get started with trading today.
Building on the similarities between methods of earning fiat and earning Bitcoin, you can also lend out Bitcoin and earn interest in return. Of course, this method of earning Bitcoin does require you to already have a fair amount of the cryptocurrency. There are several ways to go about lending Bitcoin for interest.
● If you know someone who needs Bitcoin and you trust them, you could set up a contract to lend them your Bitcoin.
● Alternatively, you can use one of the many websites that offer peer-to-peer lending, matching lenders and borrowers with each other.
● There are also some websites that act like banks and let you lend them Bitcoin in exchange for an interest rate.
Before you lend out Bitcoin to earn interest, do your research thoroughly. Remember that every Bitcoin transaction is irreversible, so if you fall for a scam and “lend” your Bitcoin only for the borrower to disappear, it is gone forever with no legal recourse. Because of this, you should always research the platform you use to lend Bitcoin ahead of time, paying attention to its:
● Regulations (if applicable)
● Terms and Conditions
Top 3 Ways That Do Not Require Initial Capital
Selling Goods and Services
One of the simplest methods of earning Bitcoin is to sell a good or service in exchange for the cryptocurrency. If you already have a business, whether in a physical store or online, consider accepting Bitcoin as a payment method. You could do this by sharing your public Bitcoin address and having clients send you the payment for a more informal business. In the case of a formal business, you should consider getting one of the emerging Bitcoin-compatible point-of-sale systems, as it will keep records and function in a familiar way. Accepting Bitcoin as payment is particularly easy for online businesses, as there are multiple merchant tools available.
You can also use peer-to-peer marketplaces to sell goods or services to others in exchange for Bitcoin instead of fiat currency. Or if you know someone who has Bitcoin and wants to buy an item from you second-hand or hire you to do something, suggest that they pay in Bitcoin instead of fiat.
Getting a Job That Pays in Bitcoin
Another emerging option for earning Bitcoin is the same method we use to earn fiat: working for it. Although there are still somewhat limited options of jobs that pay in Bitcoin, it is certainly possible to find one. You can find full-time employment, part-time work, or freelance jobs that pay in Bitcoin.
As you browse the job listings on specific websites, you will likely feel surprised at the range of jobs that you can get for payment in Bitcoin, although most are related to tech. Those in the blockchain space do still need to fill traditional jobs as well, such as HR, designers, and accountants, and some will pay for those in Bitcoin.
One method of earning Bitcoin that is fairly reliable but gives you rewards very slowly is a Bitcoin faucet. These are reward systems via applications or websites that deliver rewards in the form of Satoshis, which are hundreds of a millionth BTC. These faucets tend to have extremely easy tasks for users to complete in exchange for Satoshi, such as:
● Filling in a CAPTCHA
● Watching a Video
● Playing a Game
While you can certainly earn Bitcoin with faucets, it will take a long time, and you may have trouble finding time to use this method, particularly if you have a full-time job.