How to Earn Money on Blockchain: Making Profit in the Blockchain Economy
Blockchain is used for numerous industries’ work in many countries. Its application into the financial sector is especially broad as it serves as a base for crypto coins.
Today DLT allows individual entrepreneurs, investors, SMEs and big corporations to make profits. Let’s discover how it is possible to earn money with blockchain technology and what ways already exist.
How to Withdraw Money from Blockchain?
To earn money with DLT, it is possible to establish a crypto business which will bring profits in case of successful operation. However, it is not the only possible way, as every user of the technology has an opportunity to make money from DLT.
Investing in ICOs
ICOs, or initial coin offerings, are a way of crowdfunding used by start-up projects and companies. This way, initiatives attract investors and build capital for future development of new ideas.
In rounds of ICOs, companies sell tokens – representations of digital assets – to investors. Therefore, if the platform launching an ICO looks promising and has a good potential, the investment into its development can bring profits in the future.
To trade successfully and profitably, it is necessary to understand the market changes and evaluate its work. With the full well-thought fundamental and technical analysis, it is possible to trade crypto on various exchanges.
Traders buy low and sell high when the target is reached. It is important to keep in mind that crypto market is not stable, and there is always a chance to lose. However, watching the market’s trends and recognizing the indicators of price changes, there is a chance to make a profit.
Crypto P2P Loans
Crypto holders have a possibility to make profits by lending coins to other individuals or small businesses. For this purpose, there are numerous P2P lending platforms which allow crypto owners to lend BTCs and get a 12%-18% return on investments.
However, with lending, it is important to consider possible problems as the sphere is not well-regulated. Therefore, it is better to hedge risks by diversifying borrowers.
Buying and Holding
The other possible way to earn with the blockchain technology is to buy crypto coins and just hold them in the wallet until the price raises.
Then, it is possible to buy and hold crypto which pays owners dividends. Among such coins there is NEO, KuCoin and BridgeCoin.
Mining is also a way to get profits in form of crypto coins. In mining, you solve mathematical algorithms and share your computer power to help with transactions processing. In turn, miners are rewarded back with crypto coins.
For mining, it is important to get a special equipment, for instance, ASIC-chips or graphic cards. However, to get a really good profit and make the cost of equipment pay out, miners should know and keep in mind some important details, such as equipment efficiency, computing power and electricity costs.
Most miners join mining pools, where resources are joined, and rewards are shared. Those who do not want to get an equipment themselves, are offered with a possibility of cloud mining. For this purpose, miners sign a contract with a special company which owns the mining equipment and gets crypto rewards for its clients.
Development of DLT-based Apps
Blockchain also presents a new possibility to earn via programming and coding. Those who know programming languages and are able to develop a DLT-based app or platform for the company can be very well-paid.
IT-specialists are needed in the industry, therefore, if you know C++, Java, Python, Go, or Solidity, and are willing to work on development on Ethereum smart contracts or other applications, you have an opportunity to make a living with it.
Blockchain technology has not only transformed the processes in numerous industries but has also presented its users with innovative ways to get profits in different ways.
Blockchain technology and cryptocurrencies will be discussed by DLT experts at the Blockchain & Bitcoin Conference Philippines.