(** DISCLAIMER ** I am not a financial advisor and anything that I write about on this platform should not be seen as financial advice.)
This article is for you who are interested in bitcoin and how to make money – but at the same time feel that you do not have such a good grasp of the cryptocurrency.
Let’s start off with:
How to Make Money on Bitcoin: 5 Steps to Financial Freedom
1. Transaction robot for Bitcoin cryptocurrency
The very best method for making money on cryptocurrency like Bitcoin is with a cryptocurrency transaction robot.
This free transaction system works according to a very simple principle: it monitors 22 trading platforms simultaneously and buys automatically and at a low cost cryptocurrency from platform A which it immediately sells on platform B at a higher price.
In this way, you can easily make small profits (a few bucks), but the best thing about this system is that the robot makes these transactions continuously, an average of 20 pieces per minute.
2. Cranes, micro-tasks, advertisements and loans with Bitcoin
If you want to make extra money, there are other more creative ways to earn Bitcoin. However, these methods either provide the least income for your time or require a higher initial investment to get started.
So let’s briefly look at these other methods of how to make money with Bitcoin:
Bitcoin taps and micro-data
Bitcoin cranes and micro-tasks (also called microtasks) are usually clumped into the same category called “mini-earnings”, as the payouts are in small amounts of Satoshi (fractions of Bitcoin) that are distributed to interact with online ads.
For those starting out and learning how to make money with Bitcoin, it can be a great start. This can range from clicking on ads, displaying short video ads or playing mini-games.
The downside to this is that you may not earn much in the beginning or that it may take time to build your revenue from using Bitcoin taps and micro-data.
But if you do not mind taking a few minutes of your time on a regular basis, this is a small increase for how to make money with Bitcoin.
Paid-to-Click Bitcoin taps
If you have a website or are going to create one, you can add a Bitcoin tap to your site and earn more. This is probably a more effective way of making money on bitcoin, as one can earn more as passive income.
Because Bitcoin cranes are built on ads that pay for a place on your site, you can add a pay-per-click (called PPC / Pay-per-click in English) option and a company pays you an amount in Bitcoin instead of Fiat -currency.
Peer-to-Peer Loans (P2P Loans) with Bitcoin
If you already have a little Bitcoin and you are interested in increasing your investment, peer-to-peer loans are an option on how to make money on bitcoin.
The idea remains the same as a regular loan: you become a bank that lends Bitcoin to another person who in turn pays you back with interest.
There are some pros and cons to be aware of when it comes to borrowing Bitcoin. An advantage is that the industry for cryptocurrencies and lending is largely unregulated and therefore interest rates can be high, which is advantageous for the lender.
But lack of regulation also means that you risk that the loan will not be repaid.
Keep in mind that this can also happen in a regulated system, as this is part of the financing industry.
3. Bitcoin Mining
When considering making money on cryptocurrencies, mining is one of the methods that always comes up.
Mining is one of the best ways to make money (by “digging it out”) with altcoins because it is extremely passive: just invest in the equipment, install it and let it do the work.
But there is a problem… to invest in the equipment.
While you can use this method to make money on cryptocurrencies without extremely advanced hardware, the better the hardware, the faster you can create more coins and the better your chances of actually making money.
Mining works by computers solving complex mathematical problems, and when they solve them, you are rewarded with cryptocurrencies.
4. Bitcoin trading
Just like any other currency, you can also trade Bitcoin as a method of making money on bitcoin.
There are several business opportunities, ranging from long-term investments to opportunities in trading markets.
I have reviewed them all for you:
The buy and wait Bitcoin method
Because Bitcoin varies in market value compared to other Fiat currencies, you can choose to buy and hold Bitcoin as a way to make money on bitcoin.
Because market demands fluctuate so much, some may become millionaires overnight and others await growth as a long-term investment.
There are obviously risks in buying and holding because Bitcoin can increase in value 100 times overnight and fall 1,000 times the next day.
But if you buy and hold and know how and when to shop, it’s really a great way to make money on bitcoin. All you really need to buy and hold Bitcoin is a Bitcoin wallet.
Just choose when and how much you want to start investing in Bitcoin and keep an eye on the market!
Trade with Bitcoin
One step away from just buying and holding Bitcoin is trading as another method of how to make money on bitcoin.
Bitcoin is not the only cryptocurrency on the market! You may have heard of Ethereum, Litecoin or other altcoins. Like other fiat currencies, they will rise and fall in value relative to each other.
If you like to monitor the crypto market, this may be the perfect way to make money on bitcoin.
Do not forget to establish a trading strategy!
Cryptocurrencies are still a very volatile market, so a trading strategy is relevant for you to profit from your investment and not lose everything.
Bitcoin: Binary choices
A more risky but also an option for Bitcoin trading is binary options for making money on bitcoin.
It is the same principle as trading, but this is a step where you instead make bets. Basically, the only thing you are speculating about is the value of Bitcoin, whether the value will rise or fall.
If your prediction is correct, you will be rewarded and if not, you will lose what you bet.
Of course, this is a more risky option because you are now betting. But if you are at higher risk, it can be a perfect way to make money on bitcoin!
The advantage of this is that this is a high risk with a high return.
You can earn more Bitcoin through trading and possibly more with the binary options if you play your cards right!
5. Write about Bitcoin!
Do you enjoy writing? Do you like Bitcoin? Why not rewrite Bitcoin as a way to make money on bitcoin! From blogs to articles and forums, there are many ways to write about Bitcoin as a way to make money on bitcoin.
How to make Bitcoins with coinbase
Why does Bitcoin exist?
Bitcoin was launched in early 2009. Behind the new creation was an anonymous person (or group of people) who went by the pseudonym Satoshi Nakamoto.
Nakamoto – whose identity has never been revealed – was tired of the current financial system and wanted to create a new one.
The founding of Bitcoin must be seen in relation to the financial crisis of 2007-2008, which was largely the result of greedy banks exploiting weaknesses in the financial markets to enrich themselves.
Over time, this created a house of cards of financial instruments no one really understood, and as so often happens with houses of cards, everything eventually collapsed.
The financial ecosystem was fundamentally shaken when the American investment bank Lehman Brothers collapsed, which created great concern about the consequences it could have if major banks around the world did the same.
How does bitcoin work technically?
Bitcoin was not the first system for digital money. On the other hand, it was first with the use of a so-called block chain in combination with what is usually called “proof of work”, ie “proof of work”.
A blockchain is a kind of digital database that has thousands of copies on computers around the world, making it virtually impossible to hack or manipulate bitcoin to steal assets or create counterfeit money.
The block chain consists of different blocks, in which transactions are registered.
Why does bitcoin have such a high value?
You have probably heard that bitcoin is worth a lot of money. From having a value of only a few hundred dollars at the launch, the price rushed in the coming years.
At the end of the 2010s, it could be stated that the cryptocurrency was by far the best investment for decades.
At the time of writing, at the end of February 2021, a bitcoin is trading for about $ 50,000. The simple way to explain the high price is that this is what people are currently willing to pay. But why are they willing to do that?
Is bitcoin used by criminals?
The simple answer to this question is yes – but maybe not as much as you think.
Historically, bitcoin has been a popular means of payment for buying, for example, drugs in the corners of the internet. However, as the authorities have become better at tracking bitcoin transfers, many criminals have chosen to switch to more anonymity-focused cryptocurrencies such as monero.
Bitcoin and blockchains have also been used as bait in many scams.
Some fraudsters use words related to cryptocurrencies to deceive unsuspecting people about money.
Examples of such scams include Bitcoin Code and Bitcoin Revolution, but there are many more.
Should I buy bitcoin? If so, how do I do it?
You can only answer that question yourself.
Look at the advantages (the historically good return and the fact that many large companies invest in cryptocurrency) and weigh them against the disadvantages (bitcoin’s exchange rate is volatile.
Even though the exchange rate of the cryptocurrency has risen sharply in price, it has crashed on several occasions).
And never invest more money than you can afford to lose.
If you are going to invest in bitcoin I recomend you watch this video. It explains everything from how to do it in a safe way and how to store your bitcoins so no one can take them:
I have mentioned a couple of methods for making money on cryptocurrencies, but it does not have to be that complicated to get started, and you can get started today.
You can start small and increase the amount of coins you own as you go or use methods where you make money in the long run.
Also, I found this intresting Vice video/documentary on crypto-mining as an actual business: