How quickly time flies—Bitcoin (BTC) will be 12 years old in 2021. We’re confident that at least one person in this room has heard of it. As our favourite digital currency becomes more popular, so do the opportunities to earn money with it. We understand that keeping up with the growing number of people who are learning how to make money with Bitcoin can be difficult.
To make things a little easier for you, we’ve compiled a list of 15 ways to make this year a Bitcoin-filled year.
1. Mining and exploration
We’re not talking about going into a cave with a pickaxe and a hardhat—we’re talking about Bitcoin mining, which was one of the first ways to get BTC. In this process, miners use powerful computers to solve complex mathematical problems. When they crack the code, they are rewarded with newly created BTC. It’s essentially a race to see who can solve the block the quickest, with those who are successful reaping the rewards.
Back in the day, mining wasn’t nearly as difficult. Some of the first miners were able to mine thousands of BTC using only their home computers. Now it’s a completely different story. In today’s BTC scene, you’ll need top-tier equipment, which can cost a few thousand dollars. You’ll also be up against a lot of competition now that Bitcoin has gained traction.
To give yourself a fighting chance, you can join Bitcoin mining pools or mining clouds. A Bitcoin mining pool is a group of miners who pool their computing power to solve complex mathematical problems faster. A Bitcoin mining cloud is similar, but instead of connecting their computing power to the cloud, they use it to connect their computing power to the cloud. This way, they won’t have to install or run the hardware or software themselves. The transaction fees paid by the miners, as well as the newly minted coin, are shared among the group’s members in either case.
As the competition becomes more fierce, you’ll need better equipment to profit. As you spend more money on equipment, your profit margin shrinks. As a result, Bitcoin mining isn’t as profitable as it used to be. Do a lot of research before you start mining because there are a lot of other ways to make money with Bitcoin.
2. Investing and maintaining a position
Buying and holding Bitcoin is the answer to the age-old question of “How to invest in Bitcoin and make money?” HODLing, or buying and holding, is one of the most straightforward and user-friendly trading strategies available. Get a Bitcoin wallet, buy some BTC, and then wait for the Bitcoin price to rise—however long that may take. It could take weeks, months, or even years before you decide to sell.
The term HODL was coined as a result of this. It all started with a mistake on a message board and turned into a full-time trading strategy. It also means to cling on for dear life, so it’s important to think about how much Bitcoin is worth before getting started.
3. Making a financial investment
HODLing, or long-term investing, is the fast-paced equivalent of Bitcoin trading. BTC trading is essentially a way to profit from Bitcoin’s high volatility. Do your research before attempting this method, as it requires practise and a thorough understanding of the market.
Day trading entails short and quick trades in Bitcoin, allowing for small and quick profits. Day traders’ strategy entails carefully analysing the market, spotting small profit opportunities, and capitalising for a small profit because they do not hold open positions overnight. At the end of the day, day traders may have made a significant profit.
Swing trading – If HODLing is for the long run and day trading is for the short, swing trading is in the middle. Swing traders, like HODLers, buy low and wait for their investments to appreciate in value before selling high. Their holding time, on the other hand, is neither as long nor as short as that of a HODLer or a day trader.
Bitcoin arbitrage follows in the footsteps of the previous methods. Arbitrage traders, on the other hand, search for profit opportunities across multiple platforms rather than just one exchange. In essence, they buy BTC on exchange A and then sell it on exchange B for a higher price.
How can you make money from it? It takes a lot of practice to use these methods to mine bitcoin, so don’t expect to succeed the first time. Simply do your own research, decide which strategy is best for you, and trust that everything will work out.
Difficulty Level: Medium
4. Taking advantage of affiliate marketing
To attract new customers, many businesses use affiliate marketing. This type of marketing encourages current customers to recommend the company to their friends and family. These types of incentives can be found all over the market, but they’re all different, so do your research before deciding which one to focus on.
At Paxful, we have our own affiliate programme. It’s one of the best on the market because it gives users the best chance of making money with Bitcoin. Take a look at it and see if you’re willing to give it a try.
Number five is accepting Bitcoin as a form of payment.
More businesses are beginning to accept Bitcoin as payment for their goods and services as the currency grows in popularity. Why not accept Bitcoin as payment if you already have a business?
It will broaden your global reach, increase the security of your payments, and streamline the entire payment process. The best part is that it’s incredibly simple to accept Bitcoin. If you run a physical business, it’s as simple as putting a small sign in front of your store and beside your cash register. You can display a banner on your home page or use a payment intermediary like Pay with Paxful to fully integrate it into your website if you have an online business. At that point, customers can simply send money to your Bitcoin wallet.
Once you start receiving BTC payments, you can use those funds to invest—and who knows? There’s a chance it’ll grow in the future.
6. Utilizing Bitcoin faucets
Are you someone who enjoys reading advertisements and participating in surveys? Wow…are you serious? That’s all there is to it! Why don’t you give a Bitcoin Faucet a shot?
Bitcoin faucets are reward systems that distribute BTC fractions to people who perform menial tasks such as watching ads or completing surveys. Some of them can even be played as minigames!
Getting a Bitcoin tip is number seven.
Helping others is one of the most rewarding things you can do—and it’s even better if you get paid for it!
One of the most well-known platforms that does so is Bitfortip, which offers BTC in exchange for assisting people with various tasks. These responsibilities include everything from helping people find dresses on the internet to providing knowledgeable technical answers to their questions.
Furthermore, why not accept BTC tips if you’re a gamer who enjoys streaming your favourite games? Take a look at the crypto-tipping services available on Twitch and other streaming platforms.
Microjobs and pay-to-click (PTC) websites
Several websites will pay you in Bitcoin if you watch an ad or click on a link to a page with ads. Remember that making a significant amount of money is still a difficult and time-consuming task. These sites are a great way to make money quickly if you’re immune to that. Coinpayu and adBTC are good places to start if you want to make money with cryptocurrency.
Microworkers and Cloudfactory, for example, pay you a small fee for things like watching a YouTube video or completing a survey. There are Bitcoin versions of these sites, such as Bitcoinget and Cointasker, where users can choose from thousands of tasks to complete in exchange for Bitcoin.
9. Articles about Bitcoin
Cryptocurrency is a relatively new niche, and only a handful of writers are truly knowledgeable about it. This means that there are a lot of inexperienced copywriters on the market who keep rehashing the same content.
If you really know your stuff and can write well, why not try your hand at educating the masses with your craft? Several websites will pay you to write about Bitcoin, including Crypto Currency News and Blockchain Aliens. Many freelance websites are also available, such as Upwork and Freelancer.
Difficulty Level: Medium
Campaigns on the Bitcointalk forum are number ten.
One of the most well-known forums on the internet is Bitcointalk. In fact, Satoshi Nakamoto was the one who set it up. It is the most popular forum in the cryptosphere, with millions of users.
Your Bitcointalk posts will include a sponsored signature if you’re a frequent visitor to the forum and have established some authority through consistent posting. You can eventually be compensated for each forum post you make.
11. Bitcoin Investing
The decentralised nature of Bitcoin and other cryptocurrencies facilitates transactions. This is because it will not necessitate the approval of any authorities.
Because of this decentralisation, you can also lend BTC to potential loanees at a profit. Consider it a way to keep your money flowing even if you’re HODLing—you’re putting it to work instead of keeping it in your wallet.
Unchained Capital, Bitbond, and BTCpop are some websites that can assist you with your lending services.
12. Gambling with bitcoins
If you’re self-aware, the Bitcoin gambling market can be a good source of income. The house always comes out on top in the vast majority of gambling situations. Bitcoin gambling, on the other hand, is a special case because it is a relatively small market that allows you to begin with large bonuses or even multiple rounds of your stake.
Bitstarz and mBit, for example, are major players in this space; if you’re interested, look them up.
Trading binary options is number thirteen.
In the financial world, binary trading has been around for a long time. It was only a matter of time before it made its way into the cryptosphere. Binary options have only two options, as the name implies: a trader buys an option and sets a time limit for it to expire. In the trade, it’s either “in the money” or “out of the money.” Essentially, you’re wagering on the price’s direction.
For example, at 10 a.m., the price of BTC is 3,000 USD. You can bet that the price will be higher or lower by 6 p.m. You will receive a percentage of your investment back if you bet that the price will rise and it does. However, if it’s lower, you’ll lose money. If, on the other hand, you bet that the price will fall and it does, you will be paid out for the option.
Number fourteen is being a masternode.
A masternode is a dedicated role that keeps track of the blockchain in real time. Like Bitcoin’s full nodes, they’re always up and running.
In addition to saving, validating, and announcing valid transactions to other nodes, master nodes perform a variety of tasks with the blockchain, such as ensuring smooth protocol operations, governing voting events, and so on. For their dedicated services, they are well compensated.
Scavenging for bugs is number fifteen.
As an incentive for finding exploits and vulnerabilities in their systems, many software developers and organisations offer bug bounties. Similar programmes are available on many Bitcoin exchanges and peer-to-peer marketplaces to assist users in improving their ecosystems.
If you’re interested in helping us make Paxful a safer place for everyone, check out the Paxful Bug Bounty Program.
Bitcoin is a currency that is constantly changing.
Now that you have them in your arsenal, why not give these 15 ways to start making money with Bitcoin in 2021 a shot? Perhaps your efforts will be rewarded handsomely.
As the cryptocurrency economy matures, people will continue to find new ways to make money with Bitcoin, such as dropshipping with gift cards purchased with BTC. Beyond that, Paxful and cryptocurrencies offer an almost limitless number of earning opportunities. Do your research to determine what works best for you. Best wishes!