Earning money with Bitcoins and ALT Coins has become quite popular in recent years and many people are making significant amount of passive income thorough this field.
The following are the ways you can earn some income using Cyrptocurrencies.
1) Trading
Trading is the most popular way to earn money using Cryptocurrency. There are many exchange platforms where you can buy or sell coins with FIAT currency or exchange directly with other crypto coins or tokens.
See this Post for detailed overview of these Trading Platforms
NOTE : This is not any financial or Trading advice, This is just for informative purpose.
2) Mining
Through Mining, we can directly earn coins without any trading platform. If a miner validates any block successfully, then the reward of that block is paid to the miner. then that can be exchanged into normal FIAT currency or it can be loaded to any trading platform for exchanging to other coins.
Mining can be of 2 types:
Individual Mining - A sole person or any individual will mine in their house with a simple mining rig or a Graphics Processing hardware and tries to validate the blocks of respective Blockchains.
This is very inefficient because it is highly impossible to mine a block with such little computation processing power.
Mining Pools - Many Individual miners/users combine together and form a pool and try to find the value of SHA 256 Hash that falls below the target.
Mining pool services are offered by some websites. Users can sign up and start mining. The work will be distributed among all the individual miners.
If someone in the pool finds the required hash meaning that the block has been mined successfully, then the reward will be split to all users in the pool prportionately to the processing power they contributed to the pool.
3) Other Ways
- Giveaways by newly introduced coins or token projects
- Offers on trading Platforms as loyalty reward programs
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