With the hype of cryptocurrency spreading, as a member of those running looks everyone to capture, you would also be investing unregulated money. Because crypto doesn’t listen to a single source of authority, it is shared, and people consider it a bubble.
If you want to live in this bubble and get something out of it in return, this is the perfect advice. Don’t listen but instead, do it yourself, and it will eventually take you to the source.
According to a recent study by Tech Jury, as of February 21st, 2021, Bitcoin had a market capitalization of $1.702 trillion, but the actual price as complete Bitcoin market is around $778.3 trillion. This is taking into account the total number of Bitcoins which is capped at 21 million.
If one Bitcoin right now is priced at $37,064, then keep in mind the average earning of the US in a year was highest at $140,153. Hence the elites amongst us can buy at least one every year.
In light of this information, let’s take a quick look at some of the ways students can earn profits on cryptocurrency investment.
1. Automated Bots
Training an automated bot may sound challenging at first, but once you get the hang of it you will soon discover one that can automatically make transactions for you. However, bots are rarely profitable. Best practices include:
- Build a bot solely for the purpose of signaling you the right time to make a decision.
- Train for risk allocation because it will help you offer choices to decide how much to invest.
- Lastly, with distinct algorithms and optimization of process applied, keep one bot for making big decisions like buying more stock for multiple clients.
- All of these three requirements can be fulfilled by one single bot and a multiple of three bots working together. The choice is yours to make.
2. Best Crypto Wallets
Once you start earning from taking investment from others, you can easily make your cut, but then storing a bitcoin or any cryptocurrency is not like fiat paper. For cryptocurrency, you need crypto wallets. Wallets help you stay away from fraud, save your time, and keep you in check. Here are some of the best choices:
- Electrum: Advance Users who are only into bitcoin
- Exodus: Best for Beginners
- Ledger Nano S: Most Affordable
- Mycelium: those who are always on their mobile devices
- Trezor Model T: For Dealers in Cryptocurrency
3. Choose the Best Platforms for Trading
Obviously, once you have something in your hand, you would like to hit off to the most viable market where you can easily swim and keep sharks at bay. Here are some investment platforms that may be able to pique your interest further:
- Coinbase: one of the largest in the world and also the most established exchanges in the United States.
- eToro: long been a pioneer of copy and social trading, an American company that provides only cryptocurrency trading guides.
- Gemini: provides over 40 cryptocurrencies, including the likes of bitcoin and ethereum. You can also pair two cryptocurrencies for trading.
- SoFi: a great tool for younger audiences that are just starting with a cryptocurrency exchange. SoFi provides cryptocurrency trading.
- TradeStation: if you are an active trader, you want a high-powered trading platform with tradable securities.
4. DeFi Yield Farming
DeFi is Decentralized Finance which any brokerage firm or middlemen don’t control. It is blockchain-based, and therefore, it’s a distributed ledger. All work is done through smart contracts that are simply put programs on a blockchain that run on predetermined conditions when met.
So what DeFi actually can do for you is a profit opportunity. However, choosing the correct project is crucial because you want to build a portfolio of various profitable projects to invest in using DeFi. The best current crypto DeFi Yield Farming tools include the likes of Ampleforth, Balancer, Compound, mStable, and Yearn to name a few.
A bitcoin faucet is a reward system where small amounts of bitcoin can be rewarded. The reward system offers you Satoshis, which you can earn for doing various tasks. One Satoshi is one-millionth of a bitcoin which comes to around 4 cents. At Assignment Assistance, young investors are advised to invest only after substantial research. Some of the best faucets include:
- BTCCLicks: one of the older and reputable bitcoin faucet with a minimum payout of 10,000 Satoshis. This comes to 400 United States dollars.
- Cointiply: most popular bitcoin faucets out there can offer big payouts and a significant amount of tasks. So it’s a win-win. At a minimum, you can earn around 35,000 Satoshis. Or $1,400/day.
- Satoshi Quiz is one of the best trivia-based crypto faucets. Every minute a question pops up. The first three who answer win a minimum payout of 11,000 Satoshis.
Once you can suffer the damage of market lows, you are capable of stomaching the volatility involved in cryptocurrencies. One the opposite of those who hodl, young ones often panic and sell their coins as fast as they could. However, this not the right practice, as you need to keep an eye out for the unsavory.
However, others may argue that the best strategy for HODL is SODL which is selling. A bear market is best for selling. This is why a person with no trading experience in any assets before would experience losses by not keeping their eyes on the trends.
7. ICO Investments
Your ultimate question is should you invest in ICO (Initial Coin Offerings)? In all honesty, ICO can help you draw interest before coins are started to trade. As early investors, you can sell them for a high-profit margin. Here is a quick guide to help you invest in the right ICO:
- Evaluate the ICO team composition, which must have committed personnel with skills.
- The white paper of the project or proposal where you would only favor high potential abilities.
- Always check the long term use of funds which must deliver sustainability and long term ROI.
Keep in mind that cryptocurrency is a volatile investment, so please be ready to win a couple of months allowance before you make the investment. However, at the same time, be ready to dream about owning a muscle car.
You would own your home probably in a couple of months and a private jet in a couple of years. All this can be your if you stay sharp, awake, research comprehensively, solve complex matters, and win every time.
I hope this post could offer you some meaningful insights as to how you can go about investing in cryptocurrency and earning profits. If you have any further queries about the topic, then I am happy to tell you that I am all ears. Till then, take care. Cheers, and all the best for your future endeavors!