Can You Really Make Money With Cryptocurrencies: Explained

Nowadays, earning money using bitcoins is simple, although contrary to popular belief.

Most people will suggest you to:

1. Mine Bitcoin – This method requires huge investment, and the ROI (return on investment) will be unsure and may take years. This can be done in places with low per unit electricity cost.
2. Use BTC faucets – This doesn’t require any investment, but the amount of BTC you receive will be very low, almost in US cents.
3. Put it in cold storage – You can safely store your bitcoins, but you won’t earn anything from it. Helps you to safely keep BTC as a long-term investment.

Moreover…

You can engage in trading. This is by far the most popular way people go about this business. There are hundreds of currencies out there, so after doing due research and figuring out which one looks most promising to you, go to a website such as Switchain to compare different exchange fees you can get for trading.

A lot of people decide not to engage in trading, but to buy a certain amount of coins and then just hold them in a wallet until, hopefully, the price goes way up so that cashing out would make it profitable.

The original way of earning Bitcoin is mining. That is, getting those new coins that are just entering the network before anybody else (since there is a new set of coins appearing on the blockchain every 10 minutes). This is way easier said than done though, considering that the competition is so high that you need very specialized machines to be able to pull it off.

Those will be the most basic few ways how people approach handling cryptocurrencies. Of course, once you get some, there are many, many ways of using them for buying different goods or trading in different ways, but those will be the main ways of earning them, which was the point of the question.