Bitcoin was the one that started it all and the gold standard for cryptocurrencies. Ethereum is the silver to Bitcoin’s gold. Litecoin: the faster, lighter alternative to Bitcoin. Ripple (XRP): the black sheep of the family.
If you haven’t already heard, these four are amongst some of the most in-demand cryptocurrencies in the market at the moment.
With all four hitting record price highs since their inception, now is without a doubt an extremely exciting time to be in the world of cryptocurrency.
While major news outlets and governments have expressed concerns over the “crypto bubble”, there’s no denying that the market is still going on strong. Thus some of our more adventurous readers may be contemplating getting their hands on some of that sweet, sweet cryptocurrency.
Let’s be clear from the start. The crypto market is an extremely volatile one and should not be underestimated. Investing in cryptocurrencies while lucrative can also leave you broke with nothing to show for it.
So rather than exchanging cryptocurrencies for cold hard cash, why not explore how you can actually obtain the stuff.
Read on to learn more about how you can easily get some digital cash.
1. Get Paid in Cryptocurrency
The easiest and most obvious route would be to get paid in cryptocurrencies. However, this is much easier said than done.
If you’re working a day job, your employer will likely take a dim view of you requesting that this month’s salary be deposited in Bitcoins or any other type of cryptocurrencies.
Also, for those of you running a business, some more traditional customers may not be willing to pay you in cryptocurrency.
So what do you do?
You turn to the internet of course. In today’s world of side hustles and freelancers, you can always opt to get paid in cryptocurrencies.
For example, if you’re selling your skills as a freelance computer programmer to customers online, you can always request to be paid in cryptos. With sites such as Paypal accepting cryptocurrency payments and the international freelance network, crypto payments are likely to be commonplace.
A word of advice though; take steps to ensure that your client uses “mainstream” cryptocurrencies like Bitcoin or Ethereum. After all, you wouldn’t want to get paid with some obscure crypto that can’t be liquidated.
2. Mine Cryptocurrency or Join a Mining Pool
The most straightforward way of obtaining cryptocurrencies such as Bitcoin and Ethereum would be via mining.
Unlike traditional mining, you won’t need a pickaxe for this one. What you do need is specialized equipment like ASICs. While Satoshi Nakamoto intended for Bitcoins to be mined with basic CPUs, mining operations have become highly-industrialized affairs with complex equipment.
This has made it extremely competitive and unprofitable for independent miners to survive. Hence instead of investing in crypto mining equipment, you could join a mining pool.
Mining pools are a collection of miners who have gathered together to optimize their available resources. While you’re not likely to turn a huge profit, mining pools are an easy way to get your hands on some cryptocurrency.
Again, be careful when joining a mining pool as you do not want to hand your money over to a scammer. Instead, do your research and work only with trusted parties.
3. Get Paid in Crypto for Staking Cryptos
Sure the title may seem a bit convoluted but bear with us.
Since cryptocurrencies are decentralized, there is no single authority that is able to validate and verify transactions that have been performed. This is why miners are rewarded with cryptos for each block of transactions they verify.
Mining harnesses the power of the entire community to ensure that duplicates and inaccurate transactions on the blockchain are removed.
However, as the blockchain grows in length, this becomes increasingly difficult. This is why cryptocurrencies such as Ethereum 2.0 use Proof of Stake (PoS) instead of Proof of Work (PoW).
Proof of Stake requires users to hold or lock in certain currencies for a period of time. As this is a type of service, stakes will be paid in the form of cryptocurrencies. Thus letting you earn more cryptocurrencies with those that you already own.
You can also join a Bitcoin faucet, which are websites that give rewards in crypto for completing surveys or solving captchas. You can find out more about that here read the full article about Bitcoin faucets in Tezro blog.
The world of cryptocurrencies is an extremely exciting one fraught with risk. While you may be tempted to outright buy cryptocurrencies, there are more ways than one to make an omelet.