Earn Passive Income from Cryptocurrency - 10 Coins to $1 Million
There are so many opportunities to create and invest for passive income. Our objective is to reach financial independence using passive income to replace earned income. We also want to diversify our income streams to decrease risk to our monthly income. As outlined in the velocity of money chart, you can use a few passive income sources to fund new investments. For your consideration is investing in cryptocurrency which can be used to earn interest - daily, weekly and monthly.
To start, let’s make sure we’re all on the same page with regards to how cryptocurrencies are defined. Cryptocurrency is a unique, virtual medium for exchanging money. It uses special cryptographical functions and blockchain technology to conduct online transactions.
Cryptocurrencies are totally decentralized. They’re not controlled by any one entity, and—in theory—they’re immune to government control. Individuals can also exchange cryptocurrencies online with very few (if any) processing fees. This advantage makes them much more appealing than traditional currencies and financial institutions for exchanges.
Cryptocurrency lending platforms give interest in crypto assets. Lenders can grow their crypto assets without doing anything. The average interest rates for lenders are about 7-12% depending on the platform and lending period duration. Lenders just need to deposit the crypto assets and see their portfolio growing every month.
The reason for the emergence of crypto lending platforms is simple - they solve a big problem for existing crypto users. Crypto holders now have an opportunity to leverage their crypto asset holdings without having to liquidate them.
Now, crypto users who want access to capital can receive loans using their digital assets as collateral. That’s a game changer as you can now get a loan, backed by your crypto, and use it to do anything from paying off debt to buying a home. All without having to sell any of your crypto assets.
Secondly, by depositing their assets with a crypto lending platform, crypto holders can now earn interest on their coins while still gaining exposure to long term upwards price movements.
The crypto play is two-fold: earn passive income and anticipate your coins to increase in value. If you track prices, there have been coins increase over 1,000 percent in the past. If you are a hodler (holder of coins), why not earn interest especially in the area of 10%. Being such a young technology, crypto can have significant long-term price appreciation. You can't find an opportunity with this much potential anywhere in the market. Yes, there is risk of losing value in your coins. However, this is why you only want 5% of your assets in cryptocurrency.
By using a cryptocurrency lending platform anyone can take loans to meet their short term funding goals and expenses and also want to see their crypto assets value going up in the long term. Most lenders will give you a 50% loan against your coins. For example, if you have 10,000 coins in your account, you can get a loan against it for 5,000 coins (in their value). This is a nice feature if you want to finance another project or investment.
To get started, you will need to buy your coins on an exchange, house them in a wallet and transfer them to a lender to earn interest.
There are many programs to earn interest on your cryptocurrreny. Here is how I manage my accounts.
Create a Wallet to House Your Crypto
There are numerous options to store your coins in a wallet. You can research and evaluate what you like best in a wallet. Personally, I use Coinbase for my account. There are several reasons I like Coinbase. First, you can earn free coins on their platform by learning about specific coins by watching videos and passing a short test. Currently, there is a waitlist for coins to be airdropped but more coins will be added. Coinbase has a great list of coins available from the biggies like Bitcoin, Ethereum and Litecoin to growing coins like Chainlink, Steller, BAT, EOS, Dash and others. You can refer friends as both of you get $10 when they join and invest $100.
Coinbase just announced the launch of a crypto rewards program for its users. Eligible U.S. customers will earn 1.25% APY for every USDC stablecoin they hold on the exchange. According to Coinbase, "USDC Rewards is a way for Coinbase customers to earn a return on USD Coin holdings without having to sell or transact any cryptocurrency."
Coinbase is a founder of the newly formed Crypto Ratings Council, the operators will publish online ratings of cryptocurrencies on a scale of 1 to 5, with the highest value signifying that a token is a security, per the press release. Issuers of tokens won’t have upfront input in the ratings, although they can provide information to “dispute a score their token received,” per the WSJ report.
Coinbase is a solid choice for a crypto wallet and easy for beginners to learn the trade.
Earn Interest with Celsius Network (CEL)
Aiming to realize the goal of financial inclusion, Celsius Network has been offering a host of unique services through its blockchain-powered network. The network is providing high-interest rate and low-cost loan to prospective customers through its revolutionary mobile app.
It can be easily counted among one of the best financial platforms available globally, working without the interference of the third-party, like financial institutions or central banks. The operating philosophy of the organization is to provide low-cost services, so that needy one can make most of the opportunity.
According to the company’s CEO Alex Mashinksy, the company wants to share all profits with their customers. Unlike some other cryptocurrency platforms, it distributes 80% of the returns among depositors. This is in-line with the organizational philosophy, to put the interest of the depositor first, which is like a win-win situation for all the stakeholders involved in the process.
What is Celsius Network?
Celsius Network was established in 2017 and had been offering decentralized lending to clients. It rewards interest of up to 10 percent to holders of stable coins and exchange users. Moreover, it allows people to use digital assets as security to borrow loans in fiat currencies. At press time, more than thirty percent of users have chosen the weekly interest program. Celsius is constantly growing and has more than ten thousand depositors and hold more than three hundred and fifty million dollars ($350M) worth of cryptocurrencies. Great Rates for Depositors
Further enhancing the savings for its customers, Celsius Network has increased the interest rate on the stablecoin deposits. According to the announcement, depositors will now receive a 12.03% annual percentage rate (APR) on their deposits. Further, if you are using the network’s CEL token, then you are eligible to earn more, i.e., up to 30% higher than other depositors, who earn at the rate of 9.25%.
Currently, the Celsius Network supports six different kinds of stablecoins: USDC, GUSD, PAX, USDT, TUSD, and DAI. Not only you are eligible for a higher interest rate on the deposits, but you can also get Bitcoin loan issued against stablecoins, at the lowest rates available in the market, i.e., starting from as low as 4.95% APR. Interested customers can avail this facility through the use of the mobile app. Once again, the network’s high returns enable it to offer loan at low-interest rates.
COMING SOON - 10 COINS to $1 MILLION (follow Greg Group on Amazon for details)
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