No matter how the Indian government oversees cryptocurrency, there are plenty of cryptocurrency enthusiasts in India, who leave no stone unturned to not only earn more and more money from cryptocurrency, but also earn passive income opportunities by accumulating Bitcoin.
Many cryptocurrency investors and traders are interested in earning Bitcoin to make quick money. Here is a well explained read dedicated to the various methods and ways that help you earn Bitcoin in India.
What is Bitcoin and how does Bitcoin work?
Before we continue, let’s understand the concept of Bitcoin and how it works.
Bitcoin is a form of virtual currency that uses blockchain technology to handle transactions that take place between users on a decentralized network. Transactions are placed on the open source Bitcoin blockchain and recorded in a public ledger form. Each transaction is stored in a single block that is attached to the main blockchain to form the series of transactions. In turn, blockchain technology makes the transaction safe, transparent and secure, without involving any kind of intermediaries such as the government or banks.
Different ways to earn Bitcoin
Mining It is one of the neatest ways to earn Bitcoin by solving a crypto puzzle that helps add a new block to the Bitcoin blockchain network. The miner is supposed to mine by choosing the Bitcoin mining software and ratify the transaction in a process called mining. However, the task of mining digital currencies is not as easy as it seems. Bitcoin mining can be considered a proper job or a kind of profession rather than just a hobby. It also requires heavy consumption, expensive equipment, high electricity costs, and plenty of space to run mining operations.
Once the miner is able to successfully solve a complex crypto puzzle, they are rewarded with free Bitcoins and a transaction fee. Miners who are able to mine successfully can earn up to 6.25 BTC per block as they validate. In addition to the mining fee, they also receive a transaction fee that is also paid in Bitcoin. It should be noted that mining the largest cryptocurrencies such as Bitcoin requires a lot of energy, as the competition for Bitcoin rewards is extreme.
Some miners join with others to form a larger mining pool. This is a very common practice as due to the large mining pool, the various pools of miners work together to have a better chance of making a profit.
Bitcoin loans are a popular method of earning Bitcoin through various lending platforms. These lending platforms connect borrowers in need of cryptocurrency with cryptocurrency holders who are ready to lend their coins at an attractive interest rate.
Loans are a risky way to earn Bitcoin, but they come with higher earning interest rates, even up to 15% per year. However, if there is no collateral involved that makes the borrower responsible for repaying the loan, the loan can be an extremely risky affair. Crypto lending platforms like BlockFi, ZebPay, CoinDCX, Crypto.com, Nexo, Holdnaut facilitate Bitcoin borrowing and lending services at good interest rates.
Cryptographic staking it’s a great way to earn rewards. Cryptocurrency staking is the process in which the user locks up a certain part of their cryptocurrency holdings for a certain period of time to aid blockchain-related operations. And in return, the blockchain offers staking rewards to its participants.
Bitcoin is widely used for staking purposes through the use of a “consensus mechanism” called Proof of Stake, which ensures that each and every transaction present on a Bitcoin blockchain is verified and protected. Your Bitcoin, if you choose to stake it, becomes part of that process.
There are several long-term cryptocurrency holders who see the staking process as a way to earn more Bitcoin from their holdings, rather than collecting dust in their digital wallets.
Investors with a long-term view of cryptocurrencies hold Bitcoins and then sell their position at a large profit when prices are high. Also, if you already own Bitcoins, you can also deposit them into interest-earning crypto platforms and earn interest on them. Another approach to Bitcoin investing is to put money into Bitcoin-based startups, blockchain technology companies, to make big profits and earn more Bitcoin.
Trading is one of the fastest ways to earn more Bitcoins where the risk share is also high compared to other methods of earning Bitcoins. The trader must have knowledge of Bitcoin charts, market movements and must be able to take speculative risks while trading Bitcoin. They can earn more by adopting various trading strategies such as buying and selling, hedging, intraday trading, and market trend trading. So, if you want to earn more by becoming a cryptocurrency trader, make sure you have enough time and more importantly capital to invest in informative cryptocurrency trading lessons.
You can also earn free Bitcoins by claiming Airdrops, where you should spread the word or raise awareness about a certain crypto product or any coin.
Such airdrop events are associated with the free distribution of Bitcoins or other cryptocurrencies that are given only to selected users. Users are eligible for airdrops only if they meet specific criteria, such as interaction with any cryptocurrency platform. While developers organize airdrop events to attract more and more users. The most popular crypto airdrops in 2022 were Lucky block, Metamask, StormGain, DeFiChain, Battle Infinity and many others.
The airdrop claim process differs from one crypto project to another. Some developers will automatically place the coins in users’ wallets, however, in other projects, users can claim the required token by showing the “snapshot”, as proof of ownership. This snapshot acts as a kind of record of holders of tokens taken in a specific block.
And, to participate in bounty airdrops, users must have accounts on social media platforms like Facebook, Twitter, and Telegram.
Help finding bugs
There are many developers and large crypto tech organizations that tend to offer incentives in the form of free Bitcoins, if any user helps them locate bugs and bugs in their system.
In the world of cryptocurrencies there is no easy or low-risk way to make money with Bitcoin. However, if you are really well versed in the basics and fundamentals of Bitcoin and watch its movements very closely, you will surely find many ways to create opportunities for additional income streams by earning Bitcoins.