Do you want to earn a passive income with idle cryptocurrency while you are sleeping? In this article, I’ll show you how you can make a passive income with your idle cryptocurrency.
There are other methods than trading or investing which will assist you turn your idle cryptocurrency into a passive income. These pays ongoing income almost like earning interest, but only require some effort to set up and tiny or no effort to take care of.
Stop holding idle crypto. Turn your Idle Cryptocurrency into a Passive Income.
What is Passive Income?
The word “passive” makes it sound such as you need to do nothing to bring in the income this is not true. Passive income required an upfront investment and tons of nurturing in the beginning.
All passive income streams will required a minimum of one amongst the following two elements:
- An upfront monetary investment, or
- An upfront time investment.
The reality is that, whether you wish to admit or not, many have gotten rich with cryptocurrency. The crypto industry offers much more lucrative opportunities for those with a sum of money to make their money work for them and earn a passive income. There are naturally ways to own a passive income in cryptocurrency. Even the most effective investors can experience prolonged periods of loss, and one of the ways to survive them is to have alternative sources of income. This way, you’ll have several streams of income that, together with one another , can add up to a big amount. Boost your passive earning with platforms like Binance, Kucoin, Poloniex, Nexo, Crypto.com, Bittrex and Gate.io and Okex.
What are the ways you can turn idle cryptocurrency into passive income?
Passive income is money you earn that does not require you to try and do tons of “active” work. it’s an income stream that when setup correctly, would require minimal interaction to make profit.
Earn Passive income with cryptocurrency by staking
Staking is the most straightforward way to earn passive income because the market pays you for holding cryptocurrencies for a particular period of time.
Staking is the process of depositing and holding funds in a wallet or an exchange to support the security and operations of a proof-of-stake blockchain network. In return, users receive rewards for this.
Staking gives stakeholder voting rights, the power to make decisions in the network, and to generate passive income.
You can earn coins without even participating in any transaction. All you have to do is to keep your wallet open and you can earn staking reward.
The staking principle is kind of simple. The more funds you stake within the network, the more power you’ve got . Not all cryptocurrencies support staking.
With staking, you’ll generate a passive income by holding coins. Beside that you simply receive a gift (in the shape of additional token).
Exchanges that offer crypto staking:
- Binance: Supported coins will be staked automatically and you can earn more with Binance Earn. Staking Fees: Zero fees. Staking Assets: Algorand (ALGO), NEO (GAS), Ontology (ONG), VeChain (VTHO), Tron (BTT), Kava (KAVA), Komodo (KMD), Stratis (STRAT), Qtum (QTUM), and Stellar (XLM). Minimum investment: Starting at 10 USDT worth of tokens. Start staking with a low entry of only $10 USDT worth of tokens and reap higher rewards and additional benefits.
- Crypto.com: Earn 10% APR interest paid daily.
- KuCoin: Kucoin is the pioneer of exchange staking. Users can currently stake a wide range of assets on KuCoin, including several that you will not find on other reputable exchanges. Staking Fees: 10%. Staking Assets: Tron (TRX)
- Poloniex: Poloniex also offers exchange staking. Staking Fees: 25%. Staking Assets: Cosmos (ATOM)
Earn Passive income with cryptocurrency by Liquidity mining and Yield farming
The rise of automated money markets and decentralized borrowing and lending platforms has boosted new applications and a chance to earn passive income through numerous platforms like staking, decentralized exchanges (DEX), and liquidity mining is also referred to as yield farming.
Decentralized finance (DeFi) is an ecosystem built on the blockchain that gives financial DAPPS and smart contracts that have the conventional economic system ( centralized finance) by replacing those centralized services with “Trustless protocols”.
DeFi present opportunities that will transform centralized financial model. On DeFi platforms, there will be better interest rates, capital protect, and more investment options.
You can also read:
- How to use Binance Exchange: A Step-by-Step Guide For Beginners’
- Top 6 Best Cryptocurrency Exchanges of 2021
Liquidity providers (LP) are individuals who plan to lock their coins for a gift . in order words, they’re yield farmers or liquidity miners.
Liquidity mining also know as yield farming. Participants in yield farming are called yield farmers and that they stake or lock their funds on behalf of the yield farmers in return for a fee. The upper the stake , the greater the fees, and returns on investments.
Yield farming is the generation of yield from crypto assets. In yield farming, people lock their cryptocurrencies and receive rewards per the number of coin locked.
Yield farming may be a symbiotic relation within the sense that the two parties-the DeFi protocols and also the liquidity provider benefit from one another.
Yield farmers provide liquidity to support the protocol, in return, they receive reward for supporting the system. The reward yield farmers get usually comes from trading fees generating from underlying DeFi platform.
Yield farmers can farm yield from DeFi money markets, liquidity pools, and incentives. They’re instrumental to the structure that powers platforms that use automated market marker (AMM).
Liquidity Mining and Yield Farming Platforms
1. Binance Liquid
Binance Smart Chain (BSC) is a blockchain protocol from Binance that runs in parallel with Binance Chain. Unlike Binance Chain, however, Binance Smart Chain powers smart contract functionality and boasts compatibility with Ethereum Virtual Machine (EVM).
Binance Smart Chain has one of the fastest blockchain transaction times and lowest fee structures, which makes building DeFi apps on the protocol so appealing for developers.
BSC protocol are protocol that support platforms for Yield farming using Binance smart chain (BSC) token. Binance Smart Chain’s BEP-20 token uses essentially the same format as the Ethereum protocol’s popular ERC-20 tokens.
Currently, there are already 60+ DApps operating on Binance Smart Chain, with the majority specializing in decentralized finance solutions.
The easiest way to access Binance Smart Chain to take part in its growing DeFi ecosystem is using the Trust Wallet DApp Browser. Download Trust Wallet app to access DeFi on Binance Smart Chain today!
Uniswap platform is one of the latest and at the same time largest DeFi exchanges for yield farming. Yield farmers can lock and stake their funds here in ETH and USD and earn up to three fees on all investments counting on the quantity of their share.
Aave is a decentralized non-custodial liquidity market protocol where users can participate as depositors or borrowers.
Depositors provide liquidity to the market to earn a passive income, while borrowers are ready to borrow in an overcollateralized (perpetually) or undercollateralized (one-block liquidity) fashion.
In order to use the service, you simply deposit your preferred asset and amount. After depositing, you’ll earn passive income based on the market borrowing demand.
The Balancer is an AMM platform that operates on the Ethereum blockchain network. Balancer comes with customizable pools like shared pools and private pools to earn rewards. in a shared pool, the fees are fixed whereas, in a private pool, owners have control and may add liquidity as per choice.
Earn passive income with cryptocurrency by Lending
Lending is a completely passive way to earn interest on your cryptocurrency holdings. There are many peer-to-peer (P2P) lending platforms that allow you to lock up your funds for a period of time to later collect interest payments. The rate of interest can either be fixed (set by the platform) or set by you based on the present market rate.
Exchanges that offer lending service
- Binance Lending offers a variety of options that let you earn interest on your holdings.
- Nexo is an online cryptocurrency loan service that offers financial benefits for storing crypto assets on the platform such as Bitcoin and Ethereum within a Nexo secure wallet. Nexo is an ease to use lending platform.
- KuCoin offer lending options that let you earn interest on your crypto by lending them out for the funding of margin accounts. The loans last for either 7, 14, or 28 days, and you can earn up to 101% annualized interest rate from your holdings.
What are the risks of turning Idle Cryptocurrency into Passive Income?
- Risk of bugs: Locking up your tokens in a staking wallet or a smart contract always carries the danger of bugs. Usually, there are multiple choices available with various degrees of quality. it’s imperative to research these choices before committing to at least one . Open-source software could be a decent place to begin, as those options are at the very least audited by the community.
- Buying a low-quality asset: Artificially inflated or misleading return rates can lure investors into purchasing an asset that otherwise holds little or no value. Some staking networks adopt a multi-token system where the rewards are paid in a second token, which creates constant sell pressure for the reward token.
Disclaimer: Some of the links may contain affiliate links. We may receive commission from a number of the links once you click to make purchase. you’ll not be charge for it.
Please note: This is not a financial advice. Cryptocurrency are often highly volatile and is subject to high rick. Please make your investment cautiously.
Simbablog won’t be liable for your investment loss.
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6 Best Cryptocurrency Exchanges In 2023
Are you wondering which exchanges is the best cryptocurrency exchanges for a novice, secure, reliable and cheap to buy/sell and trade cryptocurrency with? Don’t wonder anymore. Here are the 6 best cryptocurrency exchanges
To find the best cryptocurrency exchanges that are secure, user-friendly, low fees, good customer service and a charting interface in cryptocurrency exchange for a beginners or advance crypto trader, you got to try thousand of various cryptocurrency exchanges. That is why I want to help you save time.
The 6 cryptocurrency exchanges that I’m about review to you are trustworthy, secure, easy-to-use, and have had proven level of quality in terms of platform features, charting interface, trading pairs, fees, security and customer support. When choosing an exchange, trust matter.
Below are the 6 cryptocurrency exchanges that are best for novice and expert to trade or buy/sell cryptocurrency.
6 Best Cryptocurrency Exchanges
Take a look at the best 6 cryptocurrency exchanges and choose the one for your need.
Binance is best known for it wide selection of altcoins with over 100 different trading pairs between cryptocurrencies.
Binance is an exchange founded in 2017 and headquartered in Malta and has 12 office locations across 12 countries. Changpeng Zhao a Chinese-Canadian executive, who is the founder and CEO of Binance, the world’s largest cryptocurrency exchange by trading volume.
The company has high trading volumes which suggests that the exchange is trusted by many.
Binance is taken into account a secure exchange that permits user account protection via the utilization of Two Factor Authentication (2fa).
The exchange is meant for beginners trader, also an advanced traders.
Bittrex a U.S blockchain platform that provide real-time trading and is an industry-leading security. The exchange was established in 2014 and based in U.S.A.
Bittrex has a daily trading volume of around N347,062,795 USD. It was founded by Bill Shihara, Richie Lei, Rami Kawach, and Ryan Hentz.
Bittrex is one of the safest exchange to buy, sell and trade, it has a security system where it detects if your login is from a special ip to the one you regularly used, and ask you to approve that ip address.
Bittrex security system is extremely good because it protects you from a possible hack.
The platform is suitable for every crypto trader especially for beginners in the crypto industry.
Bittrex offer the flexibility to deposit and withdraw fiat currency (USD) to your account from your bank account.
The support team are in no time to supply detailed and in-depth answers for any problem.
Bittrex is a simple and convenient platform for the users. Bittrex mobile app for Android and IOS allows you to trade your favorite crypto markets on the go.
Poloniex is a cryptocurrency exchange that was founded in 2014. The exchange was located in U.S.A, a registered and regulated company.
Poloniex, a number one cryptocurrency exchange offers a good sort of digital assets. Poloniex allows it users to buy, sell and trade several different cryptocurrencies, which includes popular coins like Bitcoin, Ethereum, Pokaldot and Tron, also as less popular ones too.
The exchange provides its customers with a secure trading environment also as advanced charts and data analysis tools.
Poloniex exchange platform enables its users to buy and sell cryptocurrencies like Dogecoin, Chainlink, Tron, Litecoin and lots of more.
With no deposits or withdrawal fees, it charges, a flat rate of 0.2% on all trading transactions. To use Poloniex, you’re required to be 18+ years of age.
KuCoin is a well-known name within the crypto industry. The exchange is known as “The People’s exchange”. KuCoin was founded in 2017, the exchange is comparable to Binance exchange with it fee been charge at 0.10%.
KuCoin has over 200 cryptocurrencies and offer fiat to crypto trading, margin and futures trading, P2P exchange, Lending service, KuCoin Spotlight, Staking, and ability to buy crypto using a credit or debit card.
Since it launch, KuCoin has grown rapidly to the top 6 best crypto exchange with over 7million registered users from over 100 countries including Nigeria.
There mobile apps for Android and IOS is simple to operate. The exchange has multi-factor authentication for transactions including withdrawals.
KuCoin exchange offer several benefits for KuCoin coin holders, including slashed fees.
Gate.io is a global cryptocurrency trading exchange that was established in 2013 to allow customers in the world to buy, trade, sell and store cryptocurrencies. The exchange protects your funds with both
centralized and decentralized methods. Is considered one of the top exchanges for crypto. Gate.io is also the first exchange to invest millions in security to protect your assets.
For 8 years, Gate.io has been operating consistently and reliably. As a longtime exchange with cutting-edge technology, Gate.io offers an efficient and convenient trading system, in addition an instant deposit and withdrawal service.
The interface is absolutely beautiful, there are several cryptocurrencies available for you to trade in a single platform which really help cause you don’t have to be compelled to switch from one to a different one.
Gate.io offers leverage trading in its trading platform. This means that you simply can receive a better exposure towards a particular cryptocurrency’s increase or decrease, without having the assets necessary. The exchange provide access to a good ranges of cryptocurrencies like Bitcoin, Ethereum, Pokaldot, Chainlink, Tron and more blockchain assets trading.
The mobile application of the platforms in also pretty good and makes trading on the go very easy. The registration and trading platform are also easy and pretty straightforward.
Gate.io always complies strictly with regulations and has never allowed for market manipulation. The exchange requires two-factor authentication and also KYC verification for you to trade making it much safer and transparent.
Crypto.com is a payment, trading and financial service provider for cryptocurrency users worldwide. The company was founded in June 2016, on February 2017 the company was accepted into Hong Kong Cyberport Incubator Program.
Crypto.com belief that it’s your basic right to regulate your money, data and identity. They believe that by accelerating the transition to adopting cryptocurrency, they can help people globally to:
- Control their money – ability to access there funds anytime and anywhere;
- Protect their identity – no central entity can compromise your identity;
- Safeguard their data – cryptography secured blockchain makes data tempering highly unlikely.
Crypto.com was built to:
- Redefine how money is being moved, spent and invested;
- Democratizing blockchain technology by designing beautiful, simple and useful financial services that have a long-lasting, positive impact on people lives.
Crypto.com has 3 different product offers:
- Payment – Crypto.com pay, Visa Card, Crypto.com Chain
- Trading – Crypto.com App Crypto.com Exchange
- Financial Services – Decentralized Financial Products, Crypto Earn, Crypto Credit.
Crypto.com provide support for fiat institutions making it possible for cryptocurrency users to spend and withdraw the fiat equivalent of their cryptocurrency online or offline at 50+ millions of Visa-Approved Merchants.
Crypto.com exchange lets users to trade crypto comfortable with the following: Deep liquidity, Competitive fees, Engaging Event, Institutional-grade infrastructure. The exchange support trading pairs of cryptocurrencies with leading market capitalization and volume like BTC, ETH, LTC, USDC and more as well as CRO token – native currency of crypto.com chain.
The content on simbablogging.com.ng is provided solely for informational purposes. This information should not be misinterpreted as an advice to buy, trade or sell a cryptocurrency or any specific product or service.
The opinions expressed in this blog do not constitute investment advice.
Please do your own research before using any of the best 6 cryptocurrency exchange.
How to Create an Account on Binance Exchange
If you are looking out to do anything with Bitcoin or Altcoin, Binance is the exchange that you need to be on. While there are other great exchanges like KuCoin, Luno, Coinbase or Crypto.com, Binance exchange is in my opinion the best and most beginner’s friendly exchange with the largest selections of altcoins/coin.
I’ll walk you step-by-step through how you can create an account, deposit crypto and fiat money on Binance exchange.
Now, if you don’t have Binance account you can create one now. www.binance.com/create
What is Binance Exchange?
Binance exchange is a china-based cryptocurrency exchange that was launched in July 2017 by Changpeng Zhao. The exchange has rapidly gain popularity.
It is now the largest exchange in the world in terms of trade volume on Coinmarketcap.
The exchange has several advantages,
- Low transaction ratio which makes it very competitive within the market.
- By just owning Binance coin ( BNB ) you get 50% per discount trading fee using BNB.
- Binance team is very present, active and the customer support answer very fast comply to other exchanges of the same size.
- Binance support hundred of different cryptocurrencies and fiat currencies. It is a very secure platform.
Now it’s time to register:
How to create Binance Account
Step 1. Go to the Binance website: www.binance.com
Step 2. Click on “Register now” located in the middle of the homepage or at the top right hand corner, click on “Register“.
Step 3. Enter your “Email” and “password” and tick off “I have read and agree to the Terms of Service. Binance’s Terms“.
PS: Use a secure password and one you can remember. Don’t share or give out your password to anyone.
Once the step is complete,
Step 4. Click on ” Create Account ” A verification email will be sent to your register email.
Step 5. Go to your mailbox to validate your email.
Step 6. Open your email and click on “Check email address“. You will be directed back to the Binance website once you’ve completed the verification.
Congratulations your Binance account is officially created.
How to use Binance Exchange to Deposit Cryptocurrency
Binance facilitate the deposit and withdrawal of fund in cryptos and fiat currency.
In order to begin trading cryptocurrencies on Binance exchange, you will need to deposit funds into your Binance account.
Binance supports trading of over 150 different cryptocurrencies. You can deposit any one of these onto the exchange.
To deposit crypto on Binance:
Step 1. Log in to your Binance account.
PS: Don’t forget to check out the address before you log in. It will help you avoid scam. Follow this link: www.binance.com
Step 2. Go to the “wallets” page located on the top right side of your Binance homepage.
Step 3. Select “Fiat and Spot“, choose the crypto that you wish to deposit and then click “Deposit“.
Step 4. Copy the address or scan the QR code, and complete the deposit.
Note: Sending coin or token other than TWT to this address may result in the loss of your deposit.
We choose TWT as an example. You can “copy TWT Deposit Address” and paste it to the corresponding address section where you are making the withdrawal from. In this example, we will be depositing TWT from Trust Wallet.
Now that you have your deposit details, you can open the wallet you wish to send the deposit from. We will be using Trust wallet.
If you don’t have Trust Wallet, you can download it from the Trust website.
Once your wallet is open,
Step 5. Select the coin/altcoin you wish to send. In this case, it is TWT.
Step 6. Now click on “Send“.
You will need to enter your Binance deposit address. The easiest way is to scan the QR code available on Binance. You can see your QR code by clicking “show QR code” on the website.
Step 7. Once you have entered your details you can send the transaction and your Binance account will be credited shortly after.
How to use Binance to Deposit Fiat Currency through web
In order to deposit fiat money into your Binance account:
Step 1. First log in to your Binance account
Step 2. Go to the “wallet” page on the top right side on your Binance homepage
Step 3. Click “Fiat and Spot“
Step 4. Click on “Deposit” at the top or simple scroll down to the preferred currency that you wish to deposit. In this case we choose NGN currency and click “Deposit“
Toggle to Fiat
Step 5. Select the preferred currency. In this example we choose USD
Step 6. Choose your preferred payment method, Binance will recommend one for you.
Enter the amount you wish to fund your account with.
Step 8. Click “continue” to proceed to the payment menu.
- Binance only accept funding from a bank account under your own name
- Include the Reference Code in your deposit in order to credit your account! e.g. Reference Code: BNQWJ72KB
- Ensure you have deposited the correct amount
- Make sure you complete the bank transfer in 20 minutes, otherwise, the account number would be invalid.
- Make sure you have sufficient balance in your account before proceeding with the payment.
Step 9. Copy the payment information and proceed to your banking app to complete the bank transfer.
Step 10. Then click on ” I have made this bank transfer“. Once the payment is completed, it will redirect you to the Binance page.
Congratulation you’ve successfully made your first fiat deposit through the binance web.
You can track the transaction in “Transaction History“.
How to use Binance Exchange App to Deposit Fiat Currency
Binance lets you trade cryptocurrency and fiat currency on your smartphone, giving you an easier interface to work with as opposed to using your phone’s browser to buy and sell coin/altcoins.
Installing Binance App is incredibly easy if you have an Android and IOS device.
To get started, you’ll need to download the app directly from Binance itself, which can be done through this link: www.binance.com
Step 1. To deposit fiat on Binance, first you should log in to your Binance App. You can log in through Email or Mobile Number
Step 2. Click on “Deposit“
Step 3. Switch to fiat and choose the preferred currency you wish to deposit. In this case USD
Step 4. Next, choose a payment method and enter the amount you wish to deposit and click “continue“
Step 5. Copy the account details and make the payment. After you have make the payment then
Step 6. Click on “I have made this Bank Transfer“
Wait for the count down to payment confirmation. Once the payment is completed, your balance will reflect the amount deposited.
Congratulations you made your first deposit.
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