Everyone wants to earn a little bit of extra crypto every now and then. I mean, there’s nothing wrong with building your portfolio. Still, for those of us without much time on our hands, earning crypto while we’re sleeping sounds like a dream come true. Luckily, that dream can very much be a reality! Let’s take a look at the top 5 ways to earn crypto while you sleep.
Crypto lending is a great way to earn while you sleep. It’s a method of generating income through crypto that has become increasingly popular over the last year, as many traders see it as a useful tool. There are essentially two types of crypto lending available to you:
- Custodial: This is when a crypto lending site takes your money, lends it out to borrowers and pays you the interest.
- Decentralized: A decentralized crypto lending service allows you to have far greater control over who you lend your crypto to.
Check out CoinLoan and Nuo.
4. Bot trading
Crypto trading bots are a type of software program that is tied to cryptocurrency exchanges. They monitor the fluctuations of the market, and essentially trade on your behalf as you sleep (or do any other activity). They make decisions for you based on various data such as price movements within the market, and will look at market volume, current orders, prices, and the time — although you can set up things to be a little bit more involved too!
Traditional trading bots are pretty expensive, but the crypto market is always ready to subvert the nonsense that the traditional markets get up to. Crypto exchanges give users access to their market and their exchange order book, which makes using a crypto trading bot much more simple and far less expensive.
3. Open trades
Open trades refer to current trades that are still active in your account. Open trading means that you have an open position in investing in any established or entered trade that has not closed with an opposing trade yet. For example, if you own 100 shares in a stock, you have an open position on that stock. When you sell the shares, your position closes. You can either hold your position, short-term trade, or day-trade with your open trades. Naturally this all applies to cryptocurrencies.
2. Offerings on Vertex
Launching offerings on a marketplace like Vertex.Market can earn you some really nice profits while you sleep. You can buy and sell more than 1000 cryptocurrencies from more than 200 countries with Vertex, so just launch your offering, set it and wait for other traders to buy. Since it’s P2P, you have full control over how much you want to sell and you can set your price.
The last entry on the list of the top 5 ways to earn crypto while you sleep is staking. Staking is a way for crypto traders and investors to earn passive income off of their digital assets, regardless of the fluctuations of the markets.
The word “staking” is based off of the term “Proof of Stake,” which is a type of consensus algorithm. Crypto staking can basically be described as similar to earning interest over a certain amount of money that sits in a bank account. The coins you have will be locked in a wallet for a period of time, and as a result you’ll earn more coins. The more coins you stake, the more you earn.
Staking is a way of helping to validate blocks for the network that you are staking coins from. It’s an excellent way of earning passive income, and also contributing to a platform.
The right passive income method for you
Now that we’ve had a look at the top 5 ways to earn crypto while you sleep, which passive income generating method do you think is the right one for you? Between selling your own crypto on a marketplace, staking, lending, bot trading, and open trading, there are a bunch of great options here. Do your own research and you could soon be earning crypto in your sleep too!