Creating Passive Income in Crypto
One of Warren Buffets more famous pieces of advice in finance is how passive income is crucial if you wish to build your wealth. The greatest investors throughout history have said much the same whether they have built billion dollar businesses, are a real estate tycoon, or a stock market genius they core message remains the same. In this article I will give you some ideas for vehicles to create sathoshis while you sleep.
Staking and Masternodes are one of the more popular ways people create money in crypto. They are one of the more safer ways in crypto (however still risky) as block rewards are fixed and unlikely to change until a block halving or hardfork. Masternodes are similar however they require fixed collateral of for example 10000 coins before you will receive block rewards its also likely you’ll have to rent a server to host your masternode which is another overhead you should keep in mind. They’re some pros and cons to both masternodes and staking. Masternode collateral can be quite expensive Dash masternodes require DASH worth 260,000$. However masternodes usually get to participate in voting, or get more voting rights as well as increased block reward in Hybrid proof of stake masternode chains. Staking requires 0 collateral however blockreward is usually less if the chain also supports masternodes. When buying masternodes or PoS coins I always give people the advice to research a coin without taking the fact into that it has masternodes or staking. If you would buy it anyway its a worth investment. Many shitcoins will tack on masternodes as a selling point which shouldn’t be the case. Masternodes.online is a great resource for finding masternode coins.
Trading bots are used by many of the top firms in traditional finance and crypto is no different. If you have some programming skills you can make your own using APIs from nearly every exchange however Binance and BitMEX both have the best API support from my experience. If you don’t have programming experience you can either pay someone to make you one specific to your needs or download an open source bot. Its crucial you make sure its open source as there has been multiple pump and dumps carried out by hijacked closed sourced bots. Be very careful when you give your API keys away. To give you an idea of what you get your bot to trade. You can have a very successful trading bot just by setting it to trade simple stuff like EMAs or MA crosses as well as indicators. Each pink line on the chart below is a cross on a 10EMA and 20EMA. Where your bot will either buy when the red line crosses the blue line or sell when the blue crosses the red. It made profit on nearly every major move on BTC recently. Your bot can be as complex or as simple as you want it to be.
Copy trading is one of the high risk high reward plays when it comes to passive income. Copy trading is what it says on the tin you will automatically copy a trader when they make a trade. They receive a reward and you make profit as long as the trade is a winner. If you are a trader you can also allow your trades to be copied and make passive income from copiers. Copy trading has been a feature on many traditional spread betting exchanges for a few years now but very few crypto based exchanges have it. 1Broker being the most popular. 1Broker allows you to trade real world assets like stocks commodities and Forex through Bitcoin but most importantly allows copy trading. Some of the traders on the exchange are high rollers and like to use high leverage to see maximum gains albeit a lot more risky while some play it safe and roll a long with maybe 20% — 30% rather consistently every month. The choice of who you copy trade is up to you. If you want high risk high reward you can have it. If you want steady growth you can have it. Each trader has a rating of 1–5 based on their risk level. Pick one that suits your risk model.
In summary money is good but money you make while doing nothing is even better.
Links to all mentioned websites:
Masternodes.Online : https://bit.ly/2sp14T6
Binance : https://bit.ly/2zJ55b4
BitMEX : https://bit.ly/2NjkDnK
1Broker : https://bit.ly/2m3XiuV
