Over the last several years, Bitcoin (BTC) has gained popularity as the number one form of decentralized currency. While it’s still unknown who created the cryptocurrency, only one thing’s certain: there are numerous opportunities for you to make money with Bitcoin.
There are a lot of options to choose from and deciding the best route to take isn’t always easy. To make things a bit easier for you, we’ve compiled a list of tips on how to make money with Bitcoin through various methods:
1. Buying and holding
If you’re wondering how to make money with Bitcoin without putting in too much effort, you can always buy and hold. Buying and holding BTC is one of the most straightforward and most beginner-friendly ways of earning money with crypto. Here’s how it works:
- Sign up for a Bitcoin wallet—Paxful gives new users a free one!
- Buy Bitcoin with bank transfer or other modes of payment.
- Hold on to your BTC and wait for spikes in price—no matter how long that may take.
You could wait weeks, months, or even years before you decide to sell. That’s the beauty of buying and holding. This technique has become so popular, there’s even an internet name for it—HODL. It started as a typo on a forum and became an acronym for Hold On for Dear Life. So if you decide to buy and hold, remember to hold on to the BTC for dear life.
Difficulty: Very Easy
2. Taking advantage of affiliate marketing
Another easy way to make money with Bitcoin is through affiliate marketing. A lot of companies use this type of marketing to bring in new customers. It also incentivizes existing users to bring their friends and family to the business as well. You’ll see these types of incentives all over the market, but they differ from one another. Carefully study each one and choose which program you want to invest your time in.
We’ve got our own Bitcoin affiliate program here at Paxful which gives you the best opportunity to make money with Bitcoin. Look into it and see if you’d be down to try it.
3. Accepting Bitcoin payments
As BTC continues to mature, we’re starting to see more and more businesses accept BTC payments for their goods and services. So if you’re already running a business and want to know how to make money with Bitcoin, why not consider taking BTC as payment for your product?
Integrating Bitcoin into your payment system will widen your reach and make transactions more accessible to customers who don’t have bank accounts or credit cards. The best part is that it’s incredibly easy to start accepting BTC.
If you’re running a physical establishment, it’s a matter of putting up a small sign at your storefront and beside your cash register. If your business is online, you can put a banner on your home page or use a payment intermediary like Paxful Pay and fully integrate it into your website. At those points, customers can just send funds directly to your Bitcoin wallet.
4. Using Bitcoin faucets
Are you one of those people who like looking at ads and answering surveys? Luckily for you, you can earn a decent amount of crypto through Bitcoin Faucets.
Bitcoin Faucets are basically reward systems that give small amounts of BTC to those who complete minor tasks—like watching ads or answering surveys. Some even come in the form of minigames!
5. Getting tipped in BTC
One of the most fulfilling things in this world is helping other people out—and if you get tipped a little money on the side for it, even better! One of the most notable platforms is Bitfortip, which gives out BTC rewards for accomplishing various kinds of tasks like helping people find a dress online and giving informed technical answers to their questions.
Additionally, if you’re a videogame streamer, why not accept tips in BTC? Twitch and other streaming platforms have integrated crypto-tipping services, so be sure to check those out!
6. Microjobs and Pay-to-Click (PTC) websites
If you’re constantly searching how to make money with Bitcoin on the Internet, you’re in luck! This is a reliable way to gain BTC that not too many people will tell you about. Many PTC websites will pay you fractions of BTC if you watch an ad or click on a link to a particular page containing ads.
However, bear in mind that making any significant money this way is a hard and tedious task. If you’re willing to put in the work, these sites are an excellent way for you to earn a quick buck. You can check out websites like Coinpayu and adBTC if you’re interested in learning how to make money with cryptocurrency.
Microworkers is another site that pays you a small fee to complete very simple tasks like watching a YouTube video or completing someone’s survey. These PTC sites have BTC counterparts like BitcoinGet and CoinTasker, where members can choose thousands of tasks to complete to earn Bitcoin.
7. Play games
Yes, you can really earn money and have fun at the same time! There are Bitcoin play-to-earn games like Bitcoin Alien Run and Sparkprofit that give out Satoshis. While it takes more effort than micro jobs, we’ll say Bitcoin games are probably more fun than completing a survey.
8. Lending BTC
The decentralized nature of Bitcoin and other cryptocurrencies makes it simpler to make transactions. This is because you won’t need any authorities to validate it.
Because of this decentralization, you can loan BTC and earn some cash through interest. Think of it as a way to make your money flow even when you’re HODLing—you’re actually using your wealth instead of keeping it unmoved in your wallet.
Unchained Capital, Bitbond, and BTCpop are some of the websites you can use to help you with your lending services. So, if you’re still wondering how to make money with cryptocurrency, give lending a try.
If HODLing is long-term investing, trading Bitcoin is its fast-paced equivalent. Essentially, BTC trading means taking advantage of its highly volatile nature. This method requires practice and knowledge of the market, so be sure to do your homework before giving it a shot.
Here’s how you can make money with Bitcoin through trading:
- Day trading – Day trading entails short and quick trades, allowing opportunities for small and fast profits. Day traders don’t hold any open positions overnight, so the method consists of carefully analyzing the market, seeing small money-making opportunities, and capitalizing for a small profit. At the end of the session, day traders could have a significant cumulative gain.
- Swing trading – If HODLing is long-term and day trading is short-term, swing trading is kind of in the middle. Like HODLers, swing traders will buy low, wait long enough to see their holdings increase in price, and then sell high. However, their holding time isn’t as long as a HODLer and isn’t as short as a day trader.
- Arbitrage – Bitcoin arbitrage is similar to the styles above. However, instead of looking for money-making opportunities within the same exchange, traders who use arbitrage look for those opportunities across different platforms. In essence, they buy BTC from exchange A then sell it at exchange B for a higher price.
These methods require a lot of practice, so don’t expect to get it right on the first try. For starters, you can try out our simple strategy for earning money from Bitcoin trading. This involves buying BTC and then exchanging it for a OneVanilla Visa/MasterCard Gift Card. SquareUp is then used to convert the gift card balance into actual money. Profit for each transaction can be as high as 40%.
10. Writing about Bitcoin
Cryptocurrency is a new niche and only a handful of writers genuinely know the topic. This means the market is flooded with newbie copywriters who rehash content over and over again.
If you want to know how to make money with cryptocurrency and have previous crypto writing experience, why not try educating the masses? Cryptocurrency News and Bitcoin Magazine are among several websites that can pay you to write about Bitcoin. You can also use a lot of freelance websites like Upwork and Freelancer.
11. Binary options trading
Binary trading has existed in the financial world for a very long time. It was only a matter of time before it made its way into the world of crypto. If you’re still searching for the perfect way on how to make money with Bitcoin, this is an excellent option. Binary, as the name suggests, has just two options: a trader purchases an option and an expiration time. The trade is either “in the money” or “out of the money.” Basically, you’re betting on where the price is going.
For example, the price of BTC is 46,500 USD at 10 AM. You can either bet that the price will be more or less than that by 6 PM. If you bet that the price will increase and that happens, you earn the payout of a certain percentage of your investment. However, if it’s lower, you lose the investment. On the other hand, if you bet that the price will go down and it indeed happens, you earn the option’s payout. This can be a tough way to earn BTC but if you do invest right, you can gain money quickly.
Bitcoin mining was one of the first ways to ever obtain BTC, where miners use powerful computers to solve complex mathematical problems. When they crack the code, they’re rewarded with newly-minted BTC. It’s basically a race to see who can solve the block the fastest and those lucky enough to do so reap the rewards.
Back in the day, mining wasn’t as complicated. Some of the earliest miners were able to make money by mining Bitcoin using just their home computers. Now it’s a very different scenario. To mine in today’s BTC scene, you’ll need top-tier equipment—which can set you back a few thousand bucks. Also, since Bitcoin has made a name for itself now, you’ll have a lot of competition.
To give yourself a fighting chance, join Bitcoin mining pools or mining clouds. A Bitcoin mining pool is a collaborative group of miners who combine their computing power to solve complex mathematical problems faster. A Bitcoin mining cloud is similar, but instead, they use the cloud to connect their computing power. That way, they won’t have to install and run the hardware and related software directly. In either case, the miners’ fees paid from transactions and the newly-minted coin are split among the people in the group.
As the competition gets fiercer, you’ll need better equipment and you have to run your operation with maximum efficiency to generate profit. Do plenty of research before getting into mining because there are many easier ways to earn money with Bitcoin.
13. Bitcointalk forum campaigns
Bitcointalk is one of the oldest forms out there. In fact, it was set up by Satoshi Nakamoto himself. It’s probably the most popular forum in the crypto sphere, as it’s used by millions of people.
If you’re an avid follower of the forum and want to make money with Bitcoin, you can post on the Bitcointalk forum. Keep in mind that you’ll need to have racked up some authority from consistent posting and then your posts on Bitcointalk will have a sponsored signature. Eventually, you can get paid for every post you make on the forum.
14. Being a masternode
A masternode is a dedicated role that keeps track of the blockchain in real-time. Much like Bitcoin’s full nodes, they’re always up and running.
In addition to saving, validating, and announcing valid transactions to other nodes, the master nodes also perform different tasks with the blockchain, including smooth protocol operations, governing voting events, and more. For their dedicated services, they are heavily incentivized.
Besides accepting BTC as a payment method, you can even take it one step further. Try starting a business that collects BTC and exchanges it for gift cards. This method is called dropshipping and it’s gaining popularity. With all the gift card deals you can find on Paxful, dropshipping is one heck of a way to sell discounted products and make a decent profit. Here’s how it works:
Say you want to resell a gaming headset. All you have to do is log onto Paxful and buy BTC with your preferred mode of payment. With the BTC you’ve bought, you will then sell/exchange it for a Razer Gold gift card at a great discount. You can get a hold of gift cards with a value of 100 USD for 60 USD worth of BTC. Finally, you can use the gift card to buy the gaming headset and ship it to the customer. You’ll make a profit and the customer gets a great deal.
This method may take more effort but it’s an excellent way to earn money with Bitcoin.
16. Bug bounties
If you want to make money with Bitcoin and you’re a coding whiz, bug bounties could be the answer. These are incentives offered by many software developers and organizations that reward you for finding exploits and vulnerabilities in their systems. Many cryptocurrency exchanges and peer-to-peer marketplaces offer programs like this to help improve their platforms for their users.
If you’re interested in participating in a program like this, check out the Paxful Bug Bounty Program and help us make the platform a safer environment for everyone.
The ways to make money with Bitcoin is ever-evolving
Now that you know how to make money with Bitcoin, why not give it a try? Who knows, your efforts could lead to some big profits.
As the crypto economy matures over time, we’re going to see constant development and people will keep finding new ways to earn cash with BTC. Even beyond this list, there is an endless amount of earning opportunities offered by Paxful. Be sure to do your research and find out what works best for you. The sky’s the limit on how to make money with Bitcoin—all you have to do is be creative. Good luck!
Disclaimer: The content herein is not, and is not intended to be, legal, financial, investment, or other advice. Paxful has no relation to Razer Gold, OneVanilla, Visa, Mastercard, Square Up, or any other payment method. We make no claims about being supported by or supporting these services.