Making Money online with cryptocurrency is one of the few legitimate ways to earn a recurring income online. Many people don’t talk about this because it is still a concept that is in the making. But we have to be part of this process of creating the currency of the future while earning. Cryptocurrency is money of the future. Several cryptocurrencies are making the crypto market today rock such . Some of them includes; bitcoin, bitcoin cash,bitconnect, litecoin, etherum,monero,dash,ripple just to name but few. This concept had made billionaires as seen with bit coins from 2009-2012 with an investment as low as $ 27. It is the moment for Africans to make history instead of reading it as we are doing now. Welcome to Crypto Africa. Before we get started let us have a look at what crypto currency is all about.
This is a new concept and we can make good use of it now. Investing in crypto currency can help you in retirement, pay bills, and build a house ,get you a car, provide medication for grand ma ,among others.
Hey! This is an industry the hold about $152,444,671,780 at the moment i am updating this post. Are you willing to get you own share?
What is a Cryptocurrency?
A Crypto currency is a digital currency used in the buying and selling of goods and services just like currencies like dollar, euro, naira and others. Crypto currencies makes used of encryption techniques to verify when funds are being transferred, the amount available to the public. The creation of new coin and security of crytocurrencies is done, thanks to cryptography. This technology is possible thanks to block chain technology which has proven it worth with bitcoin being the highest digital asset at the moment we are putting this write up here.
In the simplest terms, cryptocurrency is digital money. That is money that can be stored in electronic purses.
Cryptocurrencies are controlled by a decentralize systems as oppose to electronic money like pay pal that is being controlled by a centralized banking system.
Bitcoin is the first and most successful cryptocurrencies in the world with its worth being up to $1100 in 2012. The currency has gone pass $4000 at the monet we are doing this post. One of the biggest name in cryptocurrency is Satoshi Nakamato (The anonymous creator of bitcoin). Today, there are more than 1000 cryptocurrency types available in the market today. You can always check coins at coinmarketcap.com. However just about 100 sell more than 1 dollar in the coin market. Some of the cryptocurrencies in the market include Zcash, etherium,Dogecoin and others. Since bitcoin seem to be the ideal cryptocurrency, the following currencies are suggested as the best bitcoin alternative
Here are my 5 Bitcoin Cryptocurrency Alternatives
- Etherium (ETHE) ii. Litecoin (LTC) iii. Dash iv. Bitcoin Cash v. Monero (XMR)
These are the latest crypto currencies that are doing very great in the coin market. I had been monitoring their growth and demand for some time now. I highly recommend you to get started with any if you want to make money with digital currency. These are thus my Recommended Crypto currencies to trade. We will see more about trading later in this post.
Crytocurrencies have come to reduce the amount fiat money in circulation. I equally think cryptocurrencies are being produced to reduce the control of the government over money. There is no central bank when dealing with cryptocurrency.
How is the price of cryptocurrency controlled?
The technology behind the success of bitcoin is Block chain. Block chain technology provides a decentralized data base where everyone can carry out finanacial transactions.Lets keep it short for now. I will do another post on block chain technology.
The price of cryptocurrencies is determined by supply and demand.The higher the dmeand ]d, the higher the rpice. The higher the supply the lower the price of cryptocurrency.
How to make Money with Cryptocurrency
I will make it brief by sharing three main ways people make money with crytocurrencies
Cryptotrading is the buying,selling and exchange of cryptocurrency for other cryptocurencies or other currencies like dollars,pounds,euros etc. This is very similar to forex trading. So we can say cryptotrading is the foreign exchange markets (FOREX) for cryptocurrencies as stated in an article on coinstaker.com
Joining a Crytotrading Platforms like Cex.io is a good start to making the $$$$$$$$.
People get crytocurrecy by the process of minning. When the minning difficulty is too high, you can get it by cryptocurrency trading(Crypto trading). You can trade cryptocurrecies thank to cryptocharts which helps you to know if the value of cryptocurrency has increased or decarease. You buy when the value is low and sell when the value is high. Cryptocurrency charts are very similar to brokering charts.
Real trading is done on crypto-exchange websites. ploniex seem to be the perfect bitcoin cryptocurrency exchnage plat form. Here are the three plat from i will recommend if you want to trade cryptocurrencies.
- Coinbase : Coinabase is and exchnage plat form that and wallet for bitcoins and other cryptocurrencies. You can easily get bitcoins on this plat form even with your debit card. For the moment, acoinbase account can be used to trade BTC and etehrium. It equally supports storage of these cryptocurrencies. For those in Africa, you can chose cex.io since coinbase provide just the wallet option for African countries (talking with respect to my country ,Cameroon).
Poloniex is a US based cryptocurrency trading platform. Traders have exchnage,lending and margin trading account. You can trade a wide number of cryptocurrencies on this plat from such as etherium classic, etherium,monero, litecoin,potcoin and what you can think of. This platform is more advanced than coinbase. A good alternative to poloniex is bittrex.com.
- Local bitcoins
This is a perfect platform to trade bitcoins with people in your country. Local bitcoin is one of the most popular trading plat from ass it allows person to person(p2p) crytopcurrencies transaction world wide. This plat from does no require verification compared to coinbase and others. Traders on this plat from can equally use pay pal to recive payments in exchange for cryptocurrencies.
In order to trade crypto currencies for profits, you must make sure you use the best strategies. The internet contains information that can help you make out the best when trading on crypto currency websites. We are here equally to make it happen with you all.
You can follow this series to stay updated with Crypto Trading tips.
Read: Introduction to Bitcoin and Cryptocurrency Trading
Method#2 Investing in New Cryptocurencies and ICO (Inititail Coin Offering)
As a smart entrepreneur you have to keep your eyes and ears open to latest opportunities in the coin market. Whenever a new crypto is in the making, people are given the chance to get the coins in a process called mining, which is usually automatic for new coins. By this method, you simple invest a given amount of local currency (dollars, pounds, euros etc) and get a certain amount of coins. When the currency is officially launched, miners become the owners of the currency. They can now sell to those who need the currency. You can equally keep the currency for its value to increase.
If you invest in new cryptocurrencies ,then it is recommended to always have some coins in your wallet. This is to avoid stories like the Pizza story. A guys bought Pizza for 10 000 BTC in 2010 (worth 25$) . Today 10000 BTC is worth about 7.5+ million dollars.
When bitcoin started in 2009, its value was about $ 0.08 . However, in 2012 the value of bitcoin rose to about $1100 USD.
The profits you make in investing in new crypto currencies can be life changing. You can read the success story of the Nowegian guys who invested 27 dollars in bitcoins in 2009 . Guys this 27 dollars investment gave 980 000 USD in 2013. It is worth taking risk in investing in crypto.
There are other cryptocurrencies like Neo,Lisk,Ethos,ripple which made millionaires in 2017. They increased by more than 100 000% after ICO.
Before investing in an ICO, it is important to check certain factors such as
i. Team ii. working product
iii. Project behind the cryptocurrency iv. Innovation the team is bringing.
v. Coin supply
This is what you have to look into when getting into an ICO. Below is a guide on the various risk levels when it comes to investing in an ICO
Token Supply Risk Level
200 thousand -10 million Higher risk and Higher reward
10 million-100 million High Risk/reward
100million-1 billion Medium Risk/Reward
1 billion Low risk/reward.
This is not the final say, though. It is a guide based on our research. This does not mean you cannot make high profits with a low risk investment. Coin burning and community growth are two things which can change the value of any cryptocurrency within seconds.
For ICO we recommend you to Download this ICO report by Einstein Muki
Method#3 Creating Your Own cryptocurrency
This is the world of adventure and technology. If you think you can make a difference then think of how you can create your own cryptocurrencies. There are several methods to get started from easy to complex encryption techniques involve in digital currencies.
According to an article on fasstcompany.com, 5key steps are required to make your coin successful.
a) Building a community to promote your currency.
b)Coding(developing the crypto)
c) Open Doors To Miners
d) Getting merchants on board.
e) Getting global acceptance for your currency.
Today there are many open source codes that can permit you to build your own cryptocurrency. Etherum can help you greatly to create your own digital currency and central bank with block chain.
Method #4 Minning Cryptocurrencies
The last method is the mining process. I have mentioned this ,but let us get in brief what this is all about. Mining cryptocurrencies is a very complicated process. This is the process which you get cryptocurrency for sale. It requires you to invest time and money. Inners are required to solve complex mathematical problems using the computers. You get rewarded for solving these problems with cryptocurrencies. Dont boarder if your affinity for mathematics is low. You can equally join trading pools to get coins. Lastly, there are great deal of software you can use to get started with cryptocurrency mining.
The great solution to miners today is the cloud mining solution provided by Genesis Mining
Recommended Accounts if you want to Trade Cryptocurrencies
- The cryptocoin client: for mining Litecoin;
- mining pool Account: create an account at Coinotron.com;
- The recommended cryptocoin mining software for Litecoin and other coins is GUIminer Scrypt (
- Coinbase.com and Cex.io for trading bitcoin , litecoin Etherum and other cryptos.
- Invest.cryptoafrica.com ( A website we have created to enable Africans invest easily)
- Changelly.com to convert cryptocurrencies from one form to another.
Here we go with the ways to make money with cryptocurrency. These methods are the best I can recommend. However, you are always advised to think out of the box. Speculating or being a cryptobank in your area can be other ways to mak it happen with cryptocurrencies. Cryptocurrency is money of the future. Investing in it is a great way to earn an income . We all dream to get our dream house,dream car and trip. You can do it with cryptocurrency.
What do you think about these 5 methods of making Money with Cryptocurrency?
#2 Investing in New Cryptocurencies (ICO and IPO)
#3 Creating Your Own cryptocurrency
#4 Mining Cryptocurrencies
#5 Becoming a Speculator
Become a crypto Bank in your Area
Please have your say in the comment section
Why will you invest in bitcoin and Cryptocurrency?