No matter how the Indian government oversees cryptocurrency, there are many crypto enthusiasts in India, who leave no stone unturned, not only to earn more and more money from cryptocurrencies, but also to earn passive income opportunities by accumulating Bitcoin themselves.
Many crypto investors and traders are interested in earning Bitcoin to make quick money. Here is a well-explained read dedicated to the various methods and ways that help you earn Bitcoin in India.
What is Bitcoin and how does Bitcoin work?
Before we go further, let us understand the concept of Bitcoin and how it works.
Bitcoin is a form of virtual currency that uses blockchain technology to handle transactions that take place between users on a decentralized network. The transactions are placed on the open source Bitcoin blockchain and recorded in a form of public ledger. Each transaction is stored in a unique block that is attached to the main blockchain to form a series of transactions. In turn, the blockchain technology makes the transaction safe, transparent and secured, without involving any kind of intermediaries such as authorities or banks.
Different ways to earn bitcoin
Bitcoin mining
Mining is one of the most sorted ways to earn Bitcoin by solving a cryptographic puzzle that helps add a new block to Bitcoin’s blockchain network. The miner will mine by selecting Bitcoin mining software and ratifying the transaction in a process called mining. However, the task of mining digital coins is not as easy as it seems. Bitcoin mining can be considered a real job or a profession of sorts rather than just a hobby. It also requires large consumption, expensive equipment, high electricity costs and a lot of space to run mining.
When the miner is able to solve a complex cryptographic puzzle successfully, they are rewarded with free Bitcoins and transaction fees. The miners who are able to mine successfully can earn up to 6.25 BTC per block when they validate. Apart from mining fee, they also receive transaction fee which is also paid in Bitcoin. It should be noted that mining for the biggest cryptocurrencies like Bitcoin requires a lot of energy as the competition to earn Bitcoin rewards is extreme.
Some miners join forces with others to form a larger mining pool. This is a very common practice as due to the large mining pool, the different groups of miners work together with each other to have better chances of making money.
Lending of Bitcoin
Bitcoin lending is a popular method of earning Bitcoin via various lending platforms. These lending platforms connect borrowers who need crypto with crypto holders who are ready to lend their coins for an attractive interest rate.
Lending is a risky way to earn Bitcoin, but comes with higher income rates even up to 15% per year. However, if there is no collateral involved that holds the borrower responsible for paying for the loan, lending can be an extremely risky affair. Crypto lending platforms such as BlockFi, ZebPay, CoinDCX, Crypto.com, Nexo, Holdnaut facilitate Bitcoin lending and loan services at good interest rates.
Bet Bitcoin
Crypto Staking is a great way to earn rewards. Crypto staking is the process in which the user locks their certain part of the crypto holding for a certain period of time to help the operations related to blockchain. And in return, the blockchain provides stake rewards to the participants.
Bitcoin is widely used for staking purposes using a “consensus mechanism” called Proof of Stake, which ensures that every single transaction present on a Bitcoin blockchain is verified and secured. Your Bitcoin, if you choose to stake it, becomes part of that process.
There are several long-term crypto holders who see the staking process as a way to earn more Bitcoins from their holdings, rather than collecting dust in their digital wallets.
Holding Bitcoin
Investors with a long-term view of cryptocurrency hold Bitcoins and then sell their position at a large profit when prices are high. Also, if you already own Bitcoins, you can also invest them in interest-bearing crypto platforms and earn interest on the same. Another approach to Bitcoin investment is to put money into Bitcoin-based startups, blockchain technology companies, to earn big profits and earn more Bitcoin.
Bitcoin trading
Trading is one of the fastest ways to earn more Bitcoins where the risk involved is also high compared to other methods of earning Bitcoins. The trader must have knowledge of Bitcoin charts, market movements and should be able to take speculative risks while trading Bitcoin. They can earn more by adopting multiple trading strategies such as buying and selling, hedging, intraday trading and market trend trading. So if you want to earn more by becoming a crypto trader, make sure you have enough time and most importantly capital to invest in informative crypto trading lessons.
Claims Airdrops
You can also earn free Bitcoins by claiming Airdrops where you are required to spread the word or raise awareness about a particular crypto product or any coin.
Such airdrops events are associated with free distribution of Bitcoins or other cryptocurrencies given only to selected users. Users are only eligible for airdrops by meeting specific criteria, such as interaction with cryptocurrency platforms. While developers organize airdrop events to attract more and more users. The most popular crypto airdrops in 2022 were Lucky block, Metamask, StormGain, DeFiChain, Battle Infinity and many others.
The claim process for airdrop is different from one crypto project to another. Some developers will drop the coins automatically into users’ wallets, but in other projects users can claim the required token by showing the “snapshot” as proof of ownership. This snapshot acts as a sort of record of token holders taken at a particular block.
And to participate in bounty airdrops, users must have accounts on social media platforms such as Facebook, Twitter and Telegram.
Help to find errors
There are many developers and big tech crypto organizations who tend to offer incentives in the way of free Bitcoins, if any user helps them find bugs and errors in their system.
The bottom line
In the world of cryptocurrency, there is no easy or low-risk way to make money with Bitcoin. But if you are very familiar with the fundamentals and fundamentals of Bitcoin and observe its movements very closely, then you will surely find many ways to create opportunities for additional income streams by earning Bitcoins.
