3 Ways to Increase Your Income on Cryptocurrency Market

Although buying Bitcoin (BTC) and keeping it in your wallet is a good option for the long term, the evolution of the cryptocurrency market has shown other ways that can make you earn much more in the blockchain universe.

There are many ways to increase your wealth by investing in crypto. However, all choices require study, as if you do not do your own research, you could make the wrong moves.

To help you on this journey, we will show you three ways to make gains on the cryptocurrency market.

Staking

Staking is one of the oldest ways to increase your income in the blockchain industry. This modality encourages you to keep your cryptocurrencies in your wallet. That way, in addition to helping to maintain the network of a given cryptocurrency, you are rewarded with more units of the cryptocurrency saved.

The safest way to stake is to leave cryptocurrencies in your wallet, so that you can do your own custody. However, in case you do not want to be personally responsible for this, crypto trading platforms such as Binance already offer this service.

If your goal in this market is not to trade cryptos through trading, staking may be a good option instead of just keeping your cryptocurrencies in your wallet. The profit calculation will depend on the altcoin you choose. But in most cases, calculations are performed considering the number of cryptos made available for staking, how long they are kept for staking and the total units of the cryptocurrency on-chain.

Masternode

Like staking, being a masternode enables investors to earn income by keeping their cryptocurrencies locked. The difference between the modalities is that, in this option, cryptocurrencies can have a greater layer of security and more utility than one that works through staking, such as anonymous and instant transactions.

To be a masternode for a cryptocurrency and earn income for it, some steps must be taken first:

• Study cryptocurrency;

• Analyze whether the assembly of the masternode is facilitated;

• Check if the current income is worth the investment.

Be sure to review this before investing in being a masternode. Although it is an income option for those who want to keep their altcoins still, some cryptocurrencies require a high amount of assets that you must leave in your wallet to ensure that the system is not malicious.

Lending

Lending cannot be left off of our list. As the newest of the three methods, lending has gained prominence with the rise of decentralized finance (DeFi). Lending allows you to lend your cryptocurrencies to a lending protocol and receive an interest rate for it.

Yields in this category will also depend on the chosen deposit platform. If you are saving your tokens for the arrival of a bull market, you can help DeFi develop by lending your tokens to other investors.

To ensure that you do not default, the platforms that carry out this operation require that those who want to take out a loan deposit collateral greater than what they request. Much more than guaranteeing interest, this collateral makes the protocol safe in the event of a market decline.