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Want to earn money without having to invest too much time? Like to have a side source of earning that generates cash while you put your heart and soul into your job? Yes, yes, it is possible! This may have been a dream before, but today getting that little extra dough is attainable!
No more keeping you wondering; it’s time to reveal the secret. The big idea behind this concept is Passive Income. What is passive income? How can we generate cash through it? Is it taking too much time? Or does it require too much investment? Stop! We know this all pops into one’s mind when they learn about such a concept. Let us explain it to you all!
Passive Income is the kind of income that requires minimal labor to earn and maintain a specific process. To be exact, it doesn’t require you to do a lot of ‘active’ work to continue doing it. For example; you design an online course – now you don’t have to keep investing in it day and night. It just keeps flowing with little content updates. That’s what we mean by this concept.
Here’s a glimpse on how you can earn Passive Income:
Tip 1: Stack it up
Stacking – one of the most common yet effective ways of making passive money through crypto currency. The market pays you off for holding up on cryptocurrencies for a period of time. To have a look at this from a technical lens, staking means that the user stakes his coins to ‘forge’ blocks by having a wallet or note. This way investors go through a period known as lock up period while voting. After voting, the investors get their coins back as also the staking reward; which is generally 30% of the total coins put in the stack. Have a look at metatrader 5 brokers for a better understanding.
Tip 2: Work Tokens
This is all about providing up the necessary resources with stacking. In a nutshell, this includes computational provision, storage, coding, data resources as much more revamped as per customer demands. To understand this better, this is a block chain powered market. You bridge the supply with demand and earn up fees and inflation rewards.
Tip 3: Lend out
The lending platforms out there allow one to lock their cryptocurrencies into smart contracts. These can be borrowed by customers who are willing to pay interest. A part of this goes into the lenders’ pockets. To give a general overview, borrowing in DeFi protocols is over-collateralized and has smart contracts; this involves no risk management and is considered to be almost risk free.
Tip 4: Liquidity Pool
What’s a liquidity pool? What does it do? Wait, wait – we’ll tell you all. Liquidity pool is a basket of assets on a decentralized exchange. There are generally two assets in the basket, USDC/ ETH with 50:50 ratios. What liquidity providers do is to provide both the assets in the same ratio in the pool and then in exchange they receive a portion of the trade fee which is proportional to their provided liquidity.
Get hands on with these tips and then enjoy the flowing passive income! Got any queries? Reach out to us through the comments section. We’re always there!