Money, money, money! Hearing this word can make you think of a bunch of it stored in a vault, wallet, or a statement of account. Whether we deny it or not, our society is obsessed with having it. That is why different methods are taught to us to have or earn it. One of these involves cryptocurrency. And if you are wondering, can you make money buying cryptocurrency, we will help you find out because this is an exciting topic that we will be discussing in this article.
Hot Wallet vs. Cold Wallet
Many of us dream of making money investing in cryptocurrency. And why not? This is the trend nowadays, and this is where businesses are happening. Like they say, “We only live once.” Others resorted to living their lives like it’s their last by spending vast amounts of money for whatever they want. But talking about cryptocurrency means you should know where to keep it safe. You might get worried about its security, and many questions can pop up in your mind like, is it safe to invest more, can you make money buying cryptocurrency, what is the safest way to keep it when I have a big sum? There is a debate going on whether to keep it in your cold wallet or hot wallet. So allow us to help you decide.
- Hot Wallets – this is the type of wallet that you cannot touch. You might be hesitant to use this because it says “hot”. But believe us, it is just a term for digital wallets. Passwords protect them. You can make your password, but you need to remember it, of course, if you want to open it. There are many hot wallet applications, but you must only use verified digital wallets or hot wallet. Only you can access it because it is encrypted. And if you are to dig in in the news, one billionaire died, and his family couldn’t liquidate his assets because only the deceased know the password. This is just an example of how passwords for this are necessary.
- Cold Wallets – your second option is your cold wallet. This isn’t freezing in your pocket. They called it a cold wallet because you can hold it. It is in the form of a hard drive or flash drive. Technically, they are like a small vault that will keep your money safe. Hackers will have a hard time accessing it because it is offline. Meaning, hackers will have a hard time stealing your money because you are the one holding it. Well, you have your luck as long as you don’t lose your flash drive or hard drive. So never put it anywhere. Because if it falls in the hand of the curious hands, they can empty your cold wallet.
Now deciding whether you choose the cold or hot wallet, think of your daily activity. It will help you determine which of these two wallets you should use to keep your cryptocurrency safe. Any of these two will do. The most important key is your password. So make sure that yours is strong enough. A combination of capslock, small letters, and numbers will make a strong password. So try formulating a hard one that you can remember. But can you make money buying cryptocurrency? Learn the answer below.
Try Your Luck with Investment
Can you make money buying cryptocurrency? The answer is a big YES! This may take some time for you to harvest, but investing your assets will help you make money. Investment doesn’t solely mean you will put your money in a business. You can also buy assets using your cryptocurrency and sell them for a higher price. Sounds tempting, right? This is another way if you don’t want to put your money in anyone’s account. Now here’s the tip if you are buying an asset. First, you need to observe the movement of the trade. Buy assets when the movement of trade is slow because you will have fewer competitors. Second, sell your asset in the best trading movement.
Use Your Skills to Trade
Another answer to “can you make money buying cryptocurrency?” is the profit that you can get from trading your cryptocurrency. Many opportunities are waiting if you can understand the price action of the assets. Your cryptocurrencies themselves can be sold or traded. But for you to be successful with it, you need to anticipate its price for the future.
Lend Your Cryptocurrencies
Many developers have a good vision for their business’s growth and expansion. But what they lack is the fund. If you lend your cryptocurrency, you can make money once the loan generates an interest. So it’s like a win-win situation. You could help a developer build his business, and you can make money from the interest. Sweatless right? This would only go wrong if the business didn’t go well or filed for bankruptcy. But of course, to prevent this, you can do this with your peers so you who to find when you want your money back.
To make a lot of money is the goal of many of us. We can’t blame anyone because each of us has a dream for ourselves, family, and society. And if you are trying your luck in the world of cryptocurrency, you might have taught if can you make money buying cryptocurrency. So now that we have given you the answer, you can plan ahead and strategize to achieve your money goal! Find out more about cryptocurrency here!