How to Earn Passive Crypto Income with Bitcoin

Here are some ways to generate crypto-powered passive income with Bitcoin while avoiding the inherent volatility.

Bitcoin (BTC), along with other cryptocurrencies, has provided people with a way to earn passive income, earning money without any active involvement. There is no need to take unnecessary trading risks or spend time reading and analyzing tons of information.

While the concept of passive earning is not new, cryptocurrency has undoubtedly added new dimensions to it. Concepts such as compound interest or dividend reinvestment are also applied in the cryptocurrency market, creating an ecosystem where one can earn passively.

Let's discuss the different ways to earn passive income with Bitcoin. This article includes interest accounts, loans, mining, trading and liquidity pool.

Keeping Bitcoin in a cryptocurrency savings account is similar to having regular savings accounts. These accounts offer fixed interest on deposited crypto assets. One can choose flexible savings plans, which allow the depositor to withdraw their assets whenever they want or fixed savings plans, where the assets remain deposited for a predetermined period.

Interest rates are generally higher when depositing funds for a fixed term than in a regular savings account. Term deposits are considerably shorter than conventional bank accounts. On some protocols, there is also no minimum deposit requirement.

A financial advisor can also be used to implement investment strategies such as dollar cost averaging (DCA). The strategy is to regularly invest the same amount of BTC in a target security over a defined period, reduce their average cost per share and reduce the impact of volatility on their cryptocurrency...