The cryptocurrency industry is demonstrating development at a rapid pace. Many new interesting and promising projects join this field, opening more and more earning opportunities. Many people want to join this market and own some digital coins. Some use them for long-term investments, some trade daily, and others participate in project development, etc. For those wondering, is crypto earn is worth it, we will discuss one of the most profitable ways to use digital coins – staking cryptocurrency.
What Does Crypto Earn Mean?
Generating income using digital assets can go so many ways:
- you buy coins and hold them until their price boost, and you make a fortune;
- you can trade digital assets and make a profit from small market fluctuations daily;
- you can lock your coins in staking and make money over time.
Staking is the way to receive a passive income by holding your crypto coins on an exchange. You can use any large platform – WhiteBIT, Coinbase, etc. Each of them offers different staking rates, similar to banks that offer different interest for deposits. Indeed, staking works like a bank deposit.
Suppose you have some SOL coins and want to earn money using them. So you can participate in a staking program locking your SOL on a crypto platform for some time. For example, WhiteBIT offers from 10 to 360 days of locking. The longer you keep funds on the exchange, the more you earn.
Once the staking program is over, you receive your coins back, plus additional coins (interest). That is the simplest crypto currency earn way, which does not require trades or additional stress keeping track of the market movements. However, staking has some peculiarities:
- You cannot withdraw your coins from the staking program, or if you do that, you will not receive rewards.
- You should pick only reliable coins with the biggest liquidity; otherwise, if you pick some highly volatile asset, you risk losing more than you receive (if the rate drops dramatically).
To learn more about all the peculiarities of staking cryptocurrency, welcome to the WhiteBIT Blog. That is a resource with loads of articles and guides that will help you begin your journey in crypto trading.