Different ways to make money with Bitcoin

Investing and trading Bitcoin has grown in popularity in the past few years – with some people earning a good living from it.

And while digital currencies may be very modern, the principle of making money from them is centuries old: you simply buy when the price is low, and then wait for the price to go up before selling.

Simply buying low and selling high isn’t the only way you can make money with Bitcoin though. In this article we’ll look at how you can earn money through digital currency. But first, let’s learn more about Bitcoin.

Trethowans
Trethowans

How to get Bitcoin

There are a lot of ways you could get your hands on Bitcoin. Take a look at the few examples below and decide which of them is the easiest way to buy Bitcoin for you. 

Buy BTC on an exchange

The most tried and tested (as well as most popular) means of obtaining Bitcoin (BTC) is buying some on a traditional Bitcoin exchange.

These exchanges match buyers and sellers through a digital order book. Once paired, the platform will act as a middleman that helps the traders complete the trade. 

To make things even more straightforward, traditional Bitcoin exchanges usually require their users to link a credit card or bank account – effectively making buying BTC quicker and more comfortable. 

Your other alternative would be to use a peer-to-peer (P2P) Bitcoin marketplace. Although they’re relatively new to the game, they’ve become a popular option in recent years.

Just like traditional Bitcoin exchanges, buyers and sellers are matched via order book on P2P Bitcoin marketplaces. However, the platform doesn’t act as a middleman. Instead, buyers and sellers complete the trade themselves with the help of escrow services (third-party services that hold the BTC until the transaction is completed). 

As the platforms have little to no interaction with the trade, sellers can accept any form of money for their BTC (for example, gift cards, online wallets, bank transfers, etc.).

As a result, this kind of exchange is more flexible as compared to their traditional counterparts. Because they’re more flexible, they also often have hundreds of payment options at your disposal. 

Take Bitcoin as payment for your goods and services

Got an online business? If yes, why not accept Bitcoin as a mode of payment for your products and services? 

The best part is that it’s not that hard to get started. The first step is to get yourself a Bitcoin wallet – there are several options available, so make sure to do a little research before settling on one type of wallet. 

If you’re still getting the feel of the market, you could start by adding a small sign or banner on your website (or even outside a physical store), announcing that you accept BTC as payment. If people choose to use BTC as their preferred means of payment, all you have to do is send them your wallet address and wait for their payment.

That’s an excellent way to start, but what if you’re absolutely sure that there’s a BTC-paying market out there waiting for you and want to be more serious about it?

If that’s the case, then several payment intermediaries could help you out with that. They’ll help you set up your “Pay with Bitcoin” buttons and terminals, streamlining your entire payment process.

Of course, these intermediaries will charge a small amount for their services, so it’s important to bear that in mind when deciding what to do.  

Affiliate programs

We all have friends who are crazy about making money through investment opportunities. So why not turn them onto your favorite Bitcoin trading platform? 

Most Bitcoin exchanges (both traditional and P2P) will have affiliate programs that allow you to earn BTC via referrals.

The program will obviously vary per platform, but there are programs that will enable you to earn per trade made by your affiliates. So if you’re interested, check out each platform’s referral or affiliate program. 

Using your Bitcoin to make money

Now that you know how to get your BTC, it’s time to look at how you could potentially earn money from your investment. 

Sell, sell, sell!

The most basic way for you to earn from your investment is to wait for the asset’s price to rise, then sell.

You’ll have the option of selling on a traditional Bitcoin exchange, which will give you fiat in return based on the current market value. 

On the other hand, P2P marketplaces will allow you to sell BTC with a markup. In most cases, P2P marketplaces will enable their sellers to set profit percentages – or the amount sellers make off the trade – when they create an offer. 

For more popular payment methods, your BTC will probably sell at just a bit higher than the market price as you’ll be competing with other sellers. However, you’ll have the opportunity to mark your prices up even more for less-used payment methods. 

Use your BTC

Instead of making a little money on the side, you get the opportunity to save money by buying things with Bitcoin instead of the usual fiat currencies. Not many people know this, but there are ways to get discounted items using Bitcoin – mainly through P2P marketplaces.

Are you a gamer? Buyers on P2P marketplaces will often trade discounted gift cards for your BTC – Playstation Network, Steam, and Xbox Live gift cards, to name a few. 

Looking to do a little shopping at Walmart? P2P marketplaces will have discounted Walmart and Amazon gift cards as well.

Many business owners are starting to see the e-commerce potential of cryptocurrencies like Bitcoin, and more are beginning to accept them as a means of payment – so why not use your BTC?

This is just the beginning

These are just a few of the ways you could buy and earn money with Bitcoin.

As digital assets mature as a currency, we, as Bitcoin enthusiasts, hope to see a spike in adoption. And as soon as that adoption rises, Bitcoin will become more usable for everyday transactions.  

This content is sponsored.