Welcome to the first part in my series on how to earn passive income with crypto. In this video, we’ll discuss two of the most popular ways to earn passive income with crypto: staking and decentralized finance (DeFi).
Staking is the process of holding cryptocurrency in a wallet and receiving rewards for doing so. To start staking, you first need to purchase some cryptocurrency and then transfer it to a staking wallet. Once your cryptocurrency is in the staking wallet, you will start to earn rewards for holding the coins.
The amount of rewards you can earn will depend on the cryptocurrency you’re staking and the amount of coins you’re holding. Generally, you can expect to earn around 5-10% annually from staking.
Decentralized finance (DeFi) is another way to earn passive income with crypto. DeFi is a set of protocols and applications built on top of blockchains that allow users to borrow, lend, or trade digital assets without the need for a centralized intermediary.
There are a lot of different DeFi projects that you can participate in, including yield farming, liquidity mining, and automated market makers. Each of these projects has its own set of rules and rewards, so be sure to do your research before getting involved.
In general, you can expect to earn higher rewards with DeFi than with staking, but DeFi is also much riskier.
So that’s a quick overview of staking and DeFi and how you can use them to earn passive income with crypto. In the next video, we’ll look at some of the other ways to generate passive income with crypto.
