How to Earn Free Cryptocurrency

Cryptocurrencies have never been more popular. The immense appreciation in the value of various cryptocurrencies has made them one of the most sought-after investment options for risk-tolerant traders. The concept of earning free cryptocurrency seems to have originated from Jeremy Rubin back in 2014 when he offered $100 in BTC (Bitcoin) to every undergraduate student at MIT.


Cryptocurrencies can be a lucrative investment, but they are still incredibly volatile, much more so than traditional investments like stocks and securities. Many continue to criticize their utility and value, and the fear of huge losses makes it challenging for people to justify investing their own money. However, earning crypto can be a great way to take the first steps into the world of digital assets, and many of these avenues to earn crypto do not require investing a single cent.

Staking

With crypto staking, tokens are locked into a smart contract for some time, allowing users to earn interest on them through staking rewards. Staking is enabled on blockchains that run the Proof-of-Stake consensus mechanism, and it helps the network efficiently validate transactions by requiring validators to put their tokens at stake. The more capital staked, the better the chances of validating transactions and earning rewards.

Keeping coins staked for more extended periods will also help maximize the return on investment (ROI). Though this doesn’t necessarily require zero investment, staking is available on most stablecoins, effectively negating the risk of losses from market volatility. Once the rewards have been withdrawn, recipients can easily trade them for other cryptocurrencies at an exchange.

Through CeFi, centralized platforms now also offer returns on locked tokens. While these platforms require you to trust a central entity, they offer more reliable (albeit often lower) interest rates on deposits. For example, Phemex’s ‘Earn Crypto‘ platform provides up to 8.5% APY on USDT stablecoin deposits worth up to $1.5 million.

Mining

In the world of cryptocurrencies, mining refers to the process of verifying transactions and adding them to a blockchain that uses the Proof-of-Work consensus mechanism. Every time a miner successfully adds a block to the ledger, they are rewarded by the network in tokens.

To mine cryptocurrencies like Bitcoin requires some specialized hardware, but various other blockchains that run the Proof-of-Work algorithm can be mined using a home computer. This may require joining a mining pool, where multiple users pool their computational power together to mine blocks on the network, splitting the rewards. However, setting up a performant mining rig can require some technical know-how and investment in hardware.

Airdrops

Airdrops‘ are when new cryptocurrencies are distributed to the public for free. Sometimes, airdrops are conducted in partnership with other projects and require recipients to hold another token, airdropping a proportional amount to the number of tokens held. Other airdrops will send tokens for participating in various promotional activities like following certain social media pages and sharing their posts.

It’s important to note here that the wallet used for the airdrop must be compatible with the kind of token being received. For instance, if it’s an ERC-20 token, only ERC-20-compatible wallets will be able to receive the tokens.

Affiliate Programs

If you have an online presence or a blog, one of the easiest ways to earn free cryptocurrency is to take advantage of affiliate programs offered by various crypto exchanges. Once you’ve registered for these programs, a unique link that can be shared on your social media handles and websites will be sent to you.

Whenever someone signs up using this link, both parties receive rewards in either fiat currency or cryptocurrencies. Additionally, some platforms offer higher commissions for bringing in more clients to the exchange platform.

Referral Bonuses

Some crypto exchanges offer rewards for referring new customers. You can earn free cryptocurrency by inviting your friends, colleagues, and family members to these platforms through a referral link. These links are unique and will reward you with bonus tokens every time someone signs up using the link. Some popular cryptocurrency exchanges like Phemex offer up to a 50% commission on trading fees if the referred person makes a purchase on the platform.

Learn & Earn

There’s no better way to become a better cryptocurrency investor than by learning more about the industry and the technology it relies on. Blockchain education is crucial to welcoming new investors into the digital assets space. Programs like Phemex’s ‘Learn & Earn‘ incentivize users to complete courses on blockchain technology to earn rewards in the form of tokens and trading bonuses for use with the platform’s perpetual contracts. This allows users to learn about cryptocurrency and trading while rewarding them with the resources to test things out for themselves.

Conclusion

Though there are many ways to earn free cryptocurrencies, not all methods are equally viable for all circumstances. Some may require more effort than others or could be riskier, while others may warrant some upfront cost or investment. However, by doing your research and selecting suitable methods for you, it’s not too tricky to start building your portfolio with some extra free coins.

Via: https://themerkle.com

Share this article:

Leave a Reply

Your email address will not be published.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.