Bitcoin has surged in popularity recently, mainly due to its explosion in price. With such interest in the cryptocurrency, many are trying to figure out how to get their hands on some. Besides the fact that you can buy Bitcoin outright, there are many other ways of earning and obtaining this new currency.
Scenario 1: Get Paid in Bitcoin
This is probably the most straightforward way of earning Bitcoin. As with any currency, such as the dollar, you can earn Bitcoin by getting paid for providing goods and services, information, and other forms of value.
Accept Bitcoin as Payment (Merchant or Business)
Let’s say you own a candy store. Instead of (or along with) accepting dollars for candy, you could also accept Bitcoin. To accept it, you would need a wallet to receive Bitcoin and store it somewhere. After you decide on a wallet type, simply display your wallet’s QR code and public address at the point of sale. Customers will then be able to scan your wallet’s QR code with their smartphone and send you Bitcoin using their mobile wallet.
Similar to accepting Bitcoin as a payment method for goods and services rendered, getting donated in Bitcoin is another way to earn Bitcoin. For example, you will see Bitcoin-related content creators on Youtube and other platforms listing their Bitcoin address and saying that donations are accepted (as appreciation for their work). Donations are of course different than payments because they are voluntary. As the person receiving donations, you don’t necessarily have to go over transactions to make sure that the right amount of Bitcoin was sent for a given product or service.
Get Salary in Bitcoin
While this option isn’t open to everyone, it’s possible that you could earn Bitcoin by getting paid in cryptocurrency by your company. For example, GMO Internet, a large Japanese Internet-based company, started to pay employees partly in Bitcoin (if the employees wanted to receive part of their salary in Bitcoin) in February 2018.
If you don’t work for a Japanese web company, you could try searching for jobs that pay in Bitcoin on freelancing platforms.
Another way to earn Bitcoin is by doing things like viewing advertisements and performing other small tasks. There are a few sites that allow you to perform micro-tasks for Bitcoin.
Scenario 2: Mine Bitcoin
Mining has been a popular way of earning Bitcoin for years. However, mining Bitcoin isn’t necessarily as easy as getting paid in Bitcoin for providing goods, services, and other types of value. Mining is the process by which Bitcoin transactions are confirmed and added to the Bitcoin blockchain (record of all transactions). Miners compete with each other to find a random string of numbers that allows a new group of transactions to be added to the block. Whoever finds these numbers and adds the new block to the blockchain first is rewarded in Bitcoin.
To become a miner, you need a few things:
Bitcoin mining hardware. Nowadays, you need to buy specialized mining devices called application-specific integrated circuits (ASICs) to mine Bitcoin. These can cost hundreds or even thousands of dollars.
Bitcoin wallet. You need a Bitcoin wallet to store any mined Bitcoin.
Mining software. The mining software runs on your mining hardware and allows the hardware to make guesses at those strings of numbers that are to be added to the block.
(Optional) Join a mining pool. These days, mining is mostly done by big organizations (with entire building complexes full of ASICs), so your chance as a small-time miner of solving blocks and earning Bitcoin is infinitesimal. As such, it’s best to join a mining pool, which combines members’ computing power (from their ASICs) and splits profits. By joining a pool, you can receive more consistent (but smaller) payments.
Seamless Internet access. You need reliable Internet so that your mining doesn’t get interrupted.
(Optional) Cooling and other maintenance equipment. If you don’t live in a cool region of the world, you’ll need fans or other cooling equipment as Bitcoin miners run hot. They also make a lot of noise so you might need soundproofing or a place to store your miner(s) that isn’t near where you live and sleep.
Even if you get all the above, mining is not guaranteed to be profitable. Earning Bitcoin through mining is only recommended for those who are willing to invest the time and money to learn about mining and stay on top of best practices.
Scenario 3: Trade Cryptocurrencies
This, like mining, is another way to earn Bitcoin that is potentially difficult. While you can buy popular cryptocurrencies like Bitcoin, Ethereum, and Litecoin with fiat currencies, such as the dollar and euro, the vast array of other cryptocurrencies are usually bought with Bitcoin (or another top cryptocurrency). By successfully trading cryptocurrencies, you can sell other cryptos for Bitcoin and earn Bitcoin that way.
However, trading, like mining, has a steep learning curve and is recommended for experienced traders in the assets like stocks or those that are willing to learn the ins and outs of the business.
Scenario 4: Be an Affiliate Marketer for an Affiliate Program
For those unfamiliar with the term “affiliate marketing”, it is a popular form of Internet marketing for making money online. Basically, you promote a product or service online, such as on a blog, Youtube, or another platform, and are paid a percentage of every sale that is made through what’s called your “affiliate link”. So, you could earn Bitcoin by becoming an affiliate for an affiliate program that pays out in Bitcoin.
While some may believe that it’s difficult to earn Bitcoin other than by just outright buying it, that’s far from the truth. As you’ve seen above, there are many ways to earn Bitcoin like accepting it as payment, salary, tips, and many more. Getting into the cryptocurrency world has never been this easy.