There are several ways to earn adequate money from Bitcoin passive income channels. In this article, we go over platforms where you can earn even while sleeping. Apart from direct purchase and sale, you can earn Bitcoin passive income through:
- Bitcoin Lending
- Bitcoin Cloud Mining
- Bitcoin Interest Accounts
- Shortselling
- And many other ways as well
Read on to get ideas on how to make money out of Bitcoin without a huge capital at your disposal.
How to earn Bitcoin Passive Income via BTC Lending?
We start by how to earn Bitcoin passive income via BTC Lending markets. Using blockchain, Bitcoin lending is safe investment and is a growing market. In this article we present two different ways on how to earn passive income by lending out your Bitcoins:
- Bitcoin and Altcoin Margin Lending
- Bitcoin Peer-to-Business Lending
Below is a summary table of major factors Bitcoin investors should keep in mind when choosing their markets.
| Exchange | Fees | Feature | Interest | Verification | Global |
|---|---|---|---|---|---|
|
|
0.0% |
P2P |
0.0004% |
Yes |
Global Not US |
|
|
15-18% |
P2P |
0.002% |
No |
Global |
|
|
15% |
P2P |
0.0050% |
No |
Global Not US |
|
|
0.5% - 1.5% |
P2B |
N/A |
Yes |
Global |
|
|
1% |
P2b |
N/A |
Yes |
Global Not US |
How to Earn Bitcoin Passive Income via Margin Lending?
You can become a trader in one of the peer-to-peer platforms and earn bitcoin passive income via margin lending. This particular investment would require BTCs in your wallet as you need to lend them out to other traders. In that way, borrowers can conduct leverage trading while you earn through interest payments.
Top platforms where you can start bitcoin margin lending right now are:
- Binance
- Bitfinex
- Poloniex
- Liquid
Binance Margin Lending
Since August 26th, 2019, traders are now able to earn Bitcoin passive income through Binance margin lending. The newest (and the biggest to be honest) entrant in the Bitcoin lending market, Binance, already has a good reputation and crypto knowledge.
The lending service is a rather simple holding strategy, whereas traders put coins into the exchange and hold them for the contract duration. In a sense, investors act as lenders and Binance itself as a borrower. Binance marketplace is quite large already, meaning that company will not have liquidity issues even at the beginning.
However, Bitcoin lenders should account for Level 2 Verification, which entails personal documents. After the KYC issues in 2019, the crypto giant aims to create a safe environment for everyone from the get-go. For now, there are no fees for lending out coins but you do need to swap BTCs with BNB (Binance’s own coin).
Pros
– Binance is one of the largest crypto exchanges in the world
– No fees for both lenders and borrowers
Cons
– Verification level 2 (identity documents) is necessary
– Indirect BTC lending since swapping with BNB is required (for now)
– US citizens are restricted
Bitfinex Margin Lending
It is quite easy to engage in Bitfinex margin lending, even if you are a Bitcoin beginner. Bitfinex has been the best margin lending exchange for Bitcoin, altcoins, and fiat passive income for several years. Now, Binance is set to challenge that position and perhaps push Bitfiniex to work out new passive income programs in the near future.
The platform offers a peer-to-peer marketplace where traders that need leveraged assets would borrow funds from others. You provide that liquidity by lending out Bitcoins at the interest rate of your choice. However, to increase market efficiency, Bitfinex offers market stats, stating the average interest rate you should charge while providing BTCs.
At the time of this writing, overall daily lending market sized up to 21,483 BTC (approximately $21.7 million). Thus, Bitfinex is one of the largest marketplaces to lend your coins out. You should also account for fees, taken from the interest earned. If your lending offer is public, the order carries 15% of interest charged. If you opt for a hidden offer, then you pay 18%.
Pros
– High supply and demand for lending offers
– Interest rates can change on a daily basis
Cons
– Fiat lending requires full account verification
Poloniex Margin Lending
If you want to earn passive income without ID verification, Poloniex margin lending is the place to go to. However, it works only if you are providing BTCs and accepts cryptos as interest payments in return. The platform operates much the same as Bitfinex, whereas peers work with peers. You create a lending offer and wait for borrowers to pick the ad up. Borrowers can then engage in leverage trading through the use of your Bitcoins.
You also get to set the interest margin. Currently, the website average stands at 0.0043% as daily rate and 1.5% as an annual rate. On the side of fees, bitcoin lenders pay 15% of interests earned.
Pros
– Good, stable platform with an active market
– Possibility to engage in Bitcoin lending without full verification
Cons
– US investors are restricted for margin and lending markets
– Fiat transactions require verified account
Liquid Margin Lending
Liquid is another platform that makes it possible to earn crypto or fiat passive income via margin lending. The platform is owned by Quoine, which opened up for business in 2014. Since then, the company gradually grew in transaction and volume size. Liquid came to be in 2018 and is drawing a lot of attention due to its growing community.
At Liquid, you can lend out Bitcoins without verifying an account if fiats are not involved. Thus, if you lend BTCs and receive interests paid in crypto, you can register an account and dig into the market immediately. Currently, Liquid charges 50% fees on all interests gained, which is considerably higher than fees at Poloniex and Bitfinex.
Pros
– Ability to lend and borrow BTC without verification
– Flexible Interest rates on a daily basis
Cons
– High 50% fees on all interest rates
Peer-to-Business Bitcoin Lending
One of the sure ways to make money online is to engage in peer-to-business Bitcoin lending. P2B crypto lending is still relatively a new Bitcoin passive income channel due to heavy regulation and low crypto adoption. However, new platforms seek to change that and make Bitcoin lending available for businesses as well. These include:
- Bitbond
- BTCpop
Bitbond – Bitcoin Peer-to-Business Lending
Apart from regular crypto marketplaces, Bitcoin peer-to-business lending at Bitbond is a good alternative for BTC passive income. The platform is the greatest and oldest platform for Bitcoin P2B lending. In there, you lend out bitcoins to small businesses, all of which ass through strict verification process. The company itself acquired a BaFin license in October 2016 and uses Bitbond blockchain system for bitcoin lending marketplace.
On the side of fees, Bitbond is naturally more expensive than P2P platforms. Below are percentages that company charges lenders of the total repayment (principal + interest):
| Loan | Fees |
|---|---|
|
3 Month Loan |
0.50% |
|
6 Month Loan |
1.0% |
|
12 Month Loan |
1.5% |
Verification is a must, though it lasts for an hour only. You go through video call, showing off your documents. Thus, it is a much easier process than with other companies that employ strict KYC/AML policies.
Pros
– Safe and stable marketplace to earn passive income from Bitcoin lending
– Investment automation is available
Cons
– Identity verification is a must
– Somewhat high fees for Bitcoin lending
BTCpop Peer-to-Business Lending
If you are tired of scorecards, you may want to try out BTCpop peer-to-business lending. You work with borrowers that have a good reputation and earn it yourself. Thus, as time passes, your score would get higher and earn you right to perhaps even charge larger interest rates. Verification is necessary for both lenders and borrowers.
You pay 1% as a listing fee for loans you provide to the market, which is in line with the BTCpop’s biggest competitor, Bitbond.
Pros
– Ability to loan our huge number of cryptos and swap them with BTC
– Investment in IPOs and small businesses
Cons
– Verification might take time to complete
– Somewhat high fees
Cloud Mining as a Source for Bitcoin Passive Income
There is a lot to gain from Cloud Mining as a source for Bitcoin passive income. It is a very popular alternative to earn bitcoin passive income. However, it involves certain risks an investor must be aware of. Moreover, cloud mining has high risks but high returns as well, when compared to lending.
Thus, we present Bitcoin passive income channels through cloud mining that you can take up right now. Websites that we go through are:
- Genesis Mining
- Hotel Honey
- Bitdeer
- Hashing24
Below is a table with important details regarding platforms’ cloud mining markets.
| Company | Price per TH/s | Hash Power | Fees | Contract |
|---|---|---|---|---|
|
|
$46.33 |
3 TH/s - 140 TH/s |
$0.15 per TH/s, per day |
18 months |
|
|
$66 (ETH) |
25 MH/s - 2,500 MH/s |
0.0% |
3 - 6 months |
|
|
$39.29 |
50 TH/s |
$0.097 per TH/s, per day |
4 - 12 months |
|
|
$68.40 |
1 TH/s - 1,000 TH/s |
$0.15 per TH/s, per day |
24 months |
Genesis Mining Cloud Mining
Investors can buy Genesis Mining cloud mining plans, since the platform is the biggest crypto cloud mining company in the market. So far, about 2 million people purchased and earned through the platform, which offers three distinctive plans. The cheapest starts at $139 for 3 TH/s of hash power, with the contract length fixed at 18 months.
Investors should account for $0.15 per day, per TH/s. Verification of an account is not necessary, as you purchase plans for a considerable future. Credit cards are available as a purchase method.
Pros
– Biggest cloud mining company with huge BTC mining farms
– Customized plans are available for up to 1,000 TH/s
-Contracts last for 18 months
Cons
– Somewhat high maintenance fees
Hotel Honey Cloud Mining
If you are looking for mining through GPU/CPU, Honeyminer’s Hotel honey cloud mining contracts offer safe Bitcoin investment. You can purchase plans with Bitcoin and mine Ethash with your own computer, without price-heavy mining rigs. Contracts span between 25 MH/s and 2,500 MH/s, with prices ranging $66 to $12,210, depending on the chosen contract length. Users can opt for three or six-month contracts, without any sort of maintenance costs.
Pros
– No maintenance costs
– Ability to mine with regular GPU/CPU
– BTC contract purchases have discounts (5% to 7.5%)
Cons
– Small-scale investments only
– Ethereum mining only
Bitdeer Cloud Mining
Apart from Genesis Mining, you can also get a Bitdeer cloud mining gig, another giant in the market. The China-based company came about as a result of a governmental crackdown in the country, positioning itself as a globally available cloud mining service provider. You can purchase 50 TH/s that range in terms of contract length. Currently, a 360-day plan is available, while shorter plans (from 120 to 240 days) are in the out-of-stock status.
Maintenance fees are fixed at $0.0970, per TH/s, per day.
Pros
– Competitive maintenance fees
– Powerful Antminer mining gig purchase
Cons
– Lack of hash power variety
– Short-term plans currently out of stock
Hashing24 Cloud Mining
Investors can also gain Bitcoin passive income at Hashing24 cloud mining. The company is an old player in the cloud mining sphere and offers fully customizable plans. You get to choose how many TH/s you wish to purchase. Currently, you can get between 1 TH/s to 1,000 TH/s, durable for a 24-month period. Price stands at $68.40, per TH/s. Maintenance fees stand at $0.15 per day, per TH/s.
Pros
– Contracts are rarely out of stock
– Fully customizable plans in terms of hashing power.
– longer plans than most cloud mining players
Cons
– Fees are on the higher end of the spectrum
Get Bitcoin Interest Account
We would highly recommend investors to get Bitcoin interest account if they want to earn while sleeping. All you have to do is to locate reputable platform, deposit money, and make income without any effort. Granted, returns might be a bit lower than with lending and cloud mining but savings accounts are fail-free source of income.
Platforms that we go through in this review are:
- com
- Celsius
- Blockfi
- Uphold
- Nexo
The table below provides the overlook of plan lengths and returns that investors can expect.
| Company | Plan Length | Interest Rate | Minimum Deposit |
|---|---|---|---|
|
|
