Crypto is more than just digital currency. It’s a new way of doing business, disrupting industries across the globe, and it can be used to invest in just about anything. Whether you’re looking to start trading or investing in crypto, here are six things that you can do with your investment:
Stake Your Crypto
Staking is locking up your crypto in exchange for a stake in the network, which allows you to earn passive income. Only tokens on a proof of stake (PoS) blockchain can be used to stake. Any stakeholder within that PoS blockchain can turn their machines into a node on the network and become a node operator. As a node operator, this stakeholder has the opportunity to be selected to verify blocks of transactions on behalf of the network. The more coins staked as collateral with any specific node, the greater the chance that the node will be selected to verify more blocks in the future. Each time your node operator successfully verifies blocks in time, all coin holders in the stake pool will receive rewards. Staking is an excellent opportunity to earn up to 10%-20% returns on your investment. Always research before staking your coins, and select a reliable node operator, so your stake pool doesn’t experience any loss.
Yield-Farming Crypto
Yield farming is another great way to earn passive rewards for locking up your coins for a certain period. Instead of staking with a stake pool, you will lock your coins into a liquidity pool through a dApp. Decentralized apps are how you access yield-farming operations, and there is usually an entrance fee associated with these apps. Once you’ve joined the liquidity pool, your coins will be locked for a specific period during which they will be lent out to borrowers on the network. While your coins are lent, you will receive rewards from fees, interest, and new coins. As with any form of borrowing, there is always risk involved in yield-farming. You can check the health of your yield farm by checking the total value locked (TVL) into the liquidity pool. The higher this amount is, the more likely successful farming will occur. You can join an online crypto community like FTX to learn everything from how to buy bitcoins to how to stake your investments and how to select the right liquidity pool for your financial goals.
Join a DAO
A decentralized autonomous organization (DAO) is a blockchain coded to operate independently of any human intervention. DAOs are a decentralized, democratic way to organize digital communities of people around a shared investment. DAOs are governed by smart contracts rather than individuals, which makes the community equal for all members. For any group decision not accounted for within the structure of the DAO, each member will receive a vote to determine the course of action for the group.
DAOs are an excellent option for those currently holding specific coins who want to participate in the governance of that coin or specific blockchain projects. The new FTX Token, for example, offers its stakeholders exclusive access to the FTX DAO, along with several other benefits and incentives for coin holders. By joining a DAO, you will receive exclusive invites to crypto events, get decision-making power over the project’s future, and be a part of a larger investment community with other industry experts willing to work together for the betterment of the community and their investment.
Use Your Crypto to Buy Real World Items
Of course, if you’re not sure you want to stay in crypto for the long haul and you want to spend the money you’ve made investing thus far, there are plenty of real-world items you can get with crypto. It is possible to buy a house with crypto; some people have even purchased cars with it. Virtually anything for sale in the real world can be bought using crypto. Though major online sellers like Amazon don’t currently accept crypto directly, there is almost always a way around this: buying prepaid Amazon cards or working with other traders to get an accepted coin or fiat currency in exchange for your tokens. You can find many online retailers willing to take crypto directly, and even some that will offer discounts if you pay using a specific coin.
Invest in NFTs
This is a big one. If you’re looking to diversify your crypto portfolio, investing in NFTs can be a great way to do so.
NFTs are digital assets that can be bought and sold on the blockchain. They represent something of value, like an asset or a physical product. In most cases, they’re unique items that exist only as representations of their real counterpart (like an art piece). NFTs are meant to act as immutable records of ownership over digital or actual assets. NFTs are the contract that ties a blockchain user to that asset; it is not the asset itself.
Because they exist on the blockchain, they can be traded on exchanges just like any other cryptocurrency token or coin. You can access the NFT marketplace through your crypto exchange and store any NFTs you purchase in your digital wallet.
Invest in the Metaverse
If you’re interested in investing your cryptocurrency in the virtual world, you may consider investing in the Metaverse. The Metaverse is a blockchain-based virtual reality platform with its native token, ETP. The ETP payment method for digital assets on this platform can be exchanged directly for fiat currency.
The reason why this investment opportunity stands out from others is that, unlike other cryptocurrencies that are primarily intended as stores of value or mediums of exchange, the ETP token has a different use case: it allows users to purchase land plots on which they can build their own digital objects or houses within the metaverse environment. That’s right; you can invest in digital real estate within the metaverse. The future of the metaverse offers significant opportunities for businesses and individuals to invest in and find success. The metaverse, when completed, will provide users with access to unique NFTs, virtual events, and much more. You can learn more about the metaverse and how to invest early by joining an online crypto community such as FTX.
Crypto is one of the most revolutionary technologies in history. It is changing how we view money and transactions, as well as how we interact with each other. You don’t have to be a tech-savvy investor to take advantage of this new technology, but you do need to know your way around blockchain and cryptocurrencies to ensure that your investment will pay off for years.