How To Make Money With Bitcoin
Ever since the exposure of Silk Road, and its subsequent take down after doing around $2 billion in business, Bitcoin has been making waves in news outlets around the world. While Bitcoin may not be the very first cryptocurrency ever created, it is undoubtedly by far the most well known.
As with many new and existing financial instruments and mediums, the possibility of making money with Bitcoin, regardless of your professional occupation or know how, does exist. One of the other most well-known platforms is FOREX, a currency-trading market used by millions in the capacity of day trading.
So how exactly can you make money with Bitcoin? Let’s take a look!
Mining
In some ways, mining for Bitcoins resembles the olden days of mining for gold, in the fact that exertion needs to be spent to slowly make new Bitcoins available. Bitcoins are “found” by using complex calculations, which add transactions to the ledger of past transactions, also known as a block chain.
Bitcoin mining does not require any special skills to complete. However, computer equipment that is usually far above and beyond what is available in the average home is necessary. The faster and more powerful your mining equipment is, the more money you can make.
Trading
When you first see the word trading in reference to Bitcoin, chances are something similar to FOREX will pop into your mind. This can be done with Bitcoin, given its volatility in comparison to regular currency. As a result, it is possible to purchase Bitcoins at one point of the day and sell them back for a profit. One of the most well-known and popular sites that facilitates these types of transactions is Coinbase.
However, the real money to be made trading Bitcoins is by looking for individual buyers hoping to buy Bitcoins on the sly. Bitcoins themselves are completely anonymous; however, the transaction records are not. A person looking to purchase Bitcoins with as much anonymity as possible can easily pay you cash at a steep markup to do so. One of the best ways to find buyers and sellers in this capacity is using a service like Local Bitcoins.
Have you made any money mining or trading Bitcoins? Let us know your experiences in the Comments section below!