Forgot your password?

How to Make Money with Bitcoin

By Edited Dec 31, 2013 0 0

Bitcoin has garnered a lot of attention recently, with prices skyrocketing above the thousand dollar mark. But is it too late to earn money from crypto currencies? No! Thankfully, there is still a lot of money to be made... but how?

Until recently, bitcoin mining and bitcoin faucets got all the attention. However, today's enthusiast will notice how very little these methods pay off. For the average person, mining costs more in electricity than the value of the bitcoins mined. Faucets can be even more frustrating, as they pay in increments so small that the time and effort is more or less wasted. So how does today's bitcoiner earn money?

Trading is, by far, the most profitable bitcoin endeavor today. Just like the stock market, crypto currencies have their own active markets. Sites like mtgox and btc-e have simple trading platforms that make investing easy. As with any investment, the goal is to buy low and sell high. During the month that this article was written, bitcoin prices have exceeded 1,000 USD some days, and fallen below 600 USD on others. If you get your timing right, you can grow your account exponentially. These sites also allow for the trading of other alt currencies such as litecoin and namecoin. Though crypto currencies tend to rise and fall together, the diversity allows you more options as an investor.

What's the catch? Unfortunately, there is one major hurdle when it comes to bitcoin profits. Because of the way that the trading sites are currently set up, it is notoriously difficult to withdraw your money in US Dollars. Hopefully this issue will be resolved in the coming months, but for now most people leave their money in their trading accounts and continue to trade and grow their initial investment.

So what's the bottom line? Making money with bitcoin is still very possible. Getting your money into your wallet, however, is a chore. And like any investment, bitcoin trading carries risk, so you should never invest money that you cannot afford to lose. I encourage you to take a look at the bitcoin trading sites and form your own opinion.



Add a new comment - No HTML
You must be logged in and verified to post a comment. Please log in or sign up to comment.

Explore InfoBarrel

Auto Business & Money Entertainment Environment Health History Home & Garden InfoBarrel University Lifestyle Sports Technology Travel & Places
© Copyright 2008 - 2016 by Hinzie Media Inc. Terms of Service Privacy Policy XML Sitemap

Follow IB Business & Money