How Do Crypto Staking and Lending Generate Passive Income?
Simply, crypto staking or lending is a way to generate passive income while waiting for cryptocurrency assets to increase in value. Investors can now actively earn high returns, or interest yield, by lending out or staking their cryptocurrency holdings.
As part of staking, the cryptocurrency holder locks up, or commits, their holdings in exchange for rewards or interest, paid in the form of additional coins. It’s a way to make more crypto with your crypto. Apart from staking, you can also earn interest and fees by lending out your cryptocurrency.
Crypto Lending is often conducted on Centralized Platforms: Binance, Coinbase, Huobi…etc. meanwhile Crypto staking is fast-growing areas of the larger decentralised finance (DeFi) system. With both, investors get the benefit of keeping your cryptocurrency and also earning income from it. The income paid by platforms is much higher than the interest deposited at traditional banks.
What are the Risks?
Like any cryptocurrency investment, Crypto staking and lending alos come with risks. During the lock-in period, asset value can depreciate quickly, sometimes by a sizeable amount, and you may not be able to unstake or sell your holdings. Therefore, the staking and lending are only suitable for long-term investment strategy for investors who plan on holding a specific asset, regardless of market fluctuations.
In order to know How to Get High Passive Income from Crytpo Staking and Lending and also How to Miximize the Risk, join CRYPTO MILLIOONAIRES CLUB!