Talks of crypto investing and crypto trading are everywhere. Have you thought about testing the crypto waters yet? If not, now may be a good time to rethink your decision.
The crypto space is booming, and opportunities to make money can be endless. You must be extra cautious if you want to launch a cryptocurrency business. Starting isn’t easy, just like any business. Cryptocurrency is still relatively new and contains financial risks.
What are the types of crypto businesses you can consider?
Cryptocurrency has been steadily gaining traction, and with more and more businesses accepting crypto payments, crypto businesses are here to stay. Whether you are simply exploring a crypto business idea as a side hustle or want to dive into a full-scale enterprise, you have many options to consider:
- Day trading: It is risky but highly lucrative if you are confident and financially sound. It’s advisable not to invest your entire life’s savings in trading because you can face significant losses. The advantage of this business is that anyone can do this, and it’s possible to start with small funds. So, this crypto business can be your perfect side hustle! To start, you must sign up with a crypto trading platform. You can register accounts on different exchanges if you find it profitable and want to engage in long-term trading.
- Cryptocurrency exchange: This is both ambitious and revenue-generating, where you build an exchange for people to buy and sell cryptocurrency. You can make money from their deposits, withdrawals, transactions, and transfers. To start an exchange business, you need to decide on options like centralized exchanges, decentralized exchanges, hybrid exchanges, ads-based exchanges, order book exchanges, binary options exchanges, etc.
- Cryptocurrency crowdfunding: Crowdfunding seeks to raise money from a pool of contributors for starting an enterprise. Companies and individuals may donate using online payment facilities, like small investments for startups or a particular cause. With a blockchain-powered crowdfunding enterprise, you can get investors from various backgrounds to back your projects.
- Cryptocurrency lending: Millennials want to make intelligent investments with higher returns and fewer risks. By offering crypto loans, you can get better returns than if you were to own Bitcoin. You earn revenue from lending crypto coins to borrowers who deal in speculative trading. If you offer low interest, you attract more users, like active day traders and institutions trading in massive amounts.
- Crypto payment gateway: With crypto becoming mainstream, the demand for businesses to accept payments in Bitcoin and other cryptocurrencies keeps increasing. Like credit card processing, every company must take a third-party provider’s help to accept crypto payments. This is where your business can step in. You can launch a payment gateway for converting crypto into fiat money. In the process, you earn revenue through account registration fees, transaction fees, and subscriptions.
- Blockchain-powered payment apps: Making cross-border payments used to entail steep costs earlier, and transactions took a while to get through. Intermediaries like exchange agencies and banks caused delays. However, blockchain has changed everything, making way for transparent and secure transactions and improving traceability. You can start a crypto trading brokerage and assist investors with trading bots. It’s a win-win situation for both.
- Crypto wallet services: Digital wallets will help traders store their crypto coins safely. If you can start a wallet-as-a-service platform, you can do this for traders. Add KYC into your AML programs for verification and tracking of customer activities.
- Sell cryptocurrency: Many crypto enthusiasts want to start paying for products with Bitcoin. You can target such buyers by offering them goods in exchange for cryptocurrency. For instance, you can launch an eCommerce site and use drop shipping to ship products to customers directly from manufacturers.
- Legal/accounting services: If you are an accountant or attorney, why not offer crypto counseling services for high rates? You will find people are willing to pay high fees to avail of such niche services.
- Cryptocurrency ATM: This can be an easy way to make money by allowing people to deposit and withdraw from a Bitcoin kiosk in your store.
- Crypto Freelancing: Whether you write or design websites, you can offer your services in exchange for crypto payments.
Each of these crypto businesses seeks to use Bitcoin and other crypto coins for making transactions and investments. If you are keen to explore crypto business ideas, it’s better to understand how the crypto market behaves. Evaluate each idea’s advantages and risks before diving into it.
