Two days ago I got RichDad’s newsletter about an amazing new way to CASHFLOW Bitcoin and how you can sign up for an uber newsletter to learn how to do that for a limited-time price of 49 dollars!
Apart from the upsell, it’s a valid strategy and you don’t really need a paid newsletter to do it.
From the RichDad newsletter:
One question we receive is, Rich Dad is all about cash flow. Isn’t crypto just a capital gains strategy? Our Rich Dad crypto expert, Jeff Wang, explains that you CAN cash flow cryptocurrencies. In the Rich Dad Cryptocurrency Newsletter, it goes in greater detail but here is the gist: Jeff teaches us that there is a strategy that allows you to cash flown by leasing your cryptocurrencies. It is a little too involved for an email, but Jeff covers this in the Rich Dad Cryptocurrency Newsletter. The point is you can use this strategy to create CRYPTO-CASH FLOW!Rich Dad
There are three ways to Cashflow Bitcoin:
HODL Bitcoin on an Exchange That Offers Yield Returns
This might sound like a scam, but it’s really not. Do your due diligence as you should for every company you put your money into. Basically with the new DeFi services most cryptocurrency exchanges offer instant crypto loans to their users. As the founder of BlockFi said in this video, he needed to get a loan backed up against his crypto and the bank ran a background check on him. He couldn’t get a loan so he created a service to do just that. It became immensely popular.
But then they found out that people left their crypto in their service. It’s like, you got me out of a tough spot, I trust you, now hodl these for me. So they added a new product of interest returns.
It sounds too good to be true, doesn’t it?
Basically, it is. And you should be weary of scams in the crypto world. But these are legitimate companies, you can check them out yourself. And how this works is, they need liquidity. In simple terms, they need a wallet full of crypto so they can move it around and offer services, so they’re willing to tempt you with very good interest returns if you accept to park your crypto there. Some of the coin returns are very good, and for Bitcoin the one at BlockFi is the highest in the market (at least in the serious crypto exchanges, I wouldn’t recommend any of the others not listed here.)
This won’t last long, so if you’re willing to take a minimal amount of risk, you can earn interest on your crypto.
Interest (at the point of writing this in 2021):
- Bitcoin on BlockFi (6% APY) https://blockfi.com/rates (Only accepts USD deposits, because apparently the US is the only country in the world)
- Bitcoin on Binance (1.2% APY) (Lowest rate but accepts EUR and other currency deposits with minimal SEPA fees, also has a debit card that you can use to spend your earned money)
- Bitcoin on YouHODLER (4.8% APY)
Please note that the percentages are a 7-day-average for the year. Meaning that you calculate your coins times APY divided by 365 to get your daily earnings. BTC*APY/365. And since that doesn’t look like much, I suggest you multiply that by 30 to get a monthly average that feels a lot better. For example, 1000 euro in BTC at BlockFi at 6% APY means 1000*6/100/365*30=4,93 euro/month. That doesn’t even factor in compound interest.
As always, you should ask the exchange for an estimate and not rely on these calculations.
Stake Bitcoin For Cashflow
In every DeFi marketplace you have options for staking various coins. I personally like Binance and it has a variety of staking options. There are levels of risk, and you’re warned for them when you tap to check them out. Basically, even staking isn’t guaranteed, but the team behind Binance makes sure that the offers they bring you are at the very least legitimate. Hacks, chain attacks, network failures can and do happen and you can lose more than you expected. It is a calculated risk. Naturally, the low risk staking options are the ones with the smallest returns.
If you move down to the high-risk, there are many options that sell out in mere minutes from the moment they’re announced. Unfortunately the ones sold out are the pure Bitcoin staking options, and we’re left with the shitcoin options. Still maybe investing in some stablecoins and staking them sounds good to you, or even risking more in liquid dual swaps. That’s when you stake a pair of coins for liquidity and get rewards over time. If you don’t own both coins, you just stake one and pay a conversion fee, the system guides you through.
I tried 3 different dual coin liquid swaps, one went negative, so I lost a tiny fraction of my investment. The other two I tried were earning me about 10% APY and there are some pairs that Binance needs for their system so they even reward you with BNB coins on top.
When you cash out, which you can do anytime, you can choose to collect one or both coins. Again there are conversion fees if you choose one. So, for example at the time of writing this, I can choose BTC/BUSD with extra rewards in BNB. I can put my BTC in, accept the conversion fees, get half and half of the two coins, leave them in there to provide liquidity and I’ll get both earnings and BNB tokens back as an extra because Binance seems to need the pair. As soon as I’m done after a few days, I can redeem them, choose BTC again, accept the conversion fees and end up with (hopefully) more BTC in my wallet.
Just sign up for Binance and explore their many staking options. Do your research before investing any amount of money.
Claim and Sell Forked Bitcoins
This one is a bit convoluted. Basically, there are many people that have tried to fork bitcoin, for many reasons. Some have tried to make it faster, others have tried to make it more secure, add functionality, whatever. We won’t bother with the ideology right now. The point is that these forks happen. I think they’ll start to die down a little bit as Bitcoin proves its dominance over the others. It’s one thing to claim bitcoin is flawed and that you know better when it costs $100 and find supporters to follow you into a fork and quite another when it costs $55000. Anyway, the nature of the fork means that you get an exact amount of the forked bitcoin if you held your own bitcoin at that time.
It gets technical and I haven’t done it yet, but you can find these two guides:
There are some things to be careful of, and the main thing is that you don’t need to hurry! If you qualified for the forked coins, they’re yours forever. There’s no rush to claim them, and it’s actually better to wait a little bit for the forked coin to get some traction going and hopefully get its price up.
That final way is yet another cashflow opportunity. It’s not much, but it’s better than nothing. As for the other ways listed above, you exchange some degree of security and have to trust a third party to hodl your bitcoins so they pay you interest. Hope this guide has been helpful and you can do your own research, search on reddit because there’s a very active community on there, and check the background of the companies you plan to send your precious bitcoins to.
But, in order to do any of that you need to have Bitcoin. So, if you’ve done your research and decided it’s a good investment for you, here’s where you can get Bitcoin.