Grow Your Crypto

Beginner Mar 9, 2021 · 4 min read

Grow
Key Takeaways:
— Most traditional assets and savings accounts have failed to offer promising returns to retail investors.
— Cryptocurrencies offer an investment alternative that is not only more advanced in terms of technology but some cryptos such as Bitcoin have outperformed every traditional asset in the past 10 years.
— Cryptocurrency owners can easily stake or lend their funds through crypto wallets such as Ledger and earn a passive income while always being in control of their funds.

Cryptocurrencies offer an investment alternative to traditional assets. Find out why and how you could grow your crypto in three different ways.

One of the most satisfying feelings in the world is being in control of what matters to you. Whether in reality or fiction, most things are driven by the desire to have more control and power. 

If you are reading this, wondering how this rhetoric relates to growing your cryptocurrencies, hear us out.

Starting point

You want to earn more, invest more, and grow your assets. Why? So that you gain more control over your life, meet any situation that requires financial strength, and live carefree.

Sadly, traditional assets and traditional means of growing them often fail to help you achieve your financial goals. Whether you speak of savings accounts, stocks, or commodities, they only take you so far in terms of achieving financial freedom. In addition, you have limited ownership over these assets.

Cryptocurrencies, on the other hand, offer an alternative that can potentially help you achieve financial freedom. They can act as the tool that complete your investment portfolio and help you become in control of your money.

This is to say that diversification of your assets is key. And if you already own crypto, be ready to learn the different ways you can grow your investments while you sleep, eat, work, or just do whatever you feel like.

Why look beyond traditional finance?

You most likely do not remember when was the last time your bank credited your quarterly interest to your savings account. That’s because an interest of less than 1% every three months is deemed to go unnoticed.

We’re not sure if the term “savings account” still makes sense considering the value of your savings in your bank account depreciates with time. It fails to stand the thrust of inflation and shrinks year on year.

Stocks, on the other hand, are ruled by market whales. The whales know the markets. They can influence it per their will and make their profits while you keep pondering for opportunities. Common people like us barely make a fortune there.

And oh, the good ol’ commodities may act as a decent hedge but their rate of return is nowhere close to making it a great investment asset for most. We can go on talking about every other asset and still end up with the same conclusion: it’s time we find ourselves a better alternative.

Don’t get us wrong, we are not saying that these are poor investments or that you shouldn’t have a savings account or invest in stocks. But while doing so, it is worth noting that cryptocurrencies bring you a completely new way of owning and growing your funds.

The case for cryptocurrencies

In the past ten years, many cryptocurrencies like Bitcoin (BTC) and Ether (ETH) have outperformed most traditional assets. That is the reason why retail and renowned institutional investors are moving billions into cryptocurrencies. 

In addition, many cryptocurrencies are deflationary like gold. Their total quantity is hardcoded into their base infrastructure, the blockchain, which cannot be manipulated. This limited-supply formula enables such cryptocurrencies to gain more value as their demand increases. 

What makes cryptocurrencies interesting is that they are meant to be decentralized. This means that no central entity should be sitting in the shadows.

Furthermore, when you buy cryptocurrencies, you are the true owner of your assets, not a company, not a bank. You. Which opens more possibilities to grow your funds. Let’s see how.

Use your crypto to grow your crypto

It’s true. You keep your crypto. Click a few buttons. And cha-ching. You have a stream, or maybe three, of earnings.

If you are aware, banks use the money we store with them to sanction loans at high rates of interest. And the interest we earn is only a tiny fraction of what they make from our money.

In the world of cryptocurrencies, there are no banks. There’s only you, the other individuals, and decentralized lending and borrowing platforms. These platforms enable you to lend directly to borrowers and earn interest on your funds. 

This power. The control. It sounds fun, doesn’t it? But wait! There’s more.

In addition, a process called cryptocurrency staking allows you to be an active participant in the network by delegating your idle crypto funds to earn regular returns.

If that weren’t enough, the value of cryptocurrencies is subject to market demand, which may increase over time and impact the value of your holdings. Thus, you might also grow your assets just by securely holding your crypto.

It’s worthy to note that when you stake or lend your cryptos with a wallet provider such as Ledger, you still own your cryptocurrencies while they’re out there growing.

All in all, crypto can triple your earning stream: assets’ value appreciation, staking rewards, and interests from lending. 

Still here? Enjoyed it? Next time, we go for another one and learn the first of the three strategies we’ll be sharing in this guide to growing your crypto.

Knowledge is power – so keep on learning! If you enjoy getting to grips with crypto and blockchain, check out our School of Block video Get Rich Quickly In Crypto.

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