Making money with cryptocurrency isn’t just about buying low and selling high. There are multiple ways to earn with crypto, even while you sleep.
In this guide, we’ll break down exactly how to make money with cryptocurrency, including step-by-step explanations, pros and cons, and how to get started as a beginner.
Quick look at how to make money with crypto
There are several ways to make money with cryptocurrency, each with different risk levels and earning potential. Here’s a quick overview of the most common methods:
- Staking – A process where users lock up digital assets to support blockchain operations and receive rewards.
- Yield farming – A decentralized finance (DeFi) strategy that involves earning returns by providing liquidity to crypto platforms.
- Lending – A method where cryptocurrency holders loan out their assets to earn interest over time.
- Crypto savings accounts – Platforms that offer fixed or variable interest on deposited crypto funds.
- Mining – The process of validating blockchain transactions using computational power in exchange for crypto rewards.
- Play-to-earn and Learn-to-earn – Blockchain-based models where users earn tokens by playing games or completing educational activities.
How to make money with crypto – A closer look
Each method of making money with cryptocurrency works differently, and the potential earnings, risks, and effort required can vary.
Some methods provide passive income, while others require active participation in the cryptocurrency market.
Below, we’ll break down each method in detail so you can decide which is best for you.
Staking
Staking is one of the easiest ways to earn passive income with cryptocurrency. Unlike mining Bitcoin, which requires expensive hardware, staking is energy-efficient and accessible to most investors.
This method allows holders to lock up their assets to help secure a proof-of-stake (PoS) blockchain, and in return, they receive rewards.
In PoS blockchains, transactions are validated by users who “stake” their crypto rather than miners solving complex puzzles.
The more coins you stake, the higher your chances of being chosen to verify transactions and earn rewards.
Many platforms allow you to stake through a crypto exchange, a staking pool, or directly via a crypto wallet.
Some of the most popular staking coins include Ethereum (ETH), Solana (SOL), and Cardano (ADA).
If you’re looking for more options, check out this list of the best staking coins with high rewards and strong network security.
Pros and cons of staking
Pros
- Easy way to earn passive income: No need for trading skills; just hold and stake your coins to receive rewards.
- Lower cost than mining: No need to buy expensive equipment or pay high electricity costs like mining crypto.
- Higher returns than traditional savings: Some staking coins offer annual yields of 5-20%, far better than bank savings rates.
Cons:
- Funds may be locked for a period: Some staking platforms require you to lock your crypto for weeks or months, making it inaccessible.
- Rewards depend on market conditions: If the staked coin loses value, your earnings could be worth less.
- Risk of platform failure: Staking through an exchange or staking pool means trusting a third party, which could be hacked or go bankrupt.
Yield farming
Yield farming is a high-reward strategy in DeFi that allows users to earn income by providing liquidity to crypto platforms.
Instead of simply holding tokens, investors deposit them into liquidity pools that facilitate lending, trading, and borrowing on DeFi exchanges.
In return, they receive a share of the platform’s transaction fees or additional tokens as rewards.
Many farmers frequently move funds between protocols like Uniswap, Curve, and Aave to chase the best returns, but doing so requires careful strategy and risk management.
Besides these risks, yield farming offers potential returns significantly higher than other passive income methods.
If you’re interested, you can get started easily by following this detailed guide on how to start yield farming in the crypto markets.
Pros and cons of yield farming
Pros
- Higher potential returns: Yield farming can generate much higher yields, often exceeding 20% APY.
- Flexibility to move funds: Unlike staking, funds aren’t locked, allowing farmers to shift assets to platforms with better rewards.
- Passive income from DeFi platforms: Earn rewards without actively trading or holding assets long-term.
Cons:
- High risk due to market volatility: If the value of the most profitable cryptocurrency in the pool drops, earnings may not cover losses.
- Smart contract vulnerabilities: Bugs or exploits in DeFi protocols can lead to permanent fund losses.
- Impermanent loss: If the price of your deposited assets changes significantly, you could end up with lower returns than holding them normally.
Lending
Crypto lending allows investors to earn passive income by loaning their digital assets to borrowers in exchange for interest payments.
This is done through centralized platforms like BlockFi and Nexo or decentralized lending protocols like Aave and Compound.
Interest rates vary based on market demand, the type of cryptocurrency lent, and loan terms.
Some platforms offer flexible withdrawals, while others require lenders to lock funds for a fixed period to receive higher returns.
Lending stablecoins like USDC and DAI is often considered a lower-risk option, as their value remains stable compared to volatile assets like Bitcoin.
Pros and cons of lending
Pros
- Steady passive income: Earn interest payments regularly, similar to a savings account but with higher returns.
- No need to sell crypto: Keep exposure to potential price gains while generating income from holdings.
- Lower risk with stablecoins: Lending assets like USDC reduces volatility risks compared to other cryptocurrencies.
Cons:
- Counterparty risk: Borrowers may default, or lending platforms may become insolvent, leading to losses.
- Withdrawal restrictions: Some platforms require funds to be locked up, limiting liquidity.
- Regulatory uncertainty: Crypto lending regulations vary by region, affecting platform availability and terms.
Crypto savings accounts
Crypto savings accounts function similarly to traditional bank accounts, but instead of earning interest on fiat currency, users earn rewards on their crypto holdings.
Cryptocurrency exchanges and specialized lending platforms offer these accounts, allowing users to generate passive income with minimal effort.
Popular platforms that provide crypto savings accounts include Nexo, Crypto.com, and Binance Earn, each offering different rates based on the cryptocurrency and account type.
Interest rates vary based on the cryptocurrency deposited, the platform, and whether the user chooses a flexible or fixed-term account.
Some platforms offer higher rates for stablecoins like USDC and DAI, making them a preferred option for risk-averse investors.
Managing your balance in this way means you don’t have to worry so much about the best time to buy crypto in the long term.
However, unlike a bank account, funds in a crypto savings account are not insured, and the platform’s security is a key consideration.
Pros and cons of crypto savings accounts
Pros
- Easy way to earn passive income: No need for trading or complex strategies—simply deposit funds and earn interest over time.
- Higher returns than traditional savings: Interest rates often exceed those banks offer, making it a better option for growing funds.
- Stablecoin support reduces volatility: Many platforms allow savings in stablecoins, protecting against market fluctuations.
Cons:
- Not insured like a bank account: Unlike traditional financial institutions, cryptocurrency investing through savings accounts carries higher risk.
- Withdrawal restrictions may apply: Some platforms require users to lock funds for a fixed period to earn higher rates.
- Platform risk: If an exchange or lending platform becomes insolvent, users could face significant loss of funds.
Mining
Mining is one of the oldest methods of earning money with cryptocurrency. It involves using computational power to validate transactions and secure a blockchain network.
Miners are rewarded with new coins for solving complex mathematical problems that confirm transactions on proof-of-work (PoW) blockchains like Bitcoin and Litecoin.
The mining process can be done individually or through a mining pool, where multiple miners combine their computing power to increase their chances of earning rewards.
However, mining cryptocurrency requires specialized hardware, high energy costs, and technical knowledge, making it less accessible for beginners.
Pros and cons of mining
Pros
- Earn newly minted cryptocurrency: Miners receive new coins as rewards, which can be highly profitable in the right conditions.
- Supports network security: Contributes to the blockchain network by verifying transactions and preventing fraud.
- More predictable income with mining pools: Joining a mining pool allows for more consistent earnings, reducing the uncertainty of solo mining.
Cons:
- High energy costs: Mining requires significant electricity consumption, making it expensive in regions with high energy prices.
- Specialized equipment needed: Profitable mining requires ASIC miners or powerful GPUs, which can be costly.
- Market volatility affects profitability: If the price of Bitcoin or other mined coins drops, mining may become unprofitable.
Play-to-earn & learn-to-earn
Blockchain-based gaming and educational programs offer unique ways to earn free crypto without an upfront investment.
Play-to-earn games reward players with cryptocurrency or NFTs for completing in-game tasks. At the same time, learn-to-earn platforms give users digital assets for completing educational resources about blockchain technology.
Axie Infinity, The Sandbox, and Gods Unchained are among the best crypto games to explore, where players can trade in-game items for real-world value.
Meanwhile, platforms like Coinbase Earn and Binance Academy allow new users to earn crypto by watching tutorials and answering quizzes.
These methods are beginner-friendly but require time and effort to generate substantial income.
Pros and cons of Play-to-earn & learn-to-earn
Pros
- Earn free crypto with no upfront cost: Many platforms offer rewards to new users just for participating.
- Engaging and educational: Ideal for those who enjoy gaming or want to learn about cryptocurrency investing while earning.
- A low-risk way to build a crypto portfolio: Accumulate small amounts of digital currency without needing to trade or invest.
Cons:
- Earnings can be low: It requires a significant time investment to earn money compared to other methods like staking rewards or yield farming.
- In-game assets and tokens are highly volatile: Rewards depend on the market, and gaming tokens can lose value quickly.
- Not all platforms are legitimate: Some play-to-earn games and educational resources may be scams or require personal data.
The risks of trying to earn passive income through crypto
Earning passive income with cryptocurrency can be highly rewarding, but it’s not without risks.
From scams to market volatility, investors must be cautious when choosing lending platforms, DeFi protocols, or staking programs.
Below are the most significant risks to consider before generating passive crypto income.
The best cryptocurrencies to buy for passive income in 2025
Some cryptocurrencies let investors earn passive income just by holding or staking them.
Here are some of the most profitable cryptocurrencies for those looking to make money with crypto beyond just trading.
1. Solaxy (SOLX)
- Blockchain network: Solana (Layer 2)
- Presale supply: 20.7 billion tokens (~15% of total supply)
- Purchase methods: ETH, BNB, USDT, Credit Card
- Ways to earn: Stake SOLX tokens for up to 240% APY during presale
- Investor benefits: Early staking rewards and strong presale demand
Solaxy is a Layer 2 blockchain built on Solana, designed to improve transaction efficiency and reduce network congestion.
This new cryptocurrency allows investors to earn passive income through high-yield staking.
During its presale, SOLX offers staking rewards of up to 240% APY, allowing early buyers to generate passive income before the token even launches on crypto exchanges.
With over $19 million already raised, Solaxy has proven itself a one of the best Solana meme coins to buy in 2025, and has attracted countless investors looking for high staking returns.
The combination of early adoption incentives and high potential for growth makes it an attractive option for those wanting to earn rewards while holding a digital currency with strong utility.
2. BTC Bull (BTCBULL)
- Blockchain network: Ethereum
- Presale supply: N/A
- Purchase methods: ETH, USDT, Credit Card
- Ways to earn: BTC rewards and staking with high APY during presale
- Investor benefits: Bitcoin airdrops at major price milestones and token burns to increase scarcity
BTC Bull is a Bitcoin-themed meme coin that rewards holders with BTC airdrops as Bitcoin’s price reaches new highs.
Unlike most meme tokens, BTCBULL is directly tied to Bitcoin’s price action, allowing investors to benefit from BTC’s long-term growth.
Simply holding BTCBULL qualifies investors for Bitcoin rewards, with airdrops scheduled when BTC hits $150K, $200K, and beyond.
Additionally, every time Bitcoin’s price increases by $25K, a portion of BTCBULL tokens are permanently burned, reducing supply and potentially increasing value over time.
Early buyers can also stake BTCBULL during presale and earn up to 340% APY, making it one of the most rewarding new meme tokens on the market.
3. MIND of Pepe (MIND)
- Blockchain network: Ethereum
- Presale supply: N/A
- Purchase methods: ETH, USDT, BNB, Credit Card
- Ways to earn: Stake MIND tokens for high APY during presale
- Investor benefits: AI-driven market insights and early staking rewards
MIND of Pepe is a meme coin with a unique AI-powered system designed to track crypto market trends and deliver real-time insights.
This AI agent analyzes social sentiment, trading activity, and market conditions, giving MIND holders exclusive access to key insights that can help with cryptocurrency investing.
Investors can also stake MIND tokens during the presale to earn over 380% APY, making it one of the most rewarding staking opportunities available right now.
With strong early demand and real utility behind it, MIND of Pepe stands out as a meme coin with long-term potential rather than just hype.
4. Best Wallet Token (BEST)
- Blockchain network: Ethereum
- Presale supply: N/A
- Purchase methods: ETH, USDT, Credit Card
- Ways to earn: Staking rewards and reduced transaction fees
- Investor benefits: Priority access to new projects and exclusive staking perks
Best Wallet Token is the utility token for Best Wallet, a popular non-custodial cryptocurrency wallet.
Holding BEST tokens comes with multiple benefits, including discounted transaction fees and early access to new crypto presales.
Investors can also stake BEST tokens and earn up to 170% APY, making it an attractive option for those looking to generate passive income.
On top of that, the token’s integration with Best Wallet gives holders extra perks, such as priority access to exclusive cryptocurrency projects.
5. Meme Index (MEMEX)
- Blockchain network: Ethereum
- Presale supply: 15% of the total supply
- Purchase methods: ETH, USDT, Credit Card, DEX (Uniswap)
- Ways to earn: Staking rewards and governance incentives
- Investor benefits: Exposure to top meme coins through diversified index baskets
Meme Index is a decentralized token designed to give investors diversified exposure to the meme coin market.
Instead of buying individual meme coins like DOGE, SHIB, and PEPE, holders can invest in MEMEX and gain access to a basket of top-performing meme coins.
The platform offers four unique index baskets, each tailored to different risk levels, from well-established meme coins to high-risk, high-reward options.
Investors can also stake MEMEX for an APY of over 600%, making it a strong option for those looking to earn passive income while benefiting from the growth of the meme coin sector.
Conclusion – How to make money with cryptocurrency
Throughout this guide, we’ve explored several ways to make money with cryptocurrency. From staking and yield farming to lending and play-to-earn games, each method offers different opportunities to earn passive income
However, like any investment, crypto comes with risks, from market volatility to platform failures, so it’s important to research and choose the strategies that align with your goals.
If you’re looking for new tokens that offer high staking rewards and other earning opportunities, Solaxy, MIND of Pepe, and Best Wallet Token stand out as strong choices.
Now that you know the different ways to generate passive income, the next step is to choose the methods that fit your goals and take action.
