It is no secret that you can make money from buying and selling cryptocurrencies at the right time. But one questions remains: when is the right time to sell? Will they go further up or will the market tank again? If you don’t want to stress yourself with these nasty questions and just want to profit from HOLDING your crypto like a longterm investor this is the right article for you:
More and more young people stay away from traditional banks and switch to crypto trading and crypto investment instead. Why should you pay bank fees and wire transfer fees if you can send your friend or vendor their money within seconds for free? A good diversified crypto portfolio is the solution. Connected to a traditional credit card, you can not only make money from the exchange profit but also pay your invoices. But buying, selling and managing a crypto portfolio is not as easy as it sounds. Cryptos are very volatile and they can go up and down within minutes.
Buy and hold return on cryptos
What if there was a way to profit from just holding a crypto asset and make profit from a kind of “interest”, compared to the traditional banking system? It’s possible and the secret is STAKING. What is staking?
Staking: profit from just holding these two cryptos
With eToro, you can earn rewards by just holding these two cryptocurrencies: Cardano (ADA) and TRON (TRX). Staking derives from the PoS (Proof-of-stake) mechanism, used by a distributed blockchain network, where blockchain miners can mine or validate block transactions according to how many coins they have. eToro executes the staking process on behalf of their customers and you get rewarded by just holding these cryptos – compared to a traditional banking system but with a lot more “interest”. These days – you’d rather compare your staking reward with a dividend portfolio. Once you have bought these two cryptos and hold them for at least a couple of days you get your staking reward in terms of the respective currency you hold.
How long do I have to hold them?
In order to get your “stake” you will have to hold Cardano at least for 10 days and TRON for 8 days. Depending on your status as an eToro client you recieve between 75% and 90% of the staking yield. Staking rewards are shared with users who own the cryptoassets between eToro and their customers. The staking “yield” are credited to your portfolio within 14 days of the following months.
How does it work?
Let yout portfolio grow!
What’s the secret of staking? If you are familiar with the concept of building up a dividend portfolio you already know the concept and the power of compound interest. Imagine you buy a crypto currency such as Cardano and/or TRON and every month you get automatically some more coins added to your portfolio.
How much money can I expect?
Your staking yield is automatically credited to your wallet in the respective crypto currency which makes your portfolio grow automatically. You can expect round about 0.4% per month on your portfolio. Of course, your new cryptos will be elegible for the next staking cycle thus you will increase your amount of coins automatically and get a really big portfolio over the time just by buying and holding these two cryptos with eToro.