Bitcoin Trading is considered the new profit-making avenue, but Bitcoin Mining can be way more profitable. Here are the factors which make Bitcoin Mining more profitable than Trading.
Considering the current price of Bitcoin,Guest Posting it is highly unlikely that most investors will be able to afford it. However, the good news is, there are more than one ways to own Bitcoin and other cryptocurrencies. Bitcoin mining, while highly competitive, is a highly lucrative industry.
With the advanced ASICs machines and intuitive mining softwares, miners can not only cover the initial costs of the equipment in a single year but also earn a significant profit. The popularity of Bitcoin mining has grown hand-in-hand with the acceptance of cryptocurrencies.
According to an ING International Survey, over 35% of European crypto enthusiasts believe Bitcoin will take over the online shopping market. Also, 32% of the group thinks cryptocurrency has much more to offer than traditional financial services.
Bitcoin mining uses ASIC computing power to solve complex equations, which earn the miners a reward in the cryptocurrencies. The evolution of DeFi technology has made Bitcoin mining more lucrative by empowering platforms such as Zionodes and creating smart contracts.
Here are few reasons why Bitcoin mining is more lucrative than buying.
Money is undoubtedly the biggest lure for crypto investors. Cryptocurrency promises great rewards by holding and leveraging Bitcoin to grow more returns. However, considering 1 Bitcoin costs over $60,000, it might be unaffordable for maximum investors.
Here’s where Bitcoin mining comes into play as users can not only earn their equipment cost in a year but also earn more Bitcoins over the year. Bitcoin mining is adaptive and will not harm the miners during fluctuations.
If the price of Bitcoin drops or increases, Miners can switch between different currencies to adjust their profits. In contrast, the person who purchases a Bitcoin might face loss if the Bitcoin’s price drops.
Bitcoin, while being the most significant player Emergency crypto wallets in the cryptocurrency world, is not the only one. The Crypto market is unpredictable and is prone to severe fluctuations. In the past, several times, the price of Bitcoin dropped, unfortunately, and users had to switch to Ethereum.
While switching from one cryptocurrency to another is easy for miners, it might not be as profitable for people buying the token. They might have to cut their losses and trade them for lower values, and face significant losses.
Mining platforms can automatically shift the pool from one token to another, adjusting to the fluctuations and prevent any losses for miners.
There have been several cases where even the best crypto wallets were hacked, and users ended up losing their crypto assets. While holding assets in a digital wallet is risky, storing them in cold storage is not. The majority of mining platforms store their user’s crypto assets in cold storage, making them inaccessible to hackers.