New to the Crypto world? Want to make some money for yourself, without spending your cryptocurrency? Then you are at the right place. Here in this article, we show you how you can make money with your cryptocurrency without spending them. One such way is Dividends. Are you aware of what dividends are in the stock market? The crypto dividends work more or less in a similar manner, but you can think of them as crypto rewards. They can act as a passive income source for you while you hold them in your wallet.
You can earn the dividends paid by these crypto companies simply by holding them in your wallet or staking them or by creating a transaction. Most of the time the amount you receive back as a dividend is based on the amount of crypto you hold and the action you choose to do with them.
There are different ways in which you can earn dividends as we already mentioned before. The two popular ways are Staking and HODLing. Staking is holding a Proof of stake cryptocurrency in your special wallet or in the supported exchange. Whereas HODLing is holding the cryptocurrency that you buy in your own wallet.
Dividends have become pretty popular in recent times as many who wish to keep their crypto assets to themselves for longer times have turned towards it. This way you can earn passive income even while you are sleeping. There are a lot of cryptocurrencies that pay your dividends while you hold them. Let us have a look at what they are, how they work and how much can you make out of them.
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Cosmos(ATOM)
Have you ever heard of Cosmos(ATOM)? You might probably have. If you didn’t, It is one of the popular staking cryptocurrencies out in the crypto world. Cosmos(ATOM) allegedly aims to become an internet of blockchains as they connect different blockchains and enable us to swap crypto between different blockchains.
Binance, one of the biggest centralized exchanges out there alongside a hundred other companies is using Cosmos(ATOM) for its project. Since it works on a proof of stake principle, Cosmos(ATOM) provides dividends for staking. But the returns you receive are higher compared to other cryptocurrencies. Cosmos(ATOM) gives you 8% annual returns on your crypto assets. Since Cosmos(ATOM) is growing more and more each day, your rewards will be growing alongside it.
VeChain(VET)
Like Cosmos, VeChain(VET) is also another staking coin that you might want to consider. Compared to other coins that rely on Staking, the returns on VeChain(VET) are relatively low, nevertheless, its future potential makes it one of the best cryptocurrencies to consider with respect to paying dividends.
This project aims to use blockchain technology for the supply chains in the process of moving services and products to customers from suppliers. Compared to other cryptocurrencies, staking the VeChain(VET) is pretty easy. You just need to hold the coins in a wallet that supports VeChain(VET) and as a reward, you will receive VTHO, which they use to pay for the transaction on the network. The annual return you get by staking VeChain(VET) is 1.5% of the VeChain(VET) you hold.
NEO (NEO)
NEO is also among the cryptocurrencies that pay you dividends. NEO is also considered to be Chinese Ethereum because of its origin and its contacts with the nation. Just like VeChain(VET), NEO also doesn’t pay higher dividends like a few others but can be an excellent source of passive income. It has worked with several popular companies in different aspects.
Even though they might not pay high dividends unlike a few other cryptocurrencies, but down the line NEO coins(NEO) might prove to be a lot more valuable. Which in other words means that by choosing NEO, you might not only get a passive income but also get to be the future investors of NEO itself. You get paid in GAS which is what NEO users pay for the smart contracts. With NEO you will get 2% interest yearly.
Tezos(XTZ)
Similar to Ethereum(ETH), Tezos(XTZ) is also one of the popular blockchain platforms, which is also known to have one of the all-time biggest ICOs. This platform focuses on resolving the governance issues which are common in blockchains like Ethereum(ETH) and Bitcoin(BTC), due to the lack of formalised governance process to make important decisions pertaining to the blockchains like network upgrades.
Tezos(XTZ) allows its stakeholders to vote on the decisions related to network changes and implements the changes as they receive enough votes needed for the change to take place.
Now, the stakeholders of Tezos(XTZ) can also take part in staking rewards alongside governance decisions. Since the platform itself is earning more and growing each day, you can expect to earn more by staking Tezos(XTZ) and earning dividends through it. Tezos(XTZ) is currently paying 6% annual interest on your crypto assets.
Komodo(KMD)
Komodo(KMD) is a blockchain platform that uses its currency KMD for transparent, fungible, anonymous and private transactions. They use delayed Proof of Work(dPoW) protocol, which makes it even more secure. The platform is also part of SuperNET which is a broader decentralised economy.
Staking with Komodo(KMD) is not entirely pure staking as you won’t be needed to keep your wallet open all through the year, but here you will be needed to keep the Komodo(KMD) in your wallet and move them around once a year. Komodo(KMD) currently is paying 5% annual returns on the number of crypto assets you are holding in your wallet.
In Conclusion
Earning passive income through dividends has become more popular these days as people are looking for new ways to earn money with the crypto assets they hold. Since there are a lot of coins that allow you to do so, your work has now become easier than ever. Find the cryptocurrency(s) that you might be interested in and check whether they are paying dividends or not. If yes check if it suits you, and proceed with it. Found this article useful? For more such articles visit Zeen.
