Crypto passive income - a bubble?

[Bitbtc8]

You just need to do research on a coin with staking ability, they survive through their use cases not even the staking feature, it makes sense and easy than proof of work Algorithm and also less costly to get into.

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[giammangiato]

Crypto passive incomes are very dungerouse if they are not connected to the project like for esample atom or erd staking. They make if for save the value of the coin during the growing of the projects. Stay away from wallets that promise to you +5% for day after a few of days they will scam you and your friends

[sayulita]

I see that more and more investors are interested in a passive income that comes from cryptocurrencies. But, I am a little bit afraid that all these concepts: staking, crypto lending, and all form of income that is generated from nothing will end up sooner or later. When you compare mining, you have to buy mining rigs at first, then you need to pay electricity, so you spent a lot of money to mine a Bitcoin and that makes it valuable. What about staking? What you sacrifice to receive new coins?

For staking cryptocurrencies you also have to spend money too and then for staking your coins your wallet have to be online all the time throughout the day, if not then you won't earn anything. It is more efficient than just buying mining rigs and then also spending a lot on electricity and also cooling the rigs. If staking wouldn't have been a good alternative then the Ethereum network wouldn't have opted to go full Staking instead of a hybrid POW/POS protocol. The only danger in staking your coins is that if the VPS provider access your wallet or any hacker cracks your VPS password then all your investment will be lost this won't happen with mining rigs, other than this there isn't any disadvantage in staking cryptocurrencies.

[NeuroticFish]

Do all those coins have proper development and proper use? What makes them valuable?
Questions like this need to be asked/answered.

It doesn't matter if staking brins more coins if overall the coins' value decreases.
Where the income from yield farming comes? Don't tell me that suddenly everybody needs loans in certain coin or token nobody knew about some months ago.

The speculation driven rise of price is a bubble. If the income is based on that then it's very risky. That's all.

[Botnake]

It would depend on the coin you are staking with, and by reality, not all coins in the market has some good potential in the future.

Staking could be profitable if the coins you are investing with is profitable and will survive for long term, hence you can't compare it with bitcoin mining since bitcoin will always stay in the crypto space, it doesn't need to be improve or change, people have accepted it and have adopted it already.

[anu1908]

most of these new passive income generating outcome requires you to lose some of your control over your coins. either you lock it on a pool, move it from your wallet, locked and not allowed to move during crazy bear market trend, loaned to other users by some platform, etc. in return, you get 5-8% interest a year or so. In short term it is definitely a bubble since lots of people will rather look for profits than find a loan, and after a few months or year the interest will cool down.

the real question is whether losing that control is worth the risk or not. tt is definitely less profitable than mining with lower cost to enter, while at the same thing you need to risk lots of your portfolio.

[Gorosden]

There are few proof of stake coins that I've knew since 2018 and till date they are still paying those who stake their coins, what makes these coins more trustworthy is because they have better utilities apart from the staking ability they offer

[benthach]

You just need to do research on a coin with staking ability, they survive through their use cases not even the staking feature, it makes sense and easy than proof of work Algorithm and also less costly to get into.

i recommended you checking out ark, just download their wallet and test it out, http://ark.io
deposit some ark into your wallet and vote for a delegate then wait for them to send you more free staking ark. your ark tokens is always safe and in your wallet.

[MoonIsBlue]

Theres no value being created. Staking is a nice incentive to hold coins so people dont immediatly dump.
So that the developers can get something out of it too after all their hard work.
But it doesn't actually add anything.

Check out XAYA  https://coinmarketcap.com/currencies/xaya/markets/ - You can make a passive income whilst creating value.
No more promises of (unsustainable) high payouts based on nothing but thin air. But real passive income based on value created within a game.
The gaming world is only just starting to grow its competitive leauges. XAYA will be at the cusp of this new dawn.
And will be an innovator and leader in how people interract with games.

Quit your job, become a gamer. While its still early.

[Mauser]

I see that more and more investors are interested in a passive income that comes from cryptocurrencies. But, I am a little bit afraid that all these concepts: staking, crypto lending, and all form of income that is generated from nothing will end up sooner or later. When you compare mining, you have to buy mining rigs at first, then you need to pay electricity, so you spent a lot of money to mine a Bitcoin and that makes it valuable. What about staking? What you sacrifice to receive new coins?

But why should it end? It's pretty much the same business banks are doing with FIAT currencies. The ones who have plenty of coins are helping out the ones who don't have the coins right now. There will always be people be around who need coins right now but can only pay it back later. Staking or Crypto lending is common practice for a while now and definitely one of the major parts in crypto currencies. Sure there are bad apples around and you might lose money on some deals, but therefore you receive a nice interest rates. As long as you can pick out more of the good ones to lend your coins to, you should be fine. That is why a trust system like on this forum is so important.

[Finestream]

IMO, you can only guarantee you'll earn a passive income if the project is already established. With the number of new projects in the space now offering an investment opportunity in any way, you have to be careful with that as it could cost you much in the end.

Look at this simple but realistic analysis of mind, ask yourself, are crypto market already stable? If your answer is no, then no projects inside of it is.

[shaheer001]

As the electricity charges increased the mining is become more difficult due to high charges and the cloud mining sites mostly are a scam as they never pay you all your initial investment too. staking is the best option as this is totally in control of project owner and due to staking more investors take part in the project if the staking ratio is good and the project has some ranking and good value in price.

[maydna]

I see that more and more investors are interested in a passive income that comes from cryptocurrencies. But, I am a little bit afraid that all these concepts: staking, crypto lending, and all form of income that is generated from nothing will end up sooner or later. When you compare mining, you have to buy mining rigs at first, then you need to pay electricity, so you spent a lot of money to mine a Bitcoin and that makes it valuable. What about staking? What you sacrifice to receive new coins?

Staking the coin can be a new way to earn a profit, but if you can't get the right coin, your profit will not too big because the price of the coin will not increase for a long time. We don't have to sacrifice to receive new coins because that will depend on how we can analyze the coin before you decide. The investor's purposes are how they can make more and more profit in many ways, and that is what the crypto investors think about cryptocurrency.

If you mine a bitcoin, you need to have a lot of money before you can start. You need to think about the electricity cost monthly, and if you don't have high-end hardware to mine bitcoin and low-cost electricity fees, your profit will not be too big, and your chance to make a profit will not be too big.

[danherbias07]

Crypto Lending...
To be honest, decentralized lending or those platforms that are under DeFi still confuses me. I'm nor really sure how it works so I can't tell it's value. On the other hand, lending on centralized third party service such as Binance is different. It is backed by the platform itself so you can say it is the same to how banks get your money, lend it to others, then give you a share of the profit which is minuscule compared to how much they get haha.

Staking....
Like what others have said, it's intrinsic value comes from the capital you put in including the monthly expenditures like electricity and equipment maintenance. If you join platforms that offers staking pools, you won't have to think of the expenses but keep in mind the risk involved in trusting other parties with your money.  

And still, both have their own risk. Just like how it is with mining. Risking their money, buying those rigs and paying bills and you are supposed to mine something or you will be losing more.

In staking, there are chances it would become a scam attempt and the same goes with lending.
Actually, mining could be a better option rather than those two but it needs knowledge. That might be the reason they will pick the easier path.

[bigcash2011]

I see that more and more investors are interested in a passive income that comes from cryptocurrencies. But, I am a little bit afraid that all these concepts: staking, crypto lending, and all form of income that is generated from nothing will end up sooner or later. When you compare mining, you have to buy mining rigs at first, then you need to pay electricity, so you spent a lot of money to mine a Bitcoin and that makes it valuable. What about staking? What you sacrifice to receive new coins?

You have a point for sure but this is true only for coins and tokens that are offering returns without any serious purpose, perhaps only to avoid dumping.
While projects that offer genuine staking that serve the purpose of securing the network will be fine i guess.

[taguig]

I see that more and more investors are interested in a passive income that comes from cryptocurrencies. But, I am a little bit afraid that all these concepts: staking, crypto lending, and all form of income that is generated from nothing will end up sooner or later. When you compare mining, you have to buy mining rigs at first, then you need to pay electricity, so you spent a lot of money to mine a Bitcoin and that makes it valuable. What about staking? What you sacrifice to receive new coins?

You are pessimistic on how you look at the different ways to earn from passive income without stating how this will end, if you are not comfortable with mining and staking then why not just buy coins and HODL it, it's a guaranteed way to make a profit, many investors find HODLING a good way to make a passive income.

[rajsimran]

I think Staking is good but some shit coins with a shit business plan made this staking worst. If you search you will find a lot of coins that offer to stake and they are doing this business from the beginning and they did it very well. But some projects came to scam people and people lost money then they don't believe staking. But I think staking is one of the passive income if you can choose the right coin.

[tvplus006]

I see that more and more investors are interested in a passive income that comes from cryptocurrencies. But, I am a little bit afraid that all these concepts: staking, crypto lending, and all form of income that is generated from nothing will end up sooner or later. ...

If you trust banks more than cryptocurrency exchanges, then you should keep your savings in banks. If you decide to place your free money on the exchange, you need to choose the one that you trust more. I placed part of the funds on Binance at 14.5% per annum in USDT. In addition, Binance holds a special promotion-BNB staking at 25% per annum. But for me, the income in USDT looks more stable than in BNB.

[Thomas-s]

all coins that offer passive income will die in one day, but if you are one of the first investors in this coin, you can earn very big money at the early start. fast people making very good money on such coins

[Lantind]

There are few proof of stake coins that I've knew since 2018 and till date they are still paying those who stake their coins, what makes these coins more trustworthy is because they have better utilities apart from the staking ability they offer

Yes, the coins that have survived from 2018 to the present are still there, but there are also very many coins that have been destroyed, meaning that there are not many coins that have survived and usually it really depends on the extent to which the team can care about their coins alone.