How to Maximize Your Passive Income from Cryptocurrency

[shanhaigamefi]

staking or Lending?

[Charles-Tim]

What type of staking? If you stake some coins on noncustodial wallet through validators, that does not go beyond self-hosted wallet. But if you send your coins to a centralized site to stake for you, that is risky. Be it anyone if it, I do not stake.

Lending by giving your coins to those centralized sites? That is risky. Check the profit and see that it is small for some coins that are less volatile.

Which one is better? I prefer to just hold my coins. The profit I can generate from holding is higher if I invest at the appropriate time.

[shinratensei_]

there are many kinds of staking and the APY offered varies, also sometime some staking doesn't necessarily give APY but just points that will later on be converted to certain project points in the upcoming TGE.

but i've also known people that take advantage of both lending platform and staking, some kind of borrowing ETH using collateral in stablecoin when the price is low and they just stake the ETH in some platform hoping the price of ETH rise as well as earning the new projects point from staking.

but if you're talking about staking that has moderate to low risk, just settle with binance launchpool and bitget poolX, it is relatively low risk even more so if the staking requires stablecoin. other than these staking method, i don't really put that much attention into the other, considering mostly are just pure APY and usually they are so low. like all those flexible saving or USDT staking that's available in many exchange their miniscule 3% APY is not even worth looking into for most of us with limited capital.

[Apocollapse]

Staking don't give you high return, they might offer 100%+ in the beginning, but they will lower the reward day by day.

Lending could grow a lot money if you can force the borrowers to pay with high interest rates.

If you're looking to make a lot money, you're better off gambling in shitcoins. If at least one coin you bought can rose more than 100,000x, you're already making a lot money.

[un_rank]

If I must pick one, it will be staking over lending, neither is ideal, but lending presents way more risk and is not passive at all.

If you are lending directly you expose yourself to great risk and have to take out time to check requests, appraise collateral, and stay on top of how much you have lent each time with the cash flow. If you do it with a centralized service, your assets are not yours anymore.

What type of staking? If you stake some coins on noncustodial wallet through validators, that does not go beyond self-hosted wallet.

They should also note that they will pay a fee for the service rendered by the validators.

- Jay -

[fortunecrypto]

staking or Lending?

I'll go for staking. I've been staking one altcoin on one casino, and after three years it's still doing great on lending unless you have 100% trust in the borrower. You need collateral if you're going to lend him, but one thing I'm sure of on staking, even if you lose the value of your coin, you can still cut your losses; on lending, if your borrower runs away, you lose everything unless the collateral covers the losses.

[livingfree]

staking or Lending?

I won't lend although I have planned it before but with the news that I've seen from these lending platforms that they've dissolved and eventually bites the dust, I'm worried about them.

And going on with P2P lending, I don't think that I've got the guts to do that although I've planned that as well.

Staking, not really giving a lot of gains for the genuine cryptos that you're going to do it. But if you can take the risk by depositing your fund into any platform that you trust, you're free to do it.

That's why I'll stake those coins that I can afford to lose but will hold most of my assets.

[bitLeap]

staking or Lending?

Both of them are not very promising, I have been doing these 2 things for quite a long time but I haven't gotten big profits and the APY offered is relative. However, if you take a large APY, it doesn't necessarily mean that the third party can be trusted. Remember in crypto when you get a staking offer with a high APY it is completely suspicious. So if you want to get passive income, you have to have sources of income from various sectors, not only crypto because of its volatile nature and there is no guarantee that it will be profitable every day. Crypto trading also always has a saturation point, it's better to make sure you have lots of baskets to accommodate the harvest. Lending crypto is actually 50:50, you have to be prepared for the consequences that a third party might take.

[Yamane_Keto]

Lending profits are guaranteed and fixed, and if the borrower is unable to repay his debt, you can double the interest. Therefore, lending is much better in terms of ensuring profit, but staking is good if you believe that there is a better future for the project and that the value of the token will increase.

[Queentoshi]

staking or Lending?

They are both good ways to earn passive income from your cryptocurrency, but based on my nature, I prefer staking because I am focused on discipline with my cryptocurrency, and I have plan to keep them for a very long time. Staking can help to achieve that because I can lock my cryptocurrency away for a long time and will have no way to fall for the temptation to tamper with it when the temptation comes.  

[boyptc]

Lending profits are guaranteed and fixed, and if the borrower is unable to repay his debt, you can double the interest. Therefore, lending is much better in terms of ensuring profit, but staking is good if you believe that there is a better future for the project and that the value of the token will increase.

The biggest risk with lending is about the borrower to default. I know that as a lender you will choose meticulously on who are going to be allowed and granted a loan.

But you'll never foresee that a good borrower will turn their way and will default on the loan. Many of those good folks and with reputation have turned their ways just because of their loan.

I think the platform also matters on which kind of lending websites or actual you'll do.

[fadhilz123]

staking or Lending?

What I understand is staking so I will choose staking to maximize my passive income even though I also always do other things like trading and also participate in campaigns to increase my income in general. Although every job always has risks and processes, I will always do it more consistently as long as it can give me maximum income and from your question I will only choose staking as the answer even though you don't have to see my answer as the best because there are many other answers that you also need to consider.

[avikz]

staking or Lending?

When it comes to passive income generation, staking is less risky than lending. Usually in crypto market lending is secured by collateral, but that still carries are huge amount of risk in case the borrower decides not to pay back.

Sticking is little less risky but it has its own risk factors. I strongly believe that coin developers need to consider about lowering the entry barrier for staking. Since the minimum amount of coins required for staking is usually high, people go into staking pools. But such kind of entry barriers should be removed to make cryptocurrency more accessible to everyone.

[uneng]

Staking don't give you high return, they might offer 100%+ in the beginning, but they will lower the reward day by day.

Furthermore, as the interest rate paid is huge, you can be assured the price of this token is going to decrease severily along the time, as another investors cashout their interest made and sell for profit. Let's say they pay you 100% APY. It won't mean 100% profit, because the token will lose a lot of its price, sometimes reaching 90% of loss or more...

It happens because the market works by the supply and demand law. If supply is too high and there isn't demand to absorb it, prices crash. For prices to increase, there must be superior demand, and it rarely happens when the product is a token offering excessive interest rates at staking programs.

Sticking to a strong and solid cryptocurrency is better than risking money with unknown tokens promising huge returns which aren't feasible for real.

[Adbitco]

staking or Lending?

Both are essential to partake on because lending gives you profits whereas staking is also give you little percentage unlike lending. The percentages someo of the exchanges offer for stake could be 0.5 to 5 percent per month and, lending also offers around 10 to 15 percent per month same risk applicable. If exchange collapse then your stake amount is good, lending to someone is also risk maybe if they person disappears then your money is gone as well But most importantly staking is more peaceable than lending in staking in reputable exchange such as Binance and other exchange that are trusted.

[crwth]

Well I think it depends on the amount of your capital in which you want to take part in. If you are ready to really put yourself out there and know that you could risk a specific amount, then you should stake and make Your money work for you. Lend If you have Good place to lend to, especially if there are points to be earned and then maybe have an airdrop depending on the project.

I think it would be a great thing if you could do both.

[SamReomo]

Staking is better than lending as with staking you can generate more passive income as compared to lending. Lending is a risky thing and those who lend their cryptocurrency can lose everything as there's no surely that the ones who took the loan will return the loan.

Stacking wrong coins can also be risky and that's why one should only stake the coins that doesn't lose their value e.g stable coins like USDT. Those who stake risky and volatile coins can lose their money similar to the ones who lend their money.

[serjent05]

Which one is better? I prefer to just hold my coins. The profit I can generate from holding is higher if I invest at the appropriate time.

This one is way better if we are talking about avoiding risk of getting scammed and losing our staked coins on the platform that turned rouge.  But in terms of passive income, assuming that the platform won't scam their client, staking is a better way to generate more profit since the fund will have profit on the uptrend price of the cryptocurrency while  the deposit cryptocurrency on the staking platform will generate income regularly.

Staking is better than lending as with staking you can generate more passive income as compared to lending. Lending is a risky thing and those who lend their cryptocurrency can lose everything as there's no surely that the ones who took the loan will return the loan.

I think the profit between lending and staking depends on the percentage offer by the two options.  If staking offers an APY of 10%, and lending gives the lender a 10% profit monthly, it is obvious that lending will give more profitability.  When it comes to risk, both have their level of risk. A staking platform can turn rouge and run away with our full funds while in lending, we may encounter people who won't pay what they borrowed but it can be recovered from the interest on other debtors.

[passwordnow]

Others are telling that holding is already a good passive income, they're right and I agree to them. I won't take the risk of doing it with staking and lending. I have to minimize the risk for every action that I do for this market and with my assets because I don't want to commit the same mistake as what I have done before. Sure, we bought crypto when it was quite low but when it's going up, I knew it that many of us won't be able to afford it anymore and it's going to hit our egos that when it was too cheap, we're not buying a lot of it.

And when it has become expensive, that's when we're going to respond? That's tough. With that, holding becomes a passive income due to the value and price of the crypto that we're holding. As a perfect example with Bitcoin, if you had it last year then you have doubled it already even if the price has been declining currently. That's passive income, right? you've just gained by just doing nothing as well and without nothing to worry about the market anymore. You just have to deal with the current risk but then you'll be sitting and relaxing afterwards when the time has come for it skyrocket.

[AmoreJaz]

Others are telling that holding is already a good passive income, they're right and I agree to them. I won't take the risk of doing it with staking and lending. I have to minimize the risk for every action that I do for this market and with my assets because I don't want to commit the same mistake as what I have done before. Sure, we bought crypto when it was quite low but when it's going up, I knew it that many of us won't be able to afford it anymore and it's going to hit our egos that when it was too cheap, we're not buying a lot of it.

And when it has become expensive, that's when we're going to respond? That's tough. With that, holding becomes a passive income due to the value and price of the crypto that we're holding. As a perfect example with Bitcoin, if you had it last year then you have doubled it already even if the price has been declining currently. That's passive income, right? you've just gained by just doing nothing as well and without nothing to worry about the market anymore. You just have to deal with the current risk but then you'll be sitting and relaxing afterwards when the time has come for it skyrocket.

Holding is only worth it if the currency has rock solid foundation to begin with. Just like bitcoin. But if you happen to venture in other alts, most of them will turn out to be useless as they won't have any value in the trading market if you hold them too long.
And that goes with staking as well. Staking is profitable if the coin you happen to stake is growing in the market. Otherwise, you will end up wasting resources for nothing.  

Staking and lending - will only be profitable if the projects you are venturing with have developmental progress. Because it means, they have the chance to grow its value in the market. Otherwise, those ventures will be a waste as the earned coins or tokens, will  not be worth selling in the trading market.