Bitcoin has been on a tear lately, with the cryptocurrency up more than 400% since the start of the year. But even at its recent highs, Bitcoin is still a comparatively tiny investment compared to more traditional asset classes. So, can you make money off $100 in Bitcoin?
The short answer is yes. While $100 is not enough to make a life-changing investment in Bitcoin, it is enough to get started and learn the ropes of cryptocurrency investing.
Here’s a look at how you can make money off $100 in Bitcoin.
Bitcoin mining
One way to make money off $100 in Bitcoin is to use it to buy into a Bitcoin mining operation. This can be done by either purchasing a mining contract or setting up your own mining rig.
Mining contracts are essentially a way to outsource the expensive and energy-intensive process of mining Bitcoin to someone else. These contracts typically last for a set period of time, during which you will earn a share of the Bitcoins mined by the company running the operation.
Setting up your own mining rig is a more involved process, but it can also be more profitable if done correctly. Building a rig requires an upfront investment in hardware, as well as ongoing costs for electricity and maintenance.
However, if you’re able to mine enough Bitcoin, the profits can be substantial.
Trading Bitcoin
Another way to make money off $100 in Bitcoin is to trade it on one of the many cryptocurrency exchanges available today. This involves buying Bitcoin when the price is low and selling it when the price rises.
Successful trading requires both knowledge and skill, so it’s not for everyone. However, if you’re able to put in the work and learn how to trade effectively, it can be a great way to make money off your investment.
Investing in Bitcoin startUPS
Another way to profit from your $100 investment in Bitcoin is to invest it in startUPS that are building applications or businesses based on the cryptocurrency. These companies are often early-stage and risky, but they also have the potential for large rewards if they succeed.
One example of such a company is BlockFi, which provides loans backed by cryptocurrency deposits. BlockFi has raised millions of dollars from investors and is currently one of the most well-funded startUPS in the space.
If BlockFi succeeds in its mission, investors could see substantial returns on their investments.
Conclusion
As you can see, there are several ways that you can make money off $100 in Bitcoin. Whether you choose to mine it, trade it, or invest it in startUPS, there’s potential for profit with even a small investment like this. So if you’re looking to get started in cryptocurrency investing, don’t be afraid to start small – even $100 can get you started on your way to profits.