Since it was launched in 2009, Bitcoin (BTC) has changed the way we think about money. What started as a way of paying for goods online has turned into a powerful form of digital currency, but what can you do with it that you haven’t yet heard about?
Stake It to Earn Returns
Staking is one of the key principles of cryptocurrencies, as it means that you put your tokens to good use so they earn you rewards, rather than leaving them simply sitting in a wallet. This is most typically associated with networks like Ethereum, but BTC can also be staked with a little more effort. In general terms, staking means that your coins are used to secure a network, acting as an incentive to ensure proper behavior by those validating transactions.
It’s important that you understand the risks of crypto staking before you start, as this isn’t quite as simple as putting your money into an interest-bearing account. Staking through a decentralized exchange like Coinbase is safest, although they explain that this approach isn’t without risks. The annual return is typically fairly low, but it gives you a way to grow your assets slowly, as the payments are made regularly in BTC to your account.
The other option is to link your wallet holding the BTC directly to a staking platform, although the fact that the network is proof-of-work (PoW) rather than Proof-of-Stake (PoS) means that you are relatively limited compared to other tokens, with platforms such as AAVE requiring you to convert to Wrapped Bitcoin to start staking and earning. Staking platforms don’t provide rock-solid guarantees that you’ll be able to get your money out, so you should carry out your own research and approach this idea with caution.
Play Casino Slots
Cryptos have also opened up a new world of entertainment options, as they offer a fast and secure way of adding funds to gaming accounts. This has made a particularly big impact in the casino industry, as BTC allows players to quickly add funds just by sending a transfer to the casino’s wallet from their own. Any wins that are made can then be sent to the player’s wallet in the same safe way. The pseudo-anonymous aspect of cryptos is useful in this case for those players who prefer a high degree of privacy when they gamble online, or anyone who simply doesn’t want to expose their main bank account details in any way.
In terms of the games that can be played following a BTC deposit, this list of the best crypto slots contains names such as Wild Cash, Money Pot, and Lucky Jaguar, which all offer users plenty of fun and enjoyment. These games are built around the traditional gameplay where a variety of themed symbols land on the reels. Wins are paid if a matching combination is seen, with some slots offering bonus rounds such as free spins. Other cryptos, including Tether, can also be used to move funds across and start playing. These crypto slots have gained huge popularity in recent years, with many users turning to them as a fun method for utilizing their coins.
This humorous video from mBit briefly mentions the importance of reading a token’s white paper before buying it. The Bitcoin white paper is easy to find online and gives you all the information you need to understand how this token works.
Get a Loan Against It
One of the most eye-catching aspects of the crypto market in recent times has been the number of peripheral financial industries that have started to take more interest in it. One of the potential game changers in this respect would be the growth of services that allow us to obtain a crypto-backed loan.
A look for details online confirms that there are now numerous options for getting crypto-backed loans. Recent news stories show that people are already using their BTC to take out loans and purchase real estate without selling any coins. This brings a number of benefits, such as not triggering capital gains taxes, as well as the obvious advantage of not having to sell tokens that are expected to grow in value over time. This approach could change the way we think about Bitcoin, as it becomes a lifetime asset that we hold onto and never have to sell.
Bitcoin As the Center of Our Financial Lives
All of these changes show how our relationship with Bitcoin is gradually evolving. From being a token that we simply hold in a wallet or spend like normal cash while closely watching its price movements, it’s becoming arguably the most solid asset that anyone can own. As adoption grows and the number of ways of using BTC increases, it has the potential to position itself at the center of our financial lives from now on.