Tag: Passive Income

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8 Ways to Earn Passive Income with Crypto They Will Never Talk About!

Most people, when asked about ways to make money off crypto, will say trading. Trading is one of the most straightforward and probably the most popular ways to make money with crypto. But there are several other ways to make money with crypto, and most of them are surer bets than trading – by far. 

Most people, when asked about ways to make money off crypto, will say trading. Trading is one of the most straightforward and probably the most popular ways to make money with crypto. But there are several other ways to make money with crypto, and most of them are surer bets than trading – by far. 

Most people, when asked about ways to make money off crypto, will say trading. Trading is one of the most straightforward and probably the most popular ways to make money with crypto. But there are several other ways to make money with crypto, and most of them are surer bets than trading – by far. 

And the good part? You only need to take action and sit back and watch your money grow with some of the ways. And get this: with some ways like staking, the returns are substantially higher than you could ever get with the traditional finance system. Others, like blockchain-based content creation, may require a more hands-on approach but still can be done alongside your daily job or business. 

 With that, let’s get straight to it!

#1. Mining 

In cryptoverse, mining is the process of using computing power to make guesses until you arrive at the correct hash, which then unlocks the next block in a blockchain network. Crypto miners receive crypto rewards for finding blocks and recording them on the blockchain network. You do not have to have crypto holdings to mine crypto. Miners can choose to convert their block rewards to Fiat immediately, HODL them, or plow those earnings back to their mining system. 

When Bitcoin was starting, anyone could mine from the home computer. But as the mining difficulty increased, the average daily computer could no longer hack it. We moved from CPUs to GPUs (some cryptocurrencies can still be mined with GPUs) to ASICs (Application-specific Integrated Circuits). ASICs utilize specific chips tailor-made for a particular cryptocurrency. Some of the most popular cryptocurrencies, i.e., Bitcoin and Ethereum, are mined with ASICs. 

Today, you can find an ASIC miner for an average of $1,000. If you plan to mine crypto, it’s best to join a mining pool. A mining pool is a team of miners who combine their computational resources to stand a better chance of finding new blocks. The block reward is then shared among the participants, depending on their contribution. Due to the combined computational power, miners in a mining pool are more likely to discover new blocks than individual miners. 

Tip: Join a mining pool for better profitability. 

#2. Staking 

One of the more easy-going ways to earn passive crypto income, staking, involves depositing crypto funds to get staking rewards. Staking networks utilize proof-of-stake or related consensus mechanisms, e.g., delegated proof of stake. With staking, mostly what’s required is just holding tokens in your wallet. In other cases, you need to add or delegate the funds to a staking pool. In DeFi pools, staking similarly involves putting up supported cryptos and earning interest.

When you stake in a network, you’re contributing to that network’s security and resilience, hence the reward. Staking is one of the simple ways to multiply your crypto holdings with minimal effort. 

#3. Lending 

Lending is another hands-off method to make money with crypto. There are multiple peer-to-peer lending platforms (Coin Loan, Nexo, BlockFi, Celcius, EthLend, etc.) that allow you to lock up crypto and earn interest in return. Usually, the interest rate is set by the platform or by you based on prevailing market trends. The more you lend, the more you stand to reap. 

#4. Lightning nodes 

The Lightning Network is a layer 2 solution for blockchains such as Bitcoin. It’s an off-chain payment channel that facilitates the processing of transactions without them being transferred to the underlying blockchain. 

When you use the Lightning Network to conduct a transaction, it’s quicker than if done on the blockchain. A network like Bitcoin only allows one-directional transactions. For instance, if Alice sends Bob one bitcoin, Bob cannot use the same channel to send it back to Alice. On the other hand, the Lightning Network utilizes bi-directional channels that require the involvement of both parties. This makes transactions quicker. 

When you run a Lightning node, you have the ability to process a lot of transactions quickly and get rewarded with transactions’ fees. 

#5. Affiliate programs 

Some crypto projects, especially new ones, will usually reward existing participants for bringing new ones to the platform. If you have, let’s say, a huge social media following, affiliate and referral programs can be a great way to earn passive income. Bear in mind that it behooves you to carry out research on any project you promote. 

#6. Masternodes 

A masternode is like a server, except it runs on a decentralized network. Typically, network participants have to put up sizable amounts of investment to become masternodes. Due to the significant investment, masternodes have a big incentive to maintain and secure the network. 

Crypto projects usually give special privileges to participants who have a considerable stake in their networks, in addition to rewarding them with return rates. 

#7. Airdrops

Airdrops are tokens given away for free by crypto projects in an effort to publicize or market themselves by getting people to talk about it. All you need is a wallet address of a particular crypto when the airdrop is taking place. For other projects, you’ll need to register on the project’s website and do things like retweeting posts, leaving comments on social media posts, sharing posts on platforms like WhatsApp, Telegram, and so forth. Also, some exchanges will conduct airdrops for the users occasionally. 

To have a heads up on upcoming airdrops, you should register sites dedicated to spreading the word about the exact matter. Such sites include Airdropaddict, Icodrops, etc. 

Note that receiving an airdrop will never require the sharing of private keys – a condition that is a telltale sign of a scam.

#8. Creating blockchain and crypto-based content 

With the advent of blockchain, previously unexplored modes of content creation and sharing are now possible. Blockchain-powered content platforms like Steemit allow content owners to monetize their work in various ways – and without intrusive ads popping all over. In such platforms, content creators get to own the rights and ownership of their work. Once you create a substantial portfolio of work, you can monetize it over time. 

Final Thoughts 

What’s better than earning passive income is doing so in a safe and secure environment, and that’s what you get with the activities on this list. Whether it’s staking, mining, running a masternode, you can make money from crypto with minimal effort. Of course, always make sure to do your own research before putting your money anywhere. Good luck! 

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 9

https://youtu.be/AIjtv5DGIQs

https://youtu.be/AIjtv5DGIQs

Earn Passive Income in Cryptocurrency – part 9

This part of the cryptocurrency passive income guide will talk about earning passive income by using security tokens.

Security Tokens

Security tokens, as a concept of yield-generating crypto-assets, is the closest thing we have in the cryptocurrency industry to the off-chain traditional markets. A security token represents an asset or a claim for profit. This type of tokens pays out dividends, which are, just like with traditional markets, returns on this asset or profits generated by it. The payouts are, again, just like with the traditional assets, paid according to a certain time schedule. Security tokens are highly regulated and typically issued via an STO (short for Security Token Offering). The core infrastructure, as well as regulations to acquire and trade security tokens, are still in development. However, them being “unfinished” as a concept should not be a discouraging thing, as the world is moving in the direction of making Security tokens a reality.

Security Tokens and Passive Income

When it comes to earning passive income by utilizing security tokens, there are not many options at the moment. However, the situation is changing every single day, and the day that security tokens become a viable passive income stream is rapidly getting closer. We are covering the topic of security tokens right now, so you would be prepared to take action when the time is right.

Depending on the underlying asset as well as its performance, the passive income of security tokens can vary greatly. The current lack of infrastructure makes it quite hard to estimate the market volume of security tokens. However, when the regulations on these assets become clear, the potential market size of the tokenizing assets can far exceed our expectations and even reach trillions. This is because, potentially, assets such as stocks, derivatives, bonds, and real estate can all be tokenised.

The current examples of dividend-yielding security tokens are Kucoin Shares, tZero, Neufund, and Nexo.

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 7

https://youtu.be/T5dRFacHFRg

https://youtu.be/T5dRFacHFRg

Earn Passive Income in Cryptocurrency – part 7

This part of the cryptocurrency passive income guide will talk about earning passive income by providing market liquidity.

Market Making Liquidity


Providing liquidity to certain markets was always an important part of trading. The cryptocurrency market, just like traditional markets, requires liquidity in order to run smoothly.
If the liquidity was low, traders would experience “slippage,” an event where the expected prices differ from the executed prices though to sharp turns in the market.

Market-making algorithms, as well as liquidity pools, are another in the line of crypto passive income-generating opportunities. The main concept of this method is that the users act as market makers, therefore providing liquidity to the market. In return, they get rewarded based on the trading volume. This way of generating passive income is greatly dependant on the price volatility.

While market making is not as stable as staking or lending, their returns are often much greater. The returns on this way of generating passive income fluctuate around the 10% mark. The higher return is, of course, an incentive for taking a bigger risk.
This method is of generating passive income is still both underrated and underdeveloped. Somewhere in the ballpark of $40 million in assets act as productive market-making capital in the crypto market. When compared to some more developed methods such as staking, market making is still quite small.
While the incentive for market making is profit, one should distinguish between profit and benefits. Exchanges often provide benefits for market makers in terms of trading fee discounts. However, these are not exactly profits.


Projects such as Uniswap and Kyber Network reward market makers in the true sense of the word, so anyone remotely interested in this way of creating passive income should take a look at these two projects.
Check out our next cryptocurrency passive income guide to learn more ways of creating passive income by leveraging your cryptocurrencies.

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 6

https://youtu.be/uprgxzcCaj8

https://youtu.be/uprgxzcCaj8

 

Earn Passive Income in Cryptocurrency – part 6


The sixth part of the cryptocurrency passive income guide will talk about Masternodes and Work Tokens as a way of providing passive income.

Masternodes

Our previous videos have talked about Proof of Stake as a method of earning passive income. Masternodes work in a similar fashion, though they are not the same.

A masternode is a form of a node that is well-connected. It is mandatory that this node has a set minimum amount of collateral in coins that is usually quite large. These coins must be staked in order to become a Masternode. Masternode staking is often paired with regular consensus algorithms such as Proof of Stake or Proof of Work. There quite a few masternode hosting as well as shared masternode services such as Gentarium and Gin.


One thing to note is that you have to be cautious with masternodes because coins that use these kinds of nodes often have extremely high inflation. This is because the earnings of a masternode are usually instantly sold off for quick profits, as masternode investors put so much in being eligible to become a masternode that they want the returns ASAP.
There are quite a few websites that track masternodes, their profitability, and volume. The most well-known examples of masternode cryptocurrencies are DASH, PIVX, Horizen, Zcoin, and Waltonchain.

Work Tokens and Resource Provision

Work tokens are, just as masternodes, a form of staking. They represent a combination of staking alongside the ability to perform various tasks or provide certain resources to the network. The aforementioned work or resources include storage, transcoding, data, and computational resources provision. A provider of such work or resource earns fees in the form of rewards or fees.


Work tokens create a blockchain-powered marketplace that connects supply (which includes the aforementioned storage, transcoding, data extraction, computation) with the demand.

Most of these cryptocurrencies have relatively high inflation rates as an incentive to bring resources and work supply to the network as well as to accommodate future scaling.
The most well-known examples of masternode cryptocurrencies are Storj, Livepeer, Chainlink, Golem, Augur, and Wagerr.
Check out our next cryptocurrency passive income guide to learn more ways of creating passive income by leveraging your cryptocurrencies.

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 5

https://youtu.be/LeiLMKTfFKg

https://youtu.be/LeiLMKTfFKg

Earn Passive Income in Cryptocurrency – part 5

This part of the Cryptocurrency Passive Income guide will talk about Lightning Network nodes, one of the ways that will become important in the future, even though they aren’t as profitable at the moment.

The Lightning Network

In order to be able to scale and handle mainstream adoption, Bitcoin has launched the lightning network, a side-layer solution that enables users to send cheap and fast payments and even make money. To be quite frank, the amount you can earn from running a lightning node at the moment is low. However, there is a possibility that this will be more lucrative in the future, which is why we are covering it.
Today’s average lightning network (LN for short) fee stands at about one satoshi, which is worth just a fraction of a cent. Though the profits are not what you are looking for from a passive income source at the moment, they could show how the network will develop as time passes.

Problems with the Lightning network

In order to run a lightning node, one would have to download Bitcoin’s entire transaction history, which is over 200GB of data. On top of that, you would then have to download the lightning software on top of that. However, 200 to 300 GB of storage might not pose a problem to some.
There are currently over 12,000 lightning network nodes, with the cumulative capacity of around 1 Bitcoin.

Fees on the LN will keep existing

While it is impossible to know how the market will adapt and evolve at this point, many developers believe that there are several beneficial reasons for allowing fees on the network, the main one being that people won’t “become” nodes out of the kindness of their heart, but rather because of financial incentive. If this is true, then the fees will match the requirements of the miners in terms of profits versus obligations towards the network.

Conclusion

While turning your device into a lightning network node is not profitable at the moment, it may become at some point. It is important to know many ways to earn passive income, but also to know what will be profitable in advance.
Check out our future parts of Cryptocurrency Passive Income to learn more ways of earning passive income with crypto.

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 4

https://youtu.be/4gTJKJRyAqw

https://youtu.be/4gTJKJRyAqw

 

Earn Passive Income in Cryptocurrency – part 4

This part of the Cryptocurrency Passive Income guide will talk about one of the most known ways of creating passive income with cryptos, mining. This is also one of the first, if not the first, method of earning a passive income with cryptocurrencies, as this was the only way you could passively earn money when there was only one cryptocurrency, Bitcoin.

Mining – history

In the early days of Bitcoin, anyone could mind from almost any device. Mining Bitcoin on an everyday PC Central Processing Unit (CPU for short) was a completely viable solution. However, as Bitcoin gained traction, mining on regular CPU’s became harder. As the competition increased, so did the mining difficulty, and most miners swapped to mining with their Graphics Processing Units (GPU s for short). However, the competition kept increasing, and certain companies started developing specialized miners that were used exclusively for mining. These miners were called Application-Specific Integrated Circuits (ASICs). They are tailor-made for one specific purpose – mining – and are extremely effective at it.

Mining – overview

As miners mine cryptocurrencies almost exclusively on specific mining hardware, the entry fee for this way of earning a passive income has increased. Besides the initial hardware costs, which often go above $1000 per unit, a miner would have to pay for the electricity that the hardware uses. This is why it is extremely important to check the electricity prices in your country before starting to mine.
Bitcoin mining has mostly become a business ran by corporations rather than a way of earning passive income for regular individuals.

However, Bitcoin is not the only minable cryptocurrency. Mining lower hash rate coins that use the Proof of Work algorithm can still be a great source of passive income. On these smaller networks, using GPUs is still somewhat viable. Mining lesser-known coins are quite risky and speculative, but also potentially highly rewarding in the long run. These coins might be worth something one day, and completely worthless the other. However, they can also get adopted by the community and exponentially rise in price and value.

Conclusion

Mining is certainly one of the ways to earn passive income with cryptocurrencies, but it is far from the safest, easiest, or the most profitable one. It requires some technical knowledge, initial investment, profitability calculations as well as picking the proper coin. Though it can be highly profitable, it is not something crypto beginners should do.

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Crypto Videos

Legitimate Passive Income Streams In Crypto -Airdrops Forks Burns Buybacks & Collectables Part 3

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https://youtu.be/h2tBu_M2wvk

Earn Passive Income in Cryptocurrency – part 3

This part of the Cryptocurrency Passive Income guide will talk about one often forgotten way of earning money, which is at the right place in the right time. The focus of this part of the guide will be Airdrops, Forks, Burns, and Buybacks.

Right-time Right-place

While most passive income strategies recover preparation, work, skill, and taking risk, this one does not. All it takes is to either be lucky or bring yourself to the right place at the right time in order to collect the reward.

Airdrops

Airdrops are events when certain exchanges (or projects directly) send certain cryptocurrencies directly to your wallet. The amount sent varies based on your contribution to the project in terms of sharing, liking, etc.
Looking for airdrops in order to earn an income is quite a viable way, even though it is inconsistent. You never know how many projects will do the airdrop, nor do you know when that will happen too much ahead. This moves the long-term planning out of the game. Not many people consistently utilize airdrops as a way of getting additional income while they could. Ultimately, this is “free money” and should be taken seriously.

Forks

Forks are when a cryptocurrency splits into two versions of “itself” due to an update, upgrade, or disagreement between developers or the community. If you own the original cryptocurrency at the time of the form, you will receive the holdings on the new blockchain as well. The prime example of this was when Bitcoin forked into Bitcoin Cash.
Using forks as a way to generate passive income is as easy as holding a certain cryptocurrency at a certain time. There is no skill or risk involved. The main thing to care about when being involved in a form is deciding what to do with the then-received cryptocurrency. While it is sometimes better to hold both cryptocurrencies, you will most likely sell the cryptocurrency that has less community support.

Burns and buybacks

Burns and buybacks are quite rare but could be a good addition to the options you have when it comes to earning passive income with cryptocurrencies. Burns and buybacks are, as the name says when the cryptocurrency creators buy back the cryptocurrency from the current owners and then burn the supply.
The prime example of a buyback and burn is the Bitfinex exchange and its LEO token.

Bonus: Collectibles

There are certain blockchains that have created certain “games” through which you can earn a lot of money. One such “game” is Cryptokitties. This “game” has a supply of collectibles that “live” on the Ethereum blockchain. They can be collected, breed as well as sold.
Make sure to watch the rest of the Crypto Passive Income series, where we will talk about other ways of earning a passive income through cryptocurrencies.

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 2

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https://youtu.be/e-W0xFvOuXY

Earn Passive Income in Cryptocurrency – part 2

This part of the Cryptocurrency Passive Income guide will talk about crypto trading bots and how they work, as well as if they can be profitable.

What are crypto trading bots?

As the name suggests, they are automatic robot trading algorithms that trade for you. All you need to do is give them 24/7 internet access and a trading strategy, and they will do the work for you.

There are several types of bots available on the market, depending on what you want to do. They include regular trading bots that trade on the desired exchange as well as arbitrage bots, which make a profit off of the price difference between exchanges.

Are crypto trading bots profitable?

In order to start profiting from bot trading, you will ideally need a healthy stack of crypto to start with. If you are running an arbitrage bot, you would need cryptocurrencies on multiple exchanges. ,
While some people have made a fortune passively through these bots, many have lost their crypto investments as well. It all depends on how you adapt the bot to the market. There are strategies that work well for bullish markets but do poorly in bearish markets, and vice versa. For this reason, you need to develop or copy strategies and then switch them out based on the major trend.

Which trading bot to pick?

Quite a few crypto trading bots have recently emerged on the market, claiming they can ensure massive profits. While there is no doubt that utilizing machine learning can make a profit if done well, we can conclude that bots only enable the possibility of passive income while creating it has to do with you creating your own strategy (or copying one).

A couple of most well-known cryptocurrency trading bots on the market are:
Gunbot, which offers trading on eight different exchanges. It costs 0.02 BTC up to 0.15 BTC to buy it.

Haasbot is an automatic trading bot that comes with monthly subscriptions that start from 0.073 BTC.

Profit Trailer is a bot that specializes in average-down strategies. It starts at $35 per month.
Ultimately, you should pick your bot based on the exchange you want to use it on, the monthly fee as well as based on if the strategy you want to use is available on the particular bot.
Should you use a crypto trading bot?
The reality is that bots are here to work as tools rather than as fully independent entities that just earn massive profits. If that were the case, everyone would use them. Using trading bots can be extremely profitable, but only with the right strategies.

The best crypto trading bots that earn the best profits are certainly ones that you have never heard about, nor you will. Traders who use such bots have absolutely no incentive to share the information. However, there are many possibilities when it comes to earning a passive income through bots, and many strategies can be viable. Backtesting is a major key in finding the strategy that suits you and the market cycle at that particular moment.

Make sure to watch the rest of the Crypto Passive Income series, where we will talk about other ways of earning a passive income through cryptocurrencies.

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Crypto Videos

Legitimate Passive Income Streams In Crypto – The Pitfalls & Successes Part 1

https://youtu.be/5e2eicwenQQ

https://youtu.be/5e2eicwenQQ

Earn Passive Income in Cryptocurrency – part 1

People from all around the globe started investing in cryptocurrencies due to their great long-term potential in transforming the world both in terms of technology and wealth distribution. While most focus on instant big gains, some people would like to stay on the safer side and look for passive income in the crypto space.

There are many ways to earn a passive income with cryptos, and we will cover most of them in a series of videos. This video will show you how you can earn a passive income by utilizing the Proof of Stake consensus algorithm.

What is Proof of Stake?
Instead of investing the users’ computing power to process transactions, PoS transactions are validated by the nodes that stake their own coins as a form of insurance. Those that stake their coins are trusted because they have put their coins on the line, so they have no incentive to scam.

Everything is quite simple — just stake the coins by keeping them in your wallet, and you will receive rewards for this.
The process is, in terms of how you get passive income, very similar to the principle of bank deposits, which have a reward over the deposit time.

Choosing the right coin to stake
First off, the currency you want to select has to support the PoS. After you are sure that the particular crypto works on PoS, just hold that crypto in your wallet and give the wallet a 24/7 access to the internet. Being connected to the internet 24/7 is the only way for staking to work, as you need it both to validate transactions and receive rewards.

Pros of the PoS system

The key difference between Proof of Work and Proof of Stake is the formation of any block. While PoS has a random selection of block validators, PoW uses computing power, which chooses only the computers which solved the validation puzzle (the better gear you have, the more you will earn). This makes staking cheaper in terms of initial costs as well as the costs of running it.

Cons of the Proof of Stake system

When using staking for passive income, you should focus on two things:
Safety
Profit
There is a reason safety comes first. It doesn’t matter if the profit is big on paper if you lose it all in the end. You need to set your account up with 2-factor authentication, use only trusted software, and never disclose any personal info to third parties.
Besides safety risks, there are other risks, mainly regarding the price volatility. Since you get paid out in the staked coin, if it drops in value – you get less money.
Always take into consideration all forms of risks before stepping into any investment.

Which cryptocurrency should you stake?

There are many cryptocurrencies you can stake, but we will name a couple you could take into consideration.
Dash — one of the first large cryptocurrencies that introduced staking
Decred (DCR) — a cryptocurrency that uses a hybrid of PoW and Pos and considers decentralized management as its main priority
NEO – often called the Ethereum of China
Zcoin (ZCX) – works on user privacy and gives great returns (17% per annum)
Ethereum (ETH) — second-largest cryptocurrency in the world, that will soon switch to PoS.

Make sure to watch the rest of the Crypto Passive Income series, where we will talk about other ways of earning a passive income through cryptocurrencies.

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Forex Videos

Forex Passive Income – Make Money In Your Sleep!

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https://youtu.be/_gtxmUZBwI8

Passive Income In Forex Trading

Example A In this video, we will be looking at The process of making income in the forex market, It’s processes Methods for doing so and whether or not it is a viable method for you to increase your income, Including the risks involved in doing so.


Example B, So what is the difference between passive and active income? Active income is something where you might expect to earn money in regular employment, whereas passive income is irregularly made income, which requires little or no effort. In this context, it would mean that minimal effort is made by the trader in order to earn extra income outside of their normal job. Examples of passive income would be profits made from gambling, stock markets, Interest on investments, or capital gains are just some of the examples, where some definitions, especially with regard to taxation, will change from country to country.

Example C, Active income within the forex arena is where a trader will spend a long time looking at economic data while carefully assessing fundamentals and then checking technical patterns on charts before executing a trade in order to earn income.


Example D, Passive trading is where you want to make money in the forex market. But you do not actually want to go through the processes of learning everything about it and also spend time analyzing the markets via your charts, keeping on top of fundamental analysis. In this case, you may have to pay a third party a monthly fee. And unlike active traders, your trading will fit around your job and lifestyle.

Example E, Let’s look at the pros and cons of active vs. passive trading. Obviously, with passive income, the most important benefit is the amount of time you would have to commit to trading, which would be less than that of an active trader. However, this will often result in earning less money than an active trader. However, opting to spend less time monitoring your trades might expose you to extra risks. It might also be detrimental should you desire to follow a signal service that offered signals with timeframes that did not suit or fit in with your lifestyle. Unfortunately, the Forex Marina is often fitted with scam artists who operate Ponzi schemes and offer signals that are completely unreliable, and these should be avoided at all costs when considering passive trading.


Example F, So how can we earn money passive trading the forex market? One example is automated trading technology which is a trading robot that can be downloaded onto your computer and automatically places trades, setting its own stop losses and take profit levels. These are also known as EA’a or expert advisors. Some of them are very reliable, while some of them are not and you will need to do a lot of research before investing in the right EA for you. Banks and institutions are using these automated trading systems more and more and they are becoming extremely powerful tools with learning capabilities that adjust to various market conditions. It’s just a matter of finding one that suits your budget and expectations. And while the human brain can only analyze a few opportunities to trade during the day, a sophisticated algorithm can filter out profitable trades many many times each day, once a predetermined criterion has been met by the software program.

Example G, Of course, no matter which automated trading robot you decide to invest in, it will still need to be closely monitored. You would not want it to run away with itself losing you money. And while many people are skeptical about these automated trading robots, it is a statistical fact that over 75% of trades on the New York Stock Exchange are now made by these robots, and 70% of banks and institutions now opt for automated trading systems in Forex.
So if you are confident to take the next step and invest in an automated trading robot, we suggest that you carefully monitor it and make sure that it is operating within the perimeters that it was advertised to do and meet your criteria. It would also be a good idea for you to turn the EA robot off during times of high impact news, especially in the current climate where the COVID- 19 pandemics is sending trading shockwaves through the forex market on an almost hour-by-hour basis. Yet the trading robots are still in action while making money for their owners.
The accessibility of EA’s is now so Commonplace that even active Traders are able to program their own trading robots to open and close trades based on the parameters that they set. Some software developers will also work with you on a personal basis in order to develop such an algorithm once again that meets your criteria. This is certainly a growth area that he said to expand within the forex arena.


Example H, Next, we have copy trading. Again this is very suitable for passive traders where they simply subscribe to a copy trading service such as Signal-start or ETorror, and where their accounts can be automatically set to copy the trading accounts of traders who offer their services on their platform. In effect, every trade that they take on will be automatically copied onto your trading account, and where you will mirror their trades. If they win, you win, and if they lose, you lose. You can, however, adjust your risk parameters around their trading, and if they consistently make money, then you can increase your leverage to maximize your profits. The copy trading platforms offer a detailed trading history of their traders, and it is advisable to filter through each trader and seek out the one that is consistently making money while being risk-averse, and where this can be established by the level of drawdown that they are prepared to accept on their account. The lower the percentage of drawdown equals means the lower their risk tolerance is. You would typically pay a success fee to the copy trading platform, and perhaps a monthly fee and the trader will require a monthly fee also and sometimes this will be based on a percentage of winning trades and sometimes this will just be a monthly fee whether they make money or not, and sometimes this is a blended fee structure.

The example I, While this might seem like a perfect solution to a passive train, there are risk factors to consider. The forex market is fraught with risk, and again the current market climate pertaining to the COVID-19 pandemic is very relevant. Even Traders with an exceptional track record can make mistakes, and this could lead to your account being wiped out or even sending you into negative equity on your account if your trading platform does not protect you from this.

That might mean that they will be sending you an invoice for any monies that have been lost on your account due to a negative balance situation.
Therefore choose your trader carefully, as mentioned earlier, a few aggressive wins might give you peace of mind initially. Still, if this flips around into massive losses, it will adversely affect you, not only monetarily, but also psychologically as you tried to come to terms with losing money.

Example J, The next thing that passive traders utilize is forex trading signals. These services are offered via websites, text, and social media platforms. These forex signals are used by passive traders to enter trades based on the information that they receive or observe via one of these platforms and where they then manually use that information to place trades in the forex market.

While some signals are sent out by reliable, professional traders, many such service providers have little or no clue about the forex market, and some of these will be scams where they ask you to subscribe on a monthly fee-paying basis only to send you unreliable trading signals. Therefore do your homework about the signal provider, and if they charge a fee ask for a free initial trial, I’ll and watch for the reliability of the signals and only use them when you are able to ascertain that the information is consistently reliable.

Here at forex Academy, we offer a free signal service and where the signals are provided by professional traders and whereby we offer a detailed analysis with visual representations of why the trades have been taken, or in the case of pending orders why they should be taken. Most of these setups will be centered around professional and widely accepted and used technical analysis skills and sound fundamental analysis. And what is more, this service is offered absolutely free of charge.

In conclusion, passive income in the forex market is an extremely attractive option with many various ways to implement strategies such as copy trading, EA’s, and professional trading signals. And while there is a lot of research to do to establish which area is suitable for your lifestyle, after some detailed homework we are sure that you will find opportunities that suit you.