Edited on Canva
Do you really make money from this Web3
platform?
I'm guessing that you might have been asked this question before by some close friends, a family member or colleague and you also replied in the best way you can, to at least convince them that you are actually making money from Web3
Decentralization has made it extremely possible for one to make as much money (cryptocurrency) as he wants in a Web3 platform.
Making money or earning crypto in Web3 platform is open to all, there's no restrictions, no banning of accounts like we see in Web2 platforms, and for some like the Hive blockchain, registration is free but note, you have to put in effort and also invest, at some point.
You don't join a Web3 platform and fold your hands expecting money enter your wallet. No, it doesn't work that way. You work for your money, invest and your money will then work for you.
Again you need to be patient, committed and consistent because it takes a while before you begin to earn. It is not ponzi but a long term business
That established, let's look at some of the ways one can earn in Web3 platform
Contributing to decentralized applications (dApps).
This is one of the easiest and simplest way to earn cryptocurrency in Web3 platforms. It involves engaging in activities like content creation, bug bounties, and node hosting.
Content creation is all about publishing quality long form contents, micro-blogging as seen on leothreads video creation and the likes.
In the Hive blockchain, there are so many communities one can explore and then join to be able to create content and earn. LeoFinace is one them.
Participating in a decentralized finance (DeFi) applications.
DeFi participation is another good way to earn in Web3.
It involves staking, yield farming, and liquidity provision etc.
- Staking has to do with holding and locking crypto as collateral to support a blockchain network and by doing so earn rewards. Example Leo Power, Hive Power, etc.
- Yield farming is a another way of earning rewards for depositing your cryptocurrency or digital assets into a dApp.
- Liquidity provision has to do with providing funds in a liquidity pool
where users can either trade to earn trading fees or borrow from. The ones borrowing have to provide collateral.
Creating and Trading of non-fungible tokens (NFTs)
NFTs are unique digital assets that are built and stored on a blockchain They are patented, and show proof of ownership of the particular item that the are created for, like music, art, video, game etc.
On the Hive blockchain, there are a couple of NFTs available like DCity, splinterland, rising star. To earn money, you can sell the NFTs on a blockchain marketplace place.
These and more are ways one can earn in a Web3 platform.
You may be wondering if there are any benefit gotten from earning money / crypto from Web3 platform. No one enters a business that will not be beneficial or profitable. Every business has benefits gotten from it, likewise in Web3.
Let's look at some of them;
It is autonomous
Web3 platform is highly autonomous. and this is one of its great benefits. It empowers users to have total control over their assets and wallets without having the need to involve intermediaries like the traditional financial institutions to perform any transaction on the blockchain. They manage their money and assets by themselves. Transactions and Trading on the marketplace is P2P (peer to peer),
this makes it more transparent, faster, and cheaper too.It is decentralized
This another beautiful thing about Web3 platform's. As decentralized blockchain-focused, they are not controlled by any central authority. The government, central banks and other regulatory agencies have no control over it. So one can access his or her account and perform any transaction freely.
- It is secure
Web3 is built on the blockchain and this enhances security of transactions through cryptography such that they are less likely to be hacked or any fraud taking place.
It has prospects for high return on investment.
With the decentralized nature of Web3 platform possibility that it will get to the point where it will be fully adopted, and when this happens, the returns on investment will increase.Web3 is new and developing
As we know, some Web3 platforms are still new and in development stages.
The LeoFinance UI is a perfect example. Although there are many activities going on now, like micro-blogging, long form publications and with all the newest features added to it to make it cool and enjoyable for users, it has not been finally set up yet.
There is still room for innovation and growth and the Leo team is still working to ensure it gets to be the all-in-one app that we all anticipate.
So anyone who joins the LeoFinance community at this stage of its development will and also also help spread the word about it stands a better chance of benefiting when it finally gets widespread.
The mass adoption campaign zealy quest is a good example of this. Many users who participated went home with whooping prizes including delegations.It provides financial freedom
Like I wrote earlier, there are various ways to earn money / crypto in Web3 such creating quality contents, staking, yield farming, trade NFTs, etc., the more you participate in all these activities, the earnings will surely help take care of your financial needs and more earnings may lead to financial freedom.It is Accessible
This is another beautiful thing about Web3 platforms. It is open and easily accessible to anyone who has internet connection, thereby creating room for those who are even in remote areas to benefit from it too. So if have an internet connected device, you are on your way to enjoying the numerous benefits of a Web3 platform.
Are there risks involved while making money in a Web3 platform?
Every business has its own risk side and same goes for Web3 platforms.
Anyone who tells you that there are no risks here is definitely deceiving you and may likely want to do away with your money.
Let's look at some of the risks;
It lacks standardization
Operational framework in Web3 platforms, in some cases are not fully normalized, which can result in incompatibility and disintegration of other platform within the ecosystem which may impede its general adoption and growth.Difficult to Navigate
Being that Web3 platforms are still evolving and developing, users may find it a bit difficult to use. Unlike the traditional web platforms which are easier to access, Web3 may require the users to have extra technical knowledge to be able to navigate especially in the area of managing private keys or dealing with wallet integrations.Delay in Adoption:
Web3 platforms depend on how users adopt and understand the technology for it to be able to go widespread.
It therefore means that time will be spent while trying to educate users on how it works and the benefits thereof, which will result to a delay in its mass adoption because some users may not be able to fully catch up with its operations.Not fully secure.
Due to the fact that Web3 platforms involve decentralized applications, DApps
and smart contracts, it's security is usually vulnerabilities and prone to attack, hacks which results to loss of fund.
The recent hack of the LeoFinance discord channel is a good example.Risk of Market Volatility
In a Web3 platform, there is a tendency for the market to be volatile which can lead to price fluctuations of cryptos. The resultant effect is loss of investment.Liquidity risk
Being that Web3 platforms has to with cryptocurrency, there might be a situation where a user may be unable to withdraw funds when the need arises, this sends a wrong impression on the individual about the platform.
Having seen some of the risks involved with earning in a Web3 platform, does it mean that people are discouraged to join?
Of course not, everyday people are joining Web3 platforms like Hive because they understand how it works.
So if you are aiming to join any Web3 platform, it is advisable to conduct a thorough research on the platform and understand how it works first especially if it's for investment
purposes.
But in all, Web3 platform is a sure way to earn and gain financial freedom in this present economy.
Haven't joined LeoFinance yet,
yet, here's the link
The lpud is in a few day time, hope you are preparing to participate?