6 Proven Ways to Earn Passive Income with NFTs. Ready to turn your NFTs into a reliable source of passive income? Look no further! In this video, we dive deep into the six most proven methods to make your digital assets work for you. From NFT staking and rentals to royalties and beyond, we've got you covered.
00:00What's up guys, welcome back to the channel. In today's video, we are going to be discussing how you guys can still generate passive income using your NFTs.
00:14I know everybody seems to think NFT season is long gone and forgotten, but those of you who still hold some valuable NFTs can still earn passive income.
00:27And I will break it all down in this video talking about six ways that you can actually do that.
00:33And if you like this type of content, make sure you hit that subscribe button.
00:38Give us a like and do share our content. Don't forget to check out all the links in the description.
00:43And always head on over to our main site, Decentralized.News, where we have the best cryptocurrency exchange reviews, DeFi platforms, NFT marketplaces, anything and everything to do with investing and trading in digital assets.
00:56So let's get it started. NFTs, non-fungible tokens can actually generate passive income for you.
01:04And NFTs, for those that don't know or are new to the channel, these are immutable digital assets that can be stored on a blockchain.
01:12OK, so as these assets age, their value can also grow depending on how good or what the utility of that NFT is.
01:20Potentially, this can also increase earnings for those that hold NFTs.
01:26These particular NFTs can enable you as a holder to actually monetize them in various type of financial frameworks, generating income with a minimum intervention, thus calling it passive income.
01:42OK, so just as interest actually accumulates, for example, on your bank savings, NFT owners can also earn without actually actively trading these digital assets and convertible assets such as patents, for example, royalty rights and even ownership papers can be tokenized into NFTs, which can actually pave the way for passive revenue streams.
02:06So I think we need to actually redefine what we view NFTs to be.
02:11I think NFTs are more than just PFPs, which are these profile kind of pictures of apes and all kinds of illustrations and drawings that were the hype of last bull markets.
02:24OK, so this time, I think people are going to actually really get a grip on what NFTs actually do represent.
02:31And the idea of NFTs will definitely evolve.
02:34So don't slip on that market.
02:36I personally don't hold a lot of NFTs.
02:38I never really got into the whole PFP hype buying all kinds of drawings and things like that.
02:45That just didn't make any sense to me.
02:47But I think now that the quiet has come to the market, everybody is kind of disinterested in the space.
02:53I'm actually looking deeper at what this innovation really is all about, because I've been in the space for a long time.
03:00I remember when CryptoKitties first came on the scene and, you know, we're kind of like, what is this?
03:05And obviously we saw the, you know, Bored Ape Yacht Club and all kinds of things really take hold last bull cycle.
03:14But I think don't slip on NFTs.
03:17They are not dead.
03:19You just have to really think about how you actually do define these assets.
03:23Like I said, you can tokenize anything like patents or royalty rights and anything like that.
03:28Turn that into an NFT and be able to use that to earn passive income.
03:33There are other NFTs, for example, for one of my favorite platforms, Gains Network.
03:37You can see the link in the description.
03:38They also have NFTs that are actually able to earn you yield and they are utilitarian sort of NFTs on these decentralized exchanges.
03:49But let's talk about optimal strategies that you can use to generate passive income via these NFTs.
03:56So the NFT space is obviously rich with all different types of methods for you to earn income.
04:02So I'm going to break it all down for you.
04:04The first thing we need to talk about is how you can stake NFTs.
04:08So NFT staking is definitely much like staking cryptocurrency assets.
04:13NFT staking actually just allows you as a holder to lock your digital asset with a particular blockchain or a liquidity pool for a specified duration.
04:24Right.
04:24So this actually does aid in the network's transaction processing and also the security.
04:30And in return, you as a staker earn rewards in cryptocurrency tokens.
04:36So various platforms actually cater to NFT staking, predominantly metaverse and play to earn games.
04:42And some DeFi platforms also have that option.
04:45So rewards often come in the platform's native tokens, which can be held or traded or even reinvested for compounded earnings.
04:56So NFT staking is definitely top of the list of how you can generate income passively with NFTs.
05:03The second thing you can do is rent your NFT.
05:06So NFT rentals are pretty much a model that actually mimics physical property rentals.
05:12Right.
05:12So we and NFT can be leased for a predetermined period in exchange for a particular amount of fee platforms such as NFT Gateway or Super A provide mechanisms to facilitate this.
05:28You can check out the full reviews to these platforms on our main site, centralized.news.
05:33But after specifying a rental terms, for example, smart contracts actually come into play because they help in actually securing the rental deals, ensuring seamless and secure transactions.
05:45And gaming is also another realm where, you know, with its shift towards using NFTs as in-game items, this can be a booming sector for NFT rentals.
05:56So don't forget about that.
05:58So NFT rentals is definitely number two on our list when it comes to how you can earn passive income with NFTs.
06:05NFT lending is another way you can do that.
06:08Certainly, there are platforms that facilitate the lending of NFTs as collateral against loans in cryptocurrency or traditional currencies.
06:18And this method allows NFT holders essentially to capitalize on their assets without parting with any of those assets deriving sort of a return on that investment while you actually retain ownership of the actual digital asset as well, the collectible.
06:37So defaulting on loan repayments, for example, will then, in this instance, lead you to lose your collateralized NFTs.
06:48So lending is also another way.
06:50So that's number three.
06:52And the fourth way you can earn passive income with NFTs is NFT farming.
06:57So what is NFT farming?
06:58It's effectively just a method that involves depositing NFTs into decentralized finance platforms and receiving rewards, either as fresh NFTs or other tokens.
07:11OK, so this model does share similarities with traditional yield farming, only using NFTs instead of tokens.
07:19So platforms such as Xe Infinity, which was a real big hype in the last cycle, have actually popularized this model, although it does carry certain risks like potential vulnerabilities in these decentralized applications or the smart contract codes themselves.
07:36But NFT farming definitely fourth on our list in terms of a way you can make some passive income.
07:42NFT index funds is fifth on our list.
07:45So these funds actually just effectively enable passive investments into diverse NFT portfolios without actually the need for direct asset management.
07:55OK, so much like your traditional counterparts, you can track specific NFT indices or market segments, offering opportunities for you as investors to tap into that broader NFT markets potential.
08:10So NFT index funds, fifth on our list in terms of a way you can earn.
08:15And the final method that you can earn NFTs, passive income using NFTs rather, is just getting these royalties.
08:24OK, so for creators in the NFT space, royalties can actually serve as a continuous revenue stream in the post initial sale phase.
08:34So by integrating royalty clauses into the NFT creation contract, creators are able to get a predetermined percentage from subsequent sales and automated payment systems in various NFT marketplaces, also streamline this process, ensuring that you as a creator can effortlessly gain from your work's secondary sales.
08:58So the NFT domain is still full, right with plenty of opportunities to make passive income.
09:05Don't sleep on it. You know, whether you're an investor, you're a gamer, a creator, there's an avenue for everybody to sort of make income in this space.
09:16So as always, you just need to make sure you're doing adequate research in terms of the platforms that you're using, all of that in as well.
09:24Like just looking at the utility of the NFTs that you are procuring, if that's what you intend to do.
09:30Due diligence is top of mind if you want to navigate this space effectively.
09:35Guys, let me know if you are already sort of maybe dabbling in a little bit of any of these methods that could be, like I said, NFT staking.
09:47You could probably be renting out your NFTs.
09:49You could probably be lending or doing farming, you know, using index funds and or maybe using royalties as a way to earn passive income on your NFTs.
10:00Please do leave a comment. I want to know. Also, let me know what other content you'd like us to talk about in this channel.
10:06I haven't talked about NFTs in a very long time. I just didn't want you guys to think that NFTs are dead.
10:11If you think they are dead, please leave a comment. Let me know if you think there's still a lot of potential to earn and make money in this space.
10:19Also, let me know. Don't forget to head on over to our main site, Decentralized.News.
10:23There we have a full list on our resources tab where you can see all the NFT marketplaces and you can kind of compare which are, you know, good or bad or which ones you would like.
10:34There's also reviews to pretty much most of these platforms, in-depth reviews and guides, etc. on our main site.
10:42If you want to know about things like DeFi, for example, check out the link in the description to my free book, DeFi Millionaire, which you can get at DeFi-Millionaire.com.
10:51Or if you want to support me, please do buy my books, Tokenized, Trillions and Blockchain Applied.
10:57And you can learn a lot more about real-world asset tokenization on the blockchain and also just use cases of distributed ledges across numerous industries, supply chains, insurance, healthcare, retail, you name it.
11:10Everything is covered. So let me know, guys. Join our Telegram, our Discord server.
11:14I will see you in the next video. Like, share and subscribe. Turn on your notifications. Peace and love.
