No one can deny that Web3 is the future of the internet, and it is actively emerging as a billion-dollar industry as months go by.
You might think Web3 isn’t that massive, but when you enter this industry, you will realize how global and extensive it has gotten over the years.
In 2023, the metaverse will go mainstream, NFTs will be valuable assets, and decentralization will slowly dominate. In short, Web3 is coming and you need to be ready for it.
This technology is still in its early stage of development, and investors, traders, and even young students are joining the space. If you’re interested and want to know how to make money on Web3, then you have arrived at the right article.
From investing to building careers, everything is possible in Web3 and this article will inform you how:
What is Web3?
Web3 is an advanced decentralized form of the internet that uses blockchain technology. It is a peer-to-peer network system that removes third-party involvement and gives back data ownership to users.
To explain it better, in Web2, data is usually controlled by tech giants and even shared around without the knowledge of the user. Furthermore, it also acts as an intermediary between two parties, taking away rights in many cases.
Web3 is a revolution to this system by giving back data ownership to its rightful owners and also giving them the power to decide whom to share with using blockchain.
Ways to earn money on Web3
Now that you know the basics of Web3, you can start knowing different ways to make money and career opportunities within the space. Since this industry is relatively new, you will have more variety of work to hundreds of dollars per month.
Work for a job
Like the traditional market, Web3 also has a huge job market. Currently, the industry is quite new, and not many people know about it, so the hiring criteria and pay are considered comparatively better than in the real world.
A lot of people think that only engineers, developers, or artists can join the space, but they are wrong. Web3 and Metaverse are for everyone, no matter what field of a profession they belong to.
Here are some ideas on how you can get a job:
- Apply in startups: As a baby industry, Web3 has dozens of startups that are actively hiring people from different sectors including medicine, art, music, entertainment, etc.
- Manager positions: NFT and DeFi projects have communities that require managers. You can apply for these online positions through job listing websites to become a community manager, social media manager, product manager, and others.
- Meet people: A lot of people get scouted on-site during events and conferences. If there are any NFT or blockchain events, attend them and converse with people to make yourself known in the community.
Become a creator
Do you have a knack for creating content? Are you a digital artist or a musician? Web3 is the perfect space to establish your creator career in.
In the traditional world, only a few people get to have fame over the artwork or other creations, while small artists struggle to get any buyers at all.
NFTs have opened a new door for creators. You can now monetize your content, sell your artwork, and even build your community in Web3 in a very short time.
Even if you’re a small artist, you will be able to showcase your talent on a global scale and get recognition for your work.
Trade valuable NFTs
The craze over Non-fungible tokens or NFTs hasn’t stopped even in 2022, and it will continue for a long time because of the infinite utility it provides to both holders and creators.
If you have enough money, trading digital collectibles is a great way to make money online. Of course, you will need to do a lot of research and close inspection before buying any of them, but sometimes collections do blow up in demand, which in return gives collectors a lot of profit.
There is a variety of range in NFTs:
- PFP avatars
- Digital art
- Trading cards
- Metaverse avatars
- In-game assets
Among these types of NFTs, PFP avatars are considered the most valuable investment, while digital art also has a huge demand; in fact, the most expensive NFT to be sold is “Everydays: The First 5000 Days” by artist Beeple, sold for $69.9M.
Earn money by Airdrops
Airdrops by new Decentralized projects are a clever way to earn money without having to lose anything. Many startups or companies launch their own tokens for free that people can claim in the initial days of their launch.
Some of the tokens might go under, while most of them can give you some amount of profit. A lot of people think this is risk-free, but it’s almost like a jackpot; either you go home with something or nothing.
Of course, getting new airdrops also comes with a few requirements. Many companies have criteria for wallets to participate in this activity; you can be part of the giveaway as long as you fall under their category.
Crypto mining is a fun job because it doesn’t involve much experience but still pays well for your effort. Although this job requires expensive computer equipment, the increasing use of blockchain for transactions has made crypto mining more profitable than ever.
For those who don’t know, Mining is a vital part of a blockchain where a group of people, called miners, approve transactions and create new digital assets within the ecosystem. Ultimately, Miners are rewarded with money in return for their service.
Bitcoin mining is the most common one among others. Ethereum recently switched towards a proof of stake consensus mechanism, so it doesn’t require miners for the mainnet.
You might’ve heard of Axie Infinity, the world’s highest-ranking blockchain-based play-to-earn game that has become a source of passive income in Web3 for many players. Since 2021, there has been a sudden burst of interest in Web3 games because of how profitable they can be.
If you’re a professional gamer or if you don’t have any experience in gaming, play-to-earn games are a fun way to earn money. You can own in-game assets, breed/develop them, and sell them on the marketplace at a higher price.
According to recent reports, many investors have hired gamers from different countries to play for them and get paid. To get started, you can look at different play-to-earn games currently in the industry.
Web3 advertising and data ownership
In Web3, data is the most powerful aspect of any user because they have full ownership over it, but what if you could sell your data to earn money?
Usually, tech giants gather users’ datasets and profit from them without the consent of owners, but in a decentralized world, it’s completely different. You can control what and how much data any company can access and give you something in return.
Additionally, Web3 advertising is quite common, among many Web3 business models, in which the advertiser, the company, and you can earn in digital currency by sharing your data.
To be short, data can be your source of income in Web3.
Metaverse is the newly emerging virtual world predicted to grow into a trillion-dollar industry. Since this concept is new, there’s a lot of demand in different positions. Many game studios need designers, creators, developers, builders, and other professions, even if they don’t have academic backgrounds.
Metaverse platforms like The Sandbox or Decentraland have creator tools made simple that anyone can learn and start building if they’re passionate enough to pursue a career. Some famous tools include VoxEdit, Game Maker, Builder, and many more.
Experts believe the metaverse will bring a creator-centric economy in digital space that will hold a lot of value. Even now, people are earning 6 figures by designing virtual avatars and items and selling them on the marketplace.
Did you know you can create your own crypto tokens? Well, if you have a project and want to build a community of your own, you can create your own personalized tokens that can hold value if there’s a utility for the investors. A lot of Web3 companies make money through this strategy.
Although this comes with a lot of responsibility because people buy these tokens because they trust you, there must be a good balance of supply and demand to profit you and the investors.
Many small startups release Initial Coin Offerings (ICO) to crowdfund; it is quite similar to an IPO in which a company sells some percentage of shares to investors to raise funds. In other words, personalized currency can be your pathway to raise funds for your project.
How to invest in web3 for passive income
When it comes to investment, other than money, your time and effort are quite important. If you miss the right timing, you miss the opportunity, especially in Web3. All influencers, investors, or big traders you see in the market are opportunity-grabbers; they poured their money where they knew they would earn double.
If you’re unsure about investing money or are new to this, your priority should be to do research on how to capitalize on web3. No matter how much money you have, if you are aware of market movements, trends, and value, you can earn enough from it.
For example, if you invest money in Bored Ape NFT now, it is most likely to increase in price as time goes by because there’s a huge demand for that PFP avatar, especially the one with the rarest rarity traits from the collection.
Similarly, if you buy a random crypto token just because your friend is buying it without doing your own research, there’s a risk of losing money if its value drops or a rug pull scandal comes out.
The Crypto space is full of scams because it’s mostly unregulated, so before investing, educate yourself.
When it comes to passive investments, cryptocurrency is the best option to go for. Every Web3-based company has its own token in the market that is directly affected by the progress. Although this requires much research, a lot of people only believe in Bitcoin and Ethereum for long-term investments.
Bitcoin is the first and oldest digital currency that has remained on top for years. Written by Satoshi Nakaomoto in 2008 and officially launched the first genesis block in 2009 at the price of $0, now it is worth thousands of dollars. People can either invest through mining bits of BTC or buy the whole coin.
Similarly, Ethereum has remained in second place as the most dominant cryptocurrency in the world. After Bitcoin, ETH is the most trusted investment among big traders and investors because 1. It’s home to the largest NFT marketplace 2. Most DeFi platforms exist on the blockchain.
Other coins aka Altcoins have climbed and dropped over the years. Some of the famous ones include Solana (SOL), BNB, FLOW, Polygon (MATIC), XRP, CHZ, ADA, etc.
There are also meme coins that hold value in the market but are comparatively lower in price and aren’t stable enough. A lot of people invest in DOGE coin because it’s backed by Elon Musk, while Shib Inu (SHIB) also has demand.
Note: The above-mentioned coins are not financial advice.
Crypto lending is yet another passive source of income in which you can lend your tokens to borrowers and earn profit from it. It’s also a fun way to diversify your portfolio as an investor.
For the past months, many crypto lending platforms have gone bankrupt because of market value, so if you decide to do this job, you must do a lot of research and read policies before pouring your money in.
Staking means putting your tokens on hold to support the network and play the role of approving transactions. The individuals who stake their crypto lose their right to sell but earn passive income through the platform fee.
Additionally, many blockchain networks or DeFi platforms also include you in their DAO community if you hold a huge amount of native tokens and stake them up. It’s a healthy way of maintaining the processes within the network while profiting the holders.
Along with crypto tokens, a lot of people invest their money in equities or Dividend-paying tokens that are connected to companies. It’s the best way to keep your money safe from inflation devaluing and also can lead to possible profit.
As mentioned before, research is quite important. A lot of people think buying stocks can be a good way to know about investments but you need to have enough information to understand how the figures are moving.
These strategies are the most commonly implemented ways to earn money in Web3. If you’re new to the space you might struggle to understand the new technology and its structure, but once you have enough experience and knowledge, you can easily build a career in it.
A lot of people might convince you that NFTs or crypto is a timely hype. If you enter the community and see how hard builders are working to mature this industry, you will realize how much worth it is of your time and effort.
Now that you know how to make money in Web3 and metaverse, don’t wait and get started!