Did you know that people are now looking at cryptocurrencies for starting new businesses? Entrepreneurs however do understand that any cryptocurrency-related business idea can turn out to be a rollercoaster ride. What is important is to know how best to tackle such dramatic ups and downs. So, before you consider any of these following crypto business ideas for 2020 you should analyze the industry properly, understand the existing problems, research on trading mechanisms, and find solutions to trading problems.
Top 7 cryptocurrency business ideas that you can consider in 2020:
- Cryptocurrency Exchange: An exchange is the main platform for investors and traders keen to buy and sell crypto coins. There are different types of crypto exchange businesses you can launch and you need to be in a place where crypto operations or Bitcoin trading is legal. For instance, you could choose to set up a decentralized exchange, peer-to-peer exchange, centralized exchange, hybrid cryptocurrency exchange, etc. Earlier, centralized exchanges were admin-based and users could buy or sell Bitcoins with the admin. Decentralized exchanges are those where only crypto-to-crypto trades can be done and admin has zero control over user assets. The hybrid crypto exchange has features of both and is rare.
- STO/ICO: Initial Coin Offering or ICOO refers to crowdfunding whereby you can get funds from investors for launching startups. The ICO launcher will give away tokens that investors may use for claiming their profits in the businesses. These crowdfunding techniques are useful for staring crypto-related businesses with minimal capital investments. It is even possible to launch one’s own altcoins, stable coins, or crypto coins, like the Libra by Facebook. Security tokens or STO are crypto token having real-life assets and stocks. These will be subject to federal laws and SEC-registered.
- Cryptocurrency Lending: This is another lucrative business idea which can be implemented when you have a lot of support from crypto communities and get steady flow of crypto coins to your wallet. You can simply start lending the cryptos to users for an interest rate. The demand for cryptos will be there for payment or investment purposes and people will always look for places to but these instantly. Lending gives you the chance to get many customers and trade in large volumes.
- Cryptocurrency MLM Businesses: These are quite common in the market these days like ethereum.cash, million.money, etc. The only way to start these businesses is by establishing trust and to do this, you need smart contracts. Smart contracts will provide high-end security and trust to users in the MLM network.
- Bitcoin Escrow Business: This continues to be one of the best-known cryptocurrency business ideas. It allows cryptocurrencies to be exchanged between traders before an Escrow admin. The admin handles the transactions and there can be no hacks because transactions happen through private keys.
- Online Gambling: This is the latest trend in the crypto world and online gambling using Bitcoins or crypto coins is turning out to be a trustworthy and secure business idea, far more popular compared to traditional online gambling.
- Crypto Wallet Services: The crypto wallet is where you can store you crypto coins securely. With more and more people taking an active interest in cryptocurrencies, hackers are also growing in number. This is why keeping the assets safe from hackers is of utmost priority. Launching wallet services as a business can be lucrative; you may offer this for traders in exchanges individually or for the exchange as a whole.