While most people just use Coinbase to buy and sell popular cryptocurrencies, you can also find various ways to make money on the platform as well. The most popular ways to make money on Coinbase include staking crypto and learn to earn rewards but there are many lesser known methods as well.
In total, we found 9 different ways you can potentially make money directly on the Coinbase app and website. Each opportunity has different risks and rewards so make sure to do your own research and let's jump into the list.
1. Take Mini Courses
The quickest way to earn money on Coinbase is through their "Learning Rewards" section, which is a learn and earn crypto program. By watching short videos on blockchain projects and answering a few questions, you can earn a few dollars from each mini course. At the time of this writing, there is $29 up for grabs which might take 10-20 minutes to complete. Rewards are instantly deposited into your account and new quizzes are added every month or so.
To offer these courses, Coinbase partners with crypto projects, allowing them to reach its large user base of 100+ million people. Instead of spending money on advertisements, these crypto projects can fund a learn and earn program to get crypto enthusiasts educated about their token.
In addition, you can download the Coinbase Wallet to find even more mini courses called Quests. At the time of this writing, you can earn $8 in Optimism token (OP) by learning about how Swapping and Delegating works.
2. Stake Crypto
If you're looking to make passive income, then staking your crypto assets on Coinbase Earn could be an option to consider. Users can stake various proof-of-stake cryptocurrencies such as Ethereum, Cardano and Solana to earn up to 10% APY. The process is easy for beginners, requires as little as $1, and payouts will be distributed every 3 to 7 days. Advanced users can also check out Coinbase's Cloud Staking for self-custody options.
On the downside, Coinbase takes a commission of 25%-35% or 15%-25% if you have a Coinbase One subscription. If you want to stake on a centralized exchange, it might be better to use Kraken, as they don't take any fees and are also one of the safest crypto exchanges in the world founded in 2011. They also support more proof-of-stake coins.
3. Earn Cash Back With The Coinbase Card
Another way to earn money is with the Coinbase Card, a free crypto debit card that allows you to earn unlimited cash back in the cryptocurrency of your choice. The cash back rewards range from 1% to 4% depending on the current promotion, which is always rotating. You have the option to spend fiat or crypto and can use your card anywhere Visa is accepted at 40M+ merchants worldwide.
4. Buy and Hold Crypto
Buy and hold (HODL) is a simple crypto investing strategy where you purchase a cryptocurrency, hold onto it for years, and anticipate significant price appreciation. With predictions of crypto hitting 1 billion users, the entire industry is expected to grow substantially over the long haul. Users can buy Bitcoin or altcoins on Coinbase and send it to a hardware wallet for safe offline storage.
While the industry has tremendous potential, it also carries substantial risks. This approach requires careful selection of the right cryptocurrency, as many may go to zero. Patience and discipline are also required to stay invested over the long haul, especially through tough bear markets. Nevertheless, successful buy and hold investors could perform very well if you believe the crypto market will continue to grow.
5. Trade Altcoins
If you're interested in day trading, swing trading, or other crypto trading strategies, Coinbase has you covered with various advanced trading tools. Users can toggle "Advanced Trade" on the website or app to access charting tools and more. There is also the option to trade futures with Coinbase's new derivatives platform. However, it has only rolled out in a few regions so far.
However, while Coinbase is an easy and safe crypto exchange, they have high fees compared to other players. You may want to check out Bybit, Binance or DEXs like ApeX for better advanced trading tools at low fees.
6. Flip NFTs
Coinbase launched its NFT marketplace in 2022, opening up the opportunity to make money with NFTs. Similar to reselling sneakers or sports cards, flipping NFTs involves buying at a low price and selling for a profit. Whether you create your own NFTs, mint them, or earn them for free, flipping could be a potential way to earn money if you know what you're doing. By the way, you can also buy and sell NFTs throigh the Coinbase Wallet (more on this later).
It's important to note that flipping NFTs is extremely risky, especially during a bear market when liquidity may be limited. Exercise caution and consider market conditions before engaging in NFT flipping.
7. Earn Yield On USDC
Starting with as little as $1, Coinbase customers can earn 2%-4% APY on USDC holdings. USDC is a stablecoin pegged to the US dollar and is co-founded by Coinbase and Circle.
Coinbase states that the yield is financed using their own company revenue and that rewards are distributed monthly. It's also important to note that crypto deposits are not insured or guaranteed by the FDIC or SIPC. More information and a list of supported countries can be found on the official FAQ page.
8. Invite Friends
Coinbase offers an affiliate program that allows you to make money for inviting friends to join the platform. By referring someone, you can earn 50% of their trading fees for their first 3 months. If you have a social media audience or friends that would enjoy using Coinbase, you can generate a unique referral link to get credit for your sign ups.
9. Earn Yield With DeFi
The Coinbase Wallet is a crypto app where you can self custody your funds and access thousands of decentralized applications, including a range of DeFi apps. While it operates independently from the Coinbase exchange, it can be another tool to make money using the Coinbase ecosystem.
Some popular ways to make money with DeFi include providing liquidity to decentralized exchanges (DEXs), participating in yield farming, lending out cryptocurrencies to earn interest, and trading on decentralized lending and borrowing platforms.
Summary
In conclusion, Coinbase offers more than just a platform to buy and sell cryptocurrencies. It provides numerous ways to make money directly on the app and website.
Alongside popular methods like staking crypto and participating in learn to earn rewards, there are also lesser known methods to explore. Always remember to conduct thorough research and assess the risks and rewards of each opportunity.
