Cryptocurrencies have changed almost any industry they’ve been introduced to. A decentralized and digital currency that allows anonymity was always an inspiring idea that appealed to both businesses and consumers.
Over the years crypto had its ups and down as an investment opportunity. However, as a payment method, it’s proven to be effective and useful. There are still many crypto-based industries that are thriving and that are filled with business opportunities.
In this article, we’ll dive into crypto-based business ideas that you can start with little investment and that can quickly scale up if you find your niche.
Tax Business
The tax code is complex and nuanced such as it is. It’s even more complicated and confusing when it comes to earnings made from crypto since it’s a relatively new proposition. Many existing tax lawyers and accountants don’t offer their services to those earning in cryptocurrencies.
There’s an opportunity in that niche as long as you’re certified to work as an accountant and are willing to study the tax code as it relates to crypto. This is an ongoing process, as the regulations are changing rather quickly in this industry.
Crypto Hardware Business
Even though crypto is a digital asset it requires a lot of hardware. This includes USB drives, wallets, and security keys. It’s a simple business to start but you’ll need a large initial investment to purchase and store the products.
Those selling crypto-related products should also learn about the hardware – how it works, what are its downsides, and which crypto users could benefit from them. It’s a new innovative industry and new pieces of hardware are introduced all the time, so it’s a lot of work just to keep up.
A Network for Exchanging Loyalties
Many businesses operating in crypto offer a variety of loyalties. This is a way to promote the business and attract new users or award loyal ones. At this point, there are many more such loyalty programs, than actual customers and users.
A network that allows the users to exchange the loyalties they’re not using could be a profitable business. Through the use of blockchain technology, you can make sure that there are no frauds and mistakes. Starting this business requires a bit of IT skills but other than that there are no major investments.
Online Gambling
Online gambling is uniquely well-suited for crypto payments. The payments are quick, easy to track, and anonymous. All of those features work well with the gambling industry and there are already a lot of gambling establishments to choose from, on sites such as WeGamble.
The biggest investment to make when starting such a business is the licenses to the casino games. However, that’s not enough to be profitable in the gambling business. It takes time to build a reputation and a casino needs to bring in new players.
Bitcoin Vending Machines
Bitcoin vending machines are vending machines used to purchase cryptocurrency. It works just as any other vending machine and it operates for a small fee. To start such a business you’ll need a Bitcoin ATM. It’s also required to register with the proper agencies to comply with money laundering laws.
As is the case with any other vending machine business, the key to success in this field of work is location. You need to find a location with enough foot traffic and interest in crypto so that you get as many users as you can.
Cryptocurrency Exchange
As cryptocurrency is more widely accepted as a payment method, there’s more need for exchanges. These could cover exchanges from crypto to fiat currencies or between different cryptocurrencies. It can be a fully online marketplace and the earnings come from a fee made from each exchange.
There are few initial expenses for starting this business, but it does take time until you establish yourself in the market. Marketing and customer testimonials are therefore the best tools you have early on.
Consulting Business
Cryptocurrencies have been around for about ten years now. In that time, they’ve proven to be a valuable alternative to fiat currency, but also a somewhat volatile investment. There’s a market out there for consulting in this industry from those with relevant experience.
The most important asset needed for starting a consulting business is experience. Those who have been through the initial boom and survived a crypto winter have a lot to offer to new investors and those who are just looking for a way to get into the industry.
Real-Time Tracking of Shipments
Shipment tracking was always a key part of the logistics and transport industry. As there’s more demand for shipments and deliveries, tracking the vehicles becomes a vital part of the job. It allows everyone involved to use their resources to their fullest and provide fast and punctual deliveries.
Blockchain technology used to power cryptocurrencies can be used to provide real-time tracking of shipments. The main investment needed for such a business is blockchain-based software that you can use to follow and log shipments.
Decentralized Cloud Storage
One of the best uses of blockchain technology is for secure storing of data. It’s this feature that has made cryptocurrency so safe to use. That’s also what makes it a great base for cloud storage. Since blockchain keeps the data dispersed on thousands of nodes across the world it can’t be hacked or stolen.
Decentralized storage space can be rented or bought and sold just as any other online storage. The key feature you’re selling in this line of work is the safety that the tech behind it provides. It’s still a small market and it’s easy to establish itself.
Lending in Crypto
If you treat crypto as any other form of currency, many business opportunities come up. Lending is one of the oldest ways of making money simply by having assets you’re not using and the same principle can be used when it comes to cryptocurrency.
Lending in crypto allows you to earn passive income by collecting interest. This option is only available to those who already have a lot of assets in crypto, which is a small minority, but it’s a great and simple way to learn, especially if you’re not that tech-savvy and you’re only treating crypto as an asset.
Building Decentralized Apps
App development is a lucrative business, but blockchain technology gives it an additional unique twist. A decentralized ledger system used by blockchain makes the app more secure and ensures that the data the app stores can’t be obtained or hacked.
This isn’t an easy venture to start, since it requires a lot of IT knowledge and it’s a small niche of potential users. However, tech-savvy users in need of such apps are more than worth the investment you’ll need to make in your coding skills.
Validating Expensive Goods
Due to its unchangeable transaction ledger, blockchain offers the capability to both store and authenticate the details of exclusive luxury items like artworks and digital rights. Individuals seeking to preserve or confirm items on the blockchain need to convert their physical assets into digital tokens, which will then be placed onto the blockchain for safekeeping. Once that process is done, there’s no way to alter the information.
At this point, there’s a market for validating the purchase of artwork, but there can be many other applications in the future.
To Sum Up
Cryptocurrencies and blockchain technologies still have a wide variety of applications as a form of online and digital currency. This makes them a good basis for starting lucrative businesses, as long as you can master the tech itself.
As is the case with starting any business, the ventures we mentioned depend on carefully assessing the market, finding a niche customer base, and hard work. The technology behind crypto is no longer brand new, but it has great potential for innovation and business application in the years to come.
