With the rise of Blockchain and cryptocurrency, there has been a surge in demand for Blockchain experts and professionals who can leverage this technology for the benefit of the businesses. But at the same time, it has also paved the way for many new budding entrepreneurs to venture into the Blockchain segment by providing blockchain-based applications and solutions, which will eventually help the business grow. Besides some of the big names in the business, we are also witnessing many startups and new names venturing into this business. But an important question that arises is how do these companies make money. Well, we will try to answer this question in this blog.
Making money using Blockchain
Here are some of the common ways via which Blockchain companies make money:
1. They develop software for specific use
2. Smart contract development
3. Blockchain-based application development
4. Speculating cryptocurrencies
5. Earning from transaction fees
Elaborating these methods:
1. Developing software for defined use- There are companies that have ventured into creating software for a specific purpose. For example, such companies can create Blockchain-based software for cross-border transactions.
2. Software services- Another way of earning money is by providing software services. Blockchain-based companies can help them develop API, provide cloud storage and data management, and more. One of the examples of the company is Block cypher, and Tyrion is a renowned name in the business.
3. Earning through transaction fees- Nowadays, you can find any companies that are working on creating Blockchain infrastructure for big investors and financial institutions. These Blockchain-based platforms can be used by institutions and companies to pay their subscription fee to the developers.
4. Smart contract creation- Another way Blockchain developers and Blockchain startups can make money is by creating a smart contract. These automated contracts make it easy for the two parties engaged in a business to execute transactions once the conditions of the contract are met.
5. Speculating cryptocurrencies- Ever since Bitcoin has entered the market, it has garnered a lot of attention from investors, and so they are choosing to invest in different cryptocurrencies. There are many companies that help the investor choose the right cryptocurrency for investment. You can find many online portals where you can assess the performance of different cryptocurrencies.
Most of the Blockchain networks have their own cryptocurrency token, and they settle transactions and payments within the network. The parent company increases the value of tokens and sells profit.
These were some of the ways by which Blockchain-based companies are earning money. In the time to come, we are going to witness a steady rise in the demand for Blockchain-based companies is going to increase, and so is the need to have Blockchain experts who can leverage this technology.
So, if you too are willing to be a part of this industry, then you can opt for the Blockchain certification course by Blockchain Council. It provides the best online certificate program in cryptocurrency and Blockchain. For more information, connect with the Blockchain council today.
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How blockchain startups make money? was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.