Top ways to spend your hard-earned crypto earnings

Photo by Kanchanara on Unsplash
With the meteoric rise of Bitcoin and other cryptocurrencies in recent months, many people have made a fortune investing in digital currencies. If you’re one of these lucky people, you may be wondering what to do with your newfound wealth. Here are some of our top suggestions for spending your hard-earned crypto earnings!
Wait for the value to increase
One option is to simply hold onto your cryptocurrencies and wait for them to increase in value. This strategy, known as “HODLing,” can be profitable if you’re patient and the market conditions are right. However, it’s important to remember that cryptocurrency prices are highly volatile, so there’s always a risk that your coins could lose value.
In addition, holding your coins in an exchange exposes you to the risk of hacking and theft. If you choose this option, it’s important to store your coins in a secure wallet. Namely, the most popular cryptocurrency wallets are hardware wallets, such as the Ledger Nano S and Trezor. These devices allow you to store your coins offline, which makes them much more secure.
Invest in other cryptocurrencies
Another option is to use your Bitcoin or Ethereum earnings to invest in other cryptocurrencies. This strategy can be profitable if you choose wisely and invest in coins with good long-term potential. However, it’s important to do your research before investing, as many projects turn out to be scams.
A good way to research a project is to look for its website and whitepaper. A whitepaper is a document that outlines the goals and technical details of a project. If a project doesn’t have a website or whitepaper, it’s likely a scam. You should also look for the team behind the project and their experience in the industry.
Get a crypto credit card

Photo by Vadim Artyukhin on Unsplash
If you want to spend your cryptocurrencies right away, one option is to get a crypto credit card. Namely, the best crypto credit cards allow you to spend your coins anywhere that accepts credit cards, and they typically offer rewards and cash back on purchases. Namely, when they are linked to your crypto wallet, the card issuer converts your cryptocurrency into cash at the current market rate.
This is a great option if you want to use your coins to buy everyday items or make larger purchases. However, it’s important to remember that most crypto credit cards have high fees and charges, so you’ll need to do your research before choosing one.
Pay attention to taxes
Finally, it’s important to remember that you’ll need to pay taxes on your cryptocurrency earnings. In the United States, for example, capital gains tax applies to profits made from selling cryptocurrencies. This means that you’ll need to report your gains and losses to the IRS when you file your taxes.
Failure to do so could result in hefty fines and penalties, so it’s important to stay on top of your taxes. You can use a service like CoinTracker to help you keep track of your gains and losses. This is a crucial step if you want to avoid any legal trouble down the road.
Buy gift cards with bitcoin
Another option for spending your cryptocurrencies is to buy gift cards with Bitcoin. This is a great way to shop at your favorite stores without having to convert your coins into cash. There are a few different platforms that allow you to do this, and they typically offer a wide range of gift cards from popular retailers.
For example, eGifter is a popular gift card platform that accepts Bitcoin. They have a wide range of cards from popular retailers like Amazon, Starbucks, and iTunes. They also offer discounts on some cards, which makes this a great option if you’re looking to save money on your purchases.
Pay your bills with bitcoin
If you want to use your cryptocurrencies to pay your bills, there are a few different platforms that allow you to do this. This is a great option if you want to avoid converting your coins into cash. In addition, it’s a good way to keep track of your spending and use your income for your bills.
There are a few different platforms that allow you to pay your bills with Bitcoin, but one of the most popular is BitPay. They offer a wide range of merchants that accept their payments, and they also have a mobile app that makes it easy to pay your bills on the go.
Buy goods and services with crypto
Many businesses, including some major retailers, now accept Bitcoin and other digital currencies as payment. This can be a great way to spend your crypto earnings, especially if you’re already interested in the products or services that a particular business offers. Also, by spending your coins, you’re helping to promote the use of cryptocurrency and increasing its mainstream adoption. Likewise, some businesses offer discounts to customers who pay with digital currency, so this is another great way to save money.
Donate to charity

Photo by Tim Marshall on Unsplash
Another option for spending your crypto is to donate it to charity. This is a great way to give back and support causes that are important to you. Plus, it’s a tax-efficient way to spend your earnings, as you can deduct your donations from your taxable income. A good way to find charities that accept cryptocurrency is to search for them on GiveTrack.io.
Moreover, by donating your crypto, you’re helping to promote the use of digital currency and its potential to change the world for the better. Even if you can only donate a small amount, it can still make a big difference.
Save for the future
Finally, one of the best ways to spend your crypto earnings is to save them for the future. This can be a great way to hedge against inflation and ensure that you have money set aside for retirement or other long-term goals. One popular option for saving your digital currency is a hardware wallet like the Trezor Model T.
Nevertheless, with a good investment strategy, you can grow your savings and use them to achieve your financial goals.
There are a few different platforms that allow you to donate your cryptocurrencies to charity, but one of the most popular is BitGive. They work with a number of different charities and have donated over $500,000 worth of Bitcoin to causes around the world.