Generate passive income
How can you generate passive income with Crypto like Cardano?
Cardano works with a proof of stake method. This means that when a stake pool creates a block, this pool gets a reward for it. This is a process in which the computer solves a digital code. The reward is paid in ADAS.
This reward is distributed among the stake pool owners and the people who have delegated their coins to the BMP pool. A percentage also goes to charities.
The rewards are on average 5% of the assets you have delegated on an annual basis. This fee is automatically credited to your wallet every 5 days.
The beauty of this system is that the reward is paid in ADAS instead of euros. This means that when ADAS become more valuable, so do these rewards. The coins you delegate remain yours at all times.
Step 1. Create a digital wallet
To keep cryptocurrencies safe, you need a digital wallet. This wallet is well secured by means of codes that you keep offline in a safe place. We use a Daedalus wallet to store Cardano coins. The big advantage in addition to safety is that you can immediately receive compensation by staking your coins.
- Download the free software program here https://daedaluswallet.io/#download
- After downloading, run the installer and install it on the computer;
- Create a new wallet after the application is installed.
- You do this by pressing the + (create) sign.
- You will then be presented with a 24-word recovery phrase. Write it down and keep it in a locked place. If you lose it, you can no longer use your wallet. Don't leave this on your PC or phone
- After you create a wallet, you need to create a recovery phrase. If you forgot the password, you can use the recovery phrase to access your wallet. Remember never to share this sentence with anyone.
- After these steps your wallet will be synced with the blockchain
Step 2. Trading Platform (Exchanges)
What is a trading platform?
A trading platform is a platform where you can buy and sell digital crypto coins for, among other things, euros. We use a Dutch platform called Bitvavo. This is a safe and easy-to-operate platform. You can create a free profile there via the link below. https://bitvavo.com/?a=F9D84DD267
international trading platform
Step 3. Deposit money to the trading platform
Via the link below you will find an explanation about depositing money to the trading platform bitvavo.
Step 4. Purchase Cardano ADAs
Step 5. Send ADAs from trading platform to your wallet
At the receiving address you can enter the deadalus receive address.
Step 6. Delegate ADAs to BMP pool
- via daedalus open daedal loop;
- Click on the three dots on the left bar;
- Click on stake pools;
- Type BMP in the search bar;
- Click on the logo and click on delegate to this pool;
- Select your wallet, click continue twice; Enter your spending password and press continue;
- You are now ready.
Step 7. Receive Cardano rewards
Waiting for first rewards (end of current epoch + 3 epochs) this takes at least 15 days before you receive the first coins. Via the daedalus menu three dots you can see when your rewards are deposited.