Don’t just HODL: Create cash flow with crypto to beat volatility

Cryptocurrencies present many ways to make money, but they also introduce a volatility risk. Creating cash flow with crypto is essential to avoid extreme price swings and sudden market downturns. CakeDeFi, through its plethora of solutions, makes the revenue generation process much more straightforward and accessible.

Crypto Volatility Remains an Issue for Many

It is appealing to invest in cryptocurrencies and wait for prices to go up to pocket a profit. Consequently, the price swings in this industry generate numerous media headlines, for better or worse. When markets are bullish, there is tremendous profit potential. However, the bearish periods pose a different set of problems, as it can take weeks, months, or years for the markets to recover.

To counter this constant volatility, it is pertinent to look into creating cash flow with crypto assets. There is no point in making assets burn a hole in your wallet when one could use them to unlock additional revenue. Offsetting volatility through extra earnings is an excellent way to reduce the volatility risk and continue to seek price exposure over more extended periods. No market can go up indefinitely, and it is best to prepare for when the markets sour.

Many people assume the path to becoming rich with crypto is a breeze. The reality is very different, as there will be numerous periods of bearish pressure, sideways trading, and increased volatility. Those developments become less of an issue when putting assets to work through DeFi, as the cash flow will remain active. There will always be money to be made through lending, staking, and providing liquidity in this industry.

Thankfully, there are numerous options for creating passive revenue with crypto today. The advent of decentralized finance (DeFi) enables users to unlock cash flow with crypto through various means. Putting one’s crypto assets to work is always best, as the user retains long-term price exposure without selling their assets.

CakeDeFi Provides Multiple Cash Flow Options

Through platforms like CakeDeFi, exploring opportunities in decentralized finance becomes much more straightforward. But more importantly, the platform enables users to acquire their first digital assets – and even decentralized assets that mimic the price of real-world assets, among other things – to explore the numerous opportunities to generate cash flow with crypto. Additionally, the platform provides a predictable source of passive income through its transparent approach.

Via staking, lending, and liquidity mining, users can put their crypto to work. Every option has benefits for those who seek long-term passive income streams. Moreover, CakeDeFi provides very high returns on every opportunity, enabling tremendous return on investment for those who have patience. If your goal is to gain long-term crypto exposure, putting assets to use through staking will help grow your portfolio and reduce the risk of becoming a forced seller.

The same applies to borrowing, which can provide desirable APRs for users. As users lend out their existing crypto assets, they retain price exposure to said asset and earn rewards through a passive cash flow. The final option, liquidity mining, requires a slightly different approach but can offer returns of hundreds of percent annually. CakeDeFi provides the necessary tools to explore those options with ease, ensuring users can tap into their preferred cash flow with crypto today.

Rewards through CakeDefi surpassed $230 million in 2021 and could potentially reach as high as $1 billion in 2022. More people seek active exposure to decentralized finance opportunities through this platform, as an APR of 21% or more is appealing. Lending is the least risky option from a volatility viewpoint but offers lower returns than staking or liquidity mining.

Image: Pixabay

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