Unless you haven’t been around then you’ve probably heard about Bitcoins and other cryptocurrencies. These digital assets have permanently changed the way we think about money and even finance.
And given the unregulated, decentralized nature of cryptocurrencies, prices have been volatile to say the least. This extreme volatility is both a bane and boon for crypto enthusiasts and investors worldwide. Sudden changes in prices mean that prices can change suddenly with no warning and fortunes can be made and lost overnight.
Naturally, this has caused people to start looking for ways to invest in Bitcoin and cryptocurrencies without risking their investments.
Therefore, how can this actually be done? Of course, it can, and that’s by making use of what we call a Bitcoin faucet.
What Are Bitcoin Faucets?
So, what is a Bitcoin faucet? Simply put, Bitcoin faucets are platforms or websites that distribute the cryptocurrency for free (in a way). In return for completing a simple task such as watching videos, playing games, or answering a survey, users are rewarded with a small number of Bitcoins. These are known as Satoshis, i.e., the smallest possible denomination for Bitcoins.
5 Reasons Why Bitcoin Faucets Are So Popular
1. They Give You Free Bitcoins
Given how risky investing in Bitcoins and other cryptocurrencies are, investors are naturally reluctant to lose all of their capital. Hence, visiting a Bitcoin faucet gives them the opportunity to collect BTCs without having to risk anything.
Faucets were originally started by crypto enthusiasts looking to generate interest for digital currencies i.e. think of faucets as airdrops. By offering Bitcoins for free, enthusiasts wanted to entice new takers to the cryptocurrency.
And since then, Bitcoin faucets have become a mainstay of the crypto scene. While the amounts given out have lessened (for obvious reasons), smaller-scale faucets are still being maintained.
Despite the inherent volatility of Bitcoins and other cryptocurrencies, there is still a strong demand for the asset. And while the amounts collected from faucets are small, with time and patience, you’ll be surprised by how much BTC you can collect.
2. Faucets Are A Fun, Easy Way To Collect Bitcoins
Investing in Bitcoin requires you to fork out and risk a significant amount of money. In stark contrast, collecting Satoshis from a Bitcoin faucet while slow is entirely risk-free.
And as an added plus, faucets often encourage visitors to play games, answer surveys, or watch advertisements to collect their tokens. This is an easy and sometimes fun way for a person with some extra time to get their hands on some of that sweet, sweet crypto.
3. You Can Farm Faucets For Crypto
Bitcoin faucets pay out a fixed amount of tokens every day, meaning that it can take some time before your holdings reach a significant amount.
Because of this, some folks have taken to visiting several faucets during the day to maximize their returns. This is sometimes known as farming faucets and while quite time-consuming can yield surprising amounts of cryptocurrency.
But, Keep The Following In Mind
At a glance, crypto faucets look like a surefire way to collect as much Bitcoin as you can. But the reality isn’t as optimistic. That’s because:
Some crypto faucets are scams. Given how popular Bitcoin and other cryptocurrencies have become, some scammers have taken to using crypto faucets as a means of luring unsuspecting victims. As a result, visiting a false site may inject ads into your browser or install malware on your computer.
The amount collected is small. Bitcoin faucets are called just that for a specific reason — the amount of cryptos paid out is extremely tiny. This means that you have to invest significant amounts of time and effort into visiting faucets for them to have any effect.
Most crypto faucets require minimum balances. This is done to prevent abuses which means that if your balance is below a preset amount, you cannot withdraw any of your earnings from the faucet.
Closing Thoughts
While they do have their fair share of drawbacks, crypto faucets are a great way to begin exploring the world of cryptocurrencies.
So, as with all cryptocurrencies, always do your own research and only invest what you’re prepared to lose.
