How to Generate Passive Income with Cryptocurrencies

Savings, Lending, Staking & Farming with CeFi & DeFi

Col Jung
24 min readJul 9, 2021
A strong passive income can liberate you to live the life you want. Image credit: SHansche (Getty Images) (Fair Use)

Edit: See my YouTube channel for crypto passive income videos.

Why let your hard-earned dollars languish in ordinary bank accounts when you can grow them at 5–15% just by converting them to stablecoins?

The secret sauce of financial independence is the power of compound interest.

In this article, I’ll give you a guided tour of how to generate passive income across all corners of the cryptocurrency space, including:

  • Saving USD, BTC & ETH on BlockFi, Celsius & Nexo (5–10% APR);
  • Lending ETH, MATIC and AAVE on Aave Polygon (4%+);
  • Staking crypto in DeFi using Uniswap & PancakeSwap (5–1000%);
  • Farming on ETH and Binance Smart Chain & staking in LP vaults (for up to 20,000% APY)

There are opportunities that cater for all experience levels and risk profiles.

My sources of cryptocurrency passive income. I invest across all corners of the crypto space partly to diversify away a set of varied risks. Note: The “Crypto earned” column is indicative for my own portfolio only. These blockchains & platforms are capable of earning wider variety of tokens than shown. For instance, BlockFi & Celsius supports 13–38 cryptocurrencies alone, even though I’m using them exclusively for BTC. The possibilities explode once we get into DeFi. Image by author


New to cryptocurrencies? I have guides here, here, here & here.