5 ways to earn crypto rewards in Canada 2022

Posted: 15 March 2022 1:45 pm

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Here are some of the most convenient ways for Canadians to passively earn cryptocurrency.

Sponsored by the NDAX Cryptocurrency Trading Platform – buy, sell and stake crypto in Canada. Staking lets you earn rewards from your digital assets through regular payouts while you HODL. Get a $10 bonus when you open an account and deposit at least CAD$100. T&Cs apply.

Throughout Canada, cryptocurrencies have gained favour as a genuine investment vehicle. With an increased demand for competing services, offers to earn crypto have become more commonplace.

From staking to gaming, this guide will show you some of the most accessible ways to collect rewards on your digital assets in 2022.

Stake crypto to earn rewards

Of all the ways to earn crypto, staking on a reputable crypto platform is likely the most convenient. NDAX is one Canadian platform known for security and compliance that now has staking features.

NDAX’s platform is fully integrated into the Canadian banking system and has helped set the standard for the country’s cryptocurrency industry. With its new offers for crypto rewards, NDAX has introduced Canada’s first flexible crypto-staking program.

You can earn up to 12% APY on select cryptocurrencies by staking them on NDAX – and the set-up is simple. Just select an eligible coin, choose the amount to stake and create your subscription directly on the platform. Currently, NDAX allows you to stake Ether (ETH), Cardano (ADA) and Polkadot (DOT) for varying reward amounts, paid in the cryptocurrency you choose to stake on the platform.

With an intuitive dashboard, you can track the progress of your staked assets in real time. And with flexible plans available, exiting from your positions can take place at any time. Perhaps most importantly, NDAX stores all of the assets staked on its crypto platform in cold storage, providing the highest standards of security found in the Canadian fintech industry.

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Earn browser rewards

You may be surprised to know that you can earn crypto rewards for simply searching for stuff online. A number of Internet browsers (and browser extensions) now offer crypto payments in crypto platform for your engagement.

While the concept of searching the web for free crypto sounds easy enough, keep in mind that you will likely need to complete a sign-up process for the browser service you want to try. You will likely also need a compatible crypto wallet to receive your earned rewards.

The different browsers available have slightly different schemes for earning crypto, so make sure you research their offers to see which one is right for you. Strategies used by browser companies to determine reward levels may include showing advertisements or even requiring you to invite your friends to use the service.

Cashback crypto cards

Another simple way to earn crypto rewards is from one of the many debit or credit cards currently available in the market. These crypto-based cards often reward participants for making purchases and can include generous cashback offers.

Cryptocurrency cards are often licensed through Visa or Mastercard and are used to make purchases at the same retail locations you already frequent. The only difference between them and a debit or credit card issued from a traditional banking institution is that your funds will come from stored digital assets rather than fiat.

The popularity of crypto cards and cashback reward programs have made them widely available to Canadians – so be sure to compare offers since rewards will vary among competitors.

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade. Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

Play-to-earn crypto games

Crypto-based online games have become more abundant in recent years and the opportunity to earn rewards for gameplay has increased alongside them. Play-to-earn (P2E) games like Axie Infinity have helped champion the space, enticing players from across the globe to participate in the chance to attain digital assets with their gaming skills.

The P2E concept is generally based on a free-to-play (F2P) model, but players often must purchase non-fungible token (NFT) avatars to get started. There are usually in-game items for sale as well to help players level up.

By defeating other players in online competitions and making the leaderboards within a chosen game, participants can earn varying reward amounts. These rewards may be traded on the platform for in-game accessories. Alternatively, they may also be tradable on third-party platforms and even cashed-in for fiat.

Decentralized liquidity pools

Providing liquidity to a decentralized crypto platform (DEX) is an increasingly popular way for advanced crypto traders to earn rewards. Despite the increased risks, such as impermanent loss, many traders find the relatively high rewards offered through liquidity pools hard to pass up.

Providing liquidity generally requires a user to lock in 2 different tokens. The actual number of tokens you lock in can be different but the value of both locked-in tokens needs to be the same. The DEX uses the crypto it has gathered in these liquidity pools to help match participants with the assets they desire using a peer-to-peer (P2P) protocol – eliminating the need for a central intermediary. In return for the liquidity provided, a DEX will offer lucrative rewards to its participants.

DEXs have diversified on several blockchains in recent years. However, the most popular network they are built on is Ethereum. With an Ethereum-based DEX, numerous pairings of ERC-20 tokens can be used to provide liquidity and earn participants substantial rewards.

Final thoughts

In 2022, multiple opportunities exist for Canadians to earn cryptocurrency rewards. With varying levels of time and skill required, these mechanisms have diversified along with the market as a whole.

From staking on platforms like NDAX, to providing liquidity on DeFi platforms, the ability to both actively and passively increase an investor’s holdings has helped develop support for this emerging industry. However you choose to participate, the options presented here represent some of the most convenient ways to earn crypto rewards today.

Lead image: Getty

Disclosure: The author owns a range of cryptocurrencies at the time of writing