Bitcoin and the cryptocurrency industry continue to thrive in Nigeria. In this race to stay on top, Bitcoin faucets became a new trend for Nigerian investors to earn and grow their investments.
At Crypto in Afrika, we explain what Bitcoin faucets in Nigeria are and how they work. If you want to stay ahead of the crypto craze in Nigeria, keep reading to learn more.
What is a Bitcoin faucet?
A Bitcoin faucet is a way of incentivising people who maintain Bitcoin faucet apps or websites. According to CoinGeek, the Bitcoin faucet was developed by Gavin Andersen in 2010 for BTC users who solved a captcha.
So many people are intrigued by these websites and mobile apps because they reward Bitcoin like ‘Satoshis’ for finishing small tasks. ‘Satoshis’ are a smaller value of Bitcoin equal to about one-millionth of a Bitcoin, hence the term ‘faucet’ because they’re like small drips of water coming out of a faucet.
Activities that earn from Bitcoin faucets could be anywhere from completing captchas, watching promotional videos, or testing a game. Once the activity is completed, corresponding amounts of crypto are deposited into the user’s Bitcoin wallet.
Are Bitcoin faucets legitimate?
The idea of a Bitcoin faucet giving out 5 BTC for doing simple tasks sounds unbelievable today, but the amount given back then corresponds with its value.
Bitcoin faucets are real, and some exist for promotional and research reasons. As an example, the captchas people provide help automobile researchers define what a stop sign is for Artificial Intelligence (AI).
How Bitcoin faucets work
You may still be sceptical about how Bitcoin faucets work, and that’s understandable. To demystify how these faucets work, here’s a step-by-step guide:
1. Making your account and registration
First, users like you have to look for a Bitcoin faucet website that offers various tasks. Some of the most recommended web-based Bitcoin faucets are Bitcoinker and Cointiply. Once you find a reputable platform, register to create an account and input your information, such as a password, email, and crypto wallet address. Once registered, check the confirmation email sent to your email.
2. Completing tasks
After creating an account, browse the variety of tasks open on the site. One of the challenges users encounter is picking a task worth the value of the reward. The amount you earn depends on how easy or difficult the tasks are, so research beforehand. Once a task is completed, submit and exchange your output for rewards.
Although Bitcoin was among the first crypto faucet rewards, other cryptos are now being offered, like Ethereum and Litecoin, for the completion of these tasks.
3. Claiming rewards
In the Bitcoin faucet process, a machine or algorithm checks the submission of tasks and stores it as data for an organisation’s use. Afterwards, you receive the incentives or ‘Satoshis’, a smaller Bitcoin value.
4. Withdrawal
The next step is to withdraw your payouts in the value of Satoshi. It’s worth noting that some Bitcoin faucet platforms have withdrawal limits or limits on the number of tasks a user can finish.
Benefits of using a Bitcoin faucet
Let’s look into why many people participate in Bitcoin faucets. Here are some of the well-known benefits associated with it:
1. No investment is required
One of the benefits of Bitcoin faucets is there is no investment required. You don’t need to have an existing amount of money or Bitcoin because all you need is to accomplish tasks. This low requirement to participate is what makes it a popular choice for people looking to join the crypto market.
2. Fast and easy
The best Bitcoin faucets websites and platforms usually feature simple jobs, have good rewards, and are secure. Some of these tasks are to finish surveys, solve puzzles, complete captcha tests, or give feedback on an advertisement. All of these tasks are relatively simple and only take a few minutes to complete. The simplicity of tasks, time spent, and rewards are what motivate many users to join Bitcoin faucets.
3. Can be used for educational purposes
Many people who are interested in learning about crypto and blockchain technology see Bitcoin faucets as a great opportunity to dip their toes into the market and have some for themselves.
4. Can be used as an alternative source of income
Crypto users who are interested in earning passive income in Nigeria see Bitcoin faucets as an easy way to earn larger rewards for their time spent.
Since tasks are easy, it will take you only a few minutes to complete them and earn a reward. As a result, users can accomplish more tasks and earn a better payout at the end of the day as another source of income.
5. Introduction to other cryptocurrencies
Since Bitcoin faucets are popular and easy to use, this motivates many other active users to try alternatives such as altcoin faucets. These altcoin faucets can serve as introductions to other cryptocurrencies like Ethereum, Litecoin, and Dogecoin to new crypto users. This helps expand their knowledge of the various cryptocurrencies, maximise their assets’ potential and earn a wider variety of rewards.
Risks and drawbacks of using a Bitcoin faucet
If you don’t have the time to dedicate to trading digital assets, Bitcoin faucets provide availability and are great alternatives to growing your investments. It’s the reason for its growing popularity among crypto users.
However, risks are also involved, as these faucets can become a target for scams and frauds. As a relatively new trade in the crypto market, information on it is still limited. For example, Bitcoin faucet generators have been found to lead to scam pages that ask for personal information.
Additionally, long-time users of these platforms warn new users to carefully read through the technical terms and conditions of Bitcoin faucets and to choose only reputable platforms. Regarding investments like this, the best way to avoid scams and phishing is to verify the site you’re using and ensure your accounts are encrypted.
Start earning Bitcoin with Bitcoin faucets
Bitcoin faucets are an exciting way to dip your toes in crypto investing. If you’re looking for a quick way to earn Bitcoin, consider finishing tasks from reputable and safe Bitcoin faucets. These tasks are easy to accomplish, especially if you’re experienced in site maintenance and management.
FAQs
How do Bitcoin faucets make money?
Bitcoin faucets make the most of their money by partnering with research firms and corporate organisations. These groups fund the platforms and rewards given to users.
Is faucet Bitcoin cash legit?
Bitcoin cash faucet is legit. Although some people have stated that these crypto faucets are prone to scams and can be too good to be true, the user must be vigilant of the platforms and selective of the tasks they complete.
Are Bitcoin faucets in Nigeria profitable?
Although not as profitable as investments, Bitcoin faucets can still be profitable if the user has enough patience and if they’re willing to spend the time completing tasks. This is a good entry-level for Nigerian investors who are starting in crypto.
Why do people use free Bitcoin faucets?
These platforms feature simple tasks and offer Bitcoin faucet instant payout. This is why some people prefer these Bitcoin faucets. It’s a great way to earn Bitcoin without mining.
What is a good BTC faucet?
A good BTC faucet will have simple tasks, good rewards, and a good reputation among crypto users. To have a good reputation, the platform must be secure and safe to use.
What are the types of crypto faucets?
Some of the most popular crypto faucets are Bitcoin faucets and altcoin faucets. Other types include faucet game Bitcoins and Bitcoin faucet miners. These faucets will require different information or tasks to be done by a user, so make sure to verify what’s being asked.
What is the highest-paying Bitcoin faucet?
According to Cryptalker, some of the highest-paying Bitcoin faucets are Freebitco.in, Bitcoin Aliens and Moon Bitcoin.
