How To Make Money With Smart Contracts

Smart contracts or you can say blockchain based codes are in demand these days there are many opportunities in the crypto market from where the professional programmers can earn massive amounts of money. In today's topic we are going to learn how to make money with smart contracts, i will try my best to keep it easy and explain every possible way of earning money with smart contracts.

What is Smart Contract

Smart contract is basically a simple executable program on the blockchain which operates automatically on the user's inputs. Smarts contracts are self-executable programs that play an important role on the blockchain for providing the decentralization, as the program is self-executable the involvement of the central authority on the users input is not required so users can freely operate with the smart contract to obtain its output. Smart contracts are basically used in the Dapps (decentralized application) and DeFi protocols. The inputs and actions of the user on the smart contracts generates the decentralized output and blockchain verifies the results generated by the Smart Contract rather results are appropriate according to the users demand or not, in case of any error Blockchain terminates the user request and smart contract call fails . This might be due to user input or smart contract limitation. There are two types of the Smart Contract.

Open Source

Open Source smart contracts are blockchain based smart contracts which are fully open source which means their code is visible to everyone and any auditor can verify the code of the smart contract. These types of contracts ensure the maximum transparency in their system. These contracts fall under the open source license which means anyone from us can modify the code, copy the code, and verify the code. Dapps and DeFi protocols use such contracts to ensure transparency to their users.

Close Source

These are types of smart contracts under the open source smart contracts where the source code of the close source smart contracts is not publicly available. These contracts are used by the different organizations for their private use case. The problem with the close source smart contracts is the verification or auditing as individually nobody can verify the contract which makes it unworthy to trust. We can't find the bugs and involvement of the organization because it is unknown. 

How to make money with smart contracts

There are many ways to make money with smart contracts but as we are here to answer the question “ how to make money with smart contracts” in every way so i am going to have a brief explanation on each and every method from where we can work as a profession with smart contracts.

Smart Contract Development

Smart contract development first of all let's discuss in short what is smart contract development;
What is smart Contract development

Smart Contract development is the process of writing or developing a self-executable program for the specific purpose. If you are familiar with blockchain coding then by following the few steps you can easily create a smart contract. The primary requirement is your requirements then writing code and then Bugs, testing and then deployment. Long story short is if you are familiar with the Solidity on ETH network you can create smart contracts on the ETH network.

How to Make Money with Smart Contract Development

If you meet the above requirements then it's easy for you to make money by smart contracts developments.

  • First of all, as you know how to develop the smart contract you can contact the already developed blockchain projects as the technical advisor for their system and the chances of the acceptability are high as you are already familiar with the Smart Contracts.
  • Secondly, you can create your Dapp or DeFi protocol on the blockchain. It requires high qualification, you need to find a team , then fundraising and then marketing but the end results are going to be crazy. You can be the contributor and Shareholder of Crypto market.
  • You can work as the developer with any project and get paid for developing their smart contract, the easiest and most effective way to make money with smart contracts.
  • You can sell your developed Dapps and Defi protocols directly to the projects .

So here is ending our first method for how to make money with smart contracts.

Smart Contract Deployment

Smart Contract deployment is another effective way to earn money with the smart contracts in this method. Lets understand first what smart contract deployment is.

What is Smart Contract deployment?

Smart contract deployment is the second step after smart contract development in this phase the developed code of the smart contract is deployed on the blockchain and makes it available for the primary execution then debugging, block to block testing and the efficiency of the smart contract is checked. The important past of smart contract deployment is providing the hosting to the contract which is offered by different public blockchain as ETH, DOT, BSC and FTM. In the deployment phase, according to the type of the smart contract the hosting is selected, the client may choose private hosting.

Ways to Earn with deployment process

  • You can offer the deployment services to the clients who are actually not familiar with the smart contract deployment on the blockchain.
  • You can provide the Hosting service to the client for their project deployment which will be effective for the client as he can directly avoid technical aspects of the hosting contract and you can charge him for your provided services directly.
  • You can work as the Blockchain advisor for the clients by directly consulting with them and providing better suggestions for their project deployment and indirectly you can work the bug detector while the contract deployment in both cases you can charge the client directly.

Smart Contract Verification

Smart Contract verification is the final step towards smart contract development and it also offers many earning opportunities. Let's take a quick look at smart contract verification.

What is smart contract verification

This is the final step where the smart contracts execution is tested whether its working fine or not and in this step the efficient and throughput of the smart contract is measured. Contract verification phase is called the Testnet or Beta phase of the smart contract.

How to Earn with Smart Contract Verification

As we now know what smart contract verification is, we can look for the next phase of how to make money with smart contracts.

  • Offering Testing Services to the client directly
  • You can audit the open source smart contracts and even contact the organizations to test their private contracts for the debugging perpouse.
  • You can create the smart contract verification tools and then sell them to the clients for the future purpose.
  • By participating in the Bug detecting bounties, after the deployment of the contracts the organizations offers the bugs bounties to the auditors and reward tem massive amounts you can try your luck there too.

Smart Contract Courses

  • Smart Contracts offer many opportunities to earn money but a long run way is providing education to the new developers, who want to learn how to create contracts and how to deploy them after that verification process.
  • There are many ways to provide education to new developers. You can launch your own smart contract development course and charge fees on teaching them. You can also collaborate with the different virtual schools and universities where you can work as the Blockchain development teacher and in return the organization is responsible for your fees.
  • This was the first view where you know about the smart contracts. If you don't know about the development of smart contracts, there is a solution: find out the value for money smart contract development course and learn how to create smart contracts and all the process then you can find a long life opportunity from the above mentioned methods. 

Smart Contract for Trading/ Yield Faring and Governance

First of all learn about what is a smart contract for trading, yield farming and governance. Then we can have a brief look into how to make money with smart contracts.

Smart Contract for Trading

Smart contract for trading is also known by the name of Decentralized Exchange protocol where users can trade their assets with involvement of the third party central authority. This type of smart contracts are called DeX Dapps. The maximum Dexs protocols have the same layout and code; this is the reason their source code lies under the open source contract because the DEXs are public tools; their transparency is important for these reasons open source license is used in such smart contracts.

  • Drawback for such smart contracts is as maximum protocols of DEXs have the same code the scam protocol may exist because anyone can copy the code and create a dummy DEX to trap users so be very careful while using the DEXs.

Smart Contracts for Yield Farming

We can consider the Smart contract for the Yield farming as the Sub application under Smart Contract for DEXs. In yield farming the users can provide the liquidity to the DEXs and earn returns on the transactions done of the DEX. This tool is another DEFI tool where passive income generation might be possible. Smart Contracts for yield farming allows the safe and secure way to provide liquidity to the DEXs the liquidity providers are known as DAOs.

Smart Contract for Governance

Smart Contracts for the governance tokens means the smart contract deployed on the blockchain to sign the utility token, its complete specifications such as  Token Numbers, Token circulation and everything related to the tokenomics. Governance smart contracts allows the stakeholders to interact with the ecosystem in a decentralized manner. Stakeholders are the token holders of the ecosystem. More you hold, the more voting power you can own.

How to earn money with them

We can earn money with the above mentioned smart contacts. There are several ways to earn money with them.

  • You can create your own Dapp for the Decentralized exchange and then earn money in terms of trading fees from the Dapp.
  • You can make money by providing the liquidity to the DEX which comes under the yield farming and it's the most easy and high paying passive income generation model.
  • You can create your own ecosystem and provide the governance token for the utility of the ecosystem and then you can be the shareholder of the total ecosystem capital.
  • You can earn money by creating all of these smart contracts and then selling them directly to the Clients, its the most easy way to be in contract development as the Source code is open source for such Dapps and there is no need of long term planning and creating models and developing codes you can copy the model directly from existing contracts.

Ending Words

The future of blockchain development is bright and smart contract development is the most demanded field in the crypto market. There are several ways to earn money with the smart contracts development and deployment and many other ways. Now things are clear how to make money with smart contracts. My recommendation to the users is learn if you don't know how to develop smart contracts and then jump into the smart contract development, deployment and verification methods to earn massive income and it's a long term opportunity. Hopefully you will find the article helpful don't forget to share it with others.

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