🤑 Sorry, I Turned Off My Bitcoin Faucet (Because Money) - CoinDesk

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The revenues were substantially lower and the ad quality was more often than not very poor. In May , Google banned my faucet from the AdSense program. Other alternatives to faucets Aside from the classic bitcoin faucet approach, there are many other sites that are doing something similar but not identical. Faucets are unique in that they represent the first time we can distribute mass micropayments with relative ease and this is something that can serve many online platforms. Almost three years later, on Oct. Back then you have to know a little bit of code, but today there are various faucet plugins out there for WordPress that you can use including one by 99Bitcoins. This means that Google would show its ads on the faucet and I would get paid by them at the end of the month. Read more about Disclosure The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies.{/INSERTKEYS}{/PARAGRAPH} The first faucet was actually created back in as a way of giving people free bitcoins to spread the word about it. The more tickets you have the better your chances of winning. First Mover. But the story was far from over. Eventually, in September of this year I decided that the faucet was taking too many resources from our company payments, development, customer support and we shut it down on October 8. Casey Jul 3, Latest Opinion Features Videos Markets. Also, since we were maintaining our crypto faucet plugin for WordPress, I needed a working faucet to see it was working properly. Why did I do this? This was a devastating blow to my main revenue stream and I had to find alternatives. A poker site where you play for crypto and you get additional funds for staying a long time on the site. Sign Up. Of course, in the beginning, there were only bitcoin faucets but today there is a faucet for almost every major cryptocurrency out there. This helped prevent spam requests and also added an additional revenue stream. In order to make a decent profit, I had to use pop-ups and promote spammy products. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. Somewhere around March I removed the ads completely and decided to run the faucet at a loss. Back then it was still unclear to me if this was allowed by Google but I took a chance and decided to check it out. The faucet was a good testing ground for various business models. I will just give you a short breakdown with references to the original posts. A virtual game where you mine bitcoins and can withdraw what you mined. Once banned from AdSense, I set out to find other ad networks that would supply a good revenue stream. Here are some examples:. It works as follows:. Here are some examples: Instead of earning a set amount of satoshis on each visit you can buy a ticket to a lottery. A lot of people are asking if running a faucet is still profitable. Faucet image via Shutterstock. For example, there are already lightning network implementations in place. News Learn Videos Research. Becoming profitable Initially, my main source of income was Google AdSense. If that specific coin suddenly appreciates drastically in price just like bitcoin did at the end of , you end up paying a lot more than you intended. Turning off the faucet Somewhere around March I removed the ads completely and decided to run the faucet at a loss. Is owning a faucet still profitable? My first step consisted of actually building the faucet. Use different types of coins — I ran only a bitcoin faucet and it made it hard to keep up with the rising exchange rate. I recently made my complete revenue documentation public so you can see my exact calculations here. The downside with these types of projects is that usually, you have to code them from zero. You may not believe it, but back then that faucet gave out 5 whole bitcoins for each new visitor. But the fact that faucets like Moon Bitcoin or Bonus Bitcoin are still around and have been for a very long time shows that the business model is viable. The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. The fact that cryptocurrency fluctuates a lot in price makes it hard to determine a fixed amount in crypto you want to pay users. Aside from the classic bitcoin faucet approach, there are many other sites that are doing something similar but not identical. After some additional tweaking to the site, I managed to earn a few hundred bucks a month with it. Cryptocurrency Markets. What are cryptocurrency faucets? I think that today, in order to stay profitable with a faucet, you need to: Promote shady offers that accept traffic from less attractive countries and that generate good revenue mostly because they rob people who use their service from their money. Every day or so someone wins the jackpot. Throughout its history, the faucet paid out over Faucets are a type of website that work on traffic arbitrage. Most of the major faucets I know of are no longer around. Mainly, what should be the time interval between user payouts and how much should I pay each time? Initially, my main source of income was Google AdSense. Ads are placed on the site for revenues. Blockchain Bites. {PARAGRAPH}{INSERTKEYS}Ofir Beigel is the general manager of 99 Bitcoins, an informational site for newcomers to the space.