Emma Nelson 
The cryptocurrency space is plagued with scams, and cloud mining is one of the most common schemes. If you’re not careful, you can easily fall victim. Recently, the North American Securities Administrators Association (NASAA) issued a warning on March 6, 2025, stating that 38.9% of surveyed regulators expect AI-driven crypto frauds to rise this year, with scammers using sophisticated methods to deceive unsuspecting investors.
crypto
Cloud mining, which promises profits by renting computational power, has long been a hotbed for scams. Operators gather funds, make big promises, and then vanish. Many posts on X (formerly Twitter) are echoing frustrations, with users lamenting lost investments in shady platforms. However, there are legitimate alternatives such as crypto staking, which offer transparent, blockchain-verified ways to earn rewards. This article will explore the problems surrounding cloud mining and provide five alternative ways to grow your crypto wealth.
1. Crypto Staking
Crypto staking involves locking your cryptocurrency in a digital wallet to support the operations of a Proof of Stake (PoS) blockchain. By staking, you help validate transactions and secure the network. Unlike traditional mining, which requires energy-intensive hardware to solve complex puzzles, staking is more sustainable, requiring only the commitment of your tokens. Yields depend on the blockchain, staking duration, and market conditions.
OnStaking, founded in 2015, is one of the best crypto staking platforms, serving over 735,000 users across more than 70 blockchain networks. With a total investment of $130 million and 250,000 registered accounts, OnStaking has built a solid reputation for reliability and user-friendliness.
Here are some examples of OnStaking’s staking plans:
| Staking Plan | Investment | Duration | Daily Earnings | Referral Rewards | Total Earnings |
|---|---|---|---|---|---|
| Free Trial Staking | $100 | 1 day | $1.00 | $0.00 | $1.00 |
| POL Staking | $200 | 3 days | $2.50 | $0.00 | $7.50 |
| Chainlink Staking | $1,800 | 11 days | $21.96 | $14.40 | $241.56 |
| Tron Staking | $5,000 | 15 days | $76.00 | $45.00 | $1,140.00 |
| Ethereum Staking | $50,000 | 40 days | $1,185.00 | $1,050.00 | $47,400.00 |
| Avalanche Staking | $160,000 | 90 days | $4,960.00 | $4,960.00 | $446,400.00 |
Key Features of OnStaking:
- Automated Staking: Offers up to 30% APY, much higher than most other platforms.
- Trial Period: New users get a $100 trial, allowing them to experience the platform with minimal risk.
- Referral System: Offers a 5% referral commission for those who share their unique link.
- Security: OnStaking uses established protocols and partnerships, overseen by a global team of experts.
- Flexible Plans: From beginner-friendly $200 POL to $280,000 Ethereum for high-stakes investors.
Staking rewards are paid directly from the network, not from the platform, making them more reliable than the unverifiable payouts seen in cloud mining.
2. Liquidity Pools
Liquidity pools are essential for decentralized exchanges (DEXs) like Uniswap and PancakeSwap. By depositing cryptocurrency pairs such as ETH/USDC into smart contracts, you facilitate trading on these platforms. In return, you earn a portion of the trading fees, typically 0.1%-0.3% per transaction, which can add up to 5%-20% annual returns depending on pool activity.
However, liquidity pools come with risks, such as impermanent loss (when price shifts between paired assets reduce your stake’s value) and vulnerabilities in smart contracts. While liquidity pools don’t have the ease of OnStaking, they offer a legitimate, blockchain-verified alternative for DeFi enthusiasts who want to avoid cloud mining.
3. Yield Farming
Yield farming involves staking or lending your crypto in decentralized finance (DeFi) protocols like Aave or Compound. This strategy offers high returns, sometimes 20%-50% APY or more, through interest payments or governance tokens. It’s a more dynamic and technical method, where you move assets between pools to chase the best yields.
While yield farming can be highly profitable, it also carries risks like smart contract bugs, liquidation during volatile market conditions, and high gas fees on networks like Ethereum. Compared to cloud mining, yield farming’s risks are clear and manageable with the right research.
4. Crypto Savings Accounts
Platforms like Nexo and BlockFi allow you to deposit Bitcoin (BTC) or stablecoins into savings accounts, earning fixed interest rates between 5%-12% APY. Similar to traditional savings accounts, interest is paid regularly, and some platforms offer flexible withdrawals.
While crypto savings accounts offer more stability than cloud mining, returns are lower, and insolvency risk is always a concern. These are safer alternatives for risk-averse investors seeking a more conservative approach.
5. Dividend-Paying Tokens
Dividend-paying tokens like KuCoin Shares (KCS) and VeChain (VET) distribute a portion of platform profits or additional tokens to holders, typically in the range of 5%-15% APY. KCS distributes 50% of KuCoin’s trading fees, while VET generates VTHO tokens as a passive income stream.
Unlike OnStaking’s structured plans, these tokens offer liquidity and flexibility but have more unpredictable returns based on platform performance and market conditions.
Conclusion
With the NASAA’s warning about AI-powered scams, it’s crucial to stay informed about legitimate ways to grow your crypto wealth. OnStaking, with its 30% APY, trial period, and flexible staking plans, stands out as one of the safest and most profitable options. Liquidity pools, yield farming, savings accounts, and dividend tokens offer other avenues for crypto growth but come with varying levels of effort and risk tolerance. In a market rife with fraud, let your crypto work smarter with staking.
