How to Invest in Bitcoin & Crypto Currencies FAST
Invest in Bitcoin and Cryptocurrency. Start profiting from this huge opportunity.
If you’re wondering what’s going on with Bitcoin and cryptocurrencies and how you can make money from it, you are in the right place.
If you don’t want to risk too much but still getting early and can have piece of the action, make sure to read this blog ‘till the very end because I’m going to show you how to invest in Bitcoin and cryptocurrencies fast. I’m also going to show you how to set up a simple Bitcoin portfolio with as little as a couple of hundred dollars.
So, let’s dive right into it because I want to show you how you can start profiting from this huge opportunity as soon as tonight.
First things first, here’s what you need…
You need a couple of hundred dollars or more ideally. You will also need a wallet. And this is not a wallet in the traditional sense, I’ll explain this later.
Next, you need an exchange account. You only need this if you’re planning to make investments in coins in currencies other than Bitcoin. If you’re just planning to buy Bitcoin, you don’t need number an exchange account.
Step 1: Wallet
You have to get a wallet. What’s a wallet? A digital wallet is a similar concept to a wallet in real life so to speak. It’s a device where you’re holding your money, your currencies.
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And so you have a number of digital wallets. There are virtual digital wallets and then there are hardware based or you know, physical material digital wallets and I’ll explain in a second.
The first type is desktop wallets. This is a piece of software that you install on you computer on your Mac, laptop whatever, and it will contain your Bitcoin and your other currencies. It will have a number of secret keys, I’m not going to go into too much detail now, and essentially, it’s like having money on your desktop. It’s a piece of software. And you can also take this piece of software back it up and then move that money from one device from one computer to another for example.
You also have online wallets. And, what online wallets are is essentially you have some login credentials so username and a password onto a website. There’s nothing that you have to download or install on your computer and you logon to the website and you’re money is stored there. The most popular of these online wallets, and they are free by the way, is Coinbase. You can go to https://8020research.com/cb for Coinbase and that will take you to the Coinbase website. If you open an account through that link and you buy at least a hundred dollars’ worth of Bitcoin or about £75, then Coinbase will credit you and us with an extra 10 dollars’ worth of free Bitcoin.
The online wallets are essentially cloud based wallets where you store your money and you can access your wallet from anywhere you have an internet connection. There are mobile wallets. This is an app, it’s a piece of software that you install on your mobile device and that stores your money. It’s the same thing as a desktop wallet except that instead of installing a piece of software on your computer, you are installing a piece of software an app, on your mobile device.
Then there are hardware or “cold” wallets. These look very similar to a USB key, and your coins. Your Bitcoins, your cryptocurrency is stored on that physical piece of hardware. Think of it as a USB key. The advantage of this type of wallet is that it cannot be hacked. In theory, a virus could hack into your computer, onto your mobile device and steal your Bitcoin, your currencies. In theory, someone could hack into these online wallets and steal Bitcoin. With hardware wallets, you physically need to have that piece of hardware, that physical object to be able to access your money. In that respect they are very safe.
Now the flipside of that, unless you take a very specific precautionary measures, people could also steal your hardware or your cold wallet in the same way that if you have a lot of money stored into a suitcase at home for example in theory someone, a thief can steal pile of cash from you.
And finally there are paper wallets. These are perhaps the most old school and I definitely wouldn’t recommend paper wallets. It pretty much involves you writing your private key onto a physical piece of paper. So let’s kind of take a step back here, essentially in the cryptocurrency world, your wallet is not identified by your name and an account number and some kind of routing or sort code, that’s how banks work. You have a name, an account number and some type of routing or sort code number and that’s how someone can send you money. When it comes to Bitcoin and cryptocurrencies, there’s none of that. All there is, is one public receiving key.
What is the public key? It’s a very long series of unrelated letters and numbers and that identified your wallet. So whoever has access to that key, is able to send money to that wallet. And, no one really knows who that key belongs to. And most importantly, in order for you to access that money, you need to have a private key that allows you to access the wallet. So that public key is what people use to send money to the wallet, the private key is what only you know and you use that to take money out of the wallet and send it elsewhere for example.
Or you could do, in theory, is take the private key and physically write it on a piece of paper and whoever has access to that piece of paper has access to the wallet and has access to the full funds. A very important distinction here is that in the normal fiat currency and banking world, if you lose your bank account number and details, you could walk into a bank and say, “here’s my ID, here’s my proof of who I am, give me access to that money.” So the bank will identify you as the legitimate owner of that bank account and give you access to it.
When it comes to Bitcoin and cryptocurrencies, there’s no such concept, so, if you lose the private key which is what gives you access to the wallet to do transactions on it to take money out, if you lose that private key, then you have lost your money, you’ve lost your wallet, there’s no one or no institution you can go to and say “Hey, my name is Joe Smith, that wallet is mine, give me access to it.” So that’s very important.
Step 2: Buying Bitcoin
Once you’ve got a wallet, how do you get Bitcoin? You can use the same site that I recommended earlier, Coinbase, like I said if you sign up through the link we both get $10 as soon as you purchase a hundred dollars or more worth of Bitcoin.
They may ask you to upload documents under a procedure called KYC or know your customer is a fairly standard procedure for any type of financial institution, they will typically require at least a copy of your passport or some type of I.D. It’s just to make sure that they are dealing with who you say you are and to make sure that there’s no money laundering or any other type of illegal activity involved.
Once that’s done, the account is free so you’ve got your free account. Now you’ve got your free account with Coinbase. Next is, how do you go about purchasing the Bitcoins. You can purchase your Bitcoins through a debit or credit card, if you choose to do that then the site will charge you an additional fee which is the fee that the site itself have to pay the credit card company for processing the payment, it’s typically between 3% and 4% or your can do it through a direct bank transfer in which case, either no fees or very little fees. So you choose a dollar amount or Euro or Pound amount you want to buy, and then immediately you will have purchased the desired amount of Bitcoins.
A Bitcoin price will vary depending on when you’re reading this who knows what the price will be, how high it would have gone. It’s currently very roughly between $6000 and $7000 so that’s 1 Bitcoin.
If you want to but Bitcoin, you don’t have to buy a whole Bitcoin. Bitcoin is a highly fractionable currency so that means you can buy very small fraction of a Bitcoin for just a few bucks. Don’t let the big Bitcoin price scare you, it’s not like for example, if you’re buying Amazon or Google shares, that take or give thousand dollar stocks or you need to have at least a thousand dollars to buy at least 1 share of the company. With Bitcoin you can buy very small fractions.
One more important thing is to check, double check, triple check the address. Coinbase will give you a public address a series of letter and numbers they may not make a lot of sense initially. Whenever you use this, make sure to copy paste it and make sure that you check that it’s the right address. If you’re sending money to the wrong address, that’s it there’s no way of getting that money back, you’ve lost money. There’s no way of getting that money back.
A quick hack that I use is obviously these are very long numbers and it’s very difficult to check everything, but at least check the first couple of letters or numbers and the last couple of letters. If you want to invest in Bitcoin, that’s as far as it goes. You’ve purchased a certain amount of Bitcoins, and then whenever you think is a good time to sell maybe because the price has gone up, then you just follow the same process.
You go on Coinbase, you sell Bitcoin and then Coinbase will convert those Bitcoins into dollars, euros or pounds or whatever you tell them to, and then you can withdraw that money to your bank account or sometimes also to your credit card.
Step 3: Buying Altcoins
That’s what we’ve done so far. We’ve purchased Bitcoin through Coinbase in this example and then we have kept it in Coinbase itself in the sense that Coinbase also doubles as an online wallet. And that’s where you want to stop if you just want to buy and hold Bitcoin. End of story. Nothing else to do. You can if you want, take that Bitcoin out of Coinbase and send it into another wallet. You could decide to send to your mobile wallet, to your hardware or cold storage wallet etc.
What if you now also want to start investing in other cryptocurrencies? You want to hold Bitcoins possibly and also Altcoins. Altcoins are other cryptocurrencies. Altcoins stand for alternative currencies or alternative coins. The process is pretty much the same. We buy Bitcoins through Coinbase for example, instead of keeping those Bitcoins in either Coinbase as an online wallet or any other type of wallet, we need to send those coins to an exchange.
An exchange is a website where people can exchange coins for one another. What you would do for example is you would open an account with an exchange say Bittrex, and by the way, I may in the future record some step by step video tutorials on how to open an account with Coinbase for example with Bittrex with a number of other platforms and exchanges. Let me know that that is something you’d be interested in so I can make sure it’s prioritized and it gets done as soon as possible.
With that said, you would open an account with an exchange say Bittrex and then we need to transfer the Bitcoin that you have in Coinbase to Bittrex. Why? Because we need to exchange, if you want to buy Altcoins other cryptocurrencies, we need to exchange some of that Bitcoin or all of it to other cryptocurrencies.
How do we get our Bitcoin from Coinbase to Bittrex? As you open an account with Bittrex, they will give you automatically a public key. A public wallet address or ID. In the same way that you have a public wallet ID with Coinbase, you would have a public wallet ID with Bittrex for example. You take that, you copy it, you go back to Coinbase and you tell Coinbase to send however many Bitcoin you want to send out, you tell them “I want you to send this many Bitcoins to this wallet ID”.
Like I said before, make sure double check the first couple of characters, the last couple of characters in that way you would’ve moved some or all of the Bitcoins from Coinbase to Bittrex.
Once that is done, then within Bittrex, you can start exchanging Bitcoins to other cryptocurrencies. Important thing to know here is that to purchase pretty much any other Altcoin, you need to go through Bitcoin first. You need to convert Fiat currency say dollars, euros, pounds etc. into Bitcoin and then convert that Bitcoin into whichever other Altcoin you want to purchase. In some cases you can go through Ethereum or other "major coins", so you would exchange dollar, euros, pounds whichever fiat currency into ether and then into other altcoins.
In the vast majority of times the main currency of reference when it comes to cryptocurrencies is Bitcoin, so chances are that you will want or it will be more cost efficient for you to go through Bitcoin first. If you just want to buy and hold bitcoins, you buy and hold bitcoin and that’s the end of it.
There are also incredible opportunities with Altcoins.
If you want to also invest in other cryptocurrencies, which I highly encourage you to because there are some incredible opportunities there, then we need to move that Bitcoin into an exchange so you can start trading those currencies.
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Cryptos are a huge opportunity that is just too big to be ignored. I wish you the very best of luck.
It just is too big to be ignored.