How to Invest in Precious Metals and Cryptocurrencies Part 2
In my last article, "How to Invest in Precious Metals and CryptoCurrencies Part 1", I discussed how to go about investing in physical and digital gold and silver. In this article, Part 2, I will discuss how to invest in cryptocurrencies, specifically bitcoin. Now, to begin... I'm no expert in cryptocurrencies. Not even close! I'm a newbie in all of this.
After I recently signed up to be a premium member of The Dollar Vigilante site and his new Crypto Vigilante subscription, I started my voyage down cryptocurrency lane! Then I signed up to be a member of Max Wright's Success Council. I read a few of the Dollar Vigilante's books, watched some of Max Wright's videos and read some articles about cryptocurrencies, bitcoin and investing.
So I'm going to explain some of what I learned and how I made my first bitcoin purchase/ investment. If you wish to buy bitcoin, but don't know anything about cryptocurrencies, the first thing you will want to do is get a cryptocurrency wallet to hold your cryptocurrencies. There's different types of wallets, but one of the safest and most secure wallets is a cold storage wallet such as the Trezor or the Ledger. I opted for the Ledger Nano X which you can purchase directly from the official Ledger website. I recommend only buying from the official website! After purchasing the wallet, you will need to download the Ledger Live software which is also available on the Ledger site. Then when you receive your device you will follow the instructions to set it up with the Ledger Live software. It's really a super simple process!
The Ledger will give you a 24 word recovery phrase. You MUST write these 24 words down in order and make sure you don't lose them. This is your only back up if you forget your pin code or can't gain access to your account. I suggest writing it out a few times and placing it in a few different safe/ hidden locations so you are assured that you will never lose it. Before starting to use your device, you will need to install a bitcoin application on your Ledger Nano X . Once you’ve installed your app, you will need to create an account to manage transactions and check your balance. This is all very easy to do! Once this is all done you'll be ready to buy bitcoin!
Okay... so how do you buy bitcoin? There's a few ways to go about it. The most popular way is to buy bitcoin on an online cryptocurrency exchange. If you care about privacy and wish to stay anonymous you can pay a bit of a premium and use a site such as localbitcoins. You can make private trades with individuals on this site. I opted to pay a good rate for my bitcoin and waive my anonymity by using a site called Kraken. So with Kraken there's a bit of a verification process.
Once I completed the verification process, I wired funds ($100 to start plus a $30 wire transfer fee...yeah...a bit steep!) from my wells fargo bank account to my kraken account. FYI It appears that Kraken only allows wire transfers! I initiated the wire transfer in the evening time and so I had to wait until the next day for it to go through. But, as soon as the money went in I was told that I couldn't withdraw anything (cash or crypto) for 72 hours. This 72 hour hold only occurs after you make your first initial deposit. So I decided to test my skills and purchase a small amount of bitcoin just to make sure I knew what I was doing. So I clicked on prices and then clicked on the buy/ sell button for bitcoin.
At first I messed up and tried to make a purchase with the limit button highlighted instead of the market button. The limit button is automatically highlighted on kraken. This purchase never went through. I finally figured out that the market button needed to be highlighted. I fiddled with the bitcoin number until the U.S. dollar number looked correct to me. I decided to spend approximately $50 just as a trial run. $50 in bitcoin is approximately 0.00425 XBT (at least at the time that I am writing this article). The numbers are always changing! So I clicked buy and my purchase was instant! Hurray! I had a bitcoin balance in my kraken account! I also decided to spend the rest of my $100 on purchasing some Bitcoin Cash (BCH) and Monero (XMR).
So I patiently waited out the 72 hours to make my withdrawal from Kraken! Finally the time came to withdraw my bitcoin balance into my Ledger wallet. I logged into my Ledger Live account as my device was synced to the program and followed instructions to receive a payment. Unfortunately, to my dismay, I discovered that my Kraken bitcoin balance was lower than the minimum requirement of 0.005 XBT! So I had to transfer more funds into my kraken account so I could buy more bitcoin so I could have enough bitcoin in my account to withdraw to my Ledger Nano X. So please keep this 0.005 XBT minimum in mind if you decide to use kraken! I suggest buying at least $70 (0.00595 XBT) or $80 (0.0068 XBT) worth of bitcoin at first so you have enough bitcoin in your account to cover the withdrawal balance minimum and the withdrawal fee of 0.0005 XBT! Ofcourse these numbers are always changing so double check everything before you begin!
So finally, at long last, it was time to withdraw my bitcoin to my Ledger device. Once again I logged into my Ledger Live account as my device was synced to the program and followed instructions to receive a payment. I was given an address which I copied into my kraken account as my bitcoin address. Kraken emailed me to verify the address update. I verified that I indeed added the new bitcoin address and then I withdrew my purchased bitcoin into my ledger wallet. It took a few minutes but I finally saw my bitcoin balance in my Ledger Live account. Awesome!
So now that everything worked out, it was time to make the big purchase! However, I didn't feel comfortable transferring a large sum of money into kraken without adding more security to my account. So I purchased a security device called a YubiKey that inserts into the USB port of the computer. Basically, after installing the Yubikey your account cannot be accessed without it, nor can you withdraw funds without it. Perfect! I felt much safer utilizing the Yubikey for a larger purchase. And thankfully, my larger bitcoin purchase easily withdrew to my ledger device!
So there you have it! Easy Peasy! Buying bitcoin is that simple! And when it's time to sell... I'll just go back on kraken, send my bitcoin to my account, sell my bitcoin and withdraw U.S. dollars back into my bank account! If you wish to know when to buy and sell bitcoin to maximize your earnings I suggest following Max Wright at the Success Council. He has a very high success rate with his bitcoin predictions and has helped generate tons of money for his followers! I'd say it's a better idea to follow someone who knows what they're doing as opposed to making random guesses. It's never a good idea to play the guessing game with investments!
UPDATE February 6, 2021: Have you heard? Dogecoin is going to be the new bitcoin! If you haven't done so already I suggest going on kraken and buying yourself some dogecoin! Even Elon Musk is promoting dogecoin now! Don't miss out! At only approximately 50 cents a coin you really have nothing to lose and everything to gain! You're welcome!
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Jennie H is a Reiki Master Energy Healer, Co-Founder of Self Saviorz Society California Non-Profit 501(c)(3), Poet, Author and Entertainer with goals to help raise the vibration and consciousness of humanity!