Even though it still has a volatile market, experience has told what bitcoin is and the market implications of investing? It’s simply the most stable coin(read: the future of cryptocurrency investing) with a long history of prosperity. Millions of people have invested in Bitcoin, and more are joining. With the growing demand and broader acceptance, there are more ways you can invest in Bitcoin. Before we disclose ways to invest your Bitcoin, you must set up a personal Bitcoin wallet to store your coin. Cold storage or hardware wallet is superior among available crypto wallets.
1. Purchase And Hold Standalone Bitcoin
A classic way to invest in Bitcoin is to purchase it from a crypto exchange and hold it in your crypto wallet. It’s the most direct Bitcoin investment as you only need to hold the coins you’ve purchased in the cold storage and wait for the hiking prices in the future. The bitcoin price is currently above USD 30,000 per coin at the time of this report. You can expect it to increase in months or years to come. Be sure to keep your Bitcoin holdings in your wallet instead of your crypto exchange account balance. Keep your private keys safe and out of reach.
2. Purchase And Hold A Fraction Of Bitcoin
It’s pretty much like purchasing a standalone Bitcoin, except that you’re buying a fraction of a coin instead of a whole coin. Today, many crypto exchanges allow you to buy a fraction of Bitcoin based on your budget. This way, you can hold Bitcoin in your crypto wallet and sell it whenever the price is higher. No matter how many Bitcoins you want to buy, you must purchase them from a reliable crypto exchange only to avoid scammers and fraudsters. Holding your Bitcoin in a crypto wallet is strongly urged as crypto exchanges have long been targets of hacking attacks.
Regulated crypto exchanges are top-notch options if you want to buy Bitcoin online. Depending on where you’re residing, regulated crypto exchanges offer the safest way to invest in Bitcoin. Check whether the crypto exchange supports your national fiat currency.
3. Trade Your Bitcoin In Marketplace
You can buy and sell Bitcoin in the marketplace or well-known as a peer-to-peer crypto exchange platform like Alphaga Global Investmentdespite crypto exchanges. On this platform, individual Bitcoin buyers and sellers can trade coins regardless of the price movement. While we still recommend a crypto exchange to purchase Bitcoin, you can consider a marketplace to sell your holdings for better deals. However, the Bitcoin marketplace is also the main target of scammers. At this point, you must deal with reputable buyers only and keep your transaction inside the market. Whenever available, you better use the platform’s escrow service to secure your transactions.
4. Bitcoin Mining
In many parts of this world, mining Bitcoin has no longer been a viable investment due to two main reasons. The power consumption of ASIC miners is very high, and the costly bill can’t beat the number of Bitcoin obtained from the mining operation. Second, the mining rewards have reduced significantly following the halving of the Bitcoin blockchain network. Some Bitcoin mining farms have closed their operations due to these factors.
However, it doesn’t mean that you can’t mine Bitcoin as it depends on where you live and your ASIC computer investment. If the mining turns out to be feasible, nothing can stop you from Bitcoin mining. While founding a mining farm isn’t possible, you may consider joining your power to the Bitcoin mining pool.
5. Greyscale’s Bitcoin Investment Trust (GBTC)
Despite purchasing standalone Bitcoin, you can also invest in the cryptocurrency through the capital markets. GBTC is a share that tracks the value of 1/10 of a standalone Bitcoin. Bitcoin value today is currently over 30,000 per coin, and each GBTC share has a value of USD 3000. The underlying value would be subject to 2% fees charged by GBTC.
Holding GBTC isn’t the same as having standalone Bitcoin as you do not own a Bitcoin but a share of Bitcoin through GBTC. It’s considered a safer way to invest in Bitcoin and offers more liquidity of the investment. GBTC is ideal for less crypto-savvy investors who want to invest in Bitcoin in a safe manner. It’s also perfect for holdings in various investment accounts and remains accessible for investors of all levels.
6. Bitcoin ATMs
Today, you can buy and sell Bitcoin through a physical Bitcoin nearby your location. Even though Bitcoin ATMs are pretty rare, it offers a more practical way to instantly purchase and sell Bitcoin and other bitcoin competitors with your cash. The transactions can be done within seconds, quicker than online crypto exchanges. However, Bitcoin ATM transactions come with high fees ranging from 3-5%. Purchasing and selling Bitcoin through ATMs is still preferable for some people, especially those who don’t have or don’t want to use online crypto exchange accounts.
7. Offline Transactions
Can I buy Bitcoin offline? Technically, owners can only carry out Bitcoin transfers online, but using cash for the transaction remains flexible. You can buy Bitcoin offline from individual Bitcoin holders/owners. The method offers more instant transactions, and you don’t have to make any deposit to an exchange account. However, offline transactions could be risky, especially if you’re dealing with someone you don’t know. You better get referrals or, at least, do a background check before purchasing Bitcoin from an offline seller. Take the recent bitcoin price as your reference when buying bitcoin offline.
8. Online Trading
Many trading platforms currently allow cryptocurrency trading. However, trading cryptocurrency is very risky due to the highly volatile market. You can lose all of your money in a trading session just like many people did. Traders need a set of skills and experience to trade Bitcoin both in long and short positions actively. You better use reputable brokerage and take an extensive course if you want to start trading Bitcoin. If you find it too technical, you may try social or copy crypto trading, where you can copy more experienced trader’s movements. Whatever you do, always start crypto trading with a small number of coins.
