(4chan/biz) Introduction to CryptoCurrency Investment
#1
(4chan/biz) Introduction to CryptoCurrency Investment

Credits: Anonymous users on 4chan.org/biz/

Note: The guide is about 1 year old. So some things said can be outdated.

Part 1

So, before you get into Crypto you're going to want to know that it's like the wild wild west of investing. The vas majority of the market is driven by speculation and promises of software delivery, as opposed to actual product, so you should anticipate violent fluctuations in your portfolio on a daily basis.

Here are your initial steps:

1. Create an account on Coinbase.com
2. Create an account on Bitrex.com
3. Download the smartphone app "Blockfolio"

Once you have these things done, look online for a bitcoin wallet. A wallet is software that stores your cryptocurrency values, i.e where all your investments are going to be stored. For bitcoin, I prefer using electrum - It's simple and intuitive. So download electrum; installation should be pretty straightforward. Save your password (and your other wallet passwords) on physical pieces of paper OR you can use a software called Keepass, which is pretty useful when you have multiple wallets with long passwords.

Once you have your BTC wallet set up, you're going to want to go to Coinbase and buy Bitcoin with a credit/debit card. You'll have to establish your card as a method of payment first, pretty straightforward. Once you have BTC in your account (your bank might throw a fit first, because to them using your funds to a cryptocurrency trading site is sketchy), send the BTC you have to your electrum wallet. The address you send to is the long string of characters you see in Electrum under "Receive" tab. Make ABSOLUTELY SURE that the address is correct, or else that BTC is gone. Once the BTC is deposited into your electrum wallet, go to your bittrex account -> wallets -> click on the + sign for Bitcoin, copy the address for that wallet (another long random collection of characters), go to Electrum -> send to that address you see on Bittrex.

Part 2.

The more interesting part about all this is picking what coins you want to invest in. In the cryptocurrency space, there are two types of coins: mainstream, stable coins (BTC, ETH, LTC) or smaller, riskier coins known as alt-coints that have higher potential returns. When constructing their portfolio, a lot of people like to go 50% stable coins, 50% alt-coins. I personally went 100% alts because my portfolio money is money I would have used gambling, but I quit gambling after a bad run in Vegas earlier this year.

Investing in stable coins is pretty straightforward. I would consider picking ETH as your stable coin, because of it's massive growth this year - its indicates that it'll be over $1000 in 1-2 years, which is a nice and steady 2-3x return on your investment. Investing in in altcoins, however, is far more interesting. My general guide for picking alts is browsing the /biz/ catalog and seeing what's shilled, then going to the website of each alt coin and reading their whitepaper/what their coin does and what it plans to do. I then go to reddit and find the subreddit for that coin and read the general information posts they have on the coins there, then I check twitter for tweets on that particular coin, and finally I look uo youtube videos for each coin. /biz/ is about 50/50 on shilling good coins; NEO, OMG, ARK, IOT, XMR have all been excellent buys. But for each good buy  /biz/ shills there are also slightly bad guys (BNT, CFI, RDD, XVG, DGB) and also some absolutley awful buys (MYST, KIDSCOIN). It all comes down to your own research and very carefully picking the right coins.

Part 3.

Once you know what you want your portfolio to look like, go to Bittrex, go to the BTC markets, enter the symbols for the coins you want to buy and open a buy order. This process should be fairly intuitive but if you're having difficulty google a couple youtube tutorials for buying on bittrex. Once your buy orders have filled, make sure to download wallet software for each coin you purchased and move your coins from bittrex to the wallets; DO NOT LEAVE THEM ON BITTREX because on bittrex your coins are only listed as IOUs instead of coins you actually own and you will not have actual ownership of said coins until they are securely  in their respective wallets. Once your coins are in your wallets, check out blockfolio and add the coins + quantity so you can track their price over time. Good luck!
Reply
#2
Thought I'd make some corrections since this is from /biz/ after all.

>Create an account on Bitrex.com
It's actually bittrex.com with two t's, bitrex is some child safety online site. Bittrex is okay, but volume is relatively low and they have no coins, so you're better off using Binance (even has a desktop app), but if you're U.S. I guess anything is better than shitfinex, who single-handedly caused the largest correction in years with their fake un-audited USDT tokens.

>Blockfolio
Awful for day trading because of manual data entry, and also looks pretty trash. When I was more active I used altpocket.io to keep track of funds across exchanges, no idea if they're still any good though.

>look online for a bitcoin wallet
Not going to go into how trash BTC is, but ideally when you're actively trading you need to have availability of funds. With Bitcoin-BTC transfers are way to unreliable and you may end up waiting days or even months for the first confirmation during high-fee periods such as the one we saw last year, partly prompting the Bitcoin (Cash) hardfork.

If you trade BTC pairs, always keep fund on-exchange, and convert to XRP (instant) or BCH (1 conf) when you want to move it, else expect to pay heavily in fees and up to multi-month wait times during bull markets like happened last time.

>my portfolio money is money I would have used gambling
I hate this comparison, the only time trading can be compared to gambling is if you have no idea what you're doing

>stable coins (BTC, ETH, LTC)
Sure, it's always a great indicator of a solid project when one coin's creator constantly P&D's other projects through twitter and dumped all his holdings at ATH, one has been taken over by the bilderberg group, mastercard and the new york federal reserve and the other has a lead dev who's a raving lunatic with none of his own opinions. Besides, the crypto market constantly changes, LTC used to be second by market cap, now it's irrelevant and half the coins in the top 20 no one's even heard about, so this is a misleading use of the word "stable"

>go to the BTC markets
Unless the coin you're trading has a direct correlation with BTC; ala what we saw with BCH where everytime BCH went up, BTC dumped hard and everytime BTC went up BCH would go down a little: I see no reason why you would be trading BTC pairs instead of increasing USD value, especially now that we're in a bear market and Bitcoin-BTC is on the way out.

>DO NOT LEAVE THEM ON BITTREX
I CAN USE BIG TEXT TOO!!!! This is generally sound advice if you're just going to sit on something, but again availability of funds is the most important lesson you'll learn in crypto when your favorite coin is looking super bullish, and you just lost out on a 10x potential increase because you listened to the reddit/4chan narrative
Reply
#3
Can only add this.... in bold and capital letters......

USE A SEGWIT ADDRESS (one starting with a 3)
Reply
#4
(07-22-2018, 02:26 PM)illmanors Wrote: Can only add this.... in bold and capital letters......

USE A SEGWIT ADDRESS (one starting with a 3)

Sure, use something that invalidates 75% of the text in the bitcoin whitepaper, for a "currency" taken over by a international banking cartel as well as mastercard and the federal reserve that uses a flat-earther, a "ex"-CIA operative, and 1meg "bitcoin is not for poor people" Greg as their sockpuppets
Reply
#5
Thank you for sharing this introduction Insider.
Reply
#6
(12-01-2018, 08:31 AM)Qraken Wrote: Thank you for sharing this introduction Insider.

Honestly it's a pretty bad guide. But if you take it with a grain of salt, it's useful.
Reply