Crypto News & ICO Reviews
I thought it might be nice to share my experience going from someone who was vaguely aware of Bitcoin to an investor in Bitcoin.
- Notice bitcoin had hit $3,000. What? Last I paid any attention it was a few bucks. Time to look into this some more.
- Understand the global economy and how money works. Easy enough with a couple YouTube videos.
- Understand how blockchain works. Easy enough with just a few more videos.
- Do some simple math to examine the various possible scenarios for Bitcoin value. This just sets mathematical, common sense limits.
- If the value is below the mathematical limits, it is probably "safe" to invest. BTW, those limits change over time based on a number of factors.
- Look over the history of Bitcoin and how we got here today. Reddit and more videos filled in the picture.
- Ask smart friends what they think about blockchain and bitcoin. Ignore them if their opinion differs (just kidding, probably not a good idea).
- Think it over for a couple of days, do any follow-up research as required
- Post a thought on Reddit, to see what other Redditors think. Immediately regret.
- Make a leap of faith and buy. This was actually the easy part. All the evidence supported my action, so I just had to have the ovaries to commit.
I used Coinbase to buy some Bitcoin and Eth. I did not yet understand Ethereum, but I figured it can't hurt to buy one now and figure out what it is later (not a significant financial risk). Coinbase required a lot of personal information due to laws, but since I understood why, I pushed past my privacy concerns and scam fears. I understand Coinbase can crash, just like Gox. I get the risks. However, I have faith in the virtuous cycle that the idea of this currency produces. Smart people figure it out. Smart people invest in it. Now you have a global group of smart people who have a vested interest in seeing the concept succeed. That is a recipe for eventual success in my book.
So, I'm on the ride now. I invested more money than I can spare right now (I don't have paying work at the moment, but that is not unusual for my line of work). Comments and feedback welcome.
I am aware of how wallets work and how to secure my purchase made through Coinbase.
From my YouTube history, here is what I watched, in order:
Edit: Minor formatting