Before investing in cryptoassets, you really need a basic understanding of the technology. There are many books that you can buy and the 1st book I read on the subject was ‘Bitcoin for Dummies.’ Here is a brief summary of what you will learn:
- Exactly how it is used
- How to securely store your bitcoin
- What you need to know about encrypting
- Information on trading and crowdfunding
- How its regulated
- Where its banned
- Services that help you with taxes
- Bitcoin pros and cons
- Ten ways to use it
Now we have a basic understanding, we can move on and buy, exchange and store crypto. To start with, look to invest a small amount of money into Bitcoin (BTC) or any crypto you fancy. As you get more confident with the technology, you can increase your investments.
My disclaimer is that I am not an expert on Crypto (or any other asset class) and am not advising you to buy a particular asset like BTC. The intention here is to offer a basic step-by-step guide to help you buy and safely store digital assets.
With QE reducing the value of physical money, I believe that digital assets will become more and more popular over the next few years. Again this is not an expert opinion, it’s just my opinion.
If you feel digital assets are here to stay like me, it is surely worth understanding the technology and learning how to use it.
I am assuming that you have read ‘Bitcoin for Dummies’ and know the basics like where to store crypto and how you can use exchanges to hold and transfer assets. You are also aware of hardware wallets like Trezor and that this is a safe way to store BTC and other assets.
TAP is a trading app that also offers a contactless, TAP prepaid mastercard. Before selling the benefits of TAP further, I have to be honest and tell you that I have made a small investment in TAP and it’s in my interests to spread the word.
That being said, I can honestly say that TAP is very easy to use and comes with many benefits. It allows you to trade crypto and fiat currencies on your app and also allows you to spend your crypto assets with one tap of your card.
For new investors it is simple and transparent. It allows you to fund your account with a bank transfer or debit card. Then you are away and can start trading with the app.
The main features of TAP:
- TAP Mastercard
- Cash wallets in Euro, US Dollar and Pounds Sterling
- Crypto Wallets in BTC, Ethereum, Litecoin and TAP
How I have used TAP
So far, I have just been having a play with a small amount of BTC.
1st of all I wanted to transfer some BTC from my Bittrex account to my TAP account:
- Open the app and select BTC within Crypto Wallets
- Select Options and select receive – this gives me a unique wallet address (again refer to ‘Bitcoin for dummies’)
- Copy the address
- Go to Bittrex and select Holdings and open BTC
- Select Transfer and then withdraw
- Now paste the unique wallet address that was copied in step 3
- Select how much BTC to withdraw and select withdraw BTC
- The BTC will be transferred to the TAP account and takes 30-40 minutes
To safely store my BTC, I can then transfer it from my TAP account to my Trezor Wallet:
- Go to your Trezor Wallet – go to receive to get your BTC address for your Trezor
- Go to TAP and select BTC within Crypto Wallets
- Select Send
- You now need to select + Beneficiary
- Create a name for your Trezor wallet e.g. PD BTC
- At this point you can copy and paste the Trezor BTC address or use the QR scanner to scan in your BTC address
- Still in TAP choose the amount of BTC to send and press send
- The BTC lands in the Trezor wallet instantaneously
This step-by-step guide assumes you know the basics of crypto. It also assumes you are comfortable with transferring money using balance transfer and you are familiar with QR codes.
To be able to do the above you need the following:
- A basic understanding of crypto
- An exchange account like BITTREX
- A trading app like TAP
- A secure hardware (or cold) wallet like a Trezor wallet
- And a small amount of money to buy BTC with
The last thing I am going to do is recommend you buy BTC as an investment or any other crypto. My knowledge and track record are just not up to it.
All I am saying is be open minded and look into the effects of QE. We are in the digital/information age and things are changing and fast. Getting up to speed with digital assets will help you to move with the times.