Finally gave in….first crypto purchase today

[ATXFIRE2034]

Bought $500 in crypto (split between BTC & ETH) today as a starting point and will continue to allocate 1% of gross earnings per month. My gut tells me it has reached a point where I can no longer ignore it. Where are you in your thinking or already established journey with crypto? Curious to hear from others on this topic!

 

[RobbieB]

Have no crypto, not planning on getting any.

 

[aja8888]

Have no crypto, not planning on getting any.

I'm in your camp....

 

[OneMarcilV]

I would invest in smaller cost crypto currency. But all these sellers on internet want a copy of one’s driving license. To me that will never. Can you imagine peeps falling for this?

Even if these trading companies are rated as near perfect and in great standing with the Better Business Bureau. To me is is still not a good idea to send a copy of one’s driving licence to them.

Now Pay Pal is great. All one has to do is signup and that is it.

The only problem there are only 4 choices of crypto currency to choose from.

 

[aja8888]

I would invest in smaller cost crypto currency. But all these sellers on internet want a copy of one’s driving license. To me that will never. Can you imagine peeps falling for this?

Even if these trading companies are rated as near perfect and in great standing with the Better Business Bureau. To me is is still not a good idea to send a copy of one’s driving licence to them.

Now Pay Pal is great. All one has to do is signup and that is it.

The only problem there are only 4 choices of crypto currency to choose from.

Just curious, but why do they want a copy of your drivers license?

 

[OneMarcilV]

Let me look at the email I was send and copy and paste that to you.

 

[OneMarcilV]

Ok here is what the person wrote.

“Hi,
Thank you for reaching out to us.
The brokerage account opening process would need a picture ID for identification. Any government-issued picture ID would be acceptable.
And we provide is up to the highest standard of safety to protect your personal info.
Thank you for understanding.

Sincerely,
Torres
Webull eService Representative”.

Sure maybe that is true about protecting personal information. But what about those peeps that know how to intercept emails. Or even who knows what happens to the drivers license at the trading company. There are peeps that could be there that are not honest.

 

[Luvtoride]

ATX, welcome to the Cryptocurrency world. It is smart to start investing a small amount in certain Crypto coins, on a regular basis. You have started well with the 2 building block coins of the Crypto market.
I’ve been investing in Crypto coins through Coinbase since March of this year. I’ve made purchases in several different coins beyond BTC and ETH and have realized profits on many positions, some in as little as 3 weeks. Some coins and own,but I will hold them and wait for increases. Overall, I’ve realized profits of over 100% of my investments which I’ve sold and my current holdings are up almost 75% over my cost.
I try to have a profit target on each coin purchased (except BTC and ETH which I will hold long term) and I will often double down on coins when their price drops.

It’s a good way to learn about cryptocurrency and the impact it is having and will continue to have on commerce in the future.

Good luck. [emoji106]

 

[OneMarcilV]

Did you have to send Coinbase a copy of your driving license?

I remember when I was looking into that company about sending them something that did not seem safe.

 

[CincyDave]

I got exposure through GBTC for about 1.5% of assets. Got at about a 10% discount to NAV. After being down for a while, back in the black now. I know it could be a wild ride, but not enough to really hurt if it goes bust.

 

[OneMarcilV]

Ok I just checked. Coinbase wants a driving licence. Claims the government requires this. I doubt that is true.

 

[plex]

I understand the technology etc... behind it, but I still can see scenarios where it goes nearly to 0, and scenarios where it goes 20x. My main problem is I have no feeling of how to assign valuation, so I know when it is time to buy or sell, it basically feels like almost pure speculation. The short term reasons for ups/downs are even more ephemeral than penny stocks. I also know that this is closer to a commodity, so when it hits its ceiling, there will be absolutely no upside at that point, at least for quite awhile, as commodities are pretty awful in the long term. As such, I cannot invest in it, and will never invest in it until I reach the point where I have some grasp on the valuation. I don't feel like I'm missing out as there are assets that I can understand much better as to where they are going.

 

[captain3d]

The driving license thing is KYC know your customer and is a government requirement.

 

[Jerry1]

Seems like there’s a situation here like holding gold. Whether to hold an etf type product or physical gold. I think if I was going to get into Bitcoin, I’d want my own wallet and to find a way to load the wallet under the radar. I think I could get that without my drivers license.

 

[SecondAttempt]

Ok here is what the person wrote.

“Hi,
Thank you for reaching out to us.
The brokerage account opening process would need a picture ID for identification. Any government-issued picture ID would be acceptable.
And we provide is up to the highest standard of safety to protect your personal info.
Thank you for understanding.

Sincerely,
Torres
Webull eService Representative”.

Sure maybe that is true about protecting personal information. But what about those peeps that know how to intercept emails. Or even who knows what happens to the drivers license at the trading company. There are peeps that could be there that are not honest.

It may be a Patriot Act requirement but still not something I would do to buy crypto, not that I would buy crypto anyway.

 

[njhowie]

The driving license thing is KYC know your customer and is a government requirement.

That is correct, and so the IRS can know if you are failing to pay taxes on crypto trades. If you use Turbotax, certainly you've noticed the question that comes up asking if you've purchased/sold any crypto?

Out goes the window one of the crypto tenets - anonymity.

 

[njhowie]

Bought $500 in crypto (split between BTC & ETH) today as a starting point and will continue to allocate 1% of gross earnings per month. My gut tells me it has reached a point where I can no longer ignore it. Where are you in your thinking or already established journey with crypto? Curious to hear from others on this topic!

A few years ago, around Thanksgiving, when BTC had a dip down to $3000 range, I bought $5 worth on Robinhood. Within a week or two I sold for a 10% profit and was happy I got it out of my system, I had successfully traded crypto. Never had any desire to buy again.

A couple of points of interest:
1. Go google for what Warren Buffett and Charlie Munger have to say about crypto.

2. Although JPM is offering crypto investment alternatives for clients, go read what Jamie Dimon has to say about it.

3. "Under Bogleheads' forum policy, investment strategies based on cryptocurrency are unacceptable discussion topics" - it is claimed to be a Greater Fool Investment Strategy

 

[Markola]

And here’s what Elon Musk said a few days ago on Twitter:

@elonmusk
Replying to
@Filasophical
and
@ShibaInuHodler
Out of curiosity, I acquired some ascii hash strings called “Bitcoin, Ethereum & Doge”. That’s it.

As I’ve said before, don’t bet the farm on crypto! True value is building products & providing services to your fellow human beings, not money in any form.
8:01 PM · Oct 24, 2021·Twitter for iPhone

 

[target2019]

Bought $500 in crypto (split between BTC & ETH) today as a starting point and will continue to allocate 1% of gross earnings per month. My gut tells me it has reached a point where I can no longer ignore it. Where are you in your thinking or already established journey with crypto? Curious to hear from others on this topic!

My thinking is that it is an interesting topic. At this stage we don't need another account with another asset to track. But I think your course is prudent. Why not try something to see what all the noise is about?

 

[steelyman]

I bought a small amount of crypto ($1K) through PayPal in late 2020, split between their 4 offerings. I’ve since recovered my initial investment and am waiting to see the 1099-Bs that PayPal will send. I won’t sell any more until the tax at LTCG rates kicks in.

After that, I’ll treat it like cash back rewards, just occasional sales if/when it rises.

It’s been interesting to follow the price swings.

 

[jollystomper]

I bought a small amount of crypto ($1K) through PayPal in late 2020, split between their 4 offerings. I’ve since recovered my initial investment and am waiting to see the 1099-Bs that PayPal will send. I won’t sell any more until the tax at LTCG rates kicks in.

This is something I am considering - buying a small amount, say $500, just for grins. Nothing to bet the farm on.

 

[jfn111]

I invest a little in crypto and will keep adding to the position in small dribs and drabs. If it went to zero it would be a rounding error compared to the rest of the portfolio but it's kind of fun to follow.

 

[Cassius King]

Have a small position, well under 1% of portfolio, just to keep it on the radar and to follow.

 

[captain3d]

GBTC and ETHE (Bitcoin & Ethereum)close end funds are available in my iras at Td Ameritrade.

Currently at a discount and maybe an easy way for others to get crypto exposure through their existing brokerage.

 

[neihn]

I am not buying any coin.
I have been mining ethereum for few weeks now with my gaming machines. We will see how that goes - so far they made about $10/days after electricity cost.