How to make money with Bitcoin, today [Guaranteed]

How to make money with Bitcoin

How to make money with Bitcoin.  Yes, believe it or not, it is possible to make a guaranteed, risk-free profit with Bitcoin, today.

 

This is an incredibly bold statement but a true one nevertheless.

There is a catch though, you need 2 things. Firstly, it involves skill and secondly, it involves hard work. In this article we will give you as much information as we can so that you can develop your trading skills, the work ethic is what you need to bring to the table. The faster you do the work, the quicker the profits will flow and it will increase as you develop your skill.

 

So what is this guaranteed profit strategy?

 

 

How to make money with Bitcoin

 

Introducing…

 

Arbitrage 

 

Arbitrage is the process of a simultaneous buy and sell of the same asset in different markets thus “locking-in” a guaranteed profit.

 

Let’s give a real-world example: Say you are a fruit trader and you want to make an arbitrage profit. You have a supermarket in your town as a customer and a fruit grower 100 miles away that can provide the fruit you need. How the arbitrage is created is by calling the farmer, quoting your price that you will pay on the farm and at the same time you will also agree on a selling price with the supermarket. Your price to the supermarket will include the cost of transportation of the fruit as well as your markup or profit. In this way, a guaranteed profit is made by the fruit trader with zero price risk as the prices are agreed in advance. This is an example of a “location arbitrage”. In this case fruit at the supermarket location is more expensive because of the effort required to transport the fruit from location farm to location supermarket.

 

Similar price differentials exist in the cryptocurrency / Bitcoin markets and we will explore how the savvy trader can turn these opportunities into profit. We will use Bitcoin as our prime example.

 

Currently, Bitcoin is traded on more than 5 000 exchanges worldwide and sometimes the prices on these exchanges can differ widely. At first glance then it seems that it would be easy to just sell on one exchange while buying on another but in reality, it is not as easy as just flicking a mouse. There are practical implications that are sometimes the reason for the price differential. It could be that an exchange is only open to local residents in a certain country in which  Bitcoin trades at a premium which would make the arbitrage impossible or impractical.

 

However, there are some very lucrative opportunities.

 

Let’s look at some practical arbitrage ideas on how to make money with Bitcoin.

 

 

Localbitocoins.com

 

Enter the wonderful world of Localbitcoins.com. Localbitcoins is a peer2peer trading site where traders of Bitcoin can post transactions and trade with other Bitcoin buyers and/or sellers. The site is established and has a sterling reputation that was built over the last decade.

 

One of the ways traders take advantage of price differentials is the “spread” or price difference between what buyers want to pay and sellers are willing to accept.  Sometimes a seller is in need of cash flow and if you are a buyer that can provide a fast payment method you can buy Bitcoin at a discount. Or conversely someone is desperate to buy and you can sell to them at a premium.

One of the things that can give you an advantage on Localbitcoins is when you have the ability to use a variety of payment methods. If you can do immediate national bank transfers, this is something that will give you a major advantage as people will give a discount for immediate payment. Similarly, if you have the ability to trade in different currencies and in different locations, you can bank profits on a daily basis.

 

The best thing to do is to sign up for a free account at Localbitcoins.com and start your search for opportunity to make money with Bitcoin.

 

 

Exchange to Exchange Arbitrage

 

In this case, you would have accounts with several exchanges and you would scan these for arbitrage opportunities. You could, for example, have an account with Kraken where you buy Bitcoins and sell them on LocalBitcoins or the converse.

 

As you can see this can become a major administration exercise and you would need to keep good records of your buys and sells to avoid trading mistakes that could be costly.

 

 

So how to start to make money with Bitcoin?

 

For a new trader, we would suggest starting with an account at LocalBitcoins, like we said it’s free [Click here to sign up] to open.

 

We would start small and do a few trades on LocalBitcoins before opening one or 2 accounts with other exchanges and then progress from there.

 

Once you have a system that works for you, you can then also expand into trading other cryptocurrencies, the possibilities are endless.

 

The biggest challenge in all of this is to keep track of it all. 

 

As you can see, the opportunity in this type of trading is enormous, the possibilities endless and will expand as more capital flow into these markets.

 

Also a fair warning, profits can be made but it is not easy and it is very easy to lose money with trading errors but if you start with small steps and build your skills and systems over time, this can be one of the most lucrative endeavors you will ever undertake.   Happy Trading!

 

Industry Experts Weigh-in with Advice for Potential Crypto Investors

 

Max Kordek, CEO and Co-Founder of Lisk, says

There are many things to consider before choosing an exchange to invest in. But the main piece of advice I would offer traders is to broaden your knowledge on the space before diving in. Make well-informed decisions, not hasty, speculative moves. While the hype around certain cryptocurrencies may be hard to ignore, it is sensible to adopt a more measured approach. For new or inexperienced traders, I would encourage them to take the time to develop a robust understanding of an exchange’s operations and thoroughly examine the processes they use to vet and verify their users. This information will be invaluable to prospective traders keen to make smart trading decisions.”

 

Frank Wagner, Co-founder and CEO of INVAO, says:

I believe that when looking where to invest, it’s important to consider the exchanges’ verification requirement process. Although most exchanges do require some sort of ID verification in order to complete a transaction, some allow users to remain anonymous. Although verification can be a timely process, taking 2-5 days to complete, this step is essential in protecting the exchange from scams or money laundering schemes. At the end of the day, security should be a user’s top priority – and it’s well worth the time it takes to ensure your information is safe.”

 

Casey Kuhlman, Co-founder and CEO of Monax, says:

The biggest piece of advice I can offer potential investors is to do your research – only invest in exchanges that are both trustworthy and credible. There are a lot of reliable sources out there that offer comprehensive reviews and compare the security features of different exchanges. I’d also advise users to backup their data to offline storage sites on a regular basis. As with all transactions done online, I would recommend using a VPN – virtual private network – to trade, as this will ensure that these transactions are completed as securely as possible.”

 

Craig Mc Gregor, Co-founder and CEO of DSTOQ, says:

As cryptocurrency exchanges gain in popularity, it is increasingly important that users understand how to invest securely. I would recommend that first time investors in particular look into the difference between centralized versus decentralized exchanges. While centralized exchanges may be more common, ultimately these exchanges are in control of a trader’s funds as well as their private information. Decentralized exchanges offer users more transparency and control over their transactions. By removing the need for a third party to hold the user’s funds, decentralized exchanges are more resilient against security breaches.”

 

Nicolas Gilot, Co-CEO of blockchain-powered gaming distribution platform Ultra, says:

There are a number of factors investors should take into consideration in advance of partnering with an exchange namely; research, reputation, and security.

Regardless of whether you are a new or experienced trader, it’s important to do your research and understand the different blockchain exchanges and which one provides an optimum fit for your needs. Reputation plays an important part when it comes to partnering with an exchange but it can be easy to get caught up in the blockchain buzz. Separating hype from reality and making informed and well-thought-out decisions is key here.

For seasoned traders, or those dipping their toes into the world of investment for the first time, security should always be a top priority. Take your time when creating your account; make sure you provide all the correct information, and put an email you have access to and that can be easily recovered. When your account creation is done, activate the two-factor authenticator as your account security is much weaker without it. Also remember to bookmark the website — don’t search for it on Google.

If you plan to buy a substantial amount of crypto, you should get a hardwallet such as Trezor or Ledger. It’s a must have. Don’t store your coins on an exchange regardless of their reputation.”

 

 

So, do you think you can make money with Bitcoin?

Luckily, more opportunities are popping up making it easier to actually earn in Bitcoin. Here are some tips to earn Bitcoin.

 

 

And, of course, you could HODL like this guy…

 

 

Try out two new exchanges:-

 

Bank-Ezy

EOTwallet

 

 

 

 

 

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