Bitcoin is a digital decentralized currency that has been growing in popularity since it was created back in 2009. It has spawned a new era of millionaires that initially invested in the currency for only a few pennies and watched their lives change, as the value of Bitcoins rose up to 9000% in 2013.
Many longtime investors consider it to be a high risk, high yield investment that’s worth looking into. While some consider it to be a volatile bubble waiting to burst. The problem with this alternative investment is that due to it’s digital nature, many people are unaware of the variety of ways they can invest in the digital decentralized currency. With that being said, here are 3 ways you can go about doing so:
- Bitcoin Investment Trust: If you’re an accredited investor, or earn at least $200,000 a year with over 1 million dollars in assets and you’re interested about investing it Bitcoins, this might be the ideal route for you. Through Bitcoin Investment Trust, you can make Bitcoins a part of your retirement plan by depositing a minimum of $25,000. Many advisers agree though, that you should stick to the minimum and ensure that it doesn’t represent more than 2 percent of your investment portfolio.
- Bitcoin-Related Stocks: There’s a wide variety of Bitcoin related stocks that you can choose to invest in. A prime example of which is Bitcoin Shop (TUCND). When they went public on Feb. 6, 2014, shares rose from $0, to $4.57 the very next day (February 7th.) Many investors agree that if you choose this route, you should do so cautiously, investing in only small increments.
- Bitcoin Exchange: The easiest way to invest in Bitcoins is to purchase it directly from a Bitcoin exchange. One of the more user friendly exchanges out there is Coinbase. Even though it takes a while before you can start trading due to their verification processing times. They provide you with the essentials of Bitcoin trading or saving which are a Bitcoin wallet and an exchange. The verification process entails connecting your bank account plus verifying your phone number and only takes a couple days to complete.
With traditional investments offering poor performances and constant worry, an increasing number of investors are seeking an appealing investment that will deliver steady profits as well as peace of mind.