HOW TO MAKE MONEY TRADING BITCOIN
Hey there! Hope you all are doing fine. Today I am going to teach you how to make money online by buying and selling bitcoin. The process is simple and since my blog is also about making money online, I said it will be unfair not to talk about bitcoin because trading bitcoins is simple and it’s a fast way of making money online. The question is “what is bitcoin” ? How can one make money with it ? That is exactly what I am going to talk about in this post.
TABLE OF CONTENT
According to Wikipedia Bitcoin is a cryptocurrency and worldwide payment system. It is the first decentralized digital currency, as the system works without a central bank or single administrator. From that definition, we can say Bitcoin is a virtual money that one can use to buy and sell things online. Keep in mind that some companies accept Bitcoin as their mode of payment. Another thing you should also know about bitcoin is the fact that it is not wildly accepted.
There are different ways you can use to make money with bitcoin.
- Buy and sell: You can make money by trading bitcoin that is buying and selling of it. Bitcoin can be liken to a good that one can buy and resell. The difference between the selling and buying price will be your profit. Let us assume that you bought $100 worth of bitcoin, you may end up selling it a $110 and the $10 is your profit. Keep in mind that the more you sell the more the gain.
- Stock of bitcoin: You can equally make money with bitcoin by bying and keep it inside your wallet. When the price is high you sell it. Keep in mind that the price of bitcoin is always getting higher and this is an opportunity that one can grab. Note: Bitcoin price does fall sometimes.
- Join Bitcoin Affiliate program: Another way of making money with bitcoins is joining affiliate program offered by companies that are specialize in buying and selling bitcoin. Here, you have nothing to lose. If you refer someone and the person actually by the bitcoin from the company, you get a commission for that.
READ ASLO: HOW TO MAKE MONEY ONLINE
There are many places where you can buy and sell bitcoin. But for the sake of this post, I will focus on only one and that is Localbitcoins.com As you can see in the following screenshot, you can buy and sell bitcoins in 248 countries including Nigeria. The process is simple, the first thing you need to do is to sign up in order to get your own account.
To register, click here . You will be asked to fill a registration form, just go ahead, next verify your emails (they will send you a mail after the registration to verify your email).
After the registration, please login. Now, let us secure the account. Keep in mind that account is your virtual bank account so you need to secure it. To secure the account follow the instruction given in the following screenshot. First, click on your account icon, in the drop down menu click on “account security”. These are the options they will give you:
I recommend to go through the first two options. If you think the “Two-Factor Authentication” seems difficult, at least make sure you activate “login guard”. The advantage is that when someone has access to your login details, he can not access you account.
An extra code that is generated every 30 seconds will be required if you’re using “Two factor Authentication”. With the login guard, the person will be ask to verify his email if he tried to access the account on a new browser. The thing here is that if you’re using the same details, he/she can get still verify it. I recommend you use different passwords.
Note: I recommend you don’t allow your browser to save the password for security purpose.
Everything on localbitcoins is simple. The buying and selling process is almost the same. To buy bitcoins, just make sure you’re logged in. Next, go to the home page or click on “Buy bitcoins” (1) menu (In case you want to sell, what you need to do is to click on “Sell Bitcoins”). Next enter the amount (2), for example let’s say you want to buy 20.000 naira worth of bitcoins, what you need to do is to enter 20.000 in “amount” (2) field and select NGN as currency. Select the country you want to buy from (4). Now you have the option of buying from someone online or meeting the person physically, that is exactly what the fifth field is all about. Click on “All online offers” to select your option. You can leave it as “All online offers” and get online transactions: Bank transfer, Wire transfer, paypal …Next check (6) “sms not required if you don’t want the site to verify your phone number. ( I recommend though to verify it). The seventh option (7) is all about your Id card (Not compulsory likewise your phone number). Now click on “Search” (8). People meeting your requirement will appear in the result field.
Before you buy from someone, you need to check three things.
- The first one is the number of transaction had by the person (9). It’s very important because buying from someone having “Zero” transaction is not advisable (In my own option). Even if you want to buy from him/her just try small amount.
- Secondly the person feedback score. How well is he/she rated on the site? The default value is 100%, if you come across someone with 90% , 85% … Ask yourself why. Probably something went wrong. I recommend you buy from people with good rate.
- Thirdly the price offered. Some people want to make quick money and are giving high rate. (bear in mind that you may end up buying bitcoins at a high rate if you need small quantity though)
The next thing to do after these verifications is to place your order. Click on “buy”(15) and on the next page, go through the term of the trade. If you are okay with the term, just write a short message to the seller. “Hi, my name is … I would like to buy bitcoin.” Wait for him/her to reply. He/she will send his/her bank details, paypal address, wire transfer details or give you an appointment depending of what you selected (refer to field 5). Next pay him and he will release the bitcoins. You will get email from localbitcoin if he replies your message or release the bitcoin.
To become a seller/buyer, you need to fill a form. Click Here to access the form or click on “Post trade” in the menu section. Everything is well detailed there. I am just going to focus on one or two points.
- The first point is the price: Of course if you are in Nigeria, you should select naira (NGN) as currency. Now there is a field label; “Margin”. There you can determine the price you will be buying or selling your bitcoins. Check the average price on the platform before fixing your price.
- Second point is the security option. Go through all the option there. Remember you’re trying to gain the market, so put too much restriction.
That will be all for today’s tutorial, if you did enjoy it, please share with your friends by making use of the social share buttons. Don’t forget to subscribe to receive updates from us. (it’s free) Let me know if you have any question in the comment section.