What are your thoughts on bitcoin? Which platform is the best for beginners to buy bitcoin?

MC

10 Dec 2020

Finance at National University of Singapore

Hi Anon,

Beware that Bitcoin is a very volatile investment so please only invest in cryptocurrency with a small portion of your overall investment portfolio. It is currently used as a hedge, looking to overtake Gold's role, against traditional securities.

A safe and established platform to trade Bitcoin and other main cryptocurrencies is Gemini.

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Crystal Tan

10 Dec 2020

UX Researcher at Seedly

Hi Anon!

Given that bitcoin has garnered quite a bit of hype over the past few weeks, I thought it'd be interesting to rope in a friend who has been trading crypto since the beginning to offer his POV. Here's what he has to say about (1) why he does it, and (2) which platform is best:

"

To me, Bitcoin represents the asymmetric bet of a lifetime and I see different arguments to it.

All the current investment narratives are pointing towards finding ways to avoid having your cash getting eaten by economic uncertainties. The money printing going on all over the world is said to be increasing inflation in the upcoming years. With the world going digital, bitcoin starts being an investment with very strong arguments. In many ways, it exhibits better characteristics than gold (max fixed supply, digital, smaller unit number, easily stored, easy to send).

As a millenial** **I also find it hard to find leverage investments in the current stock market where most of the wealth is concentrated in the hands of a few boomers.

Bitcoin is a way to move some of that wealth and acts as the store of a value of a digital world which would be made of a large number of cryptocurrencies.
I can also use my bitcoin in this digital world where composability allows me to denominate my collateral in BTC currency.

Hence, as an asset, it is much more useful to me than gold.

Many macro investors are now shifting their mindset from seeing bitcoin as a scam to believing in its store of value properties. Funds, companies and institutions are starting to rally behind Bitcoin. We can imagine a world where Central Banks might start display Bitcoin on their balance sheets along with Gold. Smaller corporates could also allocate a part of their treasury to Bitcoin.

Gold is currently sitting at about 9 trillions while Bitcoin is at 350 billions, therefore even if btc just reaches about 10% of that, that's a fantastic ROI!

The volatility is a downside but as a young man with a high risk tolerance, I'm also willing to embrace that risk.

Best platform for beginners

Gemini. It is super intuitive to me. I am not looking for any fancy charts, just buying my bitcoin with the help of a few buttons. Therefore Gemini is my go to trading platform. I also find that their brand is the safest, having the Winklevoss brothers behind it. They are very selective in their coin offerings which makes me believe that they prioritize quality over quantity.

"

Above Passage: Credits to Thi, a crypto enthusiast

I would just like to add in that when you're looking for platforms, keep a look out for any deposit/withdrawal fees or transaction fees. Some platforms (ie Coinbase) seem really easy to use but can be painful in fees, so bear that in mind as you do your search.

Here are also some starter-kit articles written by our Seedly writers, that I'd highly recommend any new crypto enthusiasts to read before jumping onto any bandwagons.