1/ Buying cryptocurrencies while paying as less fees as possible
2/ Participating in Initial Coin Openings
3/ Earning free coins
4/ Keeping your coins secure
5/ Mining coins with your computer
6/ Escaping the country without paying taxes and live on an island with bonobos
I / CHAPTER ONE : BUYING CRYPOTOCURRENCY WHILE PAYING AS LESS FEES AS POSSIBLE
1/ Open a Coinbase account
https://coinbase.com and transfer your money (USD/EUR) on it, if possible through wire transfert so you will pay less fees. Once your money is on coinbase, do not buy cryptocurrencies, but transfert your money to Coinbase Pro. Coinbase withdrawal fees can be very high, but there is no withdrawal fees with Coinbase Pro, because it’s for “Pros”. It’s the same company and your account is the same.
2/ Buy cryptocurrencies on Coinbase Pro: either Bitcoin or Ethereum.
It doesn’t have much importance as we are going to trade them right after.
3/ Open an account on an altcoin marketplace. There is tons of them, but here is the best one by far:
- https://binance.com : Binance is the leading markeplace right now, it allows you to buy around 100 altcoins with very low fees.
- If you want a 20% kickback commission link, please go to https://www.le-parrainage.fr/post/parrainage-binance-20, they propose one.
4/ Transfer your Bitcoins (or Ethereums) from Coinbase Pro to your altcoin marketplace.
For that, go to “your balance” section in Binance and click on “deposit” next to Bitcoin (or Ethereum if you bought Ethereum). There, a wallet adress will appear. Copy it and paste it in Coinbase Pro, then click send.
5/ Activate the BNB Binance option, with which you will only pay 0.05% of transaction fees!
In order to only pay 0.05%, you will need to have BNB. If you have BNB, the fees will be taken in BNB, otherwise, if you do not have some, you will pay 0.1% of the currency you are receiving. As you will pay fees while buying BNB, the exact amount of fees you will spend is 0.05025%. ;)
Open an account on https://litebit.eu : Litebit is one of the leading marketplace for altcoins AND it allows you to buy it directly from euros ! Easy to use and very serious. You can then open an account on Binance if you want other altcoins. The fees can be a bit high compared to the other exchanges but being able to buy altcoins directly from euros is really practical for some.
6/ Avoid transferring small amounts between marketplaces or wallets
Most exchanges will take big fees for that, mainly if you want to transfer Bitcoins.
II / CHAPTER TWO : PARTICIPATING IN INITIAL COIN OFFERING
1/ What are ICOs?
ICOs are a mean of crowdfunding centered around cryptocurrency.
That is where coins are usually emitted. Thus, the best way to buy cheap coins is to buy them during ICOs !
First of all, let’s get to know the next ICOs : http://www.coinschedule.com/
… The rating they have : https://icorating.com/
… And look at what people say about them, for example on bitcointalk : https://bitcointalk.org/index.php?board=67.0
2/ Getting ready for an ICO
For most ICOs, you will need an ethereum wallet and ethereum. But ICO companies can make it with another coin, check which coins they will take on their website.
There is tens of ethereum wallet, on desktop, on a hard drive, online, on mobile, in the browser… And they all have little differences but here are the main ones:
These wallets basically all work the same way : they will create you a private and public key, you should use the private key to open your wallet and the public key to send coins to it. They will also implement security measures and will guide you in setting them up. Always put a strong password.
After creating your wallet, send ethereum to your public address. To save some money, you can adjust the GAS price of the transaction. You can use 10 GWEI and there should be no problem. The more GWEI you put the more your transaction will be prioritized. If you put the GWEI too low, the transaction might fail. I already did a transaction with 5 GWEI and everything went well. But do not adjust the gas limit unit, only the GWEI ! :)
3/ Buying your new coins in the ICO
First, go on the website proposing the ICO. You can usually see the total amount of people and coins collected and participate though a button, after reading the terms and conditions, potentially creating an account.
Once you do that, they will present you all the needed information to make the transaction: the minimum you can contribute as well as the contract addresss. Copy and paste this contract address, go to your ethereum wallet, and send the amount of ethereum you want to use to participate in this ICO to that address. Make sure to do your transaction pretty quickly when the ICO starts as many people might want to buy the tokens as well. Some ICOs are done in less than 15 minutes!
CONGRATULATION! You now own some fresh coins, also called tokens! You can see many details about the transaction, save them all, mainly the contract number.
If there is lots of demand during the ICO, it is very likely that the coin will quickly be added in marketplaces and their price multiplied.
III / Earning free coins
1 / Airdrops
Airdrops are free tokens, usually given when the coin is trying to get some public interest. They usually just give the equivalent to few USD but who knows, maybe it will be worth few thousands in some months! For those Airdropts, you will need to give your Ehereum public address and sometimes share a twitter post or do some social action like that. They will then simply send you the coins.
All airdrops can be found here : https://airdropalert.com/
All the transactions going to and from your ethereum wallet are here : https://etherscan.io/address/X (you should replace X by your public address)
2/ Inflation pools
Some coins (please read their whitepapers as it is different for each coin) have an inflation mechanism and periodically give coins to people already having them. Some require to put your coins in their wallet, such as Buzzcoin, and some others to put your coins in a wallet and “vote” through a specific tab made for it.
The inflation fully depends on the coin’s mechanism. For Buzzcoin, you will be awarded around 3% every day and for Stellar Lumens you will be awarded 1% every year.
IV / Keeping your coins secure
- Strong passwords and a different password for each account linked to crypto and your social or professional life. You can use a password manager
- Use different emails per account
- Have a good antivirus, firewall and all your softwares and OS up to date
- ALWAYS use 2 Factors Authentification when possible : Google Authenticator or Duo Mobile, doesn’t matter, just do it. Seriously, many people got hacked because of that
- Avoid as much as possible to talk about how much you made or invested online. This is also true in real life, but way more important online. If you do so and have some money, you will receive targetted attacks
- Look online, on different websites, the reviews people made for the exchange or wallet you want to use. Some might be crappy.
- Never trust anyone on crypto-groups (telegram, discord…) and never click on their links. Most might be safe ones, some pages might include a virus, you never know.
V / Mining coins with your computer
You can mine coins by downloading some applications and let them work for you. The main one is provided by Minergate : https://minergate.com/
VI / Escaping the country without paying taxes and live on an island with bonobos.
Sorry, there is no island with bonobos. You can only find them in the Democratic Republic of the Congo. And I’m not so sure it’d be a cool island. Better pick one with cute humans.
I hope you liked this article, if there is any question on your mind or parts of my article you would like me to elaborate, please tell me in the comments. :)