I’m interested in starting to invest in it (way late to the party). The one thing I’ve heard is that it’s extremely hard to get large amounts out at a time. I have plenty of liquid investments, but if you ever needed all of your money out, is it that hard to do? What do you use for your Bitcoin wallet (whatever that means)?

Most of mine is still in the exchanges but I do have a little in a wallet (Exodus) on a laptop. I wouldn't recommend it as it's not open-source.

If you want easy access, keep it in an exchange which will allow you to sell for USD quickly. It's risky, long-term, because you don't control your own keys (a key is essentially a script that allows you to control your coins) so you technically don't own your bitcoin ("Not your keys, not your coins" as the saying goes).

Wallet is kind of a misnomer, as your coins are actually stored in them. They are more like keychains, in that they hold your keys that allow you to move your coins from address to address.

For me, I'm holding for the long term and have no interest in selling, so I need to get my coins off the exchanges and into cold storage.

FYI, you're not way late. We're still VERY early.

This helpful? I can dive deeper if needed.

I also use an "exchange" to DCA my bitcoin that doesn't allow you to sell. My only option is to withdrawal to my own address. I highly recommend this option as it adds friction to selling, and ultimately I think people will regret selling unless they absolutely need to. Buy, hold for at least 4 years, and continue to buy along the way. 

So say I want to buy Bitcoin tomorrow, to hold. I go on an exchange (which one) to buy it. Then you move it out of the exchange to somewhere to actually store the “physical” Bitcoin. Then what do you do in 4 years if you want to sell?

posted by iclfan2

So say I want to buy Bitcoin tomorrow, to hold. I go on an exchange (which one) to buy it. Then you move it out of the exchange to somewhere to actually store the “physical” Bitcoin. Then what do you do in 4 years if you want to sell?

Good question.

I use Swan Bitcoin for my DCA and instant buys, but have used Gemini (traditional exchange) in the past. Kraken is another big one that seems fine. Don't use Coinbase.

There is no "physical" bitcoin, just keys that control UTXOs (unspent transaction outputs) that you can trace back on the blockchain to the block in which they were created. You really don't have to fully understand all of this to use bitcoin, but it can be helpful.

For example, a block was created and 12.5 new bitcoins were "minted" and given to the miner that created the block. The miner could decide to sell some, say 1 btc, to pay for energy costs, so they would use their key to unlock and "spend" the coins by transferring them to someone else. That creates a UTXO for 1 btc that is now controlled by the buyers key and a UTXO for 11.5 btc that the original miner still controls with the original key. If the buyer decides they now want to sell half of their newly purchased coin, they would use their key to unlock it and it would create two new UTXOs with .5 btc, one controlled by their key, and one controlled by the new buyers key.

So, say you've bought, and sat on it for 4 years. If you've kept it in the exchanges, you can just sell it when you're comfortable with the price. If you've moved it to cold storage or your own wallet, you'll need to transfer it back to an exchange to then sell. You transfer by sending it to an address given to you by the exchange, using your key to unlock it, and then sell it on the exchange once the transfer has been confirmed on the blockchain.

You could also sell to someone directly without going through an exchange. Say I wanted to buy your coins. I could give you an address that I control, you transfer to me using your keys, and then I pay you in USD once it's confirmed on the blockchain.

Very nice.

500 #bitcoin just moved for the first time in a decade.

Someone is still HODLING on to these #bitcoin that they got for $10 and has now watched the value go from $5,000 to $31 million! pic.twitter.com/x6M51FXVEQ

— Documenting Bitcoin 📄 (@DocumentingBTC) April 15, 2021

Looks like no pack for me today 😡

posted by geeblock

Looks like no pack for me today 😡

I think I’ve gotten 3 packs total. Last pack was junk. I sell them all immediately. For my $10, my current balance is $250. I was in place like 230k today. 

posted by iclfan2

I think I’ve gotten 3 packs total. Last pack was junk. I sell them all immediately. For my $10, my current balance is $250. I was in place like 230k today. 

I started at 183k

posted by iclfan2

I think I’ve gotten 3 packs total. Last pack was junk. I sell them all immediately. For my $10, my current balance is $250. I was in place like 230k today. 

I need another pack to be eligible to buy the legendary packs 

posted by geeblock

I need another pack to be eligible to buy the legendary packs 

Is that the one that just went for $1k the other day? I saw you had to be eligible to even be allowed to buy and knew that I wasn't. The base packs usually suck  but I got the last cool cat one and sold one for $80 (and now selling for like $25, which is why I just try to flip them, not certain they'll ever appreciate much).

posted by justincredible

Good question.

Don't use Coinbase.

posted by iclfan2

Is that the one that just went for $1k the other day? I saw you had to be eligible to even be allowed to buy and knew that I wasn't. The base packs usually suck  but I got the last cool cat one and sold one for $80 (and now selling for like $25, which is why I just try to flip them, not certain they'll ever appreciate much).

Yea that was the 1000$ one. 

Post the top shot stuff in the other thread. This is Bitcoin only. 

posted by justincredible

Post the top shot stuff in the other thread. This is Bitcoin only. 

I buy my bitcoin on PayPal even tho it has the same high fees as coin base 

posted by iclfan2
Why don't you like Coinbase? My buddies who have some use this, so just wondering.

I was autobanned when attempting to sign up in 2017 and never heard a thing from customer service to help me figure out the issue. Signed up at Gemini the next day and had no issues. I'm sure it's fine, but most of the Bitcoin maximalist community shies away from Coinbase.

posted by geeblock

I buy my bitcoin on PayPal even tho it has the same high fees as coin base 

Be careful.

https://boingboing.net/2020/11/12/beware-of-buying-cryptocurrency-on-paypal.html

I'd use CashApp as a dead simple option for buying bitcoin.

posted by justincredible

Be careful.

https://boingboing.net/2020/11/12/beware-of-buying-cryptocurrency-on-paypal.html

I'd use CashApp as a dead simple option for buying bitcoin.

Just switched it thank you 

posted by geeblock

Just switched it thank you 

I also had bitcoin on cash app but didn’t realize it was better 

What are you guys' take on Dogecoin?  I didnt buy any and dont plan to but im definitely feeling jealous of a few friends who are up 5k right now.  Not sure if they wont lose their money in the end but its intriguing.  one friend sent me the math that if it hits 30 dollars he will be a millionaire. I hope i dont get banned for posting about dogecoin on a bitcoin thread.

Don't buy dogecoin unless you want to get rekt. Don't post about dogecoin in this thread again unless you want to get negged. Dogecoin will NEVER hit $30. It's likely never going to hit $1, and will absolutely come tumbling back to pennies. It was started as a joke project and hasn't changed. There are something like 130 billion "coins" in total supply.

Nigeria just tried this and the price went up significantly on p2p exchanges. They reversed their decisions shortly after banning it.

Turkey has banned #Bitcoin as a payment method for goods and services.

— Bitcoin Archive 🗄🚀🌔 (@BTC_Archive) April 16, 2021

Gonna start doing some Bitcoin 101 posts to go over some of the basics. It's mostly for myself, making sure my knowledge and arguments are sound, but hopefully you'll get something out of it as well.