How Much Money do i Need to Open a Bitcoin Account?
I thought the question of ”how much money do I need to open a Bitcoin account?” was a really funny one.
Now, I understand that despite the hype surrounding Cryptocurrencies, some people are still not conversant with what Bitcoin is, or even the current investment opportunities that are surrounding Bitcoin as a Cryptocurrency.
Note: Click here to find out whether you can earn a full time living with Bitcoin mining.
To answer the question that formed the title of this post, I’d say that the amount of Bitcoin you need and the purpose for buying Bitcoin will dictate the amount you will need for an account.
The answer is now very clear. But I’d say that a newbie would still struggle to grasp what am talking about here.
Therefore, in the next section of this post, I shall break it into bits that can easily be swallowed since am assuming that only newbies are looking for answers on ”how Much Money do i Need to Open a Bitcoin Account?”
How Much Money do i Need to Open a Bitcoin Account?
The amount you need to open a Bitcoin account will depend with the goal you have in mind.
For example, if you want to start mining Bitcoin in the cloud, you can start with as little as 0.05 Bitcoin or more.
Some Cloud mining companies (like Genesis Mining)are even asking for less than 0.05 Bitcoin at times.
But there is also something I’d wish to bring to your attention:
First, to determine how much Bitcoin you’ll need in your account, you’ll have to figure out how to exchange regular currencies such as USD, EUR, JPY etc into Bitcoin.
There are several exchanges on the internet which do this job very well.
Most of the time, I use Coinbase, a platform that helps you sell fiat currencies like USD into Bitcoin and vice versa.
And then there are scam exchanges (others controversial) too.
The purpose for which you are determining how much Bitcoin to keep in your account is generally determined by what you want to do with it.
If you are someone who has a knack for trading Bitcoin, and is always looking for best way to invest in Bitcoin, you will always find a number of sites claiming to offer an opportunity to make money with Bitcoins or any other Cryptocurrency.
Those sites usually have their minimum deposit requirement which can be in any amount of Bitcoin.
This reminds me of the different ways that people can invest in Bitcoin.
I have lately seen that Initial Coin Offerings (ICOs) are a big thing.
Some websites in this space are even claiming that their coins will be the next big thing, even bigger that Bitcoin.
Of course you can’t take them seriously because this is the language of business here.
Those who get sucked in get ripped off by these sites.
Nearly every website in the blockchain space is offering an ICO.
A good number of them are not legitimate as the aim is usually to collect as much money as possible before abandoning ship.
Therefore, the amount you will need for any Bitcoin account is whatever you decide to buy and hold in that account.
Usually when I buy Bitcoin, I don’t have a minimum BTC in mind to buy.
I just go to my favorite exchange here, and then buy whatever the amount of Bitcoin my dollar amount can afford me.
That means I can buy 0.1 BTC, 0.05 BTC, 0.0004 BTC or whatever.
The choice is always with me. But to some extent, this choice is influenced by what I want to do with the Bitcoin in question.
how much money do I need to open a Bitcoin account and invest
Seasoned traders like I and a few investors in this industry go into the market with an open mind.
Like I said before, I buy Bitcoin of any amount.
I have been mining Bitcoin with these platforms as a side hustle for some time now.
I remember the first time I started mining Bitcoin in 2015. I started with 0.05 Bitcoin.
I have somehow managed to grow that investment to an amount I don’t wish to disclose in this post.
The point is, you can invest any amount in Bitcoin.
But like any other market, things can be a bit uncertain.
I remember that it was the year 2014 when I first got interested in Bitcoin.
When I saw its value rising very fast and steadily, I ask myself ”Should I invest in Bitcoin?”
Unfortunately back in the day, there was not so much information on the internet about whether or not to invest in Bitcoin.
It was a gamble for me. So I figured out a Bitcoin investment strategy and decided to stick to it.
A small part of my portfolio was allocated to Bitcoin mining.
The other small percentage of the trading capital remained with my Forex broker since am a Forex trader myself.
Of course Bitcoin’s value continued to increase at a faster pace. By mid-2016, I had gained a significant amount of profit because I am typical a trader/investor with long term goals in mind.
MyFXchoice, the broker that I use, announced that they had revised their spreads downwards to $3 per unit from their initial $5 per unit.
That must have helped me in one way or another since I was able to trade Bitcoin pairs at a much cheaper price than before.
So yes, with a Bitcoin investment strategy in place (whether mining or trading it like me), you can make lots of money. You can also invest as much or as little as you want.
Should I Invest in Bitcoin?
The answer is yes and no.
It’s a yes because if you have the steel to trade, you will make a lot of money.
Suppose you found this blog in 2015 and bought Bitcoin with me, how much do you think you could be having—- assuming you never sold it?
A lot, isn’t it?
Well, do you think the current rate of Bitcoin growth will be sustained in the long term future?
I advice caution here because most people are now much aware of Bitcoin than before.
So that means many people are buying and holding or selling when they have a profit.
I know most of my students here have Bitcoins in storage somewhere.
I advised some of them to buy Bitcoins last year (2016), which they did.
Along the way, some sold their Bitcoin when price became a little bit unstable. Others decided to buy and hold up to this very day.
I can assure you that these guys can’t get to thank me any better.
What to know with Bitcoin investing
Bitcoin isn’t affected by economic or geo-political factors.
Generally, the price has maintained an upward trend.
The recent devaluation of the Chinese Yuan created more demand from the Chinese people.
This in turn caused the USD to increase in value in relation to the Yuan. It affected Europe-based exchanges as well.
From what the world has seen, Bitcoin is apolitical. It is not influenced by Global chaos, governments or financial institutions in the world.
And even if I have to think that economics and politics will significantly influence the value of Bitcoin, I have to do so on a global scale as opposed to just observing what is happening in a particular country.
How much money do I need to open a Bitcoin account and store it?
Since we already know that we can buy Bitcoin of any amount, the next concern is how to safely store it.
Will you store it in the short or long term?
The choice of storage depends on these two goals.
If you’re planning to store your Bitcoin in the short term, simply open an account with an online wallet.
I use CoinBase for exchanging and temporarily storing my Cryptocurrencies online.
But that does not mean that you should leave your coins there for a significant length of time.
With scammers on the loose, I have been cautious enough and even devised ways to store my Bitcoin in a safe hardware wallet.
You can read my review of that product here.
With hackers and scammers lurking on the internet, the best way to secure your Cryptocurrency after buying for any amount is to use a Cryptocurrency hardware wallet.
It’s a very useful tool indeed as I have used my Bitlox wallet for close to one year now.
My final word
That being said, I don’t think anyone still has questions related to ”how much money do I need to open a Bitcoin account?”
The absolute truth is that you can still make money with Bitcoin, just like we do with any other market.
Your concern should be how to invest and secure your proceeds afterwards.
So if you’d like to learn more, join my students mentorship program where I teach and show people how to make money with Forex and Cryptocurrencies.