These days, what with all the threat of social or economic collapse — cryptocurrencies are looking very attractive to both consumers and investors. Why? The flexibility and privacy they offer are definitely two of the top motivators — but there’s also the fact that online currencies don’t devalue like their paper counterparts.
But I digress, this article assumes you already know about the opportunities crypto offers to investors, you just want to know how to get started, right?
OK, crypto has a bit of a hurdle to get into — obviously due to the level of technology that’s involved. Hell, most folks these days still don’t understand the whole cloud concept.
That said, I decided to do a walkthrough of what’s involved and how a beginner can go from newbie to confident Bitcoin investor, in about 30 minutes.
Before We Begin
What I’m going to do for you today, is show you how to get involved in masternoding. Nodes are the computers that make up the blockchain and thus, are responsible for processing and validating transactions. Masternodes orchestrate that whole system and for their efforts, they are paid a processing fee (in the form of interest).
Fortunately, I ran across a little gem that literally eliminates the technical hassle of mining. I’ll share that with you shortly but suffice it to say — the process is automated and zero techno-mumbo-jumbo is required.
Getting Your First Piece Of Bitcoin
The first component on our agenda is acquiring Bitcoin. That’s an important aspect because, as you’re about to see, you get paid in Bitcoin — so you have to have some.
The challenge for those of us in the United States, is that we’re a little behind other countries like Japan and the U.K. where crypto is much more common place. That means you have to find a provider that works with crypto AND will work with U.S. buyers.
For me, that is Walleteze. They’re reliable (I’ve been using them for over a year) and the process is as simple as it gets. Basically, you’ll need to setup an account, verify your identity, and buy some Bitcoin.
OK, so that gets you signed up for a Walleteze account — but there’s still a few more steps.
After you register, check your email. Walleteze will send you a confirmation email and you’ll need to click the Verify link in that email.
Protect Your Account With An Authenticator App
Although not required, I highly recommend you use two-factor authentication. If you don’t know what that is, click here for a description.
The fact is, the mining pool I use averages around 12% returns — so your balance can climb at an unimaginable rate. You will want to be notified anytime your account is logged into, or any transaction occurs. Two-factor authentication is an added layer of security.
Walleteze facilitates the purchase of Bitcoin. You basically have to SWIFT transfer from your bank, to your Walleteze account. Before you can do that though, you have to verify your identity.
- Login to your Walleteze account and click Settings on the top menu.
- Click Account Verification on the left menu.
- Upload three items — 1) a government-issued photo ID 2) a scanned document with your address 3) a selfie holding your photo ID.
Once you have uploaded those documents, you’ll need to wait for confirmation.
Placing Your Bitcoin Order
Once your account is approved, you can place an order to buy. Currently, the only way for U.S. consumers to do this, is via bank wire with a SWIFT code.
You’ll need to contact your bank to get their SWIFT code and any other pertinent information. That typically includes bank name, corporate address, and a phone number.
Login to Walleteze and then select the Buy Crypto button.
It’s important to note that Walleteze charges 20 EUR PLUS 1.50% of the transaction. I mention that because a lot of times, people select something like $1,000 and they only get $925 worth of Bitcoin — because your bank usually charges a wire fee, and Walleteze charges their fees as well. Some banks will charge a separate wire fee, others will deduct it from the sent amount.
Now, if you set all this up over the weekend, don’t expect anything to happen quickly. You’re essentially doing an international wire transfer and although mine usually show up the next day (sometimes the same day) it can take a few days — depending largely on your bank.
Once you’ve got some Bitcoin in your account, you’re ready to start mining like the pros — and like I said before, I’m going to show you how to do it on the sly so you don’t have to fork over the cash on expensive hardware, added electricity, or the software that has to be installed.
Masternoding is difficult to get into on your own, because of the extremely technical nature and high-end processing power that’s required — but also because of the huge crypto deposit. Masternodes can abuse their power, so they are required to deposit crypto as a sort of bond. If they break the rules, they lose their deposit.
So imagine a startup that pools investor resources, purchases masternode status with huge deposits, and facilitates blockchain processing — sharing the monthly paid out interest amongst investors.
In real estate, we call that a collective and if you’re familiar with how those work, you’ve got a head start on understanding the concept.
In plain English, you’re going to deposit your Bitcoin with a masternode company — who facilitates additional servers and a screaming-fast internet connection, along with the software needed. Those servers are programmed to run the blockchain 24/7.
At the end of the month, all the interest accrued is paid out proportionately to the masternode collective.
In other words, you’re funding servers and sharing in the profits!
The company I work with exclusively is YieldNodes and it’s not just because of the great customer service — it’s the extremely high 11.1% yield I’ve been getting!
With banks offering 0.07% on savings accounts, 11% is pretty freaking attractive — and they pay out monthly. For example, January actually saw another little boost and payouts shot up to 12%.
I purchased $5,000 worth of Bitcoin just a little over a year ago, and instead of payouts, I have profits rolled back into the account. In that time though, that initial deposit has grown to over $40,000.
NOTE: Since many of the companies you’ll be working with are outside of the U.S., you’ll need to get familiar with currency conversions.
The signup process for YieldNodes is similar to Walleteze — fill out the form, verify your account, place an order.
You probably already know that crypto is extremely volatile, but that’s another reason I work with YieldNodes — if payout drops below 5%, for three consecutive months, they refund your rental payment and you still get compounded profits. So you’re guaranteed at least 5% (still better than a CD and comparable to mutual funds) — especially when you factor in that my payout has been over 8% every month.
Verify Your Identity
After you sign up, repeat the same type of ID verification that you did with Walleteze. I also recommend that you turn on Two-Factor Authentication for your account as well. These funds aren’t FDIC insured so you’ll want to make sure you’re notified anytime a transaction of any sort occurs, including somebody logging into your account.
Once verified, you can now use Walleteze to deposit funds. You are essentially renting servers that are managed by YieldNodes. That means your Bitcoin is locked into a contract for 6 months. After that 6 months, your funds will be available for withdrawal. You can choose to get monthly payouts of profits, or you can let the profits accrue and give you a bigger stake each month.
There you have it, a simple solution for not only a complete novice, but anyone who is looking to invest in crypto. Not only are you holding Bitcoin with the speculation that it will continue to gain momentum and value — but you are also passively processing crypto at an exponential rate.
Masternode collectives allow average consumers to get involved in crypto, without having to deal with the technical aspects, like expensive hardware and data lines. By joining a masternode collective, you have the fastest possible hardware in your arsenal and can leverage that enormous power for massive gains.