How to Buy and Sell Bitcoin for Profit

You can be a Partner in the Great Decentralized Bitcoin Exchange

Premise: Before bitcoin becomes a viable currency it needs to continue to grow until society recognizes dollars, euros, yen, etc (“fiat”) are inferior. For this to happen people need to divest of fiat and invest in bitcoin. You can profit while making this happen. Here’s how:

Buy some bitcoin.

2. Post an ad on Craigslist, Facebook, etc. like this:

“I buy and sell bitcoin. Let’s meet in a cafe or library. When we meet we’ll use the price listed at (whatever exchange you buy on).”

Note: The price of bitcoin varies from city to city. For example, Vancouver has a lower price than Johannesburg. Beginning with a small commission will help you meet new clients and discover the exact price in your city. Our potential to become wealthy through asset-appreciation is far greater than our potential to become wealthy through 5% fees.

3. Before you meet a client agree on an approximate dollar amount - it is easier to make change in bitcoin than dollars.

Safety tip: Wear running shoes and carry a whistle

4. Meet the client and determine the bitcoin amount:

If you are buying dollars/selling bitcoin, use this formula to send 1% less bitcoin

If you are selling dollars/buying bitcoin, use this formula to receive 1% more bitcoin:

I use my laptop and the free calculator at www.desmos.com/calculator, and show clients my calculations. Everybody appreciates transparency.

Note 1: Be price-agnostic. It’s possible that you’ll get unlucky and sell in dips and re-buy on peaks. The opposite is also possible, but the more you buy and sell the less short-term volatility will matter.

Note 2: If hit you minimum bitcoin float you must raise your price. Tell prospective buyers: “Sorry, acquiring bitcoins has been difficult lately. I can only buy at 5% above Exchange X.” If your acquiring costs are permanently higher, increase the prices in your ad, or you will lose your clients’ trust.

5. If you’re sending bitcoin, receive the dollars first, and count them. Separate multiple denominations and use a pen and paper, if necessary. If you are sending dollars, receive the bitcoin first. Check that the amount is correct, and wait for a confirmation on the blockchain. Use this time to converse with your trading partner.

What got them into it? What excites them about bitcoin?

Note: I wrote this guide for myself after almost making some very expensive mistakes. I hope you enjoy it. Here is my ad.