Considering dabbling in Bitcoin

otherwayup

I don't pretend to understand MSTR's strategy , but I know its stock price trades at a volatile premium to its actual BTC NAV holdings. Eg. MSTR up ≈160% vs BTC up ≈80% in last 12mths and MSTR down ≈20% vs BTC flat in last 2mths.  This is a bit out there, but if the US gov decided it wanted to quickly own lots more BTC, then 'ACQUIRING' MSTR at NAV would be the way to do it.  If you'd bought MSTR at a premium to NAV, that would sting.

1 BTC will always be worth 1 BTC - Put a small % of your fiat wealth in BTC and forget it for the next 5-10 yrs.

The 50yr anniversary celebrations of the last UK IMF bailout are just around the corner. 🎉

Kiran

thegentleway said:

I started buying some bitcoin on Coinbase but now just buy MSTR on T212 as a proxy for bitcoin. 

I'm not sure I fully understand the model, but it doesn't look to track Bitcoin? I'm clearly showing holes in my own  knowledge

InvesterJones

Kiran said:

thegentleway said:

I started buying some bitcoin on Coinbase but now just buy MSTR on T212 as a proxy for bitcoin. 

I'm not sure I fully understand the model, but it doesn't look to track Bitcoin? I'm clearly showing holes in my own  knowledge

MSTR raises money to buy and hold Bitcoin. Therefore the worth of its assets (thus value) is tied closely to the value of Bitcoin.

Scottex99

Kraken, Coinbase, Swissborg

i think Strike has a nice DCA option where you can autobuy every day/week etc.

And if you hold for x days the fee to move to cold storage is lower/free

im not in UK so can’t confirm for sure but there should be a load of options 

thunderroad88

jaypers said:

I consider myself to be pretty financially savvy. Bitcoin however……do not understand it at all, and I’ve tried. Don’t like things I don’t understand so never have any intention of touching it with a barge pole. If as a ‘get rich’ vehicle it was easy, everyone would be doing it. 

I don’t understand it either..like I never got parallel universes in Dr. Who (when I watched it in the Tennant/ Smith days). Tiny brain just got overloaded. Watching an etf DAGB which I’ve seen recommended. Might punt a few £k and leave forever…

alfred64

Some wonderful scams about. This one landed today.--

I am Contacting you from Troy Illinois, USA. I work with Binance Bitcoin Cooperation Center here in Illinois.

I write to inform you that we discovered a Bitcoin worth $15,000,000.00 in your name here in our office and I was ordered to contact and inform you about it.

Your bitcoin address..........


Your phone........


Your current email address......


Your state and country name.....


OR... YOUR BANK ACCOUNT 
I can transfer your money directly to your bank account Once you provide to me your Bank information Ok.

DjangoUnchained

alfred64 said:

Some wonderful scams about. This one landed today.--

I am Contacting you from Troy Illinois, USA. I work with Binance Bitcoin Cooperation Center here in Illinois.

I write to inform you that we discovered a Bitcoin worth $15,000,000.00 in your name here in our office and I was ordered to contact and inform you about it.

Your bitcoin address..........


Your phone........


Your current email address......


Your state and country name.....


OR... YOUR BANK ACCOUNT 
I can transfer your money directly to your bank account Once you provide to me your Bank information Ok.

what makes you think its not genuine. I frequently overlook the odd 15million$ in bitcoiun i have.

Scottex99

Genuine, and sophisticated 

Vitor

All but one of my 'top' signals for BTC are red/amber at the moment, only demand for BTC coming from institutions (with longer horizons) rather than retail punters gives some stability. 

masonic

Kiran said:

ChesterDog said:

Bitcoin-tracking ETNs are allowed by the FCA from 8 October.

I've had a little bitcoin on and off (currently off), but am intending to gain some exposure via one of these in due course.

I wonder if Trading 212 will allow make Exchange Traded Notes available on the platform come October? If they don't, could anyone share the pros and cons of ETN's Vs going to another platform like Coinbase or Exodus and buying the asset directly? 

Thanks

If not immediately, then I'd imagine soon after. I think I read recently that a couple are being prepared to be listed on the London Stock Exchange and there will no doubt be demand, so no reason for T212 not to allow them to be traded once available.

The main pros are that your investment will be with a regulated investment firm, they will apply the necessary precautions around custody and security, and for someone familiar with collective investments, there is no learning curve. The tax situation may also be easier if you hold unwrapped (crystallising gains by swapping between different ETNs becomes possible), and presumably the ETNs will be ISA and SIPP eligible, which direct holdings are not.

The cons are that you'll have to pay a small ongoing management fee, there may be tracking error (could go in your favour or against you), you won't be able to trade 24/7, and you won't get the benefits of direct ownership like being able to stake or lend for additional income.