Bitcoin returns the last 3 years:
+------+------------+
| Year | Return (%) |
+------+------------+
| 2017 | +121.9% |
+------+------------+
| 2018 | +1324.5% |
+------+------------+
| 2019 | -72.3% |
+------+------------+Even for us die hard cryptocurrency fans, it‘s a difficult to decide to spend something today that might double in value tomorrow. Bitcoin‘s primary goal is to be a global, decentralized currency. It‘s high risk, and it‘s speculative but it’s more than just an investment. While HODLing is absolutely a good thing to do, there are times when you want to cash in on your earnings.
Cryptocurrency More Valuable than Spending Cash?
I’d like to establish the idea that buying into bitcoin is valuable enough for people to give up extra cash. People well versed in cryptocurrency knowlege generally think that the value of Bitcoin will grow (in my opinion, this is only the beginning). There’s a number of reasons for that:
- As an investment, cryptocurrency has done extremely well
- It has found utility in bringing unbanked into the global economy
- It‘s becoming more user friendly (still a ways to go on that 😅)
- More people are discovering it. The demand for cryptocurrency has only grown over the years
- The supply is only decreasing as people purchase and HODL. There is a limited, maximum number of bitcoin that will ever exist. We are getting closer to that point. Since the halving, less bitcoin are being minted.
- It is also still quite hard to get your hands on. On ramping from fiat (cash) to Bitcoin is a hassle. There are high fees, high verification requirements, frozen funds, exchange hacks, etc.
As a result of all of this, people are willing to pay a lot, sometimes more than market rate, for bitcoin.
Buying From Amazon using Bitcoin
After almost shutting down, Purse has returned. Using this website, you can purchase nearly anything and have it shipped directly from Amazon but with a discount for using Bitcoin. This can be a 10% discount or higher if you are willing to wait a few extra days.
A lot of users of Purse have Amazon Prime accounts, so you can sometimes get one day shipping WITH a huge discount. I‘ve had that happen before and was very pleased with the whole process. Buying from Purse is actually really easy and private. The person fulfilling your order doesn’t have access to your address. If something does go wrong, Purse will compensate your loss up to 10,000 dollars
Reselling on DEX for More Cash
Bitcoin is decentralized in nature, therefore it‘s natural that decentralized exchanges will pop up. In my experience of using Bisq (a popular DEX), if you are accepting fiat in exchange for bitcoin, you can expect to sell your bitcoin for 10% higher than market rate.
Using Bisq is a bit convoluted for sure, and there is a risk of getting scammed if you don’t follow instructions. If you have a relatively cheap source of bitcoin and are able to accept cash in one of the various payment methods, it could be a worthwhile endeavor.
Buying Gift Cards on Bitrefill
Bitrefill allows you to purchase gift cards directly with bitcoin. They also allow you to top up prepaid phones. While they aren’t a peer to peer website, you can still find a good (albeit smaller) deal. With their Bitcoin Back Rewards program, you can get between 1% and 6% of your bitcoin back when you make a purchase. They’ve got hundreds of brands of cards to purchase, which means you can easily do all your shopping with them.
Continue the Converation
If you’re feeling generous perhaps share the thread on twitter.