How to use Coinbase

Sa. Computer. So, welcome, welcome, welcome to this video. We're going to show you some of the doors into the crypto world. And I just want to start by saying that I am not acting as a financial advisor. This is not financial advice. Please do your own research. Cryptocurrency is exceptionally risky place to put your money, but with great risk can come great rewards. So that's why we're teaching you how to do this safely, to build strong rules that you're going to follow that can hopefully keep you more protected. But again, nothing guaranteed. Nobody's got a crystal ball. Don't take anything I say or misconstrue anything I say as financial advice. I'm not acting as your fiduciary or financial advisor in any way, and I hope that's very clear. And sorry about all these disclaimers, but unfortunately that's the nature of the beast here, especially when we're dealing with crypto education. So what I'm going to do today is I'm going to take you through two exchanges I use all the time to get into the crypto world. I've been using for a long time, like Coinbase here, I've been using for many years, pretty much since they started. I've had the pleasure of meeting one of the founders at Burning man and having a great conversation with him, Fred Ursham. I don't know if he's still at the company or not. I think he's doing other stuff now. I don't keep a lot of money on Coinbase or any exchange for that matter. If it's above 10, 20 grand, I start to think about, all right, well, if all this went away, if it was hacked, if you don't have your keys, you don't have your crypto, so I'd want to move that into more a hard wallet situation or just spread it around. So I've got a lot of different wallets, a lot of different places, some online, some offline. I won't go into too much about how I manage all that in this video. And just for my own safety and security, I won't be mentioning everything that I do, but I'll give you some basic stuff that you can do to protect your crypto more effectively. And the most effective thing you can do if you want to keep a lot of crypto more than you'd want to lose, is to put it on a hard wallet and then, even then, spread it amongst multiple hard wallets. Ledger, Trezor Trust wallets, There's a whole bunch of different ones you can look into. Just Google around, you'll find different ones. You just want to get a sense of what the best ones are. But Ledger and Trezor I think have been around the longest and have the most trust. I don't believe any of them have been hacked. I think Ledger might have had a hack, but it wasn't anything to do with the hard wallets. It was more of the data anyway. So just protect yourself out there. That's like step zero and all this stuff. But let's talk about Coinbase and then we'll talk about Coinbase Pro and we'll talk about Gate. Now Coinbase is a really easy to use platform. It accepts USD, it's based in America, it's publicly traded. It's one of the biggest exchanges that I know of and they'll pretty soon be coming out with an NFT platform. We're filming this In November, it's November 11th of 2021. So as things evolve and change, obviously we'll update these videos. But for now this is all current. So you'll see here I have some tokens and these are things that I keep. And the reason I keep these here is because there's no other place to put them where they'll generate a better yield more than a few percent. So it's like not worth it for me to move them off of here. And it's just easy to have them here and kind of watch them in one place. But if like Rari, for example, which you know, I've had for a while, if I can move that to celsius and make 8% on rarity, well, damn well believe I'd move it over, right? But for now, like nobody's really staking it that I'm aware of for anything substantial. So if it's like 3% or less and like whatever, if it's like 5% or more, I would consider moving it onto a different wallet or a different exchange that might earn a little bit more money while I'm just holding. Anyway, same thing with loans. If I loan out, I don't want to sell my crypto if I can ever help it. Because every time you either transfer money into cash or into another crypto, it's a sale event. So you don't want to trigger a tax event. So what I do instead is I take loans out against crypto. So if I need liquidity, I'll put up etc or ETH or Litecoin and then I'll use a platform called Celsius, which we'll talk about in another video in order to get those loans. So just kind of like I'm going to jump around a little bit. But just the main thesis here is like, don't keep a lot on an exchange. Hacks happen. And I want you to introduce you guys to jj. JJ is going to be kind of the person I'm teaching through this because I'm a manifesting generator. If you know human dynamics, it's a lot easier for me to teach him and have him ask questions. Cause he's not as up on the stuff. And also it's great to have him around cause he's really tech savvy. He knows how to develop and code and read, read code and do code. So when I come up against the limits of my technical ability, he helps me out when I come. When he comes up the limits of his financial capability, he asked me for help. And we help each other. So that's what we are all doing here. We're getting smarting together. And I just want to start with Coinbase. So here's a couple of hacks just to get you started. The thing to know about Coinbase is you want to get all the way up to level three, what do they call that? Level three verification. And that allows you to bring in, I believe, 35,000 a day. I don't typically buy in that larger quantity in a single day, but it's nice to know I can. And when you go to buy, you want to make sure that you not only have enough to purchase, but at the same time that, let's say if I want to bring in 20 grand, how much of this can I actually move? So let's say I wanted to buy Bitcoin right now. I'm not going to actually do it at this rate. It's pretty high right now, 65, 66,000. But if you were to do that, you're going to notice that the fees are going to be substantial. And then if you want to send it off exchange or even a Coinbase Pro, which we'll talk about in a minute, you're going to spend. I'm sorry, you can only send a very small fraction of this $621. I've seen this number fluctuate. And what's weird is they won't tell me why, but I used to be able to buy 35,000 and send 35,000 instantaneously for a long time, for many years. And all of a sudden I think they realize what I'm doing here and I'll show You what this hack is, maybe they'll do it to you too. But for now, they're restricting how much I can send within a certain amount of days. So if you're moving fast in crypto, a day is like a week, a week is like a month, a month is like a year. So waiting eight days to move your crypto into whatever investment you want to do, because this is usually your entry into the market, that's a long time. So what I recommend instead is just to keep some of your USDC coin on Coinbase. It's the same as having it in the bank and it's actually free to buy. So if I go over to. You just saw there was a $300 fee to do that. If I go and buy 20,000 in USD coin, not only is it free to buy, they don't charge you a fee because this is Coinbase's actual coin that they back. But now if I buy this, I'm also going to get USDC rewards. So I believe they pay 0.15%. So it's not great or anything, but it's also not terrible. Now, if I buy it on USDC and unlock it, then I can move it to Celsius and I can earn 8.8% on USDC, which is pretty nuts. So keeping some money at least in USDC ready to go in case you need crypto, and that's already seasoned past the point where they'll allow you to move it in and out really is a good idea. And then also having it earning interest is a really good idea because if you move it into the exchange, you can then move it out of the exchange at the same moment. There's no holds on that. So the only holds they're going to place as of right now are on money coming in. That's fiat going into crypto. That means cash going into crypto. So having some USDC available, not only will you save on fees, but you can also now go and change it out for, I believe, crypto. And I don't think they'll charge you a fee either. But I'm going to. I'm just going to test this out just to see. So if I go to overview in my usdc, you can see I have a thousand right now in my USDC wallet. I always keep a little on hand in case I got to make a purchase. But if I want to convert it to, say, a coin. Now let's see, I got to put an amount. Let's see what happens. Are they going to charge me a fee, because this could be really interesting. I think they will, but let's just double check. Yeah, they're going to charge me a fee. Okay. But now let's think about it this way. What if I move it over to CoinBase Pro and JJ? Feel free to stop me if you have any questions. Pretty clear so far, right? It.