Have you ever heard the old saying, “nothing in life is free.” Sadly, is true. Everything comes at a cost, with some sort of string or strings attached to it. The same is true of my free Bitcoin offer. It’s almost free. You have to buy Bitcoin to get free offspring coins. If you’re interested in getting a free coin for each Bitcoin you own, read on and start planning your entry into the cryptocurrency world.
Maybe you’ve heard of the term “hard fork.” In the cryptocurrency space, this term describes a code split. Essentially developers agree to fork their ledger (two exact copies) at a set time. A true set time, a snapshot in the blockchain. For example, the recent Bitcoin Gold hard fork occurred at Bitcoin block 491,407.
At fork time, the platforms are branched into two separate chains. Hard forks lead to the creation of a new virtual currency, or coin. Forks can happen for a bunch of reasons. Usually, a fork happens when two future development roadmaps are envisioned. Developers fight over which path to choose, then they choose sides, and agree to a fork. After the fork, the old coin operates as usual and the new coin adds in the features its developers feel are best for the future. In the case of the opportunity for free coins that I’m writing about, the case is that developers are fighting about the direction Bitcoin.
If history is any judge, hard forks of Bitcoin are profitable for investors. News of upcoming forks has pushed the price of Bitcoin up in the past. Investors buy more Bitcoin prior to a scheduled fork so they can get an equal amount of the new coin. That’s right. When a fork of Bitcoin occurs, coin owners receive an equal amount of coins as their Bitcoin balance.
Bitcoin Hard Forks – A History Lesson
Let’s take a look at the last two Bitcoin hard forks. These forks are Bitcoin Cash and Bitcoin Gold. Both forks are very recent. The Bitcoin Gold hard fork happened earlier this week and the cash fork occurred on August 1st.
Bitcoin Cash Hard Fork
This year on August 1st, the Bitcoin Cash hard fork happened. The new Bitcoin Cash coin was very volatile the first few days. Then, after two weeks, Bitcoin Cash took off; charging north of $900 per coin. At the same time, Bitcoin (the original one) also saw gains. I’m rounding here, but Bitcoin was trading at $2,700 on August 1st. On August 18th, the day Bitcoin Cash took-off, Bitcoin was valued at $4,100.
Fast forward to today, Bitcoin is valued at $5,754 and Bitcoin Cash at $333. The early fever of a new coin associated with this new coin wore off and Bitcoin cash has retreated to the $300s. But, whether you own 1 or 1 million coins, if you owned Bitcoin you got these coins for free. Talk about some nice profit.
Bitcoin Gold Hard Fork
Earlier this week on October 23rd, Bitcoin Gold was the latest hard fork of Bitcoin. This new coin opened at $479. Three days later the coin is down significantly. Bitcoin Gold is trading at $142. Bitcoin is behaving similarly to last time. Bitcoin did see a nice price spike about 5 days prior to the hard fork. However, since the fork the coin’s value dropped slightly. Over the past last 24-hours it’s charged back. At the fork, Bitcoin was valued at $5,980. As of this post, Bitcoin is just under $6,000.
What will the next few days look like? I don’t know. I assume there will be a lot of volatility for both coins. The takeaway I want all of you to leave with is that when a hard fork occurs, a new coin is born. If you own coins of the platform being forked (I said forked not f&cked), you’ll get a mirror amount of the new coin. This is AWESOME!
Yes, You and I Can Get Free Coins Too
Disclaimer here. I’m, not a financial planner. I don’t give advice. I only share what I’m doing. View my disclaimer page to read all the fun legal print.
I’m buying Bitcoin to get free Bitcoin2x coins. You can do this too.
My Plan for the Bitcoin Segwit2x Hard Fork
I’m watching Bitcoin closely. Sometime between now and November 16th, I’m buying $25k worth of Bitcoin.
If my alt coins, Ripple, Ethereum, NEO, and Litecoin take off too, I’ll sell all of these coins and add it to my Bitcoin purchase.
Sounds like a lot, sadly it’s only somewhere between 4 & 8 coins. Why November 16th? On November 16th, the next Segwit2x Bitcoin hard fork is scheduled. The Segwit2x hard fork will create a new coin; a born from Bitcoin. This new coin is called Bitcoin2x, with the ticker BX2.
Hopefully, Bitcoin slides in price over the next three weeks to an attractive buy price. I’m hoping for under $5k. If I can buy Bitcoin for $5k, I’ll get 5 coins. This means I’ll have 5 BX2 coins. The value of those coins is unknown. But past hard forks of Bitcoin has shown that there will be value in these new coins. In futures trading, this new coin is currently over $1,000.
I’ll take $5k for free! If all goes according to plan, I’ll hold the Bitcoin and Bitcoinx2 for a few days to a few months and sell on the highs. I’d like to keep one of each coin. The rest of the money will go back into my savings account. I’ll then slowly buy back altcoins on the dip.
Your Plan for the Bitcoin Segwit2x Hard Fork
It’s up to you. I want to warn you that setting up new trading accounts in this space can take several days to a few weeks. Coinbase process applications quickly, but funding could take a while due of potential delays. If you’re planning on taking advantage of this or another future hard fork I highly suggest opening an account and funding the account now. You don;t need to spend the cash, but having it ready to spend is critical in this space. I’m moving my cash over now so I have it ready to take advantage of limit orders.
I use several brokers but I feel most comfortable with Coinbase. If you want open a Coinbase account and you found value in this blog post, please use this link. If you open a Coinbase account and fund it with more than $100 dollars, we’ll both win with a free deposit of $10 in Bitcoin.
Don’t forget that you don’t need to buy whole coins. You can buy partial Bitcoins. With a few predicting the future value of Bitcoin at $1MM dollars, some predicting $100k, and many predicting $10k; it wouldn’t be bad to own a fraction of one coin. Better yet, a fraction of two coins, Bitcoin and BitcoinX2!
Important Info on Hard Forks and This Marketplace
Let’s pause for a review of this new market. I’ve said this before, but it’s worth mentioning again. It’s the Wild West. Rules are being written and re-written constantly. Regulations force change, developers fight over direction, and traditional businesses spread rumors and lies about this market. As an investor in this space, you need to pay attention and be diligent. If you are and you make a few right calls, there’s money to be made here.
The takeaway here is that rules don’t always apply and they change quickly. Here’s an example. The new coin, B2X has a name and ticker, but both are subject the change, Also subject to change is which exchanges will support this new currency. If major exchanges cannot agree on the coin ticker, there could be more than one for the same currency. It’s happened before, long story, but there’s more than one ticker for Bitcoin Cash.
Not all exchanges honor forks. By this I mean, just because you own Bitcoin, you are not guaranteed to get its offspring coins. It’s messed up, but some exchanges don’t respect the fork. They take your new coins, but you don’t get them. If you choose to get free coins make sure you know that the exchange or wallet you’re storing your coins in support this or any upcoming hard forks. If they don’t you’ll buy Bitcoin and get nothing.
Also please note that exchanges change their mind. Coinbase has back peddled a few times this week on BX2. this will support it, they won’t, they will. I suspect they will but it doesn’t matter. What matters is planning ahead and buying Bitcoin prior to the November 16th fork date. Here’s another unknown, November 16th is the best guess date. The actual hard fork will happen at block height 494784. November 16th is the current best guess date of this block sequence.
I cannot wait to read the comments. Whenever I write about investing in Altcoins I get a bunch of interesting comments. Please be respectful to me and others. Investing is 100% personal. What’s right for me may not be right for you.
What’s your opinion of Cryptocurrencies and Blockchains, real or scam? Are you investing in this space or avoiding it? Do you think Bitcoin will win or is there a start-up coin waiting to take it down?
Filed Under: Cryptocurrencies, Strategies Tagged With: bitcoin, blockchain, cryptocurrencies, fork