It was almost a year ago, a buddy of mine and I were looking at market prospects amidst the burgeoning global pandemic, stocks were up from their March 18 low, and we were both breathing a huge sigh of relief. Our S&P ETFs had rebounded almost 25%.
The problem was, what next?
Having not lived through a global pandemic before or what the future would bring. We weren’t sure what to do other than stay out of cruise line stocks and airlines. We had a friendly bet; we’d each take $10,000 out of our portfolios and put it into an alternative investment, non-equities as a hedge against the rally running out of steam.
Jeff made a smart bet, he put 5,000 into gold and 5,000 into copper. He figured that either thing would get seriously worse, and there’d be a panic into gold, or they’d get seriously better if the government put a base beneath the economy via financial support and “shovel ready” projects. Copper would bounce if the real economy mounted a comeback.
I’m a bit younger than Jeff, and gold and copper just aren’t “cool.” I looked at Amazon or some internet unicorns, but we’d agreed on no equities, including private equity investments.
I sunk my money into Bitcoin. I figured if there’s a flight to safety, Bitcoin would follow gold up and if things got better, my equity portfolio would pay off any losses I made from Bitcoin, a win-win.
I researched how to get into Bitcoin with differential discounts and, at the same time, regulation and safety for my funds. At that moment, I realized the advantage of BitCard®.
Buy Bitcoins with BitCard® at competitive prices
BitCard® is a Bitcoin gift card that people can buy individually in retailers or in bulks on the company’s website. They offer special discounts and have an easy to go platform where you can track the Bitcoin prices and the value of your business.
You don’t need to open an account in a complicated exchange or check fluctuations. All you need to do is to buy a gift card as you usually do with other businesses. The difference this time is that you are giving Bitcoins, the king of cryptocurrencies. You can also buy it and hold it as an investment.
That’s what I did.
My bet on Bitcoin was a real gift card!
A year later, we’ve settled the bet. Jeff did OK – he made over 10% on his gold and nearly 80% on his copper bet. We’re both up 45% on our S&P ETFs, so it all worked out great for both of us. But the Bitcoins I held in my BitCard® made me 640%.
I bought Bitcoin at $8,600 and it’s worth $58,500 today. Because I purchased $10,000 worth of gift cards, that makes my profit almost $70,000 – better to be lucky than good, I say!
The bet – steak dinner, a couple of bottles of the best Nuits St. Georges, and a nice bottle (or two) of Dom Perignon was the bet, so we’re heading off to Gallaghers next Friday night.
How do I spend my Bitcoin gains?
I wish I’d bought more Bitcoin gift cards than I did, but c’est la vie, the life of a trader. I should have sold it a couple of weeks ago when it peaked just over 63 grand, but it’s still well bid.
This is probably because Tesla bought $1.5bn worth and is not planning to sell any of the Bitcoin its customers use to buy their vehicles. You know, I made about 70 grand from the stuff I bought a year ago and a new Tesla S costs about that. Let’s have a look at the website and see what they have to say.
Yep, a baseline Tesla S costs roughly 69,500. That would be a nice way to celebrate what I’ve made on my portfolio over the past year. Let’s have a look to see how easy it is to do.
Ah, here we go, on their website – “Just look for a Bitcoin symbol next to the “order” button for Bitcoin-eligible “products and services” – doesn’t sound too difficult! The website tells you how to buy a Tesla with Bitcoin.
How do I buy something from Tesla with Bitcoin?
First, you need a “Bitcoin wallet” — a device, platform, app, or software that supports Bitcoin transfers. Tesla will give you our Bitcoin wallet “address” in both an alphanumeric code and QR code for you to enter into your Bitcoin wallet, so it knows where to transfer the Bitcoin. It’s your responsibility to make sure that you send the Bitcoin to Tesla’s Bitcoin wallet accurately.
In the case of BitCard®, you cash out your Bitcoins in real-time and therefore make the purchase directly on a Tesla dealer or just wire the money to the website directly.
How do I know how much Bitcoin to enter?
In the US, all Tesla products are priced in US Dollars. But don’t worry — if you use Bitcoin to buy something from Tesla, we’ll tell you both the US Dollar price and the Bitcoin equivalent price. So that you will know how much you need to cash out from your BitCard®.
For example, if the payment web page shows a payment amount of $100 (0.00287508 BTC), you’ll enter 0.00287508 BTC into the amount field of your Bitcoin wallet.
But keep in mind that if you take too long, the price will expire, and you’ll have to start over. And remember that you’re responsible (not somebody else) for entering the correct Bitcoin amount and Bitcoin recipient address into your Bitcoin wallet.
Hmmm, that’s not too bad. After all, when I use my credit card, I often have to go over the input a second time; sometimes, the servers are too busy.
So, how different is this?
How long does it take to process my Bitcoin payment?
The website says the payments page will refresh within one minute after you send the payment and warns you not to send a new payment if your page doesn’t refresh.
Tesla will let you know (by email or through your Tesla Account) once we confirm that when they’ve received your payment through the Bitcoin network – that can take up to six hours.
If there are any problems, you need to contact your coin wallet provider. They’ll work out any issues.
Oh, I see one more possible hiccup. You’ll have until the timer on the payments page expires to complete your payment. If time runs out, you’ll need to restart your order process, and your alphanumeric or QR code, Bitcoin wallet address, and Bitcoin price might be updated.
Well, like I say, I’ve had that same problem trying to book plane tickets or tickets to rock concerts – it’s annoying, but it happens!
You know, I’m not sure I just want the baseline model Type S Tesla. Maybe if I hold onto Bitcoin, I’ll be able to afford all the bells and whistles. We were over 64 grand for Bitcoin just a few weeks ago. I’d have had over 74 grand profits; that’s a lot of bells and whistles! Maybe I’ll just hold onto my BitCard® investments a while longer!