One of the main appeals to owning crypto assets is that you can store it in an offline wallet, with no intermediary needed. Unfortunately, Robinhood makes this process impossible because they sell the ability to invest in crypto but not the actual tokens. This means that in order to securely store crypto in a wallet, you will have to sell your position on Robinhood and repurchase it at a physically delivered crypto exchange.
Cash App is making crypto accessible to tons of new users, but right now they only have support for one token. Sadly, Bitcoin’s top contestant, Ethereum isn’t supported on Cash App, but it’s still pretty easy to convert your tokens thanks to the Withdrawal feature. With that said, here’s everything you need to know to turn Bitcoin to Ethereum from Cash App.
In order withdraw the BAT (Basic Attention Token) you earned from Brave browser, you will need to verify your identity. This is because of something known as Know Your Customer (KYC) regulations that help the government track money. It’s something that is frowned upon by crypto enthusiasts who value privacy, but is necessary for companies to be in good terms with particularly the US government.
How to enable BAT withdrawals through Brave
So, if you want to withdraw your BAT and allow it to be exchanged for cash, you will have to start at the “Brave Rewards” screen.
- On the top right of side of the browser, there is a menu tab. Click it and then click “Brave Rewards.”
- Next to your BAT total, there is a button that says “Verify Wallet,” click that.
- Afterwards, it will take you to uphold.com where you enter personal information
- Enter your address, phone number, etc. then it will ask you to scan a QR code on your phone
- Open your phone’s camera and point it at the QR code
- Make sure to either have a passport, ID card or Drivers License, then take a picture of it and upload it to uphold.com
The Verification process usually takes 24 hours during business days, but it could take longer than that.
How to turn BAT into cash
Uphold allows users to connect bank accounts as well as crypto wallets, so on their website all you will need to click is “send to bank account.” Ofcourse, you will have to set up your bank account which requires a routing number, account number and more verification time.
Once you select how much BAT you would like to send to the bank account, simply confirm the transaction. Before it is officially deposited, you will be charged an exchange fee of around 2%, and you will have to wait for your bank to accept the transaction, which can take up to 24 hours.
When learning about Bitcoin and the stock market, often times one will consider day trading before even knowing what dollar-cost averaging (DCA) is. This is because dollar-cost averaging is super boring. It requires patience and doesn’t trigger the euphoria of imagining a leveraged trade making you more in a day than your job pays per month.
Still, DCA is probably one of the smartest ways to manage an investment. Chances are, you don’t have time to learn the ins and outs of a market and even if you do, you’ll likely be losing money for a significant amount of your learning process. less than 10% of day traders make money, so before taking the risk, check out the returns you can get from dollar-cost averaging.
How to calculate Bitcoin dollar-cost averages
Dollar-cost averaging is pretty simple. It’s a technique where you deposit an equal amount at a consistent frequency over a certain amount of time.
One of the easiest ways to learn what you could have made by dollar-cost averaging for a certain amount of time is on dcabtc.com. Here, you can set up imaginary situations to see what you missed out on. First, set up the amount deposited, then choose the frequency, then how long you have(‘nt) been accumulating for.
So, let’s prove how effective DCA is by starting to accumulate during the beginning of the biggest crash Bitcoin has seen, in January 2018.
As you can see, if you had started investing equal payments every other week into Bitcoin since January 2018, you would have received a total of 26.66% return. I chose to deposit $100 bi-weekly, which landed with around $1,400 in profit, but if you had deposited $500 bi-weekly, total profit would be around $6000.
Now, let’s say you were a bit smarter and didn’t start averaging at the top of Bitcoin’s parabola. If you had invested $100 bi-weekly after Bitcoin’s final capitulation in December 2018, your returns would be increased to 50%. This would result in $1400 of profit within about 12 months.
Why averaging in is effective
If you think about it, it’s kind of difficult to keep putting money into an asset when its value is decreasing for months at a time. Markets tend to reward those who are psychologically strong. The easiest way to not falter and pull out is to set up recurring payments on an exchange like Coinbase and never look at the price.
The effectiveness of DCA also depends upon the asset you are investing in. You wouldn’t see the same results averaging into XRP, which is why it’s smart to pick an asset that has proven long term growth.
There is still risk to dollar-cost averaging, but it mitigates the risk of dumping tons of money into an investment at one price point, and it doesn’t rely on you keeping track of the market. These techniques can be used on any type of investment like gold, Apple or Tesla.
Soon, MakerDAO will be cutting support for SAI to focus on the upgraded stablecoin, DAI. This means that anyone who holds SAI on an exchange, in a wallet, or has a SAI CDP will need to convert their holdings to DAI. Eventually, MakerDAO will be initiating a global settlement phase, where DAI will be subject to more extreme volatility.
Preface: Traditional DAI is now called SAI and Multi-Collateral DAI is referred to as DAI. This is because the former DAI is single-collateral DAI, only backed by Ethereum and the upgraded, Multi-Collateral DAI can be created with various assets.
You’re holding in an Ethereum Wallet
If you have SAI laying around in a wallet for whatever reason, Maker has made the conversion process very easy for you. They have not listed support for specific wallets, but as long as it is ERC-20 and Web3 compatible, you should be able to login to their site with it.
- Go to migrate.makerdao.com
- Login with your wallet
- Choose how much SAI you would like to convert
- After confirming, DAI will appear in your wallet
The only requirements that Maker acknowledges is that it is a wallet where you hold your private keys.
Converting a CDP
If you have a SAI CDP, you will have to move it to the “MCD CDP Core” through the same migration service that holders use. If your CDP was created on Instadapp, there it will require an extra process of taking ownership of your CDP.
There will be an unspecified, but generous amount of time in which users can migrate their CDP. Users will not have to pay their CDP back in full, but are required to pay a stability fee during the transaction. If a user is holding a large CDP position, it will not go through unless there is enough liquidity to cover the migration.
- Go to migrate.makerdao.com
- Login with your wallet
- Select CDP to be migrated and click migrate
- Submit transaction, if requirements are met, the CDP will migrate
Your DAI is on an exchange
You won’t be able to convert SAI to DAI from any exchange at launch. This means that you will need to find an Ethereum wallet so you can send your SAI over and log into Maker’s site. We recommend MetaMask as it is one of the most popular and easy to use Ethereum compatible wallets.
- Create Ethereum wallet on a Web3 compatible browser like Chrome, Brave or Firefox.
- Head to the withdraw page on your exchange and enter your wallet’s address
- Add a small amount of Ethereum to your wallet to cover any gas charges (<$5)
- Follow steps from the “You’re holding in an Ethereum wallet section above”
It shouldn’t be too stressful
Maker has historically been on top of the game in regards to user interface and experience. They have always had a straightforward method of creating CDPs and voting for changes with DAI. Judging by their record, your transitioning experience should go pretty smoothly.