Frequently Asked Questions

How do you buy crypto?

We recommend buying crypto through an exchange, of which our favorite exchanges are Gemini and Kraken. While these platforms are pretty intuitive, we will have guides soon that walk you through the buying process more easily.

Why would you buy crypto?

While some people are interested in crypto's ability to preserve value over time, others turn to it as a means of escaping harmful inflationary environments, and some want to conduct business more efficiently. Whatever your reason may be, anybody is welcome to use cryptocurrency, no matter who or where you are.

What are the risks?

With any new product, there are a number of potential risks to be considered when making investment decisions. There are technical risks, regulatory risks, systemic risks, and storage risks to consider when investing in or using cryptocurrencies. These can be pretty scary at first, so we recommend reading our risk management guides here.

How do you store it?

After acquiring your crypto, where should you store it? Should it be online or offline? We built a dedicated page that covers storage solutions in more detail here

Where can you use it? 

Currently, the use cases for many crypto assets are difficult and expensive to interact with. With time, it will become easier and easier to transact with crypto until one day, we may not realize we are conducting transactions in crypto at all!

Why is it so volatile?

With any emerging market, there will be a period of heightened volatility as market fit is determined. Since the supply of many cryptocurrencies cannot be easily altered, price fluctuations are wholly based on demand. 

Is it correlated to other markets?

Historically, Bitcoin has been an uncorrelated asset class. <This chart> from ARK invest shows its historical correlation to many other markets over time, but Bitcoin and other crypto assets can be used as a tool to diversify portfolios.

Where does it derive its value?

Like anything else in the world, crypto holds value because many individual actors around the world have attributed value to it. While this may seem like a chicken and egg problem, the fact is that it many crypto assets hold significant real world value today, with more than 400 Billion invested in this space.

Can Bitcoin be hacked?

While theoretically possible, Bitcoin has never been hacked in its 11 years of existence. This video gives a great overview of the technology behind bitcoin and why it is so secure.

Is crypto used for illegal and criminal activity?

While crypto payments can be theoretically used to pay for anything, it would not be wise to carry out illegal business on blockchain. In fact, all transactions are publicly recorded, making the blockchain the perfect anti-money laundering tool. I would stick to cash payments for all criminal activity. ;)