This is a step-by-step method for securing Bitcoin assets for your children. I’ll show you how to put some Bitcoin (BTC) on ice for 10 or 20 years when its value would have skyrocketed.
We’re not going to discuss altcoins, initial coin offerings, mining, or any of the other more sophisticated topics. This is about as straightforward and basic as it gets.
1. Buy some Bitcoin
Join a crypto exchange, such as Coinnest Africa, or another similar platform. There are numerous exchanges available.
You must first create an account, which must then be validated by giving proof of identification. Verification is simple and only takes a few steps before you receive access.
After you’ve been authenticated, you can go ahead and try to buy bitcoin.
With Coinnest Africa, all you need to do is place a call to any of our helplines and say you want to purchase some Bitcoins, and you will be swiftly attended to. That’s all there is to it!
2. Get it off the exchange.
After you’ve received your Bitcoin, the subsequent phase is to transfer it out of the exchange. Leaving the Bitcoin on the exchange is pointless, especially since you plan to HODL it for a long period (10 years or so).
The Bitcoin is literally in the possession of the platform while it is on the exchange. It’s the same as putting your money in the bank. Taking ownership and responsibility for your own assets is at the heart of crypto.
Transferring it out of the exchange into a cold wallet remains the best option.
For long-term storage, cold wallets are the safest solution. A cold wallet is simply a wallet that is not linked to the internet and so has a lower risk of getting hacked. These wallets are also known as hardware wallets or offline wallets.
3. Store it in your cold wallet
This is, as I have stated, is the Fort Knox of crypto wallets. Because you must physically press a button on the gadget to make a transfer, your assets can never be compromised.
This device is usually a USB device that securely keeps a user’s private keys. Because private keys never come into contact with your network-connected computer or potentially vulnerable software, it is immune to viruses and hacks.
The Trezor Wallet is an example of a cold wallet to use. The Trezor one is a low-cost cold wallet that supports a wide range of crypto assets while also offering excellent security. You can purchase a Trezor One here.
Once you’ve obtained one and transferred your assets to it, the Bitcoin you’ve safeguarded for your children is now safe and immune to brute-force attacks. To gain access to the Trezor, you must enter a 24-word passcode. Even if you lose or have your Trezor stolen, all you have to do is buy a new one and restore it using your 24 words.
Written by: Shola Ayeotan