This is a bitcoin guide for the family and friends of prison inmates. What you’re going to learn is how you may double your incarcerated loved one’s money by investing in bitcoins.
You can help them earn returns through short-term and long-term investments in bitcoins. So, by the time they’re released, there’s financial security waiting for them on the other side of the prison bars.
Let me start out by saying that the details below are for informational purposes only. I’m not an investment advisor. This is not legal advice.
Always do your own research before investing your incarcerated loved one’s money. There’s always a chance you may lose all or part of the profit and initial investment. Every investment isn’t for everyone.
Types of Bitcoin Investments
Throughout the month of November, the method of investing in bitcoins you’re going to learn has made a 50% ROI. Over the past year, this same investment process has made over a 1,000% ROI.
Short Term Bitcoin Investment ROI
What is ROI? ROI stands for Return on Investment. It refers to the amount of money you make from your investment. With a 50% ROI, your short-term investment in bitcoins could look like this:
- With a 50% ROI, if you invested $100 in bitcoins in November, your initial investment would be worth $150 now
- If you invested $1,000 in bitcoins, your initial investment would be worth $1,500 given a 50% ROI
- Had you invested $10,000, your initial bitcoins investment would have grown to $15,000 over the past month given a 50% ROI
Buying & Holding Bitcoin Investment ROI
Some people have experienced 1,000% ROIs by holding their bitcoins investments at least a year. This is called buying and holding, which could result in the following returns:
- With a 1,000% ROI had you invested $100 in bitcoins, your money would have grown to $1,100 over the past year
- Had you made a bitcoin investment of $1,000, your money would have grown to $11,000
- And had you invested $10,000 in bitcoins, your money would have grown to $110,000 in one year
- Had you added more money over and beyond your initial investment, you would have made even more money.
Although you could have made a lot of money in a relatively short time frame, you’re reminded this doesn’t always happen. Financial investments just don’t always work that way.
Sometimes, buying and holding is the most lucrative choice when buying bitcoins. And, since the person you’re investing for is doing time, letting the investments sit really can’t hurt.
Extreme Volatility in the Market
What Can Go Wrong When Investing in Bitcoins?
Things can go bad just as fast, if not faster, than they’ve gone well. And you could lose all your imprisoned loved one’s money. It’s important to keep that in mind.
Some people only want to focus on the gains and potential profit. That causes bitcoin investors to make irrational, emotional and unwise investment decisions.
During the time of you buying and holding, you may see or experience the value of the initial investment go way up and way down in a relatively short time frame. We refer to this as extreme volatility in the market or with your investment.
Extreme volatility refers to the wide swings in market prices that could happen quickly.
Type of Bitcoin Investment: Dollar Cost Averaging
Although we discussed making a bitcoins initial investment, you’ll want to note that in addition to buying and holding there’s another investment strategy. It’s called dollar cost averaging.
When you use the “buy and hold” and “dollar cost averaging” strategies together, it works like this:
- First you make an initial investment in bitcoins
- Then invest a set amount every month, every two weeks or whenever you get paid
Sticking to the dollar cost averaging strategy helps you remove the emotions that can cause people to make irrational and horrible investment decisions. That’s because you’re investing in smaller amounts on a regular basis.
Dollar cost averaging helps you be a disciplined investor. The bitcoins investment product, as of this writing, is one of the most volatile, high risk investments available.
Because of the high risk, it offers high rewards for those who can stomach the big highs and lows known as the market’s extreme volatility. Most prisoners don’t have the access needed to stare at bitcoin prices all day, making bitcoin a great long-term financial investment for prison inmates.
Bitcoins Investment Risks VS Street & Criminal Life Risks
Not to sound cruel, but if you’re from the streets, the community or serious criminal life, this ain’t really volatile. It’s just a calculated risk like any other.
The risks aren’t any higher than street crimes or even white-collar crimes with high returns. Why not look at it like that.
Does that mean prison inmates should invest in bitcoin?
Well that’s a choice you’ll have to help your prison inmate make based on your research.
But consider for a moment that they can start with $100, $75, $50 or $25. Then just add more as you become more comfortable investing in bitcoin.
Bitcoin allows you to set up a free account and start investing immediately. It’s really simple to get started, especially if you have a smartphone.
How Does Buying & Selling Bitcoin Work?
Essentially, when you invest in or buy bitcoin, you’re converting your dollars into bitcoins. When you sell bitcoins, you’re converting your bitcoin back into U.S. dollars.
Since, your imprisoned loved ones need access to money, this is one way to invest money for them with the potential for it to grow relatively fast.
No one knows how long bitcoin investing will be around in this form. But, for now, this is a way to help your incarcerated family and friends possibly secure financial futures. This can lead to financial success for ex-inmates upon release from prisons.
Buying Low & Selling High
You’ll want to leave their money invested for at least 45 to 60 days. Some people attempt to time the bitcoin market. By timing the market, they attempt to always buy low and sell high.
While that’s possible, most people simply don’t have enough trading education to be very successful at the buy low sell high method. And, as a prison loved one, you probably don’t have the time.
What I’ve seen is when you leave your money invested in bitcoins for at least 60 to 90 days, you’re bound to see an increase of some type.
Where to Buy Bitcoins for Your Imprisoned Loved Ones
Some prison inmates have access to the internet and can simply buy their own bitcoins. Others don’t have such luxuries. So, they need the assistance of family and friends on the outside to buy bitcoins for prisoners.
So, how do you buy bitcoins for prison inmates? There are a few different ways to buy bitcoin these days:
- Buy Bitcoins online
- Trading (flipping) bitcoin
- Network marketing
- Use a bitcoin ATM
- Buy and hold strategy
Using a Bitcoin Debit Card
You may get a bitcoin debit card that allows you to access money from a ATM and/or to buy products at retail stores. So, you can walk into the grocery store or clothing store and buy what you need.
The money comes right out of your bitcoin account.
Video: Using a Bitcoin ATM
Watch the video below to see how simple it is to buy and sell bitcoins using a bitcoin ATM.
Bitcoin Investment Tips for Prison Loved Ones
There’s going to be a lot of chatter and people claiming to be bitcoin experts. The truth is, for most people the best thing is to have money saved. Then only invest what you can afford to lose.
Employ a buy and hold strategy. It reduces the chances you’ll make an emotionally charged, unwise, irrational bitcoin buying decision for your imprisoned loved one.
What You Need to Setup a Free Bitcoin Account
To get started investing in bitcoins for prison inmates, you’ll need to set up a free account in their name if you have access to the following:
- A driver’s license, state-issued ID or passport
- Checking account, debit or credit card
If you don’t have their license or ID, simply create an account for them in your name. Once your bitcoin account is active, you can buy bitcoins and sell your bitcoins to other investors.
Are you ready to set up your prison inmate’s bitcoin account?
You’ll notice that bitcoin may be priced at $8,000 to $12,000 as of this writing. But you may buy fractional bitcoin.
You may start with $100, $75, $50 or even $25.
Once you get familiar with buying bitcoins online, you may want to invest in other cryptocurrencies such as Litecoin and Ethereum. I don’t want to confuse you. But know there are other cryptocurrency coins you may buy.
I do suggest you start with bitcoin, learn, then branch out as you see fit.