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RE: A Simple Method to Trade Bitcoin Against Gold

in #bitcoin8 years ago

Thank you very much it looks very good, however I'm not sure if I can actually trust them to keep my savings or not. Do you?
I'm also interested to know how gold is growing over time? Obviously not as fast as BTC these days but it should be more stable right?

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Vaultoro has been stable for the past three years. But I cannot guarantee they will always be.

If you wanted to use my method you could limit your risk like this:

  1. Use 50% of your savings to buy bitcoin and 50% to buy gold.
  2. Put 80% of your Bitcoin into a secure offline storage device or cold wallet.
  3. Take delivery of 80% of your gold.
  4. With the remaining 20% of the Bitcoin and 20% of the gold, use Vaultoro to trade to balance the portfolios.

Using that method, you keep 80% of your savings under your control. You are only risking the 20% used to trade. When you do the trading number, count the gold and bitcoin under your control as part of the total portfolio. Does that make sense to you?

You can get your physical gold from Vaultoro? isn't it against most of countries law to personally store gold? and how they send it over to me without taxes, with post?

I have not tested the delivery feature. But they explain it here:
http://support.vaultoro.com/knowledgebase/topics/70060-physical-gold-delivery

Hey, just wanted to say thank you. I used this service today to protect the deflation of my bitcoin holding. Crazy market haha

But you do not need gold from Vaultoro to keep 80% offline. You could obtain physical gold from any source. If it is illegal in your country, you could open a box at http://www.thesafehouse.sg/ as an example.

"I'm also interested to know how gold is growing over time? Obviously not as fast as BTC these days but it should be more stable right?"

The value of gold is extremely stable over time. So you will never get rich by holding speculating on gold. But it is a good way to store value longer term, as well as to measure value. So, by trading Bitcoin which goes up and down a lot, against gold, I gradually accumulate gold and bitcoin. If Bitcoin price crashes, since I have been storing gains in gold, it limits my loss.

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