Post
Topic
Board Marketplace (Altcoins)
Re: Bit20 - The cryptocurrency index fund [ANN]
by
EstefanTT
on 23/12/2016, 00:14:07 UTC
But how can I me not you but me make money on this. do tell.

If I understand well your question, you're asking me how can you make money with this index fund?

Well, it's similar to the process of making money with an index fund in the "real world" (out of crypto). Or if I simplify the subject even more, it's like making money with Bitcoin ... how do you do that? You trade it against other coins or you buy it and hold it!

You buy the index low and sell it high. You can also short the asset on the platform. Sell it high and buy it back later when it's cheaper. So you can also make money when the index is going down.

The index is traded against coins like BTS or STEEM. They have their own volatility. So, if you spot a moment in time when BTS is likely to go down and BTWTY up, you may double your benefit from the trade because both coins go in an opposite direction.

You can also simply buy the index and wait. The index has now around 300% of the value it has in June 2015 (The index ran privately during 18 months before hitting the public stage).

Here is the market pair BTWTY : BTS