Understanding Crypto Trading vs. Investment: A Comprehensive Guide

[Music] hello everyone um so today we're gonna be talking about

uh crypto trading so in the last uh you know 14 or 15 episodes we've been talking about crypto

uh investment and you know today we are talking about crypto trading so

first of all what's the difference between crypto trading and crypto investment so we'll start we'll

start with uh that that explanation and that difference between investment and trading

before we get on to that a few things that i wanted to explain one is uh you know i've been explaining right

from the basics of what crypto is and what crypto investment is and how to do it step by step um slowly from my

episode one till now and uh sometimes people ask questions without actually fully seeing

a video as well some basic questions and they also make basic mistakes like missing out some of the tags or some of

the information that i talk about or not verifying your mobile number in some of the exchange

like bit true for example and then they end up coming back and asking no i missed to do that because

they haven't seen the video fully and some of the comments on the uh on the video

with basic questions are fully explained in that video itself and they don't have the patience to watch the video so

um the thing is um like you know if crypto trading is like car driving right if you know how to you know control the

steering and the accelerator and brake that's not enough to drive you know you need to know the

traffic rules you need to know the road safety rules you need to know how to drive the car safely

otherwise you'll end up crashing it into somebody else harming yourselves and harming somebody else as well that's the

same with anything and more importantly investment especially crypto trading you need to

understand the the whole economy behind it the all the

um you know warnings and all the learnings that you need to understand before you actually start doing it which

is why i've been making detailed videos and especially this video

you know it took me several days and several hours to actually make this content in fact

i had to re make this content multiple times because i was feeling that this is not clear enough

it wasn't interactive enough to explain it to someone so this is a culmination of so many days

and so many hours of effort and you know it's it's it's a very long video so people before you ask the

question you know why is it long watch it fully and you will know that

most of the information is relevant to this video and only by explaining all of this you will be able to understand

exactly what is needed to do effective trading for crypto so let's get on to the video so first of

all let's start with the difference between what is investment and what is trading so we've

explained about investment right it's a very simple process you buy something wait for a few days and then you sell it

off and what's the difference in trading so i'll take a very simple example real

world example you know somebody who's buying lemons unripe lemons and then selling it

and making a profit out of it so in a normal investment scenario this guy buys the unripe lemon

and then waits for 30 days for the lemons to ripe and then after that the value of the ripe lemons

go up and he sells it at that point of time so that's a normal investment process so

he buys let's say 100 quantity of lemon at one dollar on price on day one and he spends hundred dollars

he waits for 30 days the ripe lemons are now worth six dollars each so he sells it for six hundred dollars

he gets a 500 profit so he buys it once waits for 30 days sells it once and that's

investment and ultimately he's basically not doing anything in between that point of

time he's waiting for the right opportunity to sell it now if he gets the six dollars maybe

before 30 days he could sell it i mean he has a target in mind and he is basically selling it that's a investment

scenario now what is trading let's assume there is another trader

another guy who buys the lemons in the morning of the market every day morning he buys

it at one dollar and he realizes that at some point during the market day

it goes up when the when the crowd is at its peak in that market it goes up by about let's

say you know 10 cents from one dollar to 1.1 so he sells it at that point um for a ten dollar profit

so every day he is coming in and buying it in the morning and he's selling it for a ten dollar profit for every day

so he makes ten dollars profit on a daily basis which means if he repeats the whole process and if

he is consistently able to do it in 30 days he gets 300 profit in the whole day but

he gets 10 dollars every day as a profit that's a simple uh trading scenario now imagine

someone who wants to basically build on this process and does it on a hourly basis he realizes that the crowd

comes in and goes out um every hour and then the the market price kind of changes

on an hourly basis so he realizes that at eight o'clock in the morning if he goes and buys it's one dollar

and then it goes up you know every hour it probably goes up like three p or you know three cents or four cents

and roughly let's assume every hour it goes up by three cents so which means he's making three dollar

profit every hour so if he's able to do it consistently buy it sell it and then

rebuy it again you know for hundred dollars then he is literally making for every hour he's making a

three dollar profit so this is basically again there is a lot of risk involved here where

earlier the first person was only waiting it for 30 days and he doesn't bother any fluctuations during the

30 days the second investment the second in trading scenario that person was doing it only once per day

so his risk is much lesser now this person has taken a bit of higher risk and is doing it every hour and he has to

consistently get the profit but if he is able to do that and he is able to get that three dollar profit on

an hourly basis then he is able to do it five times a day which means he is able to get 15

profit in a day and that means is his monthly profit if he's able to do it every day

consistently like this is about 450 so which means by trading more he's able to get more profits as well

even though the the one-time trading profit is much lesser than the first person

uh who was trading it at a ten dollar profit for the whole day this person is getting three dollar

profit for every trade for the same quantity but he's doing it more often so which

means that he's getting more money and again you know another scenario where somebody is

smart enough even smart enough with a small boy for example is running from one corner of the market to another

corner of the market and every is doing it every 30 minutes right and he is selling it at an even lesser

profit he's selling it for two dollars profit but because he's doing it more

frequently now he's able to generate a two dollar profit for nearly 10 times a day

because he's doing it every 30 minutes which means you generated 10 20 profit now this this person this this

kid who is actually running from one corner under the corner because he's done it

much more uh you know in frequently and even though the profit margin is very small

now he's getting a profit of 600 which is more than the 500 that the investment person has got

so if you are able to trade at a frequent basis and if you are able to trade

smarter take more risks sometimes you could end up with a higher profit as well

so that's the difference between trading and that's the difference between investment

now what we have talked about is that consistently you are able to meet these profits sometimes you know you might

make more profits i've taken an average i've oversimplified the entire process right

so you may not be able to hit the end exact margin every time but you know i've

kind of made it as an average uh trading profit sometimes you might be making more

profits on that particular half an hour you know than the the whole day sometimes you

could be making like less profit in a day than the uh half now profits and in the above example i've i've kind

of made it clear that the person is not reinvesting his profits he's keeping the profits every

time and he's reinvesting only that hundred dollar the initial investment every time

so it means that he is taking the profit and using it now the other alternative to it is he is

reinvesting the profits also which means the profit starts to compound which means

ultimately the 600 profit could be even higher if he is every time if he is reinvesting the two

dollar profit back into the investment strategy so that's what a difference between

investment and trading is so what are the risks in crypto trading i mean if you can make more money out of

it then why not do it right why why is that we have not talked about it the risk is

even higher i mean the already the crypto volatility is is very very high uh the risk of crypto trading is even

more higher and especially in complex trading platforms platforms built for trading

as a beginner it's really easy to make a mistake it's like you know driving some car that is too fancy to drive and

you are not able to control because you do not know driving to the text and there are certain exchanges you know

we spoke about geotest i think in my episode 13 um there are some exchanges where the

liquidity is really bad especially in most of the indian exchanges the liquidity is really bad i'll show it in

the demo why it is a problem and this this could um you know end up in a huge loss because you're

trading in a platform where the liquidity in the order book is completely broken which is not built for

trading at all and basically you are driving in a road which is made up of you know a lot of

portals and you will end up causing an accident regardless of your fault you know you

however careful you are because the platform itself is not supporting it you will end up with a big loss

the risk um in crypto itself is generally higher in the effort on the risk for trading is extremely

high you need to be really observant and be really careful you need to spend

a lot of time and in your investment scenario you're basically holding long-term world

you can be patient you can you can withstand price drops and even if it drops 30

and 40 percent xrp for example i i was waiting for two years and price dropped to nearly 70 percent

of what i had bought but eventually after two years it it i was able to sell it

at a decent profit and in fact i got a lot more than what i had invested so in trading however you know price

drops are very frequent and you could end up um if you're not clear enough

in your mind with regards to what you're ending like the scenario that i said you could have bought it four hundred

dollars you could have sold it for like 95 dollars could end up with a loss as well so that

needs to be also compensated in your next deal so this could also be um taken out by the fees you know the

profits that you make the trading platforms all operate on a fee basis even if they say no fees right

the fees is actually hidden into the the transaction itself they might be actually increasing the

price or decreasing the price of your sale um for you to for them to say that there

is no fee so no never look for cheaper alternatives just because you know they're just saying

cheap understand they're cheap as well as they're offering the competitive price

the biggest mistake people make is agreed you know buying when uh the things is going up and buying

with more money than we can afford you know like you know everybody's for mowing onto it or

uh they are they're rushing onto it thinking that you know i can i this is an opportunity

and without thinking they're actually going and buying more so impulsive buying right that's that's what is the

bigger risk the other benefit is that if you do it correctly if you do it at the right time you could even make 100

profit in one day and um if you have enough time in the day and enough patients normal days even without

big fluctuations you can trade so some major disclaimers right i am not a trading expert and i have mentioned

this repeatedly in many of my videos a lot of these concepts are what i had self-taught myself i've learned

the recent months in the recent year and i'm still learning on a daily basis i know

very little in the context of crypto blockchain investment i know very little i am not an expert by

any means i am only trying to explain whatever i know so that's the main thing i'm still

learning on a daily basis and i'm not an investment advisor this is not my videos are not for investment

advice they are for learning they are for teaching or explaining in simple terms sometimes people find it

difficult to understand some of the complex terminology so i explained it in a simpler language

which people find it easier to understand which is why i do these videos they're

not for investment advice they're not for people to they're not for you know telling people

that you go and buy this and uh you you'll make money that's not the intent of these videos

um that's a byproduct of you know learning and that's a byproduct of getting the knowledge to

be able to do that i'm not a broker or a trader by profession i have a separate profession

this is something that i do because i like to explain to people what i know and i'm only sharing what i have learned

and what works for me individually you know the trading term would mean different things for different people

you know for a professional trader he could be doing it with a larger risk could be doing it in a much more level

much more advanced level than what i'm doing i am teaching you something that

i feel is safer in my opinion that works for me and i will not do some of the tradings

like derivatives trading for example i explained in my episode 5 why i won't do derivatives tradings and

why it is a higher risk i won't do leveraged intra day trading um you know there are

things that i will not do so my trading definition will obviously be different because i'm not going to do these things

and i'll not use the crypto that i do not believe in for example in episode 6 i talked about a few coins regardless of

whether or not there is an opportunity that's basically scamming somebody else and you are benefiting from uh somebody

else actually losing their money so first of all ethically it's not my choice and you know i would not

go and do a trade even though there is an opportunity to trade in those coins so

you know i explained what those scam coins are in episode 6 as an example so i will not

use those coins i'll only stick to those coins that i strongly believe in and i have understood

the um the details of the particular krypton there is a blockchain behind it also if you looked at my episode 1 and

episode 2 you will know that before i invest in a coin how much i understand about the volume

the available supply the market capital the use case the technical details behind it and only

if you're able to validate all of this then go ahead and invest in that coin just don't blindly

go and invest it because you've seen the charts and you've seen somebody telling you that

it's going to go up do not believe them and i don't believe anybody who uses charts and calendars

because crypto does not follow charts and calendars crypto is not like chat

reading it doesn't uh it doesn't follow your charts and candles um

like like your shares do and even i don't follow any of these crypto exports i don't actively trade i'm not a trader

like i said but if there is an opportunity i'm going to explain the coin based

listing in this video then i go and trade um because there is an opportunity to do

it i only use the platforms that i'm personally comfortable with i've used it many times

i'm going to explain what platforms i use if you haven't seen some of my episodes

for example episode one two and three then you know at least those ones i would i would suggest that you watch it

fully before you are able to get a full understanding of of this video and trading in its

entirety and again before investing your money uh the more important aspect that you need to invest

is your time to understand the basics fully so my trading strategy is very simple

you know safety first before um profits so what exactly is my strategy right so my primary objective

like i've always explained is hardless you know hold on to your dear life which means that

if i decide that this this particular uh coin is going to go up i buy it and wait patiently for it to

become you know higher or go up basically and if i decide to trade in that coin also i

will not trade more than 20 percent of the portfolio for example if i have thousands app

that's one of my top portfolios i will not trade more than 200 of this app the reason is if i if i sell it at a

small profit and then it immediately goes up like 100 200 percent i would have waited for

months and i have actually sold you know all of my coins if i had sold everything if that means that i can

um you know for it it doesn't it doesn't make any sense out of you know holding it for

that many months if i'm actually going to do trading with it so which means if i'm going to trade it

and i believe that any time any point of time could go up you know a hundred percent or 200 percent or 500 percent

then i don't really want to sell it for a small profit which means i'll trade only with a small portion of it any

point of time i'll buy and sell only 20 of my portfolio that's how i'll do it so zap for example

i made a video in august september 2020 and it had gone up nearly 300 400 in like

two three days at times in these three months it had gone down come back again so

you know if you had held it and you were just holding it then you could have sold it for a 400 percent profit so if you

invested let's say 10 000 rupees in it you could have actually taken out 30 000 35 000 rupees

as a profit from it just by holding it without doing any trading so which you can which is very difficult

to achieve in a trading scenario you have to do so much effort to get that kind of

profit so ultimately that's my maini and most of the time i trade only with those 10 cryptos that i talked about in

my episode two as i know the price i know the history of the price

and i know if the price goes down then i can hold it for many days and many months like zap for example

if it falls down fifty percent i know that i can hold it for many days i know one day it will definitely go up

to the level that i am expecting it to so for example if i buy at 10 rupees one day and then um

you know it i'm expecting it to go up to 12 rupees and it doesn't and it falls down right let's say it falls down seven

rupees i can hold it i can hold it for many days because that's my strategy

because i only use 20 of my portfolio to do it and as a principal i don't sell at a

loss because uh you know i can i one i can afford to keep it at uh you know you know at a paper loss

level that uh you know for example the xrp i waited for two years right it didn't sell at a loss

the reason is once you start accepting even a five pound loss or a ten percent loss right

it becomes a habit and then you you keep thinking that okay you know i can manage this loss in my

next sale i can i can recover my loss from this sale in my next

profit and then you keep carrying on your loss it then becomes like a gambling right

so the the main point is to stick to your basics stick to the fact that you're not

going to sell at a loss be patient so patience is is a big keyword here and i never use market rates because if

you use market trades that means that you're basically telling a trader whatever the prices i'm willing to buy

or sell which is completely the wrong thing to do in uh in trading and you

always use limit buys and limit cells in exchange this is very important i'll demonstrate

what it means to do a limit buy or a limit sale in my end of the video um in in all of the platforms that i'm

talking about this cuts down the losses enormously and it's consistently worked for me in the last 10 months

and always plan don't do instinctive decisions except for a very very uh exception scenario you know

i always use my template for planning and i'll share that template as well it's a excel template i'll share it

um free in this in this description and you can use the template and show you how to use the template as well

and if you keep a minimum four percent margin that also covers your 0.5 percent average fees basically so

the exceptions to this uh this crypto trading right are when new crypto is listed in a platform like coinbase

or in multiple platforms for example um when a crypto gets listed in coinbase coinbase is like the benchmark of all

exchanges right so when a crypto gets listed grt bntd and ti and you all of these i

tweeted in my uh in my twitter account and whenever this gets listed i tweeted immediately and it

has gone up like hundred percent two hundred percent sometimes dnt for example went up like

nearly six hundred eight hundred percent possible so coinbase when it gets listed there is

a lot of people actually coming in to buy it because they only buy it in coinbase

so when new crypto gets listed multiple exchanges also it gets promoted so there is a lot of

volatility so even if i don't know the crypto as much as i do my top 10 portfolio if i understand

basically what the crypto is doing then i actually go and invest it and i that's like a quick trade where in

two or three days you can actually make quicker profit and i'll explain also with a demo of the coinbase scenario

uh and complete demo i'll i'll show you what it means for these exceptions and specifically

some cryptos even though i'm not believing in the long term scenario when it's actually doing a lot of

volatility a lot of moving up and down and i believe that there is a smaller risk appetite a smaller threshold for

crypto i do trading under 100 i'll again show you an example

um of what i'm talking about example is hot is a token holo is the token i'll show you what kind of

trading had been and what kind of profits i was talking about so again most important is risk

appropriate to be different for everyone i might be talking hundred dollars easily

for somebody in india 100 might be a lot of money so you need to decide what your risk

appetite is what your lower threshold is higher through shoulders and don't invest your money or don't

trade with the money that you need for your basic needs i repeat it again and again also um

instead of trading with inr it actually makes more sense to deal with usdt or usdc um usd and usdc are

stable coins i'll explain what stable coins are in a few minutes but they are basically tethered to one

dollar so it's easier to trade with these stable coins like ust or usdc so you can actually

you can actually link it to a price chart a normal price chart if you link it uh if you trade with inr

you are actually doing you know multiple price conversions at the same point of time and it's

very difficult to actually manage the price fluctuation if you trade with imr so it is actually more advantageous to

trade with these tesla coins or the stable coins i'll explain why it is in in a bit more detail in the

next slides like i explained right i'm going to be mainly doing a demo

with a few of the platforms that i have been using and these are the platforms that i am

recommending again uh you know i've kind of classified them as beginner intermediate

expert and you know some of the platforms are acceptable in my description of the

video given the referral links the sign up links for them if you have already not signed

up from my previous videos binance especially is the first time i'm talking about it so the sign up link is

there so if you have not signed up the binance you can actually click this link and

sign up and again you know you are welcome to go and directly sign up as well don't need to

use the link from the description if you want to but you know most of these the detail

sign up process i have already explained in my other videos so the signup process is very simple

once you click on it you'll be taken to the website for the sign up and you

primarily use your email and set up a password and sign up and you'll go through a mobile

verification know your customer kyc verification using your document and then you will set up a two-factor

authentication which i have shown in detail in my episode three and the subsequent

episodes on how to do your registration for a cryptocurrency exchange pretty much the binance

registration is also an exactly similar process and all of the other platforms like

crypto.com and uh bitru and everything else uh wazirex i've already shown detailed demo in my

episode three four five and six about how to set up your account in those crypto platforms you can refer to

it and then you can do the binance registration if you have any doubts but

you know how why have i classified these into beginner intermediate i'll explain why

so coinbase is by default the gold standard of the benchmark for crypto wallets or

exchanges first thing is there is no fees to convert your usdc to

uh usdc is the tether coin that we spoke about to any other crypto in fact any crypto to crypto conversion

in coinbase is actually fees free so there is no fees and it's instantly converted you're not

waiting for liquidity you're not waiting for market makers you're not waiting for any

order book or anything like that it's a very simple process i'll show you the demo and you'll see

how quick and easy it is and it's instantaneous conversion you pretty much click on convert and one

crypto is converted to the other converse so the liquidity is amazing in that that you don't really need to wait

for the user interface is probably the most easiest and uh for learning cryptocurrency conversion this

is actually the starting place basically this is like you know your first car that you want to

drive right that's like this and uh it's probably the the mobile version of it i mean you can access it

you can access coinbase from your laptop as well as your mobile wallet the mobile app is probably also

one of the best designed mobile apps for manual trading the ease of use is really good

and they use uh one of the crypto uh trading pass with the stable coin called usdc

which actually is a collaborated uh stablecoin bike by coinbase themselves and it's probably

one of the best stable coins in my view and we'll talk about it more in a in a minute

but the price charts are visible in the screen itself in coinbase and it's probably more easier to understand the

price start of coinbase unlike many other apps and you don't have to go to a third party

website like coin stats we spoke about it in one of the episodes you don't have to go you can actually do

it in coinbase itself the things that work against coinbase are you need to be really quick on the

conversion because a lot of things are done manually there is no way to set up

you know limit price and limit buys and automatically do it like i'm going to show you later on the demo that cannot

be done and because you're doing it manually a bit of solid mental max is really

required because you need to really do a bit of calculation in your mind you know whether or not you bought it at a

lesser price and whether or not you're selling at a higher price you need to do a little

bit of calculation in your mind and generally when a coin gets listed in coinbase it shoots up so

by the time you're buying you're already behind the curve you know you're already kind of you know

buying after a little bit of 50 or 20 hike to the price so it's already up and you probably want to

buy it before it actually comes on to coinbase because a lot of people actually do that they

are on they only buy the coin the first time when it comes down to coinbase which is

why the price shoots up so what about intermediates like you know once you've started

with the process and you kind of done some manual trading now you understand the hang of it

that's when you go on to maybe crypto.com or bitru uh in my opinion they're probably like

well balanced between the uh trading functionality and the ease of use and the liquidity that it offers so

crypto.com for example uh every uh platform has got a little bit of fee reduction uh process

where you have to maintain the crypto uh in the like in wazirex probably you have to maintain

wrx currency like i talked about in vitro you have to maintain btr balance then only you can pay in the btr or wrx

and reduce your fee structure but in crypto.com more than 50

almost 60 70 percent of the fees is refunded if you stake cro in terms of a cro so you don't need to actually

maintain a balance you can actually get more than 50 percent of the fees back as a rebate and

that's one of the best functionality in terms of trading fees for crypto.com the iphone i found it

really useful and both of them support usdt buying um so again a very stable uh stable coin

that you mean very uh good stable coin that you can actually power with and it's easier to then track to a usd

price chart um the additional advantage of trading with crypto.com is like i explained in

the crypto.com exchange video i think it was episode 8 where uh you can also participate in

syndication events where you can buy trip to order 50 discount and you can use this refunded

fees that you get from trading to actually buy the crypto so you do two things in in the same time um and uh

the limit price for crypto.com when you see the demo you'll you'll realize it actually gives you a

pre-filled price based on what it judges to be the average price at that point of time

the the market uh makers you know order book value and that's actually easier to then judge the entry price and and when

you're buying it it's actually quite useful when it's selling obviously we're going to set our targets as we

explain and uh for bitro perspective zap trading is probably

uh you know very few support zapped ready and zap has got you know probably the most volatility

and i've probably bought it and sold it the most in terms of my trading so i think zap

rating uh from that perspective i like bitro because that's the only platform that actually supports

liquidity with the zap trading i would say mobile app is not so great uh in fact

for both platforms because first of all crypto.com mobile app doesn't exist uh it's

the mobile app is different from the exchange and bit true there is a mobile app and you probably

need to get a lot used to it initially it is very very confusing to use in fact i didn't even

find where to trade for a few minutes once i started using the bitro mobile app and doesn't provide a

bitro doesn't provide a default limit price unlike crypto.com so initially you are

manually deciding even the buy price so been useful to provide some sort of a guidance value but then you can see the

other order book values and then you can decide and you can easily mistake

by entering a wrong limit price so balance is probably the the ferrari or dugati of exchanges and

it's literally like top end the harley davidsons of the bikes i would say

it's literally has got the highest liquidity and probably has supports the most

trading powers and the most cryptos in all of the exchanges combined no question about it it's like the

ultimate pinnacle of crypto exchanges that you want to actually go and trade with

once you are comfortable with the trading process and it supports usdt's usdc

and a lot more stable coins and lot more crypto plot crypto trading pairs that you can actually

convert between and bank deposits in most countries i think in india it's still not supported

but in most countries it's it's supported at a zero fees which means that you can actually you know

use your bank to uh deposit a uh zero percent fees but like in most other crypto platforms it will take

three and a half percent to you and deposit or even buy crypto so credit card and debit card purchases are

also supported there are more more often than not there are promotions running where it's also zero

percent but i don't think it's working in india and people have um

commented in the thermal video as well the credit card debit card for bananas directly is not working

mobile app for such a complex exchange is probably one of the best design mobile apps in terms of the

trading platforms the integration with wazirex is there because you know binance now owns wazirex so you

can actually link your finance account and vazirik's account and even if you have signed up

previously for azerex separately once you sign up with binance you can link both accounts

together using your email address and you can transfer between your binance and uh xerx

basically from wazirex you can transfer a few of the currencies for free and it's very quick transfer to transfer

it from your uh wazirex to bananas you don't have to enter any address or anything you can

basically say transfer it to binance so that's an easy option

and what goes against it is probably like i said it's the most complex platform

there are a lot of options there is basically too many derivative products i mean when we see the demo you will

realize the number of options that are there for simple trading

you can actually make mistakes because starters will get probably it's it's too overwhelming for starters

and intermediates to actually go and start trading and finance because of the number of options

that it offers it's like basically starting to ride a bike and you're immediately you know asked to drive a

harley davidson or ducati you will struggle that's that's what i would equate it with

um again the wazir-x free transfers itself for a limited time only so i don't know what it means that

once the limited period offers you know what is the fees that that will come into

picture despite the fact that there is an integration in place

wazirik's direct trading uh probably i think you know it's okay uh in fact in in all of the

indian crypto exchanges that i have seen so far it's probably one of the exchanges that

has got the best liquidity on offer the best market maker and the order book on offer

it's in fact a lot of order books in india in trading platforms they're completely broken i even

did a complete demo in episode 14 to show that how much the order books are broken and how much

of liquidity issues are there in the order books in indian exchanges that you can easily you know buy and

sell for a wrong value totally you know you can buy for a higher value and totally sell for a lower value so

wazirex is probably one of the platforms that offers the best liquidity out there in indian platform as such if

you really want to trade within the indian platform otherwise suggestion is to take it to a

one of those other platforms and then trade it use it only for the bank integration

there are other exchanges that i have not considered for example coinbase coinbase pro is one of the popular

exchanges it's called sufficient liquidity but you know there are other problems that

i personally found you know it was down when you really want to sell it it actually goes down

sometimes and they it looks as if you know they're purposefully doing it but then there's like you know there's too

many mistakes that i didn't want to actually go and use coinbase pro um

the other indian exchanges we've already talked about it you know uh some most that i've tried has got

liquidity issues and i explained it with the demo in episode 14 that you know i don't even want to go on

trade or even do normal investment scenarios i really don't want to go and buy it

in those indian exchanges which is why i don't use them and i don't trust the some of the

exchanges with my funds example poloniex um it's a good uh liquidity platform but

you know there's there's a lot of shady things about it that i felt personally that i don't want to

actually invest in it you know that's just a personal decision completely there are some platforms and exchanges

which are too dodgy in terms of terms and conditions there's one called pocket for example

there's a very dodgy ownership in the terms and conditions that you really don't want to actually go and put

your money into it because they're basically taking away your crypto despite the fact that

they might make more money out of it so and then there are some platforms called a dodgy ownership you really

don't know which is the venture capital behind them so they might take away your money

and run away with it so that's just personal opinion and i stick to the ones that i've you know of the 20 25

exchanges that i've tried these are the ones that i am more comfortable which is which is why i'm

sticking to them and uh so talking about stable coins you know uh

there are two popular stable coins there are a lot of stable coins but die is one of them there are many

other state big coins as well but usdt and usdc are one of the popularly used stable coins

stablecoin is basically a cryptocurrency by itself and is tethered to one dollars which

means that there is a real world currency backing these stable coins like for example if there is 10 million usdt

in circulation there has to be 10 million usd us dollars in some bank account or in some place

that is that is actually backing up this this cryptocurrency there's a real world currency behind it all

although there is a bit of contradiction to that fact but you know primarily that's the

uh that's the objective of these stable coins that is backed up by real world fair currencies so ah tether

limited is the cooperation behind usdt and uh usdc is another stable coin that is actually created in collaboration

with coinbase so i would prefer using usdc but in most platforms usdt is what is used so

wherever it's available i'll use it depending on what it is but it these two are probably the top two

recommended stable coins to trade with the reason is it's easier to actually uh trade with

the stablecoin and match it to the dollar price otherwise you are basically converting

from usd to inr and then uh usd to the cryptocurrency and you're doing a double conversion

so what do you do if you're going to trade with coin based bitro or binance because the inr is not supported in

those platforms right so if you're outside india then you can buy directly in coinbase or bitro or binance

easily and then start trading nothing else direct uh option is available but if

you're in india you can't use uh uh your debit card or your bank account binance or coinbase or

bitro directly so what do you do so um then you use your indian crypto account right for example if you want to

do it in coinbase bit true then you use your indian crypto account like wazir x or geotest or whatever it is

that you're using just for the bank deposit and withdraw and just buy one crypto

and you buy that crypto and you the purpose of buying the crypto is to send it to the coin base

bitro or bananas like a bridge basically you're using it to transfer money that's all you're using it for

you're not using it for trading and you know usually i suggest xrp but xrp has gone through so much of volatility

so you could use something like you know atom or trx or something that's got lower volatility means the price is not

moving too much the reason is these currencies cryptocurrencies has low transfer fees

like for example if you use ethereum for example transferring 200 rupees of ethereum you will end up paying 300

rupees in fees itself so it's not worth it uh you know you are paying more fees for transferring

a lower value of cryptocurrency whereas in other currencies like xrp you're transferring 200 rupees you will end up

spending like 10 rupees 20 rupees so it's more advantageous to use currencies which has

lower transfer fees so you buy with a r um in trx atom or something and then you send it and once uh you send it to

coinbase then you convert it to usdt or usdc and then you use it for trading inside

that platform and finally when you have finished trading you take the usdt

and come back when you want to withdraw it bring the ustt back to uh your your buzzer x or get us and then

sell it here uh through crypto of xrp or trx or atom i mean i won't use xrp because of the

volatility but that currency the trx or atom that you're using is basically like a bridge

because they are lower transfer cryptos lower fee transfer cryptos and it's faster to transfer itself so

the only purpose of buying atom or trx is because they are a little bit stable and it's faster to

transfer it so if you decide to trade in wazirex then

you can actually buy usdt using your inr and then trade using usdt powers rather than inr pairs

then you are not bothered about the inr plus price fluctuation with usdt that way you are

um you're easily tracking to the prices in the price charts so um otherwise what you're doing to do

is your first price exchange that you're keeping in mind is the

conversion between usd to iron usdt to inr the crypto value between usd to inr and then the crypto value between

usd to that uh you know uh bitcoin or whatever that you're buying and selling so there is a double

conversion that always happens and if you if you do it this way if you convert it to usd and always use usdt to

do your trading i'll show you in the demo what what that means then you actually

track your prices through coin stats fix your prices and you can use the template that i'm giving

and it's a very accurate you know to the to the decimal point prediction of what the price is what the um you know

value is going to be so if you're going to trade in binance and you have a 0x account then like i

said you can buy usdt directly you don't need to buy these intermediate currencies

cryptos like trx atom or whatever you can directly buy usdt and transfer usdt free to binance i'll show you that

as well in the demo so obviously um inr to usdt is about you know 78 rupees roughly

and so if you're buying with 5000 rupees you'll get that equivalent of usd so i'm going to explain uh the coinbase

uh uh platform but uh we're going to basically be looking at

a new cryptocurrency called grt that was uh recently launched in coinbase i even

tweeted about it and we'll see how the price went up in like you know span of 24 hours 48 hours

and how much it actually went up nearly 500 percent

but um you know we will see use this and we'll show you a coin i mean i'll show you a coin based demo

and show you how to take out profits and when to take out profits and how to do the trading in coinbase

also i'll do a demo in this in coinbase for example um if you're going to change the

currency from one cryptocurrency to another you click on the two arrow icon the blue icon

and you click on convert in that so it you don't click on buy or sell you click on convert and then it gives you from

cryptocurrency to cryptocurrency so in this example i'm going to take usdc and i'm going to

convert it to xrp for that matter so if i say 20 pounds in fact you can set it to any

currency but you're basically converting usdc to xrp and you click on convert and

instantly disconvert it there is no waiting there is no order book nothing and the fees is actually

zero so that's the main thing about it so you click on convert i'll show you one more

time and you can basically now i'm going to convert it from xrp back to

usdc for let's say as an example right so immediately one minute or 30 seconds after i've converted from

from usdc to xrp i can convert it back from usdc to um xrp or xrp to ustc again so

now i'm putting in like let's say 10 pounds and then i'm saying preview convert

and see the coin base fees is zero so there's no hidden fees and instantly it gets converted from one currency to

another currency so grt was the graph the graph was the new

cryptocurrency it was an indexing crypto that was introduced for the blockchain so very interesting

concept technically it was a very interesting concept but what you are looking at is the history

of the last uh in a few days or the the 24 hour history that i was trading and you can see that i've been

converting it from the graph to the graph from the graph to the graph like you

know every few minutes have been converting it from one to the graph you know and

why have i been doing it what did i get achieved by doing this like for example fight and i sell it for 532 i buy it

again 5 45 i again sell it and then it just goes on every 10 15 minutes i keep keep doing repeating the same thing so

what have i been doing it and why have been doing it and what's the benefit of doing it right

so that's what i'm going to explain um in this in this excel now so the last four or five

cryptocurrencies that i tweeted about when they got listed in the in the from from number onwards right

most of them have done really well the reason is when it gets listed in coinbase it it

provides um an option for a lot of new entrants to basically enter the market by the cryptocurrency

so there is a lot of demand for that cryptocurrency and naturally it goes up and there is a validity as well

in coinbase listed it gets a lot of validity and goes up dlt for example nearly went up by 622

and you went up by 192 you know grt recently went up by around 300 roughly but after a point of time after

the first three or four days it kind of drops because once it has reached a peak point it drops like in

dnt went to about 420 percent and you went from 192 percent to 77 percent how do you sell at the peak you don't

know right you don't know 600 is a peak or the 192 percent is a peak and if you had waited for

like this example uh for a bigger peak for a new or a bigger peak for bnt for example it

never even reached 100 percent it went up to 65 and then it dropped so you might end up

with not making any profits at all or you might end up losing all of the paper profits without

actually selling anything so the difficulty is to predict the peak price and

you can no one can actually predict the peak price and there'll be a huge drop from the peak price immediately

like it could drop from 600 to 400 percent in a matter of minutes so how do you make sure that you

actually realize some profit at least and the goal is to at least make 100 of the profit wherever is possible

and really the volatility will be too high during the first couple of days of any

such listing and history shows that that's more or less that's what happens with

most of these scriptures that gets listed and so it goes up comes down it it kind

of goes like this throughout the day so i'll explain what happened to grp

um so i bought uh like i used atom as the the crypto and i bought 250 pounds worth

of crypto like 337 dollars at a price of about you know 17 pence i would say so i got about 1466

grt on the day that it was listed in coinbase and on that day evening i basically sold it it went up

you know price was about 23 cents in u.s dollar value and i went up 26 cents and i sold it once it

it went up and reached that point and i got a tiny bit of profit but then the the reason was and i knew it was

going to drop and it dropped that night and i bought back 576 uh crypto on that night so the first

day i didn't do much of trading because it wasn't it was going up it wasn't that volatile that it was coming down

so i still had about 971 of the crypto remaining so end position in indian rupees for

example was i spent about 25 thousand rupees my asset value was still eighteen

thousand rupees i had a cash balance of ten thousand rupees i had sold some of it which means that i

have four thousand rupees profits in cash um and uh fifteen percent is a total benefit but i

still have some cash left so day two started where i started selling little bit more and then

in the morning nine o'clock onwards i started trading where it came down and i started buying again i started selling

when it went up and i started buying when then when it went down so it was kind of

going up and down and i knew when i was buying it that it's probably going to go up because i had seen

the peak prices it went to 39 cents before so when it came to 36 cents and 37 cents i was buying it in transit

then the reason i say not just because i was always selling about twenty dollars thirty dollars even ten dollars small

amounts that i was selling and buying so i was staggering my buyers and sells that's

called a staggering uh market rates basically so i'm using small trades to buy

and sell and i'm predicting that it's going to go up and if it doesn't go up i'll start buying it

back so you know when i started selling from like let's say 1158 onwards it was 44 44 cents 45 cents 52 cents

it went up to 56 cents and 57 cents and then it started falling back again 54.50 and then i i started

buying even though this is slightly higher than what i bought in the morning now i know

that it's going to peak price beyond that point so i'm buying back what i have

sold so i'm basically continuously repeating the process of buying and smelling

in small amounts by doing that what happened to my uh gas position in second day end right

so my total amount investment was 25000 rupees now i have 17 000 rupees in cash balance

massive value is still about 28 000 rupees so total profit is about 21 000 rupees office 17 000 is

sitting in cash for me third day i didn't trade um beyond the the first few hours i mean

first one hour because the whole day i was actually doing this video i stopped trading

so um at the position that i actually stopped training what um happened was like roughly around

only one hour of trading what happened was my twenty five thousand rupees had

converted into fifty five thousand rupees in total value i still have twenty three thousand asset

value my cash balance is thirty two percent thirty two thousand which means that hundred and eighteen

percent of profit of which most of it is already realized my cash balance is more than the money

that i had invested on friday and my asset value is still equal to my original investment

which means that i can take more if it actually goes more so i've achieved what i wanted to achieve

in terms of my gas position so now i can let the crypto run to whatever value it can

and i can sell at whatever point it want and even if it falls down i know i've already realized my profits

that's how you start taking profits if you don't do it and if you just wait for it to reach a peak point it could

fall we don't know what the peak point is and it could fall and you might not make any

profit at all by doing this and staggering your sales and buyers in small quantities

you're actually my i mean you can see the evidence there there my cash balance was more than the amount

that i had invested like not more than 48 hours before the point that i invested so

that's how you realize your profits you know you never know what's the peak point so

you keep doing those small transactions that you can actually do it and coinbase like i showed you you can

actually convert it from your one crypto to usdc and usdc back to that crypto

and you can do it in like 10 pounds 20 pounds transits that is actually very easy to do it buy and sell but

that's when you need to be really quick and you really need to do a mental picture like

you know did i actually sell it higher than this which is why when the price falls down and you can see the price

chart and coinbase itself and you can actually keep buying it back in small currencies

and you shouldn't overdo any of it at any point of time i mean you won't see me buying like you know 20

times or selling 20 times without actually repeating the other uh process so

i wait for it to go up sell it wait for it to come down then buy a bit again fine i kind of repeat rinse and

repeat process that that helps me do something like this so um if you actually go through this video

if you don't understand it in first go go through this again and look at that excel that i have done time

wise and then you will get it as to what i've done and how i've achieved it now that's with regards to

coinbase trading so this template is what i use for normal trading process and i'll share

this template with you in the description and you can use it you can basically

copy the template and and create your own template and start editing it you can't edit the one

that i share you can copy it duplicate it and start editing it and i'll use this template to walk you

through the demo process as well but here's what i do i mean i basically um you know have

a three stage process where i calculate execute and i complete and in the three stage process there are four amines that

are four amounts that are critical one is the usdt price that i am going to buy another is a usd price that i'm

going to sell and the amount the amount that i'm going to invest that automatically calculates

the quantity and that automatically calculates the profit and the profit percentage that

i'm going to get so all you need to do is just put in the amounts in those three colored

amounts like the dollar amount that they're going to buy the dollar amount you're going to sell