Gifting Bitcoin can be a novel and thoughtful way of showing someone you care for them while also investing in their financial education. People have the strangest stories of how they finally got into investing in bitcoin, and gifting someone $100 or even $10 of bitcoin could be the start of that journey.
Why should You Gift Bitcoin?
Cryptocurrencies have been receiving mainstream support like never before. Your novel gift of $10 could be used at a coffee store or online marketplace much sooner than you think. If that is not enough encouragement to consider learning how to gift bitcoin, think about the future potential of your gift. It could grow to become quite the nest egg.
How to Give Bitcoin as A Gift?
There are several ways to gift bitcoin to your favorite friend or relative. They include:
1. Gift Wallets
Gift Wallets is one of the simplest and most popular methods of gifting bitcoin. Gift wallets are incredibly accommodating to no-coiners who never handled cryptocurrencies before.
To set up the gift, first, you need to set up an account with a third-party anonymous wallet service and transfer the bitcoin you intend to send into it, print out the seed key, and mail it over to the recipient in an A4 paper.
Make sure to be extra careful when setting up the wallet and even more careful when sending over the A4 paper. Preferably use a postal service with active tracking. If you want to be really over the top, split the seed key into two phrases and mail them on separate days.
The recipient will have to go through the trouble of downloading the wallet app, setting up everything, and learning how to access their bitcoin. However, they will learn a little bit about cryptocurrencies, and in time, they might want to learn how to give bitcoin as a gift.
2. Hardware Wallets
Gifting Hardware wallets is a bit more expensive than a virtual wallet, but it’s worth the cost, considering how safe the gifted bitcoin will be. It is the ideal gift for a friend or relative who is interested in cryptocurrencies and investing.
Hardware wallets are safer than regular wallets because they are offline storage, completely disconnected from the internet. They have small displays that let you check up on your current crypto balances and store dozens of cryptocurrencies.
The only drawback of gifting them is the upfront cost and the technical knowledge required to safely operate and use them. You might have to give them a small lesson as you deliver your gift.
Another easy way of gifting bitcoin is setting up an account for your loved one at a crypto exchange and sending them some bitcoin as soon as everything is up and running. Alternatively, you could also send the bitcoin through Paypal or any other crypto service if they are available in your country.
4. Bitcoin Gift Cards
Gifting Bitcoin gift cards is also another straightforward way of learning how to gift bitcoin. Although this method requires that the person you are gifting the bitcoin have investments in bitcoin and an active wallet.
You can gift bitcoin gift cards through companies and services that allow it. You purchase a gift card for a specified amount of money, and when the recipient redeems it, the cash is converted to bitcoin at the current exchange rate and transferred into their accounts.
Of course, several things can go wrong with this gifting method, and you should only use services you can trust.
5. Gifting Physical Coins
If you have researched bitcoin and cryptocurrencies in the past at some point, you must have seen images of physical cryptocurrencies. You might have thought they were quirky or even funny at the time, but what if we told you they exist?
In the earlier days of cryptocurrency, physical coins for bitcoin were created by Denarium and Casascius, and some of those coins exist to this very day. While they were initially commissioned as novelty pieces and were not supposed to be worth more than the metals they were made from, some of them greatly appreciated and exchanged hands several times over the years.
A few of them even featured private keys that can be redeemed. If you manage to get your hands on one of these pieces, they could triple or even quintuple in worth over the next decade or so. They would certainly be quite the gift.
6. Cryptocurrency donations
Some of the largest charity organizations in the world now accept cryptocurrencies. You could choose to donate some bitcoin in your favorite person’s stead and help people while also opening their eyes to the possibilities of cryptocurrencies.
Your gift-giving doesn’t have to be limited to friends and families. You could also donate or gift bitcoin to your favorite website, service, creator, or person through anonymous donate buttons that they have on their websites.
Learning how to gift bitcoin and other cryptocurrencies will become even more important as the years roll by. Stable coins and other cryptos show great promise of one day replacing the legal tender we use and unify the world in trade and community.
By learning how to gift cryptos, you’ll be ahead of the curve, and you’ll understand more about them when the shift eventually happens.