Should I Invest in Bitcoin in 2017? Here are 4 Things You Have to Know


2017 started with a bang as Bitcoin shot through the $1000 mark with no signs of slowing down. As a result I get about 2 emails a day from people around the world who are asking one very simple question: “Should I invest in Bitcoin?”

Before we begin, I want to get something out of the way – Bitcoin is not a company or a stock, it’s a currency. If you still don’t understand what Bitcoin is, watch this video. So when you want to invest in Bitcoin you are basically buying the currency. However, there are also some other forms of investing in Bitcoin.

What does it mean to invest in Bitcoin?

In order to answer this question the first thing you need to answer is what do you mean when you say you want to invest in Bitcoin. Do you want to buy the currency in hopes it will appreciate it value? Do you want to invest in Bitcoin related companies? Are you looking to day trade with Bitcoins?

Buying and holding

The most common form of “investing” in Bitcoin is buying the currency in hopes it will appreciate in value (also knowns as “hodling”, see the origins of the term here). If this is the case then you need to decide for yourself if you think this is a good time to buy. Meaning, do you think the price will continue to rise.

hodling Bitcoin

Don’t take anyone’s advice about what will happen with the currency, do your homework, learn about Bitcoin and come to a conclusion. Personally I believe we are just starting, but that’s my own opinion and you shouldn’t consider that as investment advice as well.

A few pointers for buying and holding Bitcoins:

  1. Never invest more than you are willing/able to lose – Bitcoin is a very risky investment and you should keep in that in mind at all times.
  2. After buying Bitcoins make sure to move them into your own personal wallet and never leave them at the exchange. My personal recommendation is to use a hardware wallet to store your Bitcoins. If you can’t afford a hardware wallet, try a paper wallet.
  3. Make sure to buy Bitcoins only from exchanges that have proven their reputation.
  4. Buy Bitcoins through Dollar cost averaging – This means that you don’t buy all of your Bitcoins in one trade but instead buy a fixed amount every month, week or even day throughout the year. This way you average the price over the course of a whole year. Here’s a short video to explain this concept:

Trading in Bitcoins

Bitcoin trading is different than buying and holding. When you are trading Bitcoins it means that you are actively trying to buy Bitcoins at a low price and sell them back at a higher price in relatively short time interval. Trading successfully requires knowledge and practice. The trading market is occupied by very large players who are just waiting for newbies to come in and throw their money away by trading aimlessly.

If you want to learn more about Bitcoin trading here are some practical tips to help you out.

Investing in Bitcoin mining

Some people would like to invest their money into mining Bitcoin. For the past few years mining Bitcoin is only profitable if done at large scales. This means you will need to get expensive mining equipment and hopefully have access to free electricity. Also it’s usually much more cost effective to buy Bitcoins with this money instead of using it to buy mining equipment.

Some of you may have heard of all sorts of sites that allow you to mine Bitcoins through them. This is known as cloud mining and these sites fall into one out of two categories:

  1. They are complete scams that will run away with your money and don’t actually use it to mine Bitcoin.
  2. They are not scams, but they are bad investments since you will probably get more Bitcoins if you just use that money to buy Bitcoins instead of paying the site.

If you want to learn more about my take on cloud mining read this post.

Invest in Bitcoin companies / grow your Bitcoins / HYIPs

Finally, every other day I get a question about a site or company that claims to double your Bitcoins, give you insane daily interest on your Bitcoins or help you invest them in some sort of complex and obscure scheme. These sites can be categorized mostly as scams or HYIPs (high yield investment programs).

What these sites usually do is they take money from people around the web and promise to give them good returns. They will then start off by paying these returns through money they get from new sign ups and create a big buzz around the site. Usually they will also have some sort of referral program so that users can bring in their friends. This will go on for around 3-4 months until one day the website will just go offline and the money will be gone. No more payments will be made and a lot of people will get mad that they got scammed.

I have reviewed many Bitcoin investment sites in the past 3 years (e.g. BTCJam, Bitcoin Trader) and I have yet to find a site that I can say is legit or safe to invest in. Any site that promises you something that is too good to be true is probably just a facade for scammers trying to steal your coins.

How can you find out if a site is a scam for yourself? Easy, use our Bitcoin scam test tool. I can’t emphasis this enough – STAY AWAY FROM SITES THAT CLAIM THEY WILL DOUBLE YOUR COINS OR GIVE YOU DAILY INTEREST ON THEM.

So should you invest in Bitcoin?

By now you can probably see that the answer isn’t that simple. It’s not just a matter of should you invest, but also a matter of how to invest. Like I said in the beginning, start by educating yourself. Learn about the currency, what affects it, what are its advantages and disadvantages, etc. You can get a lot of basic education through our free Bitcoin crash course (sign up at the bottom of this post).

After you feel you’ve acquired some basic education it’s time to answer this question. REMEMBER – only you can answer this. You can consult others and read online but never follow someone’s advice blindly.

Good luck!

Ofir Beigel

Owner at 99 Coins ltd.
Blogger and owner of 99Bitcoins. I've been dealing with Bitcoin since the beginning of 2013 and it taught me a lesson in finance that I couldn't get anywhere else on the planet. I'm not a techie, I don't understand "Hashes" and "Protocols", I designed this website with people like myself in mind. My expertise is online marketing and I've dedicated a large portion of 99Bitcoins to Bitcoin marketing.


  1. Please can you recommend to me those sites that predict near accuracy of coins volatility.
    I need advice on what to buy and when to,
    Also to sell.

    thank you

  2. Is Bitcoin a big ponzi scam? Is this why the ceo was arrested in 2015, and are there dodgy investment groups scamming people?
    Is it over hype to push the price up before a bubble burst?

    • Zsofia - 99Bitcoins support on

      Hi Phil, Bitcoin itself is not a scam or ponzi scheme, it is a decentralized cryptocurrency and it does not have any CEO or governing body. I suggest reading a bit more around the site to get familiar with the topic. You are right in a way that there are many people trying to scam others with Bitcoin, we have created a simple tool, the Bitcoin Scam Test which let’s you decide if a site is legit or not.

  3. valeria zaniboni on

    Good afternoon Mr. Beigel,

    hope this email finds you well. I have a client that is in the business bitcoin , and has been doing it for the past three years. However , she was telling me about the business and ask me if I wanted to invest in it , that I could start only with $300, or $400 . I know its not a lot of money but to me it is and it will be sad if I loose it. Please can you advise , I know its my decision and only I should know, but its always good to have an expert that knows more than i would in regards of Bitcoin.
    thank you for your help,
    kind regards

    • Zsofia - 99Bitcoins support on

      Hi Valeria, the topic of cryptocurrency investments is very tricky because you have to consider several factors, like your time horizon, risk attitude, the amount of money and your level of knowledge in the product before investing in something. This article is the best place to start your thought process.

  4. hi, Im Ragu from Malaysia, how do i purhcase ETH? coinbase only available for SG not MY. Any idea for me to do the investment?

    • Zsofia - 99Bitcoins support on

      Hi Terence, there are several exchanges on the cryptocurrency market both international and domestic ones. If a resident from a country is not eligible to buy Bitcoins on major exchanges, a local exchange can charge a higher price to make Bitcoin available for these citizens too as they will be a monopoly on that market.

  5. There’s no sane reason to invest in bitcoins. Of the reasons they have value today are;

    !. They are the new shine and exiting thing.

    2. Criminals need them to engage in business and are currently legal.

    3. Poor people with “get rich easy” ideas are buying them

    The earth is full of things that used to have value because they were temporarily fancied. When bitcoins is no longer the new thing, those buyers will become sellers depressing the price. If criminals become the primary users of bitcoins, some governments will make them illegal. When get rich easy stories are swamped by “how I lost my money on bitcoins” their won’t be any buying pressure from gamblers either.

    • No currency has real value that’s why the German mark was worthless after world war one. They kept printing money but that just causes inflation. cyber currency is different, there is a finite amount of it so they cant print anymore. As such it becomes a case of supply and demand. Im not sure if bitcoin will still be around in 20 years time but its like investing in Facebook yet in and out at the right time.

  6. Hi Ofir,

    Thanks for your great article.

    I am new to Bitcoin and want to start buy buying very small amount to see how it goes. I was told to register with wallet an purchase bitcoin using one of their exchange such as coinify. My question is, are these guys legit? Also if I buy lets say 1 bitcoin and keep it as long as I want and sell it when bitcoin rate has increased, will I get more money than I had purchased initially? Or do I get the same money I paid when I bought it? Really appreciate your input.

  7. hey ofir i am agreed with you.. when you want to invest in cryptocurrency then u should know about this currency. as this currency is fluctuating every day.
    you said about hardware wallet but on one blog i read about the mobile wallet.
    this is also a great option for storing bitcoin.

  8. Hai everyone, I’m Megan staying in India. Me and my friends are looking towards to invest in bitcoin but I don’t know how it works, I do have some questions like:

    1) They say that we’ll get daily payout of 1percent will get that 1percent money daily in my wallet or after the package run time is over, that’s after 140 working days?
    2) can I make money just by investing in bitcoin?
    3) How will I be notified or can withdraw the money after 140days?

    *Please let me know the suggestion, your answers will really help us a lot.

    • Zsofia - 99Bitcoins support on

      Hi Megan, not sure where you have come across with the 140 working days and 1% daily payout terms but seems like to me a HYIP. If you’re looking for sites that multiply your Bitcoins or give you exceptionally high yield on them (also known as HYIPs), I strongly suggest staying away from them as they are usually scams.

      • Its USI-Tech and I was about to buy coins through zebpay, I have heard that its very good, if not can you please suggest me how to invest?

        • Zsofia - 99Bitcoins support on

          Hi Megan, the topic of cryptocurrency investment is very tricky as there are couple of factors you should consider before investing, like the time frame, your risk attitude and your level of knowledge what are you investing in. As of now we cannot recommend any legit Bitcoin investment site.

      • May I know how can one I best in bit can I buy it through zebpay? Or if you have any suggestion let meknow….

        Thank you ☺

    • Swati Patel on

      Hi Megan, I am also living in India and if you want to invest then following are some good and trustworthy exchanges to buy/sell and store bitcoins, I am using since Jan-2017 to sell my BTC and so far I am happy with it, but to buy, you may buy from coinsecure as other exchanges have too much rates to buy:
      zebpay offers android & ios app only to buy/sell/store BTC. There are many other facilities like mobile recharge etc..
      Unocoin offers SIP for BTC through payumoney. You can search more about these exchanges on google.

      Unocoin and coinsecure will take good amount of time in KYC, almost more than 2 weeks so better you signup right now and submit your KYC, without KYC, you wont be able to use these sites.

      Also, plz dont forget to check their fees before trading or investing. For longtime storing BTC, you may use paperwallet or hardware vault as they are more secure.

      You can check BTC historical price on and to check all popular Indian exchanges in India.

      Hope this will help you and some other newbies from India. :)

      • Zsofia - 99Bitcoins support on

        Hi Swati, thanks for sharing your insights about the Bitcoin market in India, this is very helphul. However please note I have removed the affiliate links from your comment as we do not allow that here.

      • Thank you so much Swati for your information, I have heard of unocoin and zebpay, I have registered with zebpay already.

  9. Hi; with me Buying and HOLDING BITCOIN and Bitcoin minning is working for me……I am happy so far !!!!!

  10. Which is the currency to invest in today for long term gains and how much time should I hold it.

    • Zsofia - 99Bitcoins support on

      Hi Sumesh, the topic of cryptocurrency investments is really tricky, there is no canned answer for this question. It depends on a lot of factors, like your risk bearing attitude, your amount of money and the time horizon you are looking to invest in. You need to do a proper reasearch and make your own conclusion at the end.

  11. Bitcoin is a bogus thing waste of time. I suggest never think to earn money through shortcuts because your money making rich person more richer. You never know what system working behind bitcoin .Thinking about bitcoin is investment is waste of time waste of money. Hard work is best policy to earn . Don’t listen to bloggers bloody they don’t have any work to do They are useless people on planet.

    • Kiều Ngọc Khánh on

      One like to you. I have same idea with you. In my country, a little people think that they can earn a lots of money via investment in bitcoin. But, I don’t see anyone in them become a rich people. Espesially, my Uncle who spend too much money in this one. But, He can’t receive any money only one dollar from this. At now, he becomes bankrupt (No house, no money, no every thing…etc). I advise guys, shouldn’t waste money and time in this one
      Good luck!

      • long nguyen on

        Hi there,
        I know for sure that your uncle didn’t buy btc on an exchange by himself and keep it in his btc mobile wallet, instead he gave his money to people that said they will invest his money in btc for him with interest pays out on a specific period. They did buy btc with all that money from those who trusted them. They took advantage and scammed him and a lot of other people then ran away. I also know that those scammers didn’t keep those btc until now or they will be millionaires. Just think about the two pizzas were purchased for 10000 coins back then and if the pizza’s owner still have those coins up until now, he would have approximately 30 million.

  12. Hi! i bought bitcoins at Coinbase for the first time to start to understand how this works. I bought them with my credit card, and found out the commission is almost 4%. How can i buy bitcoins without having to pay such a high commission?

    • Ofir Beigel on

      Hey Mercedes, this can be done by using a wire transfer and not a credit card. For credit card purchases this fee is actually pretty low.

  13. Hi I have just downloaded a wallet called bread and transferred some bitcoins into it can you then send it directly to poloniex or do you have to send it somewhere else first ? please advise

  14. is there a company that will trade bitcoin and stocks? I am in coinbase, but it only does cryptocurrency.



    • Zsofia - 99Bitcoins support on

      Hi Ruslan, If you’re looking for sites that multiply your Bitcoins or give you exceptionally high yield on them (also known as HYIPs), I strongly suggest staying away from them as they are usually scams. As of today there still isn’t a reliable Bitcoin investment sites that we can recommend.

      • HYIP is allways a 100% scam . any second they shut down , Investing on HYIP is nothing but loosing

  15. I have been tranding bitcoins and other crypto currencies since half an year .. It has given me benifits .
    My tip for day .. dont take too much risk and invest in safe coins .. like Bitcoin and Monero .

  16. Lewis Fulkerson on

    You need to do your research again. I’m invested with a company that promises to double your bitcoin value every 90 days, and guess what? In the first 14 days I have almost 50% of what they promised. They are honest, and it is very easy to prove. Too bad so many people listen to skeptics like you and never find the way to increase their income and savings. Want to know more? Give me a shout at my email address below.

    • Ofir Beigel on

      Hey Lewis, that’s great for you. The problem with these HYIPs is that a small amount of investors that come in first manage to recoup their investment but the majority of people lose their money when the company shuts down. Feel free to write down the company name here and we can take a look 6 months for now where it’s at. I’m removed your email from the comment since I do not allow investment solicitation on the blog.

    • Why on your email? Put the name of the company here in the open so anyone can research it and decide for them selves, or shut it.

      • Ofir Beigel on

        Hey Milan, even if he would advertise the name of the company I’d probably remove it since I don’t want anyone soliciting on the comment section.

    • Is this a good investment for young people that really don’t have any experience with finances? They are working for $13 an hour and hoping to make much more with this type of investments. I’d hate to see them loose all their rent money

      • Ofir Beigel on

        Hey Tvonne, I suggest to avoid any recommendations about “get rich quick” schemes online.

      • Zsofia - 99Bitcoins support on

        Hi Coleen, we do not allow soliciting HYIP business in the comment section. I suggest you to stay away from these sites as they turn out to be scams and steal your money at the end. When in doubt, please use the Bitcoin Scam Test tool here:

  17. “1.Never invest more than you are willing/able to lose – Bitcoin is a very risky investment and you should keep in that in mind at all times.
    2.After buying Bitcoins make sure to move them into your own personal wallet and never leave them at the exchange. My personal recommendation is to use a hardware wallet to store your Bitcoins. If you can’t afford a hardware wallet, try a paper wallet.”

    As far as I’m concerned these two points contradict themselves. To wit: in my opinion, a person who “can’t afford a hardware wallet” (#2) that costs US$100 or so, doesn’t have ANY money that he isn’t “able to lose” (#1). Or to put it the other way around, anyone who can afford to take a risk on Bitcoin can, by definition, afford to buy a hardware wallet.

    • Zsofia - 99Bitcoins support on

      Good point Mike, indeed a hard wallet does not cost that much compared to the risk you are running if you keep your Bitcoins on an exchange.

  18. Andoni Egurrola on

    I’m beginning to learn more about BitCoins and this site helped me understand it way more and I’m thankful for that. My question to you is what is the safest and effective way to start making money with BitCoins, from what I read you do not suggest mining and those websites that promise to double them are most likely scammers. Just to conclude let’s say I have $2k ready to invest in BitCoins what would my best first step. I would love to hear a response from you, and I have watched the videos.

    Thank you!

  19. Many thanks Ofir, a few days ago i decided that i need to properly look into Bit coin investing but was not sure where to start getting information that is easy to understand. How fortunate i was to find your site today!. I will definitely go the video link and learn a bit more from your site. Then start investing hopefully soon.

    Best regards

    • Zsofia - 99Bitcoins support on

      Hi Nashima, thanks for the feedback, you could also sign up to the Crash Course on the front page, it should have a lot of useful information about Bitcoin.

  20. Okechukwu Nnaji on

    I really appreciate your site on this enlightenment on crytocurrency of which Bitcoin is one of them, of which i have learn t a lot about from you. We in Africa are beginning to know Bitcoin and we need more enlightenment. I want to invest in Bitcoin but i don’t know much of the processes involved and the genuine exchange’s to trust.

  21. Sardeep Singh on

    Hello Sir,
    Nice article for a newbie like me. You suggest to store bit coins in Hardware or paper wallet instead of keeping at exchange itself. I fail to understand it.

    What I have to store? I am having an address only and number of bitcoins or bits are shown at the app of the exchange. What should I do? How to store them?

    Please guide me through mail too.

    Thanks with regards.

  22. Great write up however I have a few questions: I want to purchase bit coin and hold onto it with the notion of it going up in value, how safe is it once stored in these hardware wallets or paper wallets? Also how do you go about selling your bitcoins once you are ready to sell it all?

    • Ofir Beigel on

      Hey Mike.
      Hardware wallets are the safest form of storage there is. As long as you don’t give physical access to the hardware wallet to anyone your Bitcoins are safe. You can read more about it here.
      Once you are ready to sell your Bitcoins you just send them to an exchange (here’s a list of the top exchanges) and you put a “sell” order.

  23. I just started really looking into cryptocurrencies a few days ago. As you can imagine, I’ve been doing a lot of searches and clicking (sometimes nervously) on a lot of links. 99bitcoins has quickly become one of the sites I trust. Useful information, well presented, and a great resource for a cryptonoob.

    I’m not ready to start investing in Bitcoins yet, but this article has gotten me thinking it could be part of my semi-retirement income strategy. Thanks for the information.

    • Zsofia - 99Bitcoins support on

      Thanks John for your feedback. Keep reading on the site about Bitcoins. In case you have any questions, please feel free to let us know.

  24. Ofir, I cannot begin to thank you enough for what you are trying to do, you and your team. I feel that this crypto-currency is the wave of the future, the direction we are all, as a species, heading towards, and I think that with a little education, a person will be able to prevent ruining themselves financially. I, for one, am going to be promoting your site as well as your crash-course to anyone who will listen. You are providing a very much needed service to those willing to take the time to educate themselves, and for that you have my gratitude.

    • Hey Christopher, thanks so much for your comment, we really really appreciate the feedback :) I’ll also be sure to let Ofir know about your efforts of promoting the site.

      Zsofia (customer service 99Bitcoins)

  25. OMG! I wish i would have bought in a cpl years ago when i first heard about bitcoin.
    But also i was looking into using bitcoin as online currency, you can buy less than a whole bitcoin or no. Like i give you a dollar for a 50cent item and get 50 back or theres no change.?!

  26. william meyer on

    i have to admit this, this site (faucet) of yours is one of the best, just amazing, the support and services your provide are just great, keep it up and thank a lot.

  27. Well I be lost some good amount of bitcoins on all these hip sites,guess I learnt the hard way!thanks to your write up ,now I know better. Thanks Ofir.

  28. Last year I got my first bitcoin currency (0.00001 BTC actually) from you :). Since that time, I’ve bought some, invested, won, lost, bought an old miner, made a rig too and started mining… I can say I got hit pretty well by the digital money :)
    Thanks for your articles and keep up the good work .

  29. PM.Ravindran on

    Hi Offir, great article & my best wishes.
    However I am based in India & I donot have financial strength to attend the meet & meet you all great people there in person.
    Offir, I am a victim of Crypto X Change Australia, who looted my 90.33 BTC in 2013 7 vanished . Can you help me to get my bitcoins from them or the owner please ? I am willing to offer 10 Bitcoins as good will gesture to the person who will help me to get back my bitcoins.
    One more request, please convey my regards to Mr. Roger Ver when you meet him.

    • Hello and very sorry to hear about your story. Unfortunately Bitcoin is very much like cash, if you lose it or if it gets stolen there’s not much that can be done to get the money back.

  30. Hi Admin, nice write you’ve got up there. my question is simple, what website or websites can you recommend for bitcoin investment that nothing to do with referrals? plenty thanks

    • As you can see from what I’ve written above, I’ve yet to find any reliable website to invest my Bitcoins with.

  31. first writeup that is helping me to understand the whole bitcoin thing…will keeping digging cos am yet to understand the whole bitcoin gist. THANKS FOR THIS

  32. Great Informative article for newbies like me. I have now gone with a Bitcoin hardware wallet (Ledger Nano S), which is a great piece of tech and safe for storing bitcoin offline. Also great advice not to ‘Bulk Buy’ bitcoin, but to buy gradually.

    Thanks Ofir

  33. Nice information. I am a newbie and was about investing in bitcoin with the aim of joining one these online sites that pay 100% after a 30 day period when I stumbled on this article. I just had a rethink. ” Any site that promises you something that is too good to be true is probably just a facade for scammers trying to steal your coins.” Thanks once more for this wonderful article.

  34. Hi Ofir,

    The information you had provided have good value for a newcomer who thinks to invest in the currency. Also, with all my exchange on the forum BitcoinTalk, I come to the same conclusion that all the HYIP and cloud mining are scam, and better stay away from them.

    I will share your article on twitter.

    Best Regards,

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