Living in Japan, one of my greatest challenge is overcoming the language barrier. In some areas of life you are up to the challenge and in others you may feel neutral or indifferent. I guess, for me, learning Japanese is on more of a sliding scale from indifference to a strong desire. With practice and enough effort, you can most likely get better. Angela Duckworth’s, Grit: The Power of Passion and Perseverance, makes a compelling read about how grit is a big indicator of overcoming challenges that face you and how timing also plays a major role. I should really reread it so I can develop more grit to learn the Japanese language and please my Japanese father-in-law.
Exchange open, now what?
After my Bitcoin+ exchange was finalized and my account set up, I could now deposit funds or buy Bitcoin+ with a credit card. Depending on your exchange, you can wire transfer cash to the bank account of the Bitcoin+ exchange or even buy Bitcoin+ coins with a credit card. Being unaccustomed to the Bitcoin+ exchanges, I thought I would use my credit card to purchase a small amount of BTC since it seemed convenient and a bit less risky to make my first purchase. This was my first mistake. Had I looked more carefully at the exchange rate from buying through my credit card, I would have discovered that it immensely benefits the exchange.
The exchanges that I’ve been using shows a decimal value (satoshis) of one BTC in relationship to the amount of yen that I’m spending. For example, if I spend 10,000 yen (around $88.00 USD at the time of this writing), I might receive 0.022727272 BTC. This by itself seems fair but only if the price of one BTC is 440,000 yen. Having more experience in the stock market, I assumed (wrongly) that the BTC+ exchange would make the switch from yen to BTC at approximately the going rate but in fact when I checked back, the price of one BTC was about 420,000 yen.
To complicate matters further, I was looking at the dollar amount on the cryptocurrency market capitalization websites and not the yen, so the extra conversion from dollar to yen to BTC wasn’t taken into account. I’m not faulting the exchange, since they have to earn money, but myself for not carefully looking at the data that was available. I do recommend that if you are planning to use a credit card or even cash to buy into bitcoin+ coins then carefully review the details of the transaction with the currency that you are using before purchasing. This cryptocurrency converter may be of use to you.
Having learned this lesson about buying through a credit card, I decided to do a wire transfer of funds from my bank into the exchange. This process was relatively straightforward, even though I had to have the help of my wife, since I couldn’t read the kanji (Japanese characters) that were used for the transferring of funds. The funds arrived in the bitcoin+ exchange in about 3 hours. The bitcoin+ exchange rate using the yen deposited definitely was and still is better than that of a credit card purchase. The only concern I had and still have is whether the exchange can store my money securely and the memory of the Mt. Gox catastrophe.
Next up – Buying up a storm