Cryptocurrency. The very word tends to fill the average person with fear, particularly the less technically literate. Some have heard the word 'Bitcoin' and know a little bit about it, but mention Ethereum, Ripple or Monero and you'll basically end up with blank or confused stares. Let's face it, most people aren't up to speed on things like adblockers or password managers, so why should we expect people to instinctively 'get' what crypto is, what it can do, or what it has the potential to do? The average person on the street wouldn't know what a 'global reserve currency' is, so why would we expect them to understand the importance of decentralised, secure and trustless money?

To get people interested in crypto, we need to keep things simple and show them a real-world use they are already familiar with. I've tried a few different ways of getting my non-tech friends into crypto without scaring them off and I think I've found a winner, so here it is.

1. The Pitch - Interest Rates

Interest rates are at all time lows around the world. In the past, you could sit your money in a bank account and earn a nice 5% or even 10% compound interest. If you saved up enough money in your account, you could even live off the interest (or get pretty close). Sadly those days are gone, flushed down the toilet by central bankers and governments who want to borrow more, spend more and pretend their debt doesn't exist. But let's face it, while most people on the street don't understand cryptocurrency, they do understand what interest is and they love the idea of earning interest on their savings.

So, ask your friends, your family, your boss etc what they're currently earning in interest on their savings at the bank. Odds are it'll be a measly 1% per year if they're lucky. Yuck. Tell them about how you earn 4% per year in interest on your savings, and inevitably they'll ask you how and want a piece of the action.

2. The Sell - Reputation Matters

Now you've got your friend interested, it's time to make the sell. One of the primary reasons people are sceptical of crypto is that they believe it is dodgy, that there are scammers everywhere, and that their money will be stolen. While I fully believe the most important ideals in cryptocurrency world are decentralisation and privacy, a more centralised institution will always be easier to get the unconverted in the door, which is the point of this article. So, we're going to use Coinbase. Why? Because Coinbase is big, popular, looks professional and has insurance. Coinbase also gives you 4% interest on USDC you hold and 'loan' in your account.

Once they're a bit further down the crypto track, you can start giving your friends higher-paying options like Celsius, Nexo, Blockfi, Youhodler etc, but right now more choices will just be more confusing.  Keep it simple.

This is what you don't want to look like.

3. The Facts

Tell your friend you keep your savings in a bank called Coinbase, and that it's an online bank with millions of customers, regular audits and deposit insurance, just like Bank of America, JP Morgan or HSBC, but they also work with cryptocurrencies like Bitcoin. Here you need to sell the reputation aspect, that Coinbase is trustworthy and secure. Focus on how Coinbase has been around for almost a decade, that it has $250,000 FDIC deposit insurance per account (Federal Deposit Insurance Corporation, operated by the US government), how it's a publicly listed company with shares and a $50 billion dollar market cap.

Once you can see that they're getting the idea, explain that the way Coinbase holds your money is in a form called a stablecoin (USDC), which is pretty much the same as the USD. Explain that 1 USDC is worth 1 USD, and the two can be swapped interchangeably. Banks more-or-less do the same things, since they don't actually hold piles of cash or gold in their vaults, they just keep big databases of numbers which are exchangeable for USD. Keep things as simple as possible and offer to walk them through the setup process (keep your referral link handy too).

Non-tech people might think BTC is strange magic internet money, but they pick up the idea of stablecoins much quicker.

4. Start Small

One of the worst things you can do is try to convince someone to put their life savings into Coinbase straight away; this will make you seem like a scammer or an idiot and scare them off (probably permanently). Instead suggest a small sum to start with, like $100. Step them through the KYC process, buying USDC with their USD and the loaning process, then let them sit and watch it generate interest. $100 is also a good figure since you'll earn a referral for that amount, but don't be pushy; some people may only want to start with $20 or $50. The first deposit is always the toughest, so whatever they decide on is fine. 

Some people may be convinced after their first interest payment, for others it might take months or years to be sure. Everyone is different so start small and take things slowly, and do your best to answer questions along the way.  Some people may want to understand how their USDC are used to generate interest (though ironically they probably have never thought about how their traditional bank deposits generate interest), so that may be a good way for you to introduce concepts like liquidity and DeFi and relate them back to traditional banking.  Remember, keep things slow and simple and establish trust.

You want your non-tech friends to understand that crypto is about saving, not being a l33t h@cker.

Other Tips

• Don't use crypto lingo; terms like FUD and shitcoin are especially confusing and unhelpful to newcomers.
• Don't name-drop crypto figures/people or industry controversies.
• Don't try to praise your favourite altcoin (imagine what 'Pancakeswap' sounds like to someone outside of crypto)
• Don't waste time showing them crypto memes, talking about asteroid mining or the environmental impact of crypto mining or the WEF or anything unnecessary. There will be a time for all of those things, but to start with your job is to make things simple and establish trust.
• If you don't know something, admit it that you don't know but you'll find out, then go do your research and come back with the answer. Every crypto user is part of the cryptocurrency PR department, for better or worse. Be honest, trustworthy and keep things slow and simple.

Once your friend's interest payments start rolling in, I can guarantee they will be coming to you asking to know more about cryptocurrency, and that's where the real fun and real change begins.

*Please note that this guide is intended for a US audience, since as far as I'm aware Coinbase doesn't offer interest to customers outside the US. You can still apply the same methodology for something like Celsius Network, which is my preferred holding service.