A Complete Beginner's Guide to Beanstalk

-

My friend recently asked me for detailed instructions on how to buy a cryptocurrency called $BEAN:

In just the first few sentences of Beanstalk's most basic guide, we see words like "LP," "Silo," "Stalk," the list goes on. And soon it gets even denser, using terms like "time weighted average price," "mints," "liquidity pool." This guide doesn't work for someone who's barely familiar with Bitcoin!

So here's a guide on how to buy $BEAN, assuming you know nothing about crypto. Buy at your own risk!

Step 1: Buying Ethereum

Ethereum is a cryptocurrency like Bitcoin. You're going to buy it on www.coinbase.com. If you already know how to buy Ethereum in some other way like Binance (NOT on Robinhood or Interactive Brokers), you can buy it there instead.

a. Create an account on www.coinbase.com.

b. Log into Coinbase and click the Buy/Sell button.

c. Buy however much Ethereum you want to eventually put in $BEAN, plus an additional .3 ETH. If you just created a Coinbase account, your funds will take some time to clear! You might only be able to buy $1000 worth of ETH in the meantime, so you'll have to wait before moving on to the next step.

Step 2: Using a "wallet"

Next you're going to move that Ethereum you bought off of Coinbase into a Metamask "wallet".

a. Download the browser extension called Metamask: https://metamask.io/

b. Open your Metamask wallet by clicking on the extension's icon. It's slow to load, so be patient after clicking the icon!

c. Set up your Metamask account. Don't forget those 12 words when you set up your account, and don't share them with anyone! It is essentially your password.

d. Copy your Metamask address to your clipboard by clicking on it.

e. Go back to www.coinbase.com and click the Send/Receive button.

f. Select ETH, paste your Metamask address under "To", and send all of your Ethereum to the address.

It will take a few minutes before the ETH shows up in your Metamask wallet. You're almost done!

Step 3: Buying $BEAN

For this step, I'm going to show you one way you can buy $BEAN, which is the way that I would do it personally.

a. Go to https://bean.money/

b. Connect your wallet, clicking through any prompts like the one below:

c. Once your wallet is connected, go to the "Market," seen here:

d. Hover over one of the "pods" that you would be interested in buying. You should pick pods as close to the bottom left as possible. The higher the pods are (y-axis), the more you will pay for them. The further to the right they are (x-axis), the longer it could take before you are paid back on your investment. Here is an example of some pods that I would buy:

e. Finally, buy however many pods you want using your ETH. If/when the investment pays off, each of the pods will be worth $1. In this case, you're paying $.09 per pod, so your return would be $1 / $.09 = about 1100%.

And you're done! I hope this guide was helpful.

Tags: beanstalk protocol cryptocurrency bean stablecoin

See also: Improving the Elo rating system

Back to all posts

Neel Somani

About the Author

I'm a quantitative researcher in Chicago. I'm interested in computer science, math, philosophy and entrepreneurship. You can follow me on LinkedIn and Twitter.