Looking for a Bitcoin Buying Guide and a place to start? There are a lot of misconceptions about bitcoin – which is the first widely-known and widely accepted cryptocurrency.
Some people believe Bitcoin is used by hackers and shady people. However, bitcoin is now becoming mainstream with every company including TigerDirect, Expedia.com, Dell as well as Subway accepting bitcoin payments right now.
What makes this is it so popular?
The bitcoin currency offers many advantages in comparison to other currencies. You can, for instance, transfer bitcoins to someone else as a payment without going through the middleman at banks (and pay additional charges). It’s also quicker than sending money using an electronic transfer or bank wire. Bitcoins can be sent to someone else, and they’ll receive the bitcoins in a matter of minutes.
Given all this happening, it’s no surprise that a lot of people are looking to purchase bitcoins for at least the very first time. But it’s not as simple as going to the bank to withdraw bitcoins or even going to a retail store and paying money for bitcoin.
The system functions a bit different from that. This Bitcoin Guide to Buying will provide aspects you should be aware of prior to buying – so you can buy safe and with confidence.
In the first place, even though the cost could be more than $2000 dollars for each coin you do not need to purchase an entire bitcoin. A majority of sites allow you to purchase a small amount of bitcoin as low as $20. You can begin with a small amount and then increase it as you become more comfortable with how things work.
Furthermore the article is written designed for general information only and is not meant to be considered financial advice. Bitcoin is risky, and prior to making any purchase, you should speak with your financial adviser to determine if bitcoin is suitable for you.
Here are 3 simple steps to purchase Bitcoins:
#1 Get a Bitcoin Wallet
The first thing you should do before buying any coins, is acquire an online wallet that can store your money. It is a string of text which you are able to use to transfer bitcoins.
There are a variety of different kinds of wallets available, such as ones that you download to your computer or phone as well as online wallets. There are also cold storage wallets that are offline.
A majority of people choose to have an account on their smartphone or laptop. The most popular wallets are Blockchain, Armory, Bitgo MyCelium and Xapo.
It’s typically as simple to download the wallet onto your phone via an app or by downloading the application onto your computer via the wallet’s main site.
#2 Decide Where to Buy
There are many kinds of stores to purchase and each differs in its own way. There are online sellers who can sell bitcoins in exchange for cash (or credit or bank wire).
There are exchanges on which you can purchase and sell bitcoins with other users, similar to an exchange on the stock market. There are local exchanges that connect you to sellers in your region seeking to sell.
There are ATMs too that allow you to buy with cash and receive the coins to your account in a matter of seconds.
Each seller of bitcoin has their advantages and disadvantages. ATMs, for instance, are excellent in terms of privacy, but they’ll cost you as high as 20% of the current price, which is absurd. (On an BTC rate of $2,000, that’s is $400! You’re spending $2400, not $2000).
Whatever you choose to purchase from, be sure to conduct your own research and choose a reputable seller who has a good track record and a solid customer service. New buyers are likely to be unsure and require additional assistance to assist those who are making their first purchase.
Do your research and study the various stores to purchase before you make your final decision. Consider factors like the cost of coins, additional fees as well as payment methods and service to customers.
#3 Buy Bitcoin and Move It To Your Wallet
If you’ve located a store to purchase, make sure you have your funds in order (i.e. you could make a wire transfer or make use of your Visa to pay for the account). Wait for a reasonable price. (Bitcoin price fluctuations are constant all day, seven every day of the week). You can place your order once you are at your ease.
When your order has been fulfilled and you’ve received your money You’ll need to transfer them to your bank account. Simply type in your bitcoin account and request the seller transfer your bitcoins. They will appear in your account in a matter of minutes or an hour (depending on the speed with which the seller can send the bitcoins out).
Voila you’re now an owner of bitcoin. You can use bitcoins to pay for other items and services, and hang on to them in case of an upcoming rainy day.
Another thing to keep in mind The bitcoin currency is still at its infancy. There are big price fluctuations, and the currency could be dangerous. Do not invest more in bitcoins than you’re able to risk losing.