Looking for a Bitcoin Buying Guide? Wondering where to start? People have a lot of misconceptions about Bitcoin – the first widely known and recognized cryptocurrency worldwide.
For example, many people think that only hackers and shadowy people use it. However, Bitcoin is actually going mainstream with everyone from TigerDirect to Dell from Expedia.com and even Subway now accepting payments in Bitcoin.
Why so popular?
Well, Bitcoin has many advantages over other currencies. For example, you can send Bitcoin as a payment to someone without a bank intermediary (and hit with extra fees). This is much faster than sending money through a bank wire or transfer. You can send Bitcoin to someone and receive the coin in seconds.
With all this, it is not surprising that many people are now trying to buy Bitcoin for the first time. But it’s not as easy as going to your bank and withdrawing bitcoin – or going to a store and hiding some hard-earned cash for bitcoin.
The system works a little differently than that. This bitcoin buying guide will take you through a few things you need to know before you buy – so that you can buy safely and securely.
First, the price can be over $ 2000 per coin, you don’t have to buy a whole bitcoin. Most places let you buy a bit of Bitcoin for as little as 20. So you can start small and go from there because you feel more comfortable with the way you work.
Second, this article will not be taken as general purpose and financial advice only. Bitcoin can be risky and you should consult with your financial advisor before making any purchases to see if it is right for you.
So here are 3 easy steps to buy Bitcoin:
# 1 Get a Bitcoin Wallet
The first step before buying your coins is to get a virtual wallet to store your coins. This wallet is a string of text that people can use to send you bitcoin.
There are a variety of wallets available on your phone or computer, including online wallets and even offline, cold storage wallets.
Most people like to get a wallet on their phone or computer. Popular wallets include Blockchain, Armory, Bitgo Mycelium and Zapo.
It’s usually as simple as downloading Wallet to your phone as an app or downloading software to your computer from Wallet’s main website.
# 2 Decide where to buy
There are different types of places to shop and each one is a little different. There, online sellers will sell you Bitcoin directly in cash (or bank wire or credit card).
There are exchanges where you can buy and sell bitcoin from others – like the stock market. There are also local exchanges that link you to vendors in your area who want to sell.
There are also ATMs where you go shopping with cash and deliver your coins to your wallet within minutes.
Every bitcoin seller has their advantages and disadvantages. ATMs, for example, are great for privacy, but they will charge you up to 20% above current prices, which is ridiculous. (At the BTC price of $ 2000, that’s $ 400! So you’re paying $ 2400 instead of $ 2000).
Wherever you decide to buy, be sure to do your research and go with a trusted seller with a good reputation and strong customer service. First-time buyers will have particular questions and may need additional assistance to help them with their first transaction.
Take your time and research different places to buy before you make a decision. Things to consider include currency prices, additional fees, payment methods and customer service.
# 3 Buy Bitcoin and carry it in your wallet
Once you find a place to buy, prepare your funds (meaning you can send a wire transfer or use your Visa to fund your account). Then wait for a better price. (Bitcoin prices fluctuate 24 hours a day, 7 days a week). Then place your order when you are ready.
Once your order is complete and your coins are ready, you may want to send them to your wallet. Just enter your bitcoin address and ask the seller to send your bitcoin. They will appear in your wallet within minutes to an hour (depending on how fast the seller is sending them).
Voila, you now own a bitcoin. You can now send coins to pay for other products and services, or hold them for rainy days.
One last thing to remember: Bitcoin is still in its infancy. There are huge price swings and the currency can be risky. Don’t buy more bitcoin than you can afford to lose.