Looking for a Bitcoin Buying Guide? Wondering the place to start? People have a lot of misconceptions about bitcoin – the 1st widely known and accepted cryptocurrency worldwide.
Lots of people think for example that only hackers and shady people utilize it. However bitcoin is in fact going mainstream with everyone from TigerDirect to Expedia.com to Dell and also Subway accepting payments in bitcoin now.
Why so popular?
Well, bitcoin includes a lot of benefits over other currencies. For example, it is possible to send bitcoins to someone as payment and never have to go through the bank middleman (and obtain hit with extra fees). It’s also much faster than sending money via a bank wire or transfer. You can send bitcoins to someone and also have them receiving the coins in seconds.
With all of this, it’s no surprise that many people are now attempting to buy bitcoin for the first time. However it isn’t as easy as going to your bank and withdrawing bitcoins – or likely to a store and plunking down some hard-earned cash for bitcoin.
The system works a little differently than that. This Bitcoin Buying Guide will go over a couple of things you have to know before you get – so that you can buy safely and securely.
First of all, as the price may be over $2000 us per coin, you don’t have to buy a whole bitcoin. Most places will let you buy portions of a bitcoin for less than $20. In order to start off small and go from there as you obtain more comfortable with just how things work.
Secondly, this short article is for general purposes only rather than to be studied as financial advice. Bitcoin could be risky and prior to making any purchase you need to check with your financial advisor to see whether it’s right for you.
So listed below are 3 easy steps to buying Bitcoins:
#1 Get yourself a Bitcoin Wallet
The first thing to do before you buy your coins is to get yourself a virtual wallet to store your coins. Wasabi Wallet is really a string of text that people may use to send you bitcoins.
There are many of various kinds of wallets including ones you download to your phone or computer, online wallets and even offline, cold storage wallets.
Most people would rather get a wallet on the phone or computer. Popular wallets include Blockchain, Armory, Bitgo MyCelium and Xapo.
Usually it’s as simple as downloading the wallet to your phone being an app or downloading the program to your personal computer from the wallet’s main website.
#2 Decide Where you can Buy
There are several forms of places to buy and each one is a bit different. There are online sellers which will sell you bitcoins directly for cash (or bank wire or charge card).
There are exchanges where one can buy and sell bitcoins from others – similar to a stock market. There are also local exchanges that link you up with sellers in your town looking to sell.
There are also ATMs where you head to purchase with cash and obtain your coins sent to your wallet in minutes.
Each bitcoin seller has their benefits and drawbacks. For example ATMs are excellent for privacy, but they’ll ask you for up to 20% on top of the current price, that is ridiculous. (On a BTC price of $2000, that $400! So you’re paying $2400 rather than $2000).
No matter where you choose to buy, remember to do your research and go with a trusted seller with a good reputation and strong customer support. First-time buyers will especially have questions and could need the extra support to help them making use of their first transaction.
Take your time and research the different places to get before you decide. Things to consider include coin prices, extra fees, method of payment and customer service.
#3 Buy Bitcoin and Move It To Your Wallet
Once you’ve found a location to get, get your funds ready (i.e. you might send a wire transfer or use your Visa to invest in your account). Then wait for an excellent price. (Bitcoin prices are always fluctuating a day, 7 days weekly). Then place your order as you prepare.
Once your order is filled and you have your coins, you’ll want to send them to your wallet. Simply enter your bitcoin address and get owner to send you your bitcoins. You should see them arrive in your wallet within minutes to one hour (depending on how fast owner sends them out).
Voila, you’re now a bitcoin owner. You can now send coins to pay for other goods and services, or hang on to them for a rainy day.
One last thing to keep in mind: bitcoin continues to be in its infancy. You can find huge price swings and the currency can be risky. Never buy more bitcoins than you can afford to lose.