Buying Bitcoin Buying Guide? Wondering where to start? Folks have plenty of misconceptions about bitcoin – the 1st widely known and accepted cryptocurrency worldwide.
A lot of people think for example that only hackers and shady people use it. However bitcoin is actually going mainstream with everyone from TigerDirect to Expedia.com to Dell and even Subway accepting payments in bitcoin now.
Why so popular?
Well, bitcoin has plenty of benefits over other currencies. As an example, you are able to send bitcoins to someone as payment without having to feel the bank middleman Bitcoin Cash Token (and get hit with extra fees). It is also much faster than sending money with a bank wire or transfer. You can send bitcoins to someone and have them receiving the coins in seconds.
With all this, it’s not surprising that lots of people are now actually trying to buy bitcoin for the first time. However it’s not as easy as planning to your bank and withdrawing bitcoins – or planning to a shop and plunking down some hard-earned cash for bitcoin.
The machine works a bit differently than that. This Bitcoin Buying Guide should go over two things you have to know before you buy – so you can get safely and securely.
First of all, while the cost might be over $2000 us per coin, you do not have to buy a whole bitcoin. Most places will let you buy portions of a bitcoin for as little as $20. So you can begin off small and go from there as you obtain more comfortable with just how things work.
Secondly, this information is for general purposes only and not to be taken as financial advice. Bitcoin could be risky and prior to making any purchase you ought to consult along with your financial advisor to see if it’s right for you.
So here are 3 easy steps to buying Bitcoins:
#1 Get yourself a Bitcoin Wallet
The very first thing to complete before you buy your coins is to acquire a virtual wallet to store your coins. This wallet is a chain of text that people can use to give you bitcoins.
There are numerous different types of wallets including ones you download to your phone or computer, online wallets and even offline, cold storage wallets.
Most people prefer to acquire a wallet on their 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 software to your computer from the wallet’s main website.
#2 Decide Where you should Buy
There are numerous types of places to buy and every one is just a bit different. There are online sellers that’ll sell you bitcoins directly for cash (or bank wire or credit card).
There are exchanges where you can buy and sell bitcoins from others – similar to an inventory market. Additionally there are local exchanges that link you up with sellers in your town looking to sell.
Additionally there are ATMs where you go to buy with cash and get your coins sent to your wallet in minutes.
Each bitcoin seller has their benefits and drawbacks. As an example ATMs are good for privacy, but they’ll charge you up to 20% on the surface of the current price, which will be ridiculous. (On a BTC price of $2000, that $400! So you’re paying $2400 rather than $2000).
Wherever you determine to buy, remember to complete your research and go with a respected seller with a great reputation and strong customer service. First-time buyers will especially have questions and might need the excess support to simply help them using their first transaction.
Take your time and research the different places to buy before you decide. Factors to think about 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 buy, get your funds ready (i.e. you may send a wire transfer or use your Visa to fund your account). Then wait for a great price. (Bitcoin prices are usually fluctuating 24 hours, 7 days a week). Then place your order when you’re ready.
Once your order is filled and you’ve your coins, it is in addition crucial to send them to your wallet. Simply enter your bitcoin address and get the seller to give you your bitcoins. You must see them show up in your wallet within seconds to an hour or so (depending on what fast the seller sends them out).
Voila, you’re now a bitcoin owner. It’s simple to send coins to pay for other goods and services, or hold on in their mind for a wet day.
One final thing to consider: bitcoin remains in its infancy. There are huge price swings and the currency could be risky. Never buy more bitcoins than you are able to afford to lose.