Today, more than ever before, it seems like everyone has at least heard of Bitcoin. Whether you’re a seasoned trader or just getting into the world of cryptocurrencies, it’s almost impossible to avoid this popular digital asset. If you’ve been looking to buy Bitcoin but aren’t sure where to begin, this guide will help you get up to speed with everything you need to know about buying Bitcoin and other digital currencies like Ethereum and Litecoin. In this article we’ll explain what Bitcoin is, how to buy Bitcoin online or in person, which exchanges sell cryptocurrency for cash and which wallets are safest for keeping your coins secure.
What is Bitcoin?
Bitcoin is a cryptocurrency — a digital asset used as a way to buy things electronically without the use of banks, credit cards, or other government-backed institutions. Bitcoin was the first decentralized digital currency — there’s no government, company, or bank in charge of it. Instead, Bitcoin is decentralized and relies on a network of computers and miners to keep it secure and track transactions. This decentralized network of computers and miners also makes Bitcoin extremely hard to track and enforce financial laws with. As a result, Bitcoin has become a popular asset for people looking to avoid government regulations, taxes, and other financial institutions. Bitcoin is also called a crypto token, cryptocurrency, digital money, or cryptocurrency. Cryptocurrencies are a relatively new financial asset class. Unlike traditional currencies like the U.S. dollar, gold, or silver, cryptocurrencies are decentralized digital assets without a central authority or previous backing. Bitcoin, first introduced in 2009, is the most popular and well-known cryptocurrency. It’s also the most widely traded cryptocurrency, making it a convenient way to get started with cryptocurrencies. Other popular cryptocurrencies include Ethereum, Litecoin, and Bitcoin cash.
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How to buy Bitcoin
Buying Bitcoin is super easy. All you need to do is find a Bitcoin exchange (a place where you can trade one currency, like dollars, for Bitcoin, or another cryptocurrency), fund your account, and then buy Bitcoin. If you want to buy Bitcoins in person, you can go to a Bitcoin exchanger and ask them to sell you Bitcoin. You can also use a Bitcoin broker if you’re looking to buy a larger amount of Bitcoin. Most exchanges require you to deposit money to buy Bitcoins. If you want to buy a small amount of Bitcoin, you can usually get it by trading other assets like cash or equities. But if you want to buy larger amounts of Bitcoin, you’ll often need to put up funds as collateral. Once you have some Bitcoin, you can use it to buy everyday goods and services.
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Which exchanges sell Bitcoin?
There are hundreds of different exchanges that trade Bitcoin around the world, but the two most popular exchanges are Coinbase and Kraken. If you want to start with a beginner-friendly exchange, try Gemini. It’s an unregulated New York-based exchange owned by the Winklevoss twins — Cameron and Tyler — who famously sued Mark Zuckerberg for stealing their idea for Facebook. Gemini is also one of the few exchanges that supports trading Bitcoin for USD first, before trading it for other cryptocurrencies. Coinbase is a popular US-based exchange that lets you buy and sell Bitcoin, Ethereum, and Litecoin. Coinbase is also one of the few exchanges that supports buying Bitcoin with a credit card, so it’s a good option if you want to pay with an easy payment method.
How to sell Bitcoin
If you’re holding Bitcoin, you can try to sell it on an exchange like Coinbase or Kraken. If you have a large amount of cryptocurrency, you might want to sell it to someone who will trade it for goods and services or keep it as an investment. Many exchanges let you sell Bitcoin for USD or another currency, and then withdraw it to your bank account or spend it like normal money. There are also a few platforms that let you trade Bitcoin for cash. Robocoin lets you sell your Bitcoins for cash at a nearby Robocoin kiosk, and you can then cash out at millions of banks and credit unions across the U.S. Bitcoin ATMs let people sell Bitcoin for cash, and you can also use Bitcoin debit cards to trade Bitcoin directly.
Which wallets are best for storing Bitcoin?
Keeping your Bitcoin in an exchange is risky. If the exchange gets hacked or goes bankrupt, you could lose all your money. A better option is to store your coins in a wallet that you control. A wallet is like your own personal bank: You control the access to your Bitcoins and have sole authority to transfer or spend them. Most wallets are like online bank accounts where you can store money and make payments. Some wallets let you link your bank account so you can make transfers quickly. To make sure you keep your Bitcoins safe, make sure you store them in a reputable wallet that’s been around for a while. Some wallet options for keeping your Bitcoins safe include Coinbase, Blockchain, and Exodus.
Why is it hard to buy Bitcoin?
Unlike traditional currencies like the USD, gold, or silver, Bitcoin is not backed by the government or controlled by a central entity like a bank. This makes it extremely hard to track and enforce financial laws with. Because Bitcoin is decentralized and not regulated, anyone can buy and trade it without reporting it to anyone. It’s also extremely easy to buy fake or stolen Bitcoin, and exchange theft is a major problem. Bitcoins often trade on shady exchanges with no regulation or protection for investors, so it’s important to do your research before buying Bitcoin. It’s also important to keep your Bitcoins in a wallet that you control, such as a hardware or software wallet.
Conclusion
Bitcoin is a digital asset designed to start a new financial system without the help of banks. The benefit of using Bitcoin is that it’s decentralized, meaning it’s managed by no one and no government entity has control over it. Bitcoin is a relatively new financial asset, but it’s quickly growing in popularity. In 2017, it was the second most traded currency, second only to the USD, and it’s expected to keep growing in 2018. If you’re interested in getting started with Bitcoin, this guide will help you get started buying some Bitcoin or wrapping up your trading. And don’t forget to keep your Bitcoins safe in a wallet that you control.
