How to start with bitcoins and cryptocurrency in 5 quick steps
Bitcoin has existed since 2009 and has since grown into one of the most popular cryptocurrencies in the world, in which millions of people invest every year.
Its popularity has led many people to question whether they should also invest in it, or whether they should at least gain some knowledge about the cryptocurrency.
New investors are always confused about how to get started and what they need to do to use Bitcoins.
There are many platforms that can help these enthusiastic investors get started. However, there are definitely some important steps that anyone can take to get into the world of cryptocurrencies, so we’ve put together this guide on how to get started with bitcoins and cryptocurrency in 5 quick steps.
5 easy steps to get started with Bitcoins and cryptocurrency
Table of Contents
1) What is A Bitcoin?
Cryptocurrency is a digital currency in which encryption techniques are used to control the generation of currency units and the verification of transactions. Bitcoin, created by developer Satoshi Nakamoto, is the first of these cryptocurrencies.
It is already popular among those who believe that hard money is going to come out. Transactions are fixed and anonymous (although each transaction has a private code).
They are also readily available, bitcoins or other forms of cryptocurrency you can buy from online exchange platforms or directly from individuals on online trading boards.
2) Why buy Bitcoin?
Bitcoin is one of many cryptocurrencies, but it is certainly the best established and also the most popular.
There are many other currencies in the system, some good investments, some ridiculous. In addition to being used as a payment system, investors like to use it because they can benefit from buying and selling bitcoins on exchanges that contain real currency fluctuations.
As such, bitcoin attracts more investment dollars than almost any cryptocurrency combined – in some cases millions or billions per month. It is also easier to sell bitcoins than to learn about Forex, so many investors choose it as a starting point in their careers.
3) How can I buy bitcoins?
If you are interested in buying bitcoins for yourself, there are two ways to do so.
First, try a digital currency exchange that sells bitcoins for cash – most exchange offices accept bank transfers or credit card payments – and then convert your local currency to bitcoins.
For example, in Nigeria, we have; Quidax etc
Second, if you have an ATM or debit card attached to your bank account and want to buy some bitcoins without having to go through a shift, some banks now offer a direct service.
For example, Bank of America customers can use their online banking platform to link their accounts directly to Coinbase or other digital currency services. They can finance their accounts by transferring funds from another bank account or by transfer.
4) Where can I spend Bitcoin?
Like real money, you can spend bitcoins on anything sold online.
However, those platforms must accept bitcoin as a currency, which, unfortunately, not many do now. Therefore, it is not the best option for everyday shopping.
However, those who have bitcoin can easily convert it to their normal currency. There are also ATMs that you can use to withdraw fiat currencies converted to bitcoins. The only caveat is that your purchase may incur small costs due to the transaction fee due to all the next steps.
In other words, it’s the same as using PayPal when paying by credit card – there is a nominal fee for the transaction. Be sure to ask about any fees before buying or exchanging Bitcoin for fiat currency (your local currency)
5) Tips to keep your digital money safe
The first rule to keep your digital currency safe is to never give anyone your private key or password.
You can create as many public addresses as you want, but each address has only one matching private key that works. If someone else gets this key or password, they can spend all your money at once or take it slowly.
So when creating a new account, make sure you follow a simple rule – no exceptions.
Also, always remember that if you lose your private key or password, there is no way to recover it. This means that if you have funds on the crypto market (like Coinbase), then they are also gone forever.
Make sure you always transfer money from the exchange to the wallet, where you check your own keys before issuing them. And remember, it’s up to you to maintain your own assets and manage them properly; no one else will do it for you.
Overall, cryptocurrencies are easy to understand with a little more detailed research and can be of great benefit to anyone and all investors. As long as you have some money saved and the ability to maintain security, you will benefit a lot from getting bitcoins or any cryptocurrency.