A Step-by-Step Guide to Buying Bitcoins

How do you start a journey of a thousand miles to buy Bitcoin? Step-by-step. Today, trading digital currency is way beyond a trend. It is a way of life. We commend your decision to take the plunge and delve into the world of digital currencies. As such, we have decided to guide you through and thoroughly as you journey to purchase your bitcoins. Let’s get started.

1. Educate Yourself

You need to be well-grounded in the world of digital currencies before diving into Bitcoin. You can imagine how awful it will be to start off your journey on the wrong foot. This step is non-negotiable. We strongly advise that you find the best sources available to you to learn about cryptocurrencies. It is not until you understand cryptocurrency, blockchain technologies, risk management, and the regulatory and tax status of BTC where you live that you can take the next step.

2. Choose a Wallet

The next step is to choose and create a Bitcoin Wallet. The wallet will be used to store your digital currency for as long as you like. Bitcoin investors need a digital wallet to secure their cryptocurrency when they are not trading. At this point, you must be able to discern between the different types and kinds of wallets: Hot or Cold Wallets, Hardware or Software Wallets.

Your type of investment is what determines your wallet. The number of wallets you can own is limitless as long as you can manage them properly. Unlike traditional banks, crypto wallets have a higher security measure put up to secure your funds. Loss of your security keys or other means of accessing your wallet may mean permanent loss of your assets, however.

3. Find a Reliable Exchange

There is an emphasis on reliability. You should know that exchange platforms for digital currencies have access to your private and public keys to perform live trades at request. The vulnerability you are exposed to demands that you only use trusted cryptocurrency exchange platforms.

Cryptocurrency wallets are not always exchange platforms. You don’t compulsorily have to trade with the same wallet where you store your larger investments. For safety reasons, you may choose to have a wallet outside your exchange market solely for your long-term investments.

Other factors that you should consider when choosing an exchange platform are:

● Good track records

● Friendly user-interface

● Customer reviews

● Company Policies

● Tight security

● Fees

● Liquidity

4. Sign Up and Verify

Consequently, you will need to create an account with the platform you have chosen. If buying Bitcoin was a journey, this phase is where you get to commit to the journey.

In most cases, you may need to provide some personal information and go through a verification process. The registration process is usually as simple as possible.

5. Deposit Funds

Many sites include a “deposit funds” option in their registration process. This is a market strategy to encourage new users to fully commit.

Means of deposit may be via bank transfers, other cryptocurrencies, debit/credit cards, as well as PayPal. The last two options may not be readily available in all countries (or in all exchanges).

6. Place an Order

With a funded account, you can begin to make trades as you wish. You may seek professional advice on how to buy or sell your bitcoins or use the knowledge you have gathered and trade at your discretion.

You may place an order to buy bitcoins at the current market price (market order) or buy at a specific price (limit order).

7. Secure Your Bitcoin

Bitcoins are valuables. You need to be security conscious. It is pertinent to transfer your digital currencies to your personal wallet after procurement to retain full control of these assets. Remember that exchanges have access to your public and private keys, hence, they share control of your assets.

You should also remember to keep your private keys private. Do not reveal your private keys to anyone. Try not to lose the private keys in the bid to keep them safe, however. We suggest that you use a two-factor verification code as an additional security measure to your unique alphanumeric password.

8. Stay Informed

Because the world is changing, information has become very pricey. The ticket needed to hop on this digital train of change is information.

Keep yourself updated on the latest news, trends, and developments of the crypto-verse. Being informed helps you to make informed decisions.

Where to Buy BTC?

If you want to consider other means through which you can procure BTC, we selected some options just for you. They include:

Bitcoin ATMs

With a valid Government ID and your fiat currency, you can purchase Bitcoin (at a given rate) from a Bitcoin ATM and transfer it directly to your wallet.

Bitcoin ATMs also charge users a purchasing fee and conversion fee. You only need to insert your cash directly into the ATM (including the charges required) and buy your Bitcoin.

Mainstream Brokerages

Mainstream brokerages allow you to buy and sell your cryptocurrencies in large volumes for no commission at all. These companies make their profit from payment of order flow (a small fraction of payment that a brokerage firm earns for directing orders for trade execution to an exchange). This is why they only allow large trades.

P2P Exchanges

P2P (Person-to-Person) exchanges allow trading of digital currencies between two people.

For security reasons, P2P trades are often based on recommendations or reviews (ratings) from previous trades. You need a legit person to trade with, you do not want to buy or sell to a fraud.

P2P exchanges may range from:

● Anonymous trades over the dark web

● Trading over the surface/clear web or

● Physical trading in shops.

To Sum it All Up

Bitcoins are a smart form of investment. They are readily available in all corners of the world but may be subject to local regulations depending on your state.

It is easy to set up an account on an exchange to start trading BTC or buy Bitcoin. All you need to do is follow the step-by-step guide above.

Keep in mind that bitcoin investment is not without its risks. Always try to invest what you can afford to lose.