Bitcoin, as a popular type of cryptocurrency, is increasingly becoming preferred to the traditional currency because it deregulated and therefore, doesn’t pass through what many consider the hassles of banking and it is a sort of investment as well.
Of course, like all things in life, there are procedures to follow in order to buy and sell bitcoins. To get started, however, one needs to first know how to buy bitcoin and this will put you through the process.
Create your wallet:
Just like wanting to save or transact with a personal is impossible without having a bank account, so also is buying bitcoin and trading with it impossible without opening or creating a wallet. That is the first point of contact.
You can create a digital wallets platform from the many out there and they serve as a third party to help you store your bitcoin while you decide what to do with them. You will be expected to fill an online form that could basically consist of your name, email address and password.
As mentioned out there, there a good number of digital wallets out there and they differ in terms of security and features. Some of them are suitable for both mobile and desktop and some are just on desktop. Most come in apps that you can download from Playstore and Apple store. So basically, it is your choice to pick one that suits you the most.
Note, however, that it usually recommended getting a wallet that is not linked to an exchange in case of issues of traffic or exchange ever goes down.
Register with a bitcoin trader or exchange platform:
The exchange has already been mentioned above; you can use a digital wallet that is linked to an bitcoin exchange or register with a different exchange platform. There are many of them and you can compare the different platforms here in order to make an informed decision. Signing up is usually easy.
Again, you will likely be required to fill in your name, email address and password. Most will expect you to also link your traditional bank account to the platform so as to use the bank account buy and receive payments. You can also be asked to choose your preferred payment option. The bank debit or credit card is usually preferred method and some platforms do not accept Paypal. The platforms usually try to choose safer options in order to reduce scams. But the choice is still left to you to choose the platform that you prefer having gone through their features.
Buy your bitcoins:
Go to the buy section of exchange to buy your bitcoin based on your budget. You need traditional currency to buy bitcoin and you can buy bitcoin with your debit or credit card as well as even cash, depending on exchange and your payment options.
The amount of bitcoin you can buy will be determined by the value of the bitcoin at the moment of purchase – and the value is so volatile, it can change within moments – as well as your budget. Exchange platform make this information available for you. After your purchase, you can transfer the bitcoins to the wallet that is not linked to the exchange for a small fee. And you have your bitcoin stored for your use when you are ready.
