Simple Ways to Buy and Invest in Bitcoin

What is Bitcoin?

Bitcoin is a decentralized, peer-to-peer digital currency system designed to enable online users to process transactions through a digital exchange unit called Bitcoin. In other words, it is a virtual currency.

The Bitcoin system was created in 2009 by an undisclosed programmer. Since then, Bitcoin has won widespread attention and controversy as a substitute for the U.S. dollar, euro, and gold, silver and other commodity currencies.

Rising popularity

Bitcoin did not attract much attention in business and finance before 2009. It has grown by more than 300% between 2011 and 2012, and it stands out as a result. Since August last year, the value of Bitcoin has increased by 400%. As a result, venture capital companies and investors around the world continue to value this cryptocurrency.

In the first half of 2014, venture capital firms invested 57 million US dollars in Bitcoin in the first quarter, and then invested 73 million US dollars in the second quarter for a total of 130 million US dollars, an increase of 50% from last year’s total of 88 million US dollars. . This is in sharp contrast to the situation in 2012, when the Bitcoin company accumulated a relatively insignificant $2.2 million.

These statistics undoubtedly prove that Bitcoin is worth your investment, which begs the question, that is, how do you buy and invest in Bitcoin?

A beginner’s guide to Bitcoin investors

The easiest and easiest way to invest in Bitcoin is to buy Bitcoin. There are many mature companies, mainly in the United States and abroad, engaged in the business of buying and selling Bitcoin (abbreviated as BTC).

Coin Bank

If you live in the United States, then Coinbase is the place you are looking for. The price at which Coinbase provides BTC to its customers is estimated to be 1% higher than the current market price. U.S. residents can choose to synchronize their Coinbase wallet with their bank account. In this way, future payment transfers become hassle-free. The company also provides you with the option to automatically buy Bitcoin from time to time. For example, if you are interested in buying $50 in Bitcoin at the beginning of each month, Coinbase allows you to set up an automatic purchase for that amount.

Please keep the terms and conditions in mind before you start using this service. If you have subscribed to the automatic bitcoin service, then you will not be able to control the price of buying BTC each month. Please note that Coinbase cannot be used as a Bitcoin exchange, that is, you buy and sell coins directly from the company. Since the company must purchase coins from other buyers, you may face delays or interruptions when placing orders in rapid market movements.

Bit stamp

BitStamp is suitable for the requirements of regular Bitcoin exchanges. Bitcoin acts as an intermediary, allowing you to transact with other users instead of the company itself. The liquidity here is high, and you always have a good chance to find someone who is willing to trade with you. The initial fee is 0.5%, if you trade $150,000 within 30 days, it can be reduced to 0.2%.

Alternative ways to buy Bitcoin

Local Bitcoin

Exchange is not the only way to invest in Bitcoin. Local Bitcoin is usually used to buy BTC offline. The site is designed to link potential buyers and sellers. Bitcoin is a locker provided by the seller under escrow and can only be released to the buyer.

Buying Bitcoin offline is not always reliable or safe. Therefore, it is best to meet with the seller during the day and have a friend mark with you, just in case things develop to the south.

Bitcoin is not just a modern trend. In the long run, venture capital companies believe that Bitcoin can be a good alternative to traditional currencies. You can enter the Bitcoin investment field in many ways. As mentioned earlier, Coinbase, BitStamp and local Bitcoin are the most popular Bitcoin investment channels in the United States. Do your homework and find out which way ticked all your boxes.