Beginner’s Guide: Bitcoin Buying Options
For sure, one of the reasons you are decided to buy bitcoins is your expectation of high profitability. You are not the only one. Everybody does. When someone invest on something, the expectation of having big profits is there. No one will surely want to invest on a losing proposition.
The positive outlook of potential investors in bitcoins must have stemmed from the early success of investors after its launch in 2009. Who would ever forget the 1,350% return and $20,000 all-time high Christmas bonus in 2017? Although value dropped in 2018 and 2019, it looked bright for investors in the early parts of 2020 until the pandemic came.
To be more informed before buying your first bitcoins, reading authentic websites is the wisest thing to do. You can only start buying your first bitcoins, when you have a digital wallet. This is equivalent to the bank account number assigned to you when you open an account in a bank with your fiat money.
The bitcoin wallet has two keys, the public key and the private key. The former is where bitcoin is deposited and withdrawn. In contrast, the private key is the password that you use when buying, selling, and trading bitcoins in your wallet. Securing your keys is important. Have a strong password and store your information offline. You should also use a multi-signature facility.
The following are options that you can use when buying your first bitcoins.
Debit and Credit Cards
After choosing the bitcoin exchange that you will be using, you can now have the option of choosing which way you can buy your bitcoin. Debit and credit cards are the fastest ways to transact but you may have to give your personal information. It can also cost you more.
Bank Transfers
One way also to transact for bitcoins is through bank transfers. It may not be the fastest option but you can be sure of leveled up security. Cost are also cheaper than when using debit or credit cards.
Bitcoin ATM
You can just insert cash into a bitcoin ATM to buy bitcoin. The bitcoin is then transferred to your digital wallet. Because of its convenience, more and more people are using this method although you should always be wary of using cash.
P2P Exchange
Bitcoin owners can transact directly with each other without the need of a third party. This is through a decentralized exchange, which match up buyers and sellers. The exchange facilitates the transaction which can also lead to a meet up between the buyer and seller.…
