The popularity of the first cryptocurrency – bitcoin-and other coins continues to grow. Next, the number of people willing to invest in digital assets is increasing. however, the new financial instrument is not similar to traditional money, so potential buyers have many questions and difficulties.
Complex instructions, conflicting opinions – only a small part of the problems that a beginner can face. We tell you how to get around all the pitfalls and become the owner of your first bitcoin (BTC).
Step #1-Determine the purpose of the purchase
Cryptocurrency can be purchased for everyday expenses, long-term investments, work on the exchange, or simultaneously use it for different purposes. further actions depend on the scenario, including choosing a wallet for storing and performing transactions with assets.
Step #2-Select and register a wallet
Wallet – a program, service, or device with a digital address, where crypto assets are stored, as in a bank account.
Each cryptocurrency wallet has its own public address. this is a complex combination of letters and numbers that is created at the time of its registration. to send bitcoins from one wallet to another, it is enough to specify the public address of the recipient when transferring. one person can have any number of cryptocurrency wallets.
For long-term storage of cryptocurrency, “cold” wallets are suitable. They are represented by physical devices similar to a flash drive. To conduct transactions through “cold” wallets, you need an Internet connection. The rest of the time, assets are stored offline, which means hackers can’t access them.
An example of a cold wallet is trezor one white. its price is 48.76 eur (price at the beginning of december 2020). on the market, you can find more expensive and budget models.
For everyday operations with BTC, “hot” mobile clients are suitable. they are represented by applications for working on internet-connected devices. the security level of such wallets is lower than that of “cold” ones, but the speed of operations and ease of use are higher. An example of a ” hot ” wallet is Mycelium.
Another option is a free exchange wallet. the security of the option depends on the trading platform: its technical solutions and capabilities. you can get it when you register on the exchange. For example, on the russified Finance.
There is a SAFU foundation on the platform. In case of theft of user funds, losses are compensated by default from the reserves accumulated in it. The exchange has already turned to SAFU after hackers stole 7000 BTU from Balance accounts in May 2019.
Read more about other types of wallets, their features, advantages and disadvantages in our article about bitcoin wallets.
Step #3-Choose a way to buy BTC
There are several ways to buy Bitcoin. Each of them has its own characteristics. We will analyze the most popular options for how to buy bitcoin on the market.
Through the exchange
For example, let’s take focuses on the anonymity of the trading platform StormGain. Unlike other digital asset exchanges, the platform allows you to maintain confidentiality. The ability to work without revealing your identity is an important advantage at a time when all services on the Internet require you to provide real information about a person.
How to buy Bitcoin on the StormGain exchange
To start working on StormGain, you will need to pass a simple registration. To do this, you need:
- Enter your email address.
- Mobile phone number.
- Come up with a password.
You must specify a valid phone number and e-mail address. The system will ask you to confirm them. The entire registration process takes a few seconds.
Unlike other popular digital asset exchanges, stormgain users do not need to verify their identity. The system does not ask for documents, photos, or other information. as a result, stormgain users are protected from a number of risks that customers of other platforms are exposed to. for example, regulators will not be able to track their cryptocurrency transactions, and fraudsters will not be able to steal personal information.
Immediately after registering on StormGain, the system gives users access to all the services of the platform, thanks to which, among other things, you can:
- to buy cryptocurrency;
- exchange digital assets;
- to store coins.
The ability to maintain anonymity and fast registration are not the only advantages of stormgain. Other advantages of the platform include the following points:
- Low commissions. also on stormgain there are no hidden fees and other unpleasant surprises.
- Simple interface. At the same time, StormGain has all the tools for professional trading and conducting various operations with cryptocurrencies.
- The exchange is suitable for both beginners and experienced participants of the crypto community. Working through the platform is an easy way to buy digital assets.
- Security. for all the time of its existence, hackers have never managed to break through the platform’s security systems.
Through the exchange
An exchange is a platform where you can buy cryptocurrency for fiat and other assets. you can find a suitable offer on the popular service for monitoring exchange offices-bestchange. in the “list” section, you need to select the payment method and cryptocurrency for purchase. The system will offer the most favorable options at the time of search.
On bestchange, you can find offers to buy bitcoins from bank cards, wallets of electronic payment systems, through money transfers and even cash. Operations are carried out on exchangers.
Each site has reviews. Unfortunately, their veracity raises doubts among many members of the crypto community.
To buy cryptocurrency, you need to click on the offer that interests you.
After switching to the exchange, follow the recommendations of the site. the stages of buying cryptocurrency may vary depending on the chosen payment method and the rules of the platform. Often, the transaction does not require verification. As a result, exchanges have become one of the express options for acquiring digital assets.
Buying with your hands
On the internet, you can find offers to sell cryptocurrency without intermediaries – “from hand to hand”. The deal will save on intermediary fees and save time. The security of buying cryptocurrency with your hands depends on the conditions. Including-from the presence of a verified guarantor.
Buying with hands became a popular answer to the question of how to buy bitcoin for rubles, at the end of 2017. Recall that it was during this period that the cryptocurrency reached its peak value, and its purchase on exchanges, due to high commissions, was not the most profitable option.
Why Invest in Bitcoin
Bitcoin is the first cryptocurrency. Unlike traditional money, BTC is a fully decentralized financial instrument. None of the regulators in the world can directly influence the issue, turnover and distribution of coins.
The value of fiat largely depends on the actions of the Central Bank. The regulator can print unlimited amounts of new money. An increase in the volume of the national currency on the market leads to its depreciation. The higher the supply the lower the demand.
Unlike fiat, the maximum number of bitcoins is limited to 21 million BTC. Every 4 years, the network adjusts the release rate of new coins. This is how the system reduces bitcoin inflation.
The built-in mechanism for reducing inflation and the absence of pressure from regulators are the advantages of bitcoin. With their help, the cryptocurrency exchange rate, according to many participants of the crypto community, will continue to grow.
Based on the advantages of bitcoin, the CEO of the popular digital asset exchange Finance, Chang Peng Zhao, suggested that every owner of at least one BTC in the future can become one of the richest people in the world.
If you own 1 $BTC, you are mathematically guaranteed to be top 3/1000 richest in the world, in BTC terms. (21m / 7B).CZ Binance (@cz_binance)
You can buy your first bitcoin in different ways. buying on a verified exchange through a verified account will take longer, but will provide security. Transactions through exchanges and with sellers from the network are more risky options with their own advantages. to other conclusions:
- Before buying a cryptocurrency, you should consider a plan for its use and storage options.
- Cryptocurrency can be held in different wallets.
- Several days may pass between the decision to purchase bitcoin and the moment of purchase due to long account verification.
- One person can register an unlimited number of wallets.