As our tech-savvy world continues to evolve, the impacts of technology cannot be denied, especially when it comes to the rise of digital currencies. Cryptocurrency has evolved over the decade to become a household term. It has become more popular compared to 2009, when few people were passionate about digital coins or investing in them. Cryptocurrency is a digital currency whose transactions are verified and records hosted on a decentralized structure through cryptography compared to traditional or physical money maintained by centralized banks.
Recent years have witnessed an increase in the type and value of cryptos. However, of all the lot, Bitcoin is the most popular, influential, and valuable coin in the crypto market. You are on the right page if you want to know how to buy Bitcoin without stress. Please find below our step-by-step guide on how to buy Bitcoin as a newbie.
Choose a verified crypto exchange
Crypto exchanges are online platforms where people can buy or sell bitcoin, and this works by trading asset for asset, for example, Ethereum to bitcoin and bitcoin to dogecoin. You can also convert your fiat currency into bitcoin on these platforms; you can buy bitcoins with dollars.
So, the first and most important thing you need to do to start trading bitcoin is select a verified crypto exchange. You will find several options online; ensure you choose a trustworthy and safe exchange. Most platforms will require you to sign up before you can trade on their sites.
Select your preferred payment method
After signing up and verifying your account, the next thing to do is buy Bitcoin. You can do this by using any of the payment options available on the platform. Most verified crypto exchanges support local bank accounts for wire, ACH transfers, and debit/credit cards. Other accepted banking platforms include PayPal, Neteller, Apple Pay, and several others. After selecting your preferred payment option, you can then deposit money into your account so that you can buy and sell bitcoin.
Order Bitcoin
Most crypto exchanges have a unique UI/UX design that offers a “buy and sell” button. You can click the button and proceed through the three steps of buying and selling bitcoin. You have to set the market order (state if you would prefer to buy bitcoin at its current market price or not); stop order (state the exact price you want to buy or sell bitcoin), and limit order (specify the minimum price you want to sell it to buy bitcoin). Once you have selected your options in the three categories, you can click the submit button.
Store your bitcoin securely
Growing concerns in data privacy continue to make the safety of crypto assets a problematic issue. Hacks, frauds, and thefts remain a major source of concern for crypto traders and buyers. This is why buyers and sellers of bitcoins are advised to store their bitcoins themselves. So as a newbie, you are urged to store your bitcoin with a verified and reliable cryptocurrency wallet. After buying or selling, you can transfer your bitcoin from your crypto exchange into a cold wallet, also known as offline Joy wallets, or hot wallets, also known as online wallets.
However, experts’ recommendations favor withdrawing your bitcoin after buying or selling to your cold or offline wallet. Buying Bitcoin is just the beginning of it. To fully understand how you can trade Bitcoin and sell it at the right time, you need to invest in crypto trading guides. You can do this by reading more tutorials about where and how to buy Bitcoin online. Remember to adopt a buy-and-hold strategy so that you don’t get affected often by market dips.
Why people invest in bitcoin
Bitcoin remains the most preferred asset for cryptocurrency for beginners, and that is due to several reasons. First, bitcoin has gained a lot of market stability since it debuted in 2009. Currently, bitcoin has the highest crypto market capitalization of 723 billion dollars.
An asset with a market capitalization of $723 billion is not likely to crash anytime soon. Furthermore, the fact that bitcoin is widely accepted as a major payment option for shopping and services. This makes investing in Bitcoin more appealing to people.
Photo credit: The feature image has been done by Bermix Studio.
