How to Buy Bitcoin
Nowadays it is much easier to buy bitcoin than it was ten years ago. You can now conveniently buy Bitcoin using your fiat currency. It is also worth mentioning that you can actually buy a fraction of a bitcoin if you don’t have enough money to buy 1 bitcoin. If you are a long-term investor, you can keep adding to your portfolio over time.
So let’s look at the three options you have to buy Bitcoin.
-
Buy directly from other people
You can buy bitcoin directly from other people, much the same way you would buy any other product. This could be from friends, colleagues, family, or even strangers. There are some exchanges like localcoinswap.com which can help you identify someone willing to trade bitcoin for cash near you. When buying bitcoin from strangers, look for people that have good reviews on their exchange accounts and a good transaction history.
-
Buy from an exchange
This is by far the most popular way of purchasing bitcoin. Just think of an exchange the same way you would a stockbroker. Most exchanges will allow you to buy bitcoin using money from your credit card, bank wire or even payment processors like PayPal. Examples of exchanges include Coinbase, Kraken, Bitstamp, Hitbtc, etc.
-
Buy from ATMs
Bitcoin ATMs work almost the same way your normal bank ATM would. You can purchase your bitcoin via a bitcoin ATM and it will send the Bitcoin purchased to your wallet. The ATM uses a QR code scanner to identify your bitcoin address. Coinatmradar is a service that can help you locate the nearest bitcoin ATM.
Before you buy your first bitcoin, remember to get a good wallet. Most beginners don’t take security seriously and thereby end up losing their bitcoin to hackers. It is not advisable to buy bitcoin and leave it on the exchange wallet because exchanges can easily get hacked. Use a wallet that gives you access to the private keys and store the private keys offline. Of course, the case is different for those who are buying bitcoin for day trading. However, once you have locked in your profits, store bitcoin in a wallet and only remain with working capital on the exchange. Hope you found the three options covered for ‘where can I buy bitcoin ?’ useful.
