Why should I buy Bitcoin when it’s generally known that the market is very unstable and unreliable? That is a question that a lot of people and new investors ask themselves. Nevertheless, There are plenty of reasons why it seems to be a great investment according to the professionals. In this article we will discuss every important question about Bitcoin, like: Where you can buy Bitcoins, why you should buy Bitcoins and how you can buy them. Hopefully, after reading this article you will have a better idea of buying bitcoins.
What are Bitcoins?
Bitcoin is a cryptocurrency and a global payment method created in 2009. It is the first decentralized digital currency without a central bank or single administrator. The network is peer-to-peer and transaction take place between users, without an intermediary. A lot of online stores already accept bitcoins as a payment method, but for most people it is a way to make money by trading it. Most people see it as an investment because of the predictions made by experts.
Where can I buy Bitcoins?
There are a lot of online websites on which you can buy Bitcoins. Searching the internet will give you a lot options. It is difficult to say on which website it is best to buy, but it is better to buy your Bitcoins on websites with a lot of users and high popularity. This is mainly because it is more reliable. In general, these websites are far more secure. Some examples of major websites are Etoro, Coinbase and Binance. If you are considering buying bitcoins, you can definitely take a look at these websites. Most of the websites give you a clear step-by-step plan for purchasing Bitcoins, but you will read more about this in the next section.
How can I buy bitcoins?
The first thing you have to do is to sign up for a Bitcoin wallet. This is a software program where Bitcoins are stored. So you can see it as a digital wallet for your Bitcoins. Most important thing is that the private keys are securely stored. The private keys are used to access your public Bitcoin address and transaction signatures. It is the password required buy, sell and trade Bitcoin in your wallet. It is all about safety and very important that your password is only used for the wallet.
After this you have to verify your identity with some personal documents. Another very important detail is that you always have to be sure about the security of the internet connection you are using. So don’t trade Bitcoin on an insecure or public Wifi network. After you signed up for a Bitcoin wallet, it is possible to use a traditional payment method to buy Bitcoins on a Bitcoin exchange. You can use the normal payment methods such as credit card or bank transfer. The Bitcoins you buy are then transferred to your Bitcoin wallet. The Bitcoin exchange, which i mentioned earlier, is an online marketplace for Bitcoins.
Why should I buy Bitcoins?
As mentioned in the introduction: Why should you buy Bitcoins while the market is so unstable at the moment? That is the question we are going to answer in this part of the article. There can be a lot of reasons why you are in doubt about buying Bitcoins. It is comparable to, for example, shares. There is always a certain risk involved, and that is the reason most people are not sure about buying Bitcoins.
Another reasons is the fact that it is something ‘new’, which can scare people off. I know it has been around for over 10 years, but for most people it remains something unknown. The fact remains that, despite the large fluctuations in value, bitcoins have been on an upward trend from the beginning. of course there is always a better or worse moment to buy Bitcoins, but in the long run it will be a good investment. The main reason why you should invest in Bitcoins is the fact that the it will never cross over it’s 21 million coin supply cap. So it does not work as with normal money, which can be printed. This means that the value of the Bitcoin can not be manipulated by governments, banks or companies. This causes the scarcity to increase, which will increase the value of a Bitcoin in the future.
Some other reasons why you should buy Bitcoins
In this part of the article you will find a list with a number of other reasons:
- Bitcoin is transparent, which means that there is no government or bank that suddenly creates more Bitcoins. So you know better what to expect in the future.
- Bitcoin is uncensorable, what is guaranteed by decentralization. Decentralization means that there is no central authority.
- Transfering Bitcoins incurs low fees compared with other currencies.
As you can see there are plenty of reasons why you could or should buy Bitcoins.
Is it safe to buy Bitcoins?
It is safe to buy Bitcoins if you purchase them at the right websites. But of course it takes place in a digital world, so it is critical that you keep them properly secured. As with anything valuable, hackers, thieves, and scammers will be after your Bitcoins. Especially when you plan to trade with a serious number of Bitcoins it is very important to use the right Bitcoin wallets, like Ledger Nano X or Trezor. Those wallets are built to secure Bitcoins. The most important thing is that you should only use wallets that you can control yourselves. the fact remains that bitcoins are traded on the internet making it even easier to steal them. In addition, it becomes also more difficult to track them down and get them back. So the conclusion is that it is very important to properly protect your bitcoins. And the best way to do that is to investigated which e-wallet are well secured.
Conclusie
I can’t tell you if you should buy Bitcoins. But, as you can read in this article, it is definitely worth considering. In short, Bitcoins are a digital currency without a central authority. There are a lot of websites on which you can buy them. The first thing you have to do is to sign up for a Bitcoin wallet. Choose carefully because of the safety of your Bitcoins. There are plenty of reasons why investing in Bitcoins can be a good investment, but the main reason is the fact that it will never cross over it’s 21 million coin supply. This causes increasing scarcity and the value of Bitcoin will continue to increase.