Beginners Guide To Bitcoin

Bitcoin is a cryptocurrency which is a digital currency and works as a medium of exchange. It offers low transactions fees as compared to the traditional payment systems and is operated by a decentralized authority, without being backed by any country or by any government. It uses the blockchain technology, and there is no physical cash or currency involved, only the balance amount is recorded in the public ledger including all transactions related to bitcoins. The people who participate in and own the governing power in the bitcoin system are known as the "miners." In this guide we will talk about Bitcoin specifically, for a more indepth guide on buying and selling cryptocurrenicies in general, see this guide on FindBitcoinATM.

Bitcoin Mining Warehouses Have Begun to Pop Up All Over the World

What is Bitcoin Mining?

This is the process through which the bitcoins come into circulation. It involves solving a puzzle that is quite complex in nature through which the miners receive reward in the form of newly generated bitcoins. 

How To Buy Bitcoin?

In order to buy bitcoins, you need to get it from a digital or a cryptocurrency exchange. A digital exchange is similar to any other exchanges and operates in the same way, where cryptocurrencies can be bought, sold and exchanged for another.  There are many digital exchanges, and you need to find a reliable and a cost-effective one from where you can purchase the bitcoins from. Then you simply choose the method to make the payment for the bitcoins that you want to buy, whether you want to buy them through making a payment through your card, through PayPal or wire transfers. Most people use cards to make the payments. Coinbase is an exchange where all such methods of payments are accepted and is a reliable exchange. Once you have bought the bitcoins, you now require a digital wallet or a Bitcoin wallet to store them in.

A Bitcoin Hardare Wallet is One of the Best Investments You Can Make

Getting a Bitcoin wallet

It is quite simple to get a Bitcoin wallet. Their official one is also available along with a variety of other wallets. You simply choose the one you want to get and download it. Register yourself with your personal details and your wallet is ready! The wallet can be downloaded on your desktop or on your smartphone. It is important to remember the security key of the wallet, which is your password for the wallet, without which you will not be able to operate it. Since the bitcoins are not available in a physical form, the ones you have in the wallet are all that you have.

Investing in Bitcoin

When you do decide to invest in a cryptocurrency, bitcoins is most likely the first choice of most people since it has grown in terms of prices tremendously and seems quite attractive to most investors.  However investing in bitcoins means you would probably have to spend a lot of money even to get a fraction of a Bitcoin (since there is no physical currency, it can even be bought in fractions) since the current rate of Bitcoin is $8,120 for a USD. 

Conclusion
The main purpose of having a cryptocurrency like bitcoin is for the convenience of the users where they can have transactions online and send and receive payments without going through a financial institution or a third party. Bitcoins can be bought and kept as a form of investment, and they can also be used as a regular method of payment, as a business person, you can accept bitcoins as a means of payment and similarly, use bitcoins to pay for products and services that you use.