How to Buy Bitcoin

For those of you not wanting to get involved in the mining process, you can easily get your hands on bitcoins by simply buying them. Here’s what and how you need to do.

The first thing you need to do is to get yourself a bitcoin wallet. We have a lesson about this already that you may have already read, but if you haven’t, take a quick look at that before you go any further. It outlines the types of what’s available to and various methods of securing these wallets – both key things to understand before you start to accrue bitcoin’s. Once you have a bitcoin wallet, you need to identify your bitcoin address. Whichever service you use to create a bitcoin wallet will generally provide you with your bitcoin address from the application you download. It should be a 34 to 36 characters long string of digits and letters, and is the character string that you will need in order to receive the bitcoin’s you buy.

Once you have all the setup, you now need to decide which method best suits you for buying bitcoin’s. The first is to buy bitcoin’s of an exchange. In order to do this you need to make an account with – ideally one of the more reputable – exchanges, and deposit fiat currency into your account. Once you have deposited, you will build to use this fiat currency to buy the digital currency of your choice. In this case, bitcoin. All you need do then is withdraw your bitcoin to the bitcoin address you received when you set up your wallet. One thing to bear in mind is that all reputable exchanges will require some form of identity verification before they allow you to withdraw your funds. It’s as easy as that.

Your second option is to buy bitcoin is from an individual. There are numerous brokering websites that allow people to list the bitcoin’s (or other forms of digital currency) that they own. Simply register an account with one of these brokering websites and log your interest with the seller. There were a couple of things to consider if you decide to buy bitcoin is in this way. The first is the reputation of the person from which you are buying. Make sure that they have solid history of happy customers, and that you have contact details in place if the transaction goes sour. Second, you need to take into consideration any fees associated with either a) the seller or b) the brokering website. Most sites apply the fee to the seller (just as does eBay or Amazon, for example), but some sellers may attempt to pass this fee onto the buyer via a weaker exchange rate. Always keep an eye out for this sort of thing.

So you’ve got your bitcoin, are there any other forms of crypto currency that might be worth accruing? Find out here…

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