Bitcoin which is a very popular cryptocurrency today was created in the year 2009 by an unknown group or person, unknown under the fictitious name Satoshi Nakamoto. It’s software, that’s open-source. It has evolved as an interesting and revolutionary way to experiment in the world of investment. One of the prime reasons why this digital cash system has gained so much popularity is because it is peer-to-peer networking with no presence of any middlemen. All transactions take place without the presence of any middlemen. Thus, you gain and save a lot at the same time.
There are so many people all across the world who is investing in bitcoin. Whether you wish to buy bitcoin or any other form of cryptocurrency, there are some steps that you would have to follow:
1. Decide the place you wish to buy the bitcoin from
If you are living in Los Angeles, California then traditional brokers such Coinbase tends to be a suitable Cryptocurrency exchange where you can start your investment in Bitcoin. For more information, please visit the link https://www.smartbitcoininvestments.com/buy-bitcoin-in-los-angeles/.
Coinbase is quite a favored option for bitcoin buyers living in Los Angeles, California, and all across the U.S. it provides bitcoin users to access other forms of cryptocurrencies such as litecoin, etherium, etc. with every transaction that you make, Coinbase will charge a small fee.
2. You need to decide on how to store it
You can store bitcoin in two sorts of digital wallets, namely, a cold or a hot wallet. Usually, in the case of a hot wallet, the transactions take place faster. In the case of a cold wallet, some additional security steps are taken. This way the assets get managed and kept safer.
3. You need to make the purchase
After you are done with the linking of your bitcoin wallet to the exchange that you prefer, the last step is smooth and easy. The last step is to decide how much bitcoin do you wish to purchase.
4. You have to start managing your investment property
If you are someone who prefers day trading, then now is the time to start investing in bitcoin. When you monitor and notice that the value is rising, go ahead and sell it quickly. But if you view it as a digital currency widely used shortly, then it would be good to purchase it and then hold it for a long time.
Important points to know before you buy cryptocurrency
- Try to not use any credit card: Even though several providers do allow you to buy bitcoin by paying through a credit card, know that it is not a good idea though!
- Any kind of investment made through cryptocurrency or Bitcoin will never be insured by the SIPC (Securities Investor Protection Corporation) whenever any kind of scam, theft, or failure of any sort happens. This is a kind of benefit that account holders of traditional stock brokerage do enjoy and up to the amount of $500,000. There is Coinbase which does provide you with some private insurance. Yet it does not mean that you will stay guarded and protected from individual online breaches.
- Always try to ensure and check that you use a private and safe internet connection whenever you proceed with any kind of monetary investment online. Buying bitcoin from a hotel room or a coffee shop will never be a good idea to even come close to.