In recent times, Bitcoin and the entire blockchain technology behind this digital asset have continued to be featured in many events on a daily basis. Owing to the continued increase in the price of Bitcoin as well as its rollercoaster dips, everyone, including people who have never traded online before and who have no knowledge of the financial markets, are now interested in learning the methods of purchasing and trading Bitcoin.
As the most popular cryptocurrency in the financial markets, Bitcoin can now be referred to as the most widely accepted digital currency all across the world. In addition, reports also reveal that Bitcoin has continued to record an increasing number of applications as time goes by and is becoming an accepted form of transaction and investment across the globe. Before we delve into understanding Bitcoin itself, it is essential that you understand how and where to purchase and store these digital coins.
In this piece, we will be revealing the various steps involved in the purchase, storage, and trading of Bitcoin as the most popular form of cryptocurrency in the blockchain technology market.
Sit back, and let’s get started as we provided answers to the numerous questions you might have on your mind.
So, let’s get started.
SHOULD I BUY BITCOIN?
Of course, everyone has, at some point of their lives, ask themselves the simple question – Should I purchase Bitcoins?
Many of us heard about Bitcoin when it was first introduced into the markets in 2009, and for several years, while many people immediately invested in this digital coin, there are still many people who are not quite sure if it is a good investment or if they require a deep understanding of the markets before they buy Bitcoin.
The fact is, you have probably read about the profits made by the early Bitcoin investors and while we all wish to be able to make a lot of money from these cryptos, there is always the uncertainty that this form of trading is simply not suitable for us.
Let us put some things into perspective. Interestingly, since the introduction of Bitcoin in 2009, the price of this virtual coin has continued to increase, from its initial value of $0.01 to over $20,000 per coin by the end of 2017. According to the reports, if you held 1 Bitcoin since its creation, it would have grown by up to 28% per month for the last nine years. That is a sound investment!
So, based on all of this, should you buy Bitcoins? Is this the right time for you to purchase this digital coin?
The straight answer is – Yes, you should consider buying Bitcoins and the fact is there are several reasons why you should buy Bitcoin.
Let’s take a look at a few of the reasons why you should buy this exciting digital currency now:
Bitcoin Is a Reliable & Secure Cryptocurrency
All across the world, there are always issues relating to reliability when it comes to legacy financial systems. Looking through the past decade, there are a couple of digital currencies that have battled with reliability and security issues. However, Bitcoin has proven otherwise in that it is one of the cryptocurrencies that are reliable and offer security.
The Lightning Network
One of the most substantial improvements that has shaped the history of Bitcoin is the lightning network. If you do not know, the lightning network is the technology behind the smooth, safe, and quick transfer of Bitcoin with low fees. That is, it is a ‘Layer 2’ payment protocol that operates on top of a blockchain-based cryptocurrency, such as Bitcoin. It is also viewed as the solution to the Bitcoin scalability problem. As a result, this is a huge advantage for Bitcoin and the digital payment world at large.
Bitcoin Has Lots of Investors
Whenever you sit down to think about cryptocurrencies, one thing that first comes to your mind is Bitcoin. This is because Bitcoin is the oldest, biggest, most valuable, and the most relevant cryptocurrency in the blockchain technology world. In many online stores, exchanges, and other online transaction platforms, Bitcoin is now being included as a means of payment.
Bitcoin is famous, and everyone respects it. Undeniably, it remains the leader of both the cryptocurrency and blockchain world. For this sole reasons, it has attracted a large pool of investors since its creation. Many of the world leaders and wealthy professionals have also purchased Bitcoins, making Bitcoin a cryptocurrency that is clearly here to stay. Though there are numerous reasons to purchase Bitcoin, it is this reason alone that should be enough to convince you that you should purchase this digital currency. If the top entrepreneurs in the world understand the value of Bitcoin, it must mean something!
The good news is that today, you don’t have to buy Bitcoin directly from crypto exchanges. Instead, you can also trade Bitcoin CFDs (contracts for difference) where you are not actually purchasing the digital currency itself, but simply speculating on the price movement. This makes the investment in Bitcoin much easier and in fact in most cases, a lot more profitable.
IS IT THE RIGHT TIME TO BUY BITCOIN TODAY?
Over the years, purchasing Bitcoin has grown to be an incurable headache, with the complexity of cryptocurrency exchanges making it really challenging, especially for the man on the street. With the growth in Bitcoin CFDs, people around the world now have the opportunity to invest in Bitcoin safely, quickly and easily. While the financial market has many brokers offer trading in Bitcoin, it is important to ensure that you partner with a reliable and reputable broker before you make your first investment.
It is also important to note that Bitcoin is famous for its volatility; a double-edged sword that has transformed numerous investors into the billionaires within a short period of time, while also drowning others along the way. If you are planning to buy Bitcoin and other cryptocurrencies, the obvious question you need to ask is, when is the right time? Is this the right time to buy Bitcoin?
The big benefit of trading Bitcoin CFDs is that every time is the right time to buy Bitcoin. That is, you can make money when the price of this cryptocurrency goes up and you can make money when the price goes down. If you speculate on the price movements accurately, you will always make a profit.
In addition, today, there are many top quality automated trading solutions that help one to trade Bitcoin effectively and profitably. For example, the Bitcoin Revolution is a leading and intuitive automated trading software that has been designed to analyze the financial markets and to pinpoint potentially profitable trading opportunities. It will then go one step further and then automatically open and close trades on your behalf, ensuring accuracy and profitability. It really doesn’t get any easier than this. The benefits of these trading tools is that they enable anyone to trade in Bitcoin, even if you have no prior experience.
WHAT IS THE BEST DAY TO PURCHASE BITCOIN?
While the traditional financial markets around the world are generally open from Monday to Friday, the cryptocurrency market, specifically Bitcoin, operates round the clock. This implies that there are no limitations to buying, selling, and trading of Bitcoins as long as there is an active Internet connection. Most Bitcoin brokers also offer access to trade Bitcoin trading 24 hours a day, 7 days a week, ensuring that no matter where you live in the world, you too can trade these exciting digital currencies.
And so to answer the question about buying Bitcoin, the right time to buy Bitcoin is now. Yes, RIGHT NOW!
Is it Safe to Buy Bitcoin?
Let’s face it. There are numerous scammers and hackers in the cryptocurrency ecosystem. The purchasing of actual Bitcoins and ensuring their security requires huge efforts. For instance, if you purchased gold and you store it in a safe and secure safe, you can get someone to break into safe if you lost the keys. The case is entirely different when it comes to actual Bitcoins. Once you lose the private key, you forfeit the BTC forever. This is where investing in Bitcoin CFDs takes center stage. Since you are not actually purchasing the Bitcoins and you do not need to store them safely and to remember the private key, anyone can now trade Bitcoin safely.
Is Bitcoin Safe and Legal?
Throughout history, Bitcoin remains the first apolitical form of payment, which makes it extraordinarily borderless and quite difficult to control or regulate. Everyone can make use of Bitcoin for peer to peer transactions, which makes it the most inclusive form of payment in existence. However, since there has never been anything as decentralized as Bitcoin in existence, it becomes a huge headache both for regulators and governments.
That said, there is no single response to the question on the legality of Bitcoin. It all depends on your geographical locations. You can easily check online and verify whether Bitcoin is approved as legal tender in your country of residence. While it could be observed that some countries have placed an outright ban on cryptocurrencies generally, others have also urged their citizens not to participate in investing or trading Bitcoins and other cryptocurrencies, such as in India and China. Regardless, most countries and states are cryptocurrency-friendly. Apart from this, there are many countries that are striving to put the necessary rules in place in order to adopt a comprehensive regulatory framework that appreciates innovation, while protecting the investors.
Even in countries where Bitcoins are banned, it is outrightly difficult to ban citizens from accessing the internet and managing transactions relating to digital currencies. So it is still entirely legal to send, receive, store, and mine Bitcoins in virtually all countries of the world.
WHERE TO BUY BITCOINS
It’s no longer news that there are several cases of scams, theft, and online fraud when it comes to cryptocurrencies. As such, it could amount to a challenging task to find brokers that are reliable, reputable and provide excellent services, including a secure trading environment, education resources, safe banking options, professional customer service and anything else needed to trade Bitcoins effectively and profitably.
The Best Place To Buy Bitcoin
The good news is that we have reviewed many global brokers and have done lot of research on everything they offer and provide. Below are some of the top, recommended brokers in the industry that will provide you with the ideal trading environment to trade Bitcoin and other cryptocurrencies.
PROS AND CONS OF BUYING BITCOINS
After learning about Bitcoins, their safety, legality, and a few reasons why you should purchase Bitcoin now, you are probably thinking of the possible pros and cons of this decentralized method of payment.
For Bitcoin to outsmart others in its popularity, there’s undoubtedly a few merits and demerits of this one kind of digital currency. Of course, it is widely believed that nothing is perfect and so, Bitcoin also has its own flaws. Let’s take a look at a few of both the pros and cons of Bitcoins:
Pros of Buying Bitcoin
For online investors, Bitcoin offers the right kind of volatility to be able to boost profitability. That is, the value of Bitcoin, and therefore the value of CFDs linked to them, is extremely volatile. This means that are vulnerable to sharp changes in price due to unexpected events or changes in market sentiment. As a result, this offers online traders a wide choice of trading opportunities.
Bitcoin is Liquid
Liquidity refers to the ability of an asset, such as Bitcoin, to be converted into cash readily on demand. If a market is said to be liquid, it means they are deeper and have more trade opportunities, while an illiquid market can be challenging for traders, where it can be hard for them to navigate their way out.
Easy To Access
Bitcoin CFDs can easily be traded from the comfort of a trading platform of a reputable cryptocurrency broker. Here you can invest in your favorite cryptocurrency and you can make money even when the price of the digital asset is moving down. You do not need any qualification to trade with an online broker and some brokers also offer a wealth of other important services and features, such as trading tools and indicators, educational resources, one-on-one personal training and more.
Trading with a reputable online crypto broker offers safety and security and enables you to trade a wide range of assets including Bitcoin and even stocks, indices and commodities. Regulated brokers will ensure that their services are transparent and they also operate within the regulations as laid out by the financial regulatory bodies.
Cons of Buying Bitcoin
Bitcoins Are Not Physical
Bitcoins are virtual currencies. That is, they are not something that can be held in your hand. Its value is highly dependent on the supply and demand in the markets, as well as the willingness to be accepted by the market.
Bitcoin is Unstable
In the cryptocurrency world, what rises today can fall tomorrow. We have seen the price of Bitcoin move from a high of over $20,000 to a low of only $3,000 in a matter of a few months. While volatility is good for traders, extreme levels of instability can have a negative impact on your bottom line. By trading Bitcoin CFDs, these challenges can easily be resolved since money can be made whether the Bitcoin price rises or falls.
While there are applicable guidelines in place already, tyrannical governments and law enforcement agencies could wake up one day and decide to label Bitcoins as giant money laundering schemes and enact more stringent laws to diminish the value of the digital currency. This could place people holding onto Bitcoin in a losing position.
IS THERE A DIFFERENCE BETWEEN BUYING AND TRADING BITCOIN?
There is a significant difference between buying and trading Bitcoins. In reality, investing your money by actually purchasing Bitcoins is distinctly different from investing your money in the stock exchange.
When you purchase actual Bitcoins, this is done through a cryptocurrency exchange. You are then in possession of actual digital coins, which can be stored in your online wallet. These Bitcoins can then be used as a form of payment or transaction at various stores around the world.
On the other hand, when you invest in Bitcoin online, through the financial markets, you are in fact trading Bitcoin CFDs. Here you are not purchasing actual Bitcoins. Instead, you are simply speculating on the price changes of the digital asset. If your speculation is correct, you will earn a profit and if not, you will lose your invested amount. Another benefit of trading Bitcoin CFDs is that most online brokers allow you to trade with leverage. This enables you to trade much bigger volumes, with the borrowed capital from the broker. This gives you the opportunity to make more money as compared to only using your limited amount of trading capital.
HOW DO I BUY BITCOINS ANONYMOUSLY?
Regardless of the reputation Bitcoin has gained over the years, Bitcoin isn’t still entirely anonymous. With the disclosure of every transaction on the blockchain network and the verification of identity by exchanges, Bitcoins can simply be tracked and traced back to you.
The fact is, you can buy Bitcoin from certain ATMs and you can purchase this digital asset for cash ensuring that you remain anonymous. There are also some exchanges that allow you to buy a limited value of Bitcoin without revealing your identity.
In terms of trading Bitcoin CFDs, you will need to provide the broker with a copy of your ID document as well as provide proof of residence. This is in conjunction with the Know Your Customer (KYC) policies and anti-money laundering regulations that have been put in place by international regulatory bodies to protect the investor. It is important to note that top, regulated brokers will never reveal your details to third parties and it is a regulatory requirement for them to keep your identity and financial information private and secure at all times.
How to Buy Bitcoin Anonymously Online
As stated above, the methods to purchase Bitcoin anonymously with cash include the usage Bitcoin ATMs, and prepaid cards. Furthermore, there are instances where minimal identification is required by exchanges. In order to be fully anonymous while purchasing Bitcoins, you really need to go the extra mile and use solutions like coin mixers, VPN providers, and so forth. However, the cost you bear for anonymity can inconvenience you and can place you in a risky position. As a result of this, it is up to you as an investor to decide on how much you are willing to sacrifice in order to remain completely anonymous when buying Bitcoin.
In a nutshell, there are ways to stay completely anonymous while purchasing Bitcoin.
How to Buy Bitcoin Without ID
Buying Bitcoins without ID is simple and hassle-free. Basically, there are two available options. Paying by cash is easy and will not require any form of verification. And yes, it could be done privately. The second option is that you can purchase Bitcoin using your credit card through some exchanges, which allow you to purchase a small value of Bitcoin without any requirement of providing any form of identification.
Which Payment Method Can You Use to Deposit?
Payment Methods Online
Both credit and debit cards remain the most popular means of purchase and sales of goods and services all across the world. That is, your credit or debit card is sufficient for you to purchase your favorite products and services online, such as coffee, travels, subscriptions, and many other things that come your way.
Above all, the way our monies are utilized today tends to be much more simplified than how it was several years back. As a result of this, both credit and debit cards remain one of the most utilized means of purchasing Bitcoins instantly.
Also, when you sign up with an online broker offering trading on Bitcoin CFDs, there are usually a wide choice of secure banking options including credit and debit cards, bank transfer and eWallets, such as Neteller and Skrill. If you require a specific payment method, take the time to review the different reputable online Bitcoin brokers and sign up with the broker that offers your desired payment method.
DOES IT MATTER WHERE I LIVE TO BUY BITCOINS?
Yes, of course, your place of residence matters in the purchase of Bitcoins. As we’ve mentioned earlier, it is advisable to check and verify if your country’s regulations allow for the purchase of Bitcoin. While some countries may not allow you to transact and trade in actual Bitcoins, in many places, trading Bitcoin CFDs online is permitted. This is also a much easier way to engage and profit from Bitcoin.
Which Places Accept Bitcoin Payments?
Undoubtedly, Bitcoin has continued to gain ground in the market and as a result, a wide range of online stores and shops accept Bitcoin as a form of payment. In addition, day by day, more and more businesses are adopting the installation of a Bitcoin payment gateway on their online portals, thereby expanding the use of Bitcoin as a form of payment.
Additionally, there are also emerging physical stores that provide the opportunity to make payments with Bitcoins and other cryptocurrencies. As a result, you will not be spoiled for choice when it comes to making payments using Bitcoin and other digital coins.
Places that Accept Bitcoin Near Me
In order to verity which places around near where you live accept Bitcoin as a form of payment, take the time to check this information online. You will find that many stores offer this service. In addition, you also have the advantage that Bitcoin is accepted at many online stores, ensuring flexibility and convenience.
5 Best Ways to Buy Bitcoins
The world of cryptocurrency trading and exchanges continues to become more lucrative yet, despite this, there are multiple scam brokers available in the industry.
As a result of this, it is crucial to find a reputable as well as a regulated Bitcoin broker to partner with. This involves checking honest and unbiased online reviews on brokers that offer you an all-inclusive trading environment that is safe and secure and also provides a wide choice of effective tools and services to enhance and promote the success of Bitcoin trading.
Here are 5 of the best ways to buy Bitcoins safely:
- Select a broker that is reputable and offers quality services and features to enhance your trading activities.
- Select a broker that provides you with direct access to a powerful and intuitive trading platform so you can trade Bitcoin with ease.
- Ensure that your broker of choice has the necessary security protocols to protect your personal and financial information at all times.
- It is vital that your broker offers a hassle-free and streamlined withdrawal process.
- Select a broker that offers a choice of assets to trade including a wide choice of cryptocurrencies, such as Bitcoin.
We have reviewed many of the brokers in the cryptocurrency industry, and we have been able to find some of the most reliable, trusted, and transparent brokers that can offer you excellent cryptocurrency trading experience.
FREQUENTLY ASKED QUESTIONS
How to Buy Bitcoin UK?
Buying Bitcoins in the UK is simple and straightforward. When it comes to platforms that can help you convert fiat currencies into Bitcoins and other cryptocurrencies, there are numerous choices available in the UK. In addition, there are many top-notch online brokers that will give you direct access to trade Bitcoin CFDs. Remember that the UK remains one of the best and most open markets to trade cryptocurrencies in.
How to Buy Bitcoin Cash?
Many regulated cryptocurrency brokers will give you direct access to trade Bitcoin Cash. Interestingly, Bitcoin Cash, or the BCH/USD CFD, was formed when Bitcoin went through a hard fork. Bitcoin Cash is a peer-to-peer electronic payment system that is supported by blockchain technology.
How to Sell Bitcoin?
Selling your Bitcoin CFD is simple and hassle-free. As soon as you want to close your trade when trading online, you can either manually close a trade or you can set the relevant Stop Loss and Take Profit orders and your trade will then be closed automatically when the price reaches the set levels.
How to Buy Bitcoins Instantly?
In order to buy Bitcoins instantly, you can easily sign up with one of our recommended online brokers. With most of these brokers, the sign up process is quick and easy and within minutes, you will be able to trade Bitcoin CFDs with ease.
How to Buy Bitcoin Gold?
Bitcoin Gold can be purchased from many online CFD brokers and this cryptocurrency is the second fork from Bitcoin, which took place in October 2017. Most online CFD brokers will provide you with access to trade a wide range of cryptocurrencies including Bitcoin Gold.
How to Buy Bitcoins With a Credit Card?
One of the fastest and most secure ways to get your hands on Bitcoin is to purchase them with credit cards. You can also trade Bitcoin CFDs and can fund your account using a vast choice of credit cards. As a result of this, it is important to ensure that the brokerage you decide to partner with allows you to trade and invest using your credit card of choice.