Sadly, but everyone admits that money today become a meaning of life for almost everyone. Both fiat currencies and cryptocurrencies. Today, lots of people try to enter the market, mine bitcoins, invest in bitcoins etc. And I suppose that you are one of them if you are reading my blog. I will help you to avoid some common mistakes during your cryptocurrency voyage. Just be attentive, learn something new everyday and you will become a successful bitcoin trader, just like me.
Today, you will come across many cryptocurrencies (Bitcoin, Ethereum, Darcoin, Litecoin etc.). All of them have the same structure, but the devil is always in the detail. Bitcoin (or BTC) is the most widely used one, and I suggest you to start you cryptocurrency investments with BTC, as it is the most solid way to increase your wealth. If you are a newbie, read carefully, as I will introduce you to basic bitcoin literacy below.
Profit from bitcoin trading is not garanteed
Today, most bitcoin owners use BTC to purchase goods online. Even BTC creators claim that you can profit by trading bitcoins online since the exchange rates are extremely alternating. Mass consciousness still believes in a myth that BTC is illegal, because it is decentralized and lies beyond the government control. So be sure, that investing in bitcoins is a risk. On the other hand, every successful business is risky. No pain – no gain, you remember? Personally, I began online trading five years ago, and it took me almost a year to become a trader, and another year to become a successful one. There was a risk. And the risk paid off, I left my dayjob and make a living by trading Bitcoins online. I have plenty of free time to improve and develop myself, to travel around the world and, what is the most important, I am completely independent and free now and I don’t have to think about money anymore. I started online trading not for the sake of money if you ask me, I was just a cryptocurrency enthusiast. But today it doesn’t matter at all, even if you know nothing about blockchain and cryptocurrencies, I’ll help you to become successful online trader.
How bitcoins are made
Well, the original idea is that bitcoins were intended to be mined. In a nutshell, you gain bitcoins by running a special software, that constantly solves a mathematical problem of increasing complexity. When the problem is solved, a fair amount of bitcoins is transferred to your bitcoin wallet. Basically there is a maximum of 21 million bitcoins possible, and almost 19 of them have been mined already. You see? There is no sense to mine BTC in 2019, you will make more money on just buying bitcoins online and playing on the exchange rates.
Today, bitcoin exchange rate is constantly flowing somewhere around $4000. And I bet that you will not start trading with buying a whole 1 BTC for $4000. I think that it is wise to start with some lower amount, and buy bitcoins for $500-$1000. To make buying bitcoins online in a smaller amount than 1 BTC more convenient, I’ll introduce you to bitcoin structure. Here it is:
1 satoshi=0.000 000 01 BTC
1 microbitcoin=0.000 001 BTC
1 bitmill=0.001 BTC
1 bitcent=0.01 BTC
Basically, bitcoin wallet is kind of a database on your HDD or any other storage device (be it portable or not), that has encrypted information about the amount of BTC in possession. There are lots of online bitcoin wallets, and you can choose one that suits you best. Anyway, I don’t recommend using online BTC wallets, since they can be hacked. The best way is to have some good HDD or a special hardware wallet. You can read about them here.
Where to buy bitcoin
Today there are plenty of services to buy bitcoin online. You can buy bitcoins with paypal. Also, there are lots of affordable places that allow you to buy bitcoins with visa or a credit card. Personally, i prefer theese ways:
- Buy Bitcoin with Paypal
- Buy Bitcoin with Credit Card
- Buy Bitcoin with Debit Card
- Buy Bitcoin via Bank Transfer
I think that you’ve got the basic idea behind bitcoins and buying cryptocurrencies online. Please, be in touch, as I will give you tons of useful information about entering bitcoin markets in my further articles. Remember – don’t be afraid of anything and leave your comfort zone. Believe me, it is worth the risk.