Are you a beginner? Just know that how to buy bitcoin is an easy process. Somehow, i figured that the most difficult problem faced by most beginners to cryptocurrency is how to buy bitcoin and where to even buy it without being scammed.
I guess this is also the reason why your search landed you to my blog. Well, just keep calm, because i’ve got your back completely on this one.
This post will guide you through everything about how to buy your first BTC. Along the line, i will also reveal where you can safely buy bitcoin instantly with maybe, your debit or credit card.
Before we start with how to buy bitcoin, i will like you to know one thing in particular about the whole process.
To buy btc, it’s more like stock.
In stock trading you normally have to transfer your money from a bank account to a brokerage company. Now, through the brokerage account you might’ve already created, you can then purchase, invest, trade or manage your stock investments. And when you want, you can also pull the money back into your bank account again.
However, buying and trading cryptocurrency asset follows the same idea as well, but the only thing that differentiates it from that of stock is just the terminologies and jargons used mostly as crypto language in the cryptocurrency world and communities.
If you’re not all that familiar with the cryptocurrency terms and jargons, you will definitely feel intimidated from the start.
Read my post on some of the cryptocurrency terms that are currently available.
By the way, let me take you straight into learning how to buy bitcoin or get your Bitcoin USD account funded. Below are all the steps required to buy bitcoin instantly.
Step #1. Find and setup a good exchange account
An exchange is same as the a brokerage, and signing up for an exchange account is also the same as that of brokerage account. But the only difference sometimes is that you may be required to verify your identity on exchange platforms before your account can be fully activated. Especially when the exchange platform has KYC (Know Your Customer) service available.
There are different exchanges you can choose from. See the list of popularly recommended ones below:
Changelly (Highly recommended)
Luno (Mostly good for Nigerians)
LocalBitcoins (Widely used worldwide)
Once you’re done setting up an exchange account, all you need to do is transfer your capital amount to your chosen exchange account through ACH or Wire transfer directly from your bank account. Wire transfer is recommended.
Step #2. Purchasing cryptocurrencies
Ok fine. I know you’ll be like; “I’ve created the account, so now what?”
Anyways, just know that it’s always like the normal brokerage account we all know. Except that instead of buying IBM or Starbucks shares, you’re going to purchase either Bitcoin or Ethereum.
As soon as you’ve already gotten the investment capital on the exchange platform, you will decide on percentage you will use to acquire bitcoin, or maybe, ethereum coins.
Mind you that cryptocurrencies are ordered separately for each one, so you need to buy coins according to allocations. Once after purchasing your desired cryptocurrencies, take a moment to celebrate – YOU’RE OFFICIALLY AN INVESTOR!
And that beings us altogether to the next step you will need to take immediately to secure your cryptocurrency asset.
Step #3. Transferring cryptos to a fully secured wallet
Now you will need to fully secure your bitcoin or altcoins (alternate coins) investment. I personally, will not advice you or anyone reading this post to leave their cryptos on an exchange platform (unlike the stock). Leaving purchased crypto coins on exchanges can be very risky, and can be lost instantly.
Necessarily, you always use wallets to keep your fiat money and that’s exactly where cryptocurrency is kind of similar to traditional fiat currencies. You need an offline wallet to fully secure your bitcoin investment.
However, because of experience most investors have had earlier, cryptocurrency can actually be fully protected only with offline hardware wallets. This way you can have full control and access of your investment portfolios.
This is unlike the stocks where you have to hold a physical certificate to prove yourself as a stakeholder. In the crypto world you need a wallet, to hold your cryptocurrency assets, and hardware wallets are mostly recommended due to its functionality and security.
One of the best and most affordable hardware wallet in the market currently, is the Ledger Nano S Wallet. It’s popularly known amongst investors, but feel free to do your personal research on wallets that works best for you.
Have it in mind that if you’re going to be using a hardware wallet as i suggested, you will also need to configure it to work with your personal computer, mobile phone and any other gadget you might have that accepts the functionality.
The initial setup of the wallet mostly starts from getting your wallet address activated, which you will be using to send or receive bitcoins or any altcoin.
Note: Cryptocurrencies are not stored on the wallet itself, but in the blockchain. What the wallet does is just storing the cryptographic codes and information needed as proof of stake to use an amount of coin you own already in the most secured and convenient way.
Storing your assets in wallet is similar to that of your SAFE box, where you keep your most important asset or money, wallets are known to be safer due to the fact that it saves your cryptocurrencies with complex passcodes and encryption which makes it immune to viruses. Most of the cryptocurrency wallets are built based on powerful hashing algorithms.
By the way, if you leave your crypto assets in an exchange and the exchange gets hacked, you will loose all your coins instantly. But if someone gets to steal your hardware wallet your investment will still be very safe as long as they don’t have access to secret passphrase to restore your assets. This means you can always retrieve your crypto coins.
In summary to buying bitcoin instantly
Buying bitcoin as a beginner shouldn’t be a scary process for you anymore as this post have discussed it fully in detail on how to buy bitcoin fast. If i were you now, i would simply bookmark this content for revisiting if by any chance i face difficulty in purchasing bitcoin or selecting good exchanges or wallet.
Let me recall the steps you need to take again:
Firstly, choose and setup an exchange account.
Secondly, purchase your desired cryptocurrency asset.
Finally, secure your investment with a hardware wallet to avoid loosing it to theft or hackers.
I hope this post helps you in a bigger way to buy your first cryptocurrency investment. Good luck my friend.