March 12th, 2019
The craze created by Bitcoin since its inception back in 2009 has been an interesting one with ups and downs. Its intriguing nature has caught the eyes of many enthusiasts willing to dip their feet into the sector. For those who were bold enough, they did it and turned out to be millionaires. But as of today, before you decide to join the Bitcoin bandwagon, there are several things one must know. The sector has evolved so much but before you dive in the deep end understand what it entails.
Bitcoin is Volatile
For those who joined the Bitcoin community in 2009, buying Bitcoin was very cheap at 100 dollars; one would have several coins under his/her name. But today, buying Bitcoin will set you back several US dollars. The price changes over the years showing how volatile Bitcoin is, mark you in 2017 Bitcoin’s price hit its all-time high of $17,000 in December. But come 2018 the prices dropped significantly throughout the year. As a new investor entering the market with high hopes, before you buy Bitcoin, understand that its prices are affected by factors such as legislation, market trends and major news.
Securing your walletshould be the first thing you get a grasp on quickly to ensure hackers have no chance of preying on your wallet. First things first, activate two-factor verification settings on your wallet. Secondly, use strong passwords for your wallets and thirdly it’s advisable to store your private keys offline. If your keys aren’t online, it’s hard for hackers to reach them. Similarly, while your wallet is up and running make sure you back up everything. The data will come in handy in case your devices crash.
Understand how Bitcoin Works
Like any other digital coin, Bitcoin is a currency whose transactions are done online, traceable and also attract fees. When you buy Bitcoin, the processes are done by miners who get paid for completing the transactions. Furthermore, miners work on blockchain ledgers where algorithms approve every transaction making everything traceable. Besides that, when traders buy Bitcoin through an exchange the latter charge a small fee. Moreover, when making your transactions be very careful, they aren’t refundable in the sense that a trader can’t cancel a trade to get a refund the receiver will have to send back your Bitcoins.
But above all, it’s important to know if Bitcoin is legal in your country where can you use it and the exchanges up and running. There are multiple exchanges and its important to take steps to evaluate which exchange is best to buy Bitcoin from. One must take into consideration turnaround time, safety, security and if there is a customer support option.
This disclaimer informs readers that the views, thoughts, and opinions expressed in the text/sponsored content belong solely to the author, and not necessarily to Bitcoin of America, organization, committee or other group or individual. All investments are at your own risk and should be done after careful research.