Bitclout Aprillester Newyorker: In the past few years, Bitcoin’s value has surged. Now, a lot of investors who want to make a quick buck are jumping on this cryptocurrency bandwagon. With all the attention that Bitcoin is getting, scammers and frauds have started using it as cover to take people’s money. If you’re planning on investing in crypto currency or just want a brief tutorial on how and why it works, these are the best resources that I’ve found so far.
What is Bitcoin?
Bitcoin is a digital currency that allows its users to transact with one another without the need for any third party. It’s decentralized and uses blockchain technology, making it more secure than other forms of payment. Bitcoin transactions happen directly between users, which eliminates the need for a central institution to approve them. Bitcoins are bought using fiat currency and are used just like it would be any other form of money.
One of the reasons why people think digital currencies are the future is because of how secure they are compared to credit cards. With a digital currency, the purchase goes through immediately and any frauds would be spotted right away. In 2012, someone reportedly created $14 million dollar worth of fake Bitcoins, which were never used by anyone. It’s impossible to tamper with anything that has to do with blockchain technology because there is always a distributed record of authenticating information.
How to Get Bitcoins
There are a few ways to obtain Bitcoins, but the safest way is through legitimate exchanges. These services will accept both fiat currency and digital coins. You can purchase them using your credit card or wire transfers. You can also purchase them from other Bitcoin users using an exchange site or even directly from a holder, as long as you do it in person and away from public places.
If you want to deposit larger amounts, it’s best to go through a trading site like Bitstamp or BTC-e. These services require that you buy Bitcoins from other users first by transferring funds from your bank account or debit card. You can then make the necessary trades and transfer them to the platform of your choice. The process is similar if you’re purchasing Bitcoins on an exchange site, as long as you have a verified account and are verified for purchasing large amounts of currency that way.
Where to Spend Bitcoins
With digital currency being so convenient, it’s no wonder that people want to spend them. The same way you can buy anything from anywhere, there are tons of places where you can easily exchange them for fiat currency and make purchases. Many vendors now accept Bitcoins as part of their payment options and have even started offering discounts when you pay in BTC. More and more merchants are starting to accept it as a means of payment, which really gives it an advantage over other currencies.
Bitpay is one of the most popular payment processors for Bitcoin. You can pay with BTC through your bank account and then convert it to fiat currency at any point you need to, which really puts it at an advantage over other currencies. A lot of major companies like Dell, Overstock and even Expedia have started accepting Bitcoins as a form of currency.
Bitcoin ATM machines are being installed in more countries all over the world, which also gives Bitcoin a leg up over other forms of currency. You can now use your digital currency to make purchases from anywhere in the world on an ATM, and the most popular one is the BitPay Machine.
Protecting Your Bitcoins
One of the biggest risks with Bitcoin is that you have no way of protecting it. There’s no central authority that can help you if something goes wrong. Since there is no third party involved, no organization or account keepers, it’s impossible to trace your transactions back to you and benefit from them if they’re fraudulent.