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It is easy to invest in Bitcoin (BTCUSD) may appear complicated, but it's much easier when you simplify it by steps. Trading or investing in Bitcoin just requires an account at a third party or an exchange, although further safe storage practices are suggested.There are several items that potential Bitcoin investors should have to have: a cryptocurrency exchange account and identification proof if you are using a Know Your Customer (KYC) platform in addition to a secure connection the Internet as well as a method of payment. It is also suggested to have your own private wallet separate from the exchange account. Acceptable payment methods for this route include bank accounts along with debit cards and credit cards. You can also access bitcoin ATMs at special locations as well as through P2P exchanges.KEY TAKEAWAYS"The importance of Bitcoin is due to the fact that it is a popular store of value and payment method as well as its limited supply and declining inflation.* While it's almost impossible to for Bitcoin itself to be compromised but it is still possible for your exchange or wallet access to your account be altered. This is the reason that implementing appropriate safe storage and security measures is crucial.* You can also buy bitcoin through popular services such as PayPal? and Robinhood.* One method to hold bitcoin is to invest in businesses with bitcoin on their balance statements.Before You Buy BitcoinSecurity? and privacy are crucial aspects regarding security, privacy and confidentiality for Bitcoin investors. Anyone who acquires the private secret key to a public address to the Bitcoin blockchain is able to approve transactions.1 Private keys must be kept private as criminals could attempt to take them away once they know of your large accounts. Remember that anyone is able observe the balance of the public address you use. However, the flip side of these public records is that one can make multiple public accounts for themselves. Thus, they are able to distribute their stash of Bitcoin across several addresses. One good option is to store large amounts of money at public addresses that aren't directly tied to the ones which are used for transactions.Anyone can look up a history of transactions made on the blockchain, even you. Though transactions are publically documented on the Blockchain, identifying individual information about the user isn't. For the Bitcoin blockchain it is the only place where a public key appears next to the transaction. That makes transactions confidential, however not completely in any way anonymous. In this sense, Bitcoin transfers are much easier to trace and traceable over cash as all them are open for public review, in contrast to private cash transactions. But Bitcoin transactions also have some element of privacy built in their structure. It's extremely difficult to locate the transaction parties--i.e. the recipient and the sender of the bitcoin--on the cryptocurrency's blockchain.International researchers as well as the FBI have claimed that they could track transactions done on the Bitcoin blockchain to the users' other accounts on the internet, including their digital wallets.2 For instance, if anyone creates an account on Coinbase users must present their identification.3 This means that when that buyer purchases bitcoin, it is linked to the account holder's name. If they transfer it to another wallet, it can be traced back the Coinbase purchase , which is linked to the account holder's identity. This should not concern most buyers since Bitcoin will be legal in U.S. and most other advanced countries.Check out your legal and regulatory and tax consequences of purchasing and selling bitcoin based on where you reside prior to making a transaction.Buying BitcoinWe?'ve broken down the steps to buying bitcoin below. You should remember to research the options and pick the most appropriate option depending on the situation.Step 1: Choose a crypto-trading service or venueFirst step in buying bitcoin is choosing an exchange service that is crypto-related or venue. Most well-known venues and trading services to buy cryptocurrencies include exchanges, payment service providers, and brokerages. These exchanges are the best option since they come with a breadth of features and more exchanges using cryptocurrencies.Making an account with a cryptocurrency exchange lets you buy, sell and hold cryptocurrency. It is generally best practice to select an exchange provider that lets users move cryptocurrency to their personal online wallets to ensure the safety of their. If you're planning to trade Bitcoin or other cryptocurrency, this feature isn't crucial.There are numerous types of cryptocurrency exchanges. Since the Bitcoin philosophy is one of individual sovereignty and decentralization certain exchanges allow users remain anonymous and don't require the user to provide personal information. They are independent and are generally decentralized that is, they don't have a central point of control.Although such systems can serve nefarious purposes, they can also provide services to the world's unbanked population. In certain cases, people who are refugees or people living in countries with little to no infrastructure for credit from the government or banking, anonymous exchanges could help integrate them into the mainstream economy.In the moment, most popular exchanges are not decentralized and follow laws that have users provide identification documentation. If you're in the United States, these exchanges comprise Coinbase, Kraken, Gemini, FTX, and Binance.US for instance. These exchanges have risen significantly in the number of options they offer.The crypto market has grown quickly in the past decade with a multitude of new tokens fighting for the investor's dollars. Except for Bitcoin and a few of the more well-known ones like Ethereum but not all of the coins are available on all exchanges. Each exchange has its own set rules to decide whether to allow or exclude trading in certain tokens.Coinbase, Kraken, and Gemini provide Bitcoin and a rising number of altcoins. They're probably one of the most simple on-ramps that crypto has in the whole market. Binance is for an advanced traderand has more sophisticated trading options and an increased variety of altcoin choices. FTX has been a rapid-growing crypto exchange that has earned a multibillion-dollar valuation, offers limited amounts of altcoins to U.S. investors.4 However, traders outside these countries U.S. have a greater variety of tokens available on its platform.An important thing to note when creating your cryptocurrency exchange account is to follow safe Internet procedures. This means two-factor authentication. A long, unique password which includes a variety of lowercase letters, capitalized or lowercase letters or special characters as well as numbers.El Salvador made Bitcoin legal tender on September 7, 2021. It was the only country to do so.5 The cryptocurrency is used as a means of payment for all transactions that a business is able to accept it. It is the U.S. dollar continues to serve as El Salvador's main currency.Step 2: Connect your exchange to an alternative payment methodIf you've made a decision to go with the exchange option, you'll be required to gather your personal documents. The exchange may require these documents, the documents could include a photo of a drivers license or Social Security card, as plus information on your employer and the source of your funds. The information you require will vary depending on the area that you reside in as well as the laws within it. The process is generally the same as the process of setting up a standard brokerage account.After the exchange has verified your identity, you'll be required to connect to a payment method. In most exchanges, you can connect your bank account directly or connect a credit or debit card. Although you can use a credit card to purchase cryptocurrency, it's not advisable because cryptocurrency price volatility could inflate the cost of buying a coin.Bitcoin remains legal across the United States, but some banks may question or even make deposits unavailable to crypto-related sites or exchanges.6 It is advised to look to see if your bank permits deposits to the exchange you prefer.There are varying fees for deposits to a bank account in the form of debit, credit, or card. It is imperative to find out the charges associated with each payment option to help select an exchange option or select the payment method that works best for you.Exchanges may also charge fees for each transaction. These charges can be an unrestricted fee (if the amount of trading is low) or it could be a percentage of trading amount. Credit cards incur an extra processing fee in addition to transaction charges.Step 3: Make an orderIt is possible to purchase bitcoin (or other cryptocurrencies) by selecting an exchange and connecting a payment option. In the past few years cryptocurrency exchanges slowly become more widespread. They have significantly increased in terms of liquidity and their breadth of features. Changes in operation at cryptocurrency exchanges mirror the changes in the perception of cryptocurrencies. The business once thought of as a scam or with unreliable practices is gradually becoming an authentic one, which is attracting the attention of every major player in the industry of financial services.The cryptocurrency exchanges of today have advanced to the point that they're equipped with the same number of features and features as counterparts from stock brokerages. Crypto exchanges today offer numerous types of order and options to invest. Most crypto exchanges provide limits and market orders. Some even offer stop-loss-orders. Of the exchanges discussed above, Kraken offers the most available order types. Kraken permits market, limit, stoploss or stop-limit as well as take-profit and limit orders.7Aside from a variety of order types, exchanges provide methods for setting up ongoing investments, allowing investors the option of incorporating a dollar-cost median into their preferred investment. Coinbase for instance, lets users create recurring purchases for each day, week or month.8Step 4: Safe storageDigital wallets such as Bitcoin or Cryptocurrency are an ideal place to store digital assets more safely. Having your crypto outside of the exchange and in your own wallet will ensure that only you are the only person who has control over the private key to your account. Also, it gives you ability to secure your funds from an exchange and eliminate the risk that your exchange could be hacked and losing your funds.Although the majority of exchanges offer the option of wallets for their users security is not their primary business. We generally do not recommend the use of exchange wallets for significant or long-term investments in cryptocurrency.Certain wallets feature more options than other wallets. Some are Bitcoin only, and some offer the ability to store many altcoins. Some wallets additionally offer the possibility of swapping one token for another.If you're looking to pick the right Bitcoin wallet, you have a number of options. The first thing you will require to know about cryptocurrency wallets is the concept of hot wallets (online wallets) and cold wallets (paper or hardware wallets).Hot walletsThese wallets may also be referred to also as hot wallets. Hot accounts run through Internet-connected devices like phones, computers or tablets. This could lead to vulnerability since these wallets create the key to your private coins when connected to the internet. While a hot wallet could be extremely convenient due to the ways that you can access and conduct transactions on your cash quickly, having your private key using an Internet-connected device may make it more susceptible to a hack.It may sound odd although hot wallet users who haven't setup enough security have the chance of losing money to theft. This is a frequent event, and it could occur in a variety of ways. For example, you could boast in a public forum like Reddit about the amount of bitcoins you have in your account when the wallet has little to no security and storing it in a wallet that is hot would not be prudent. However, these wallets can be secured as they are protected by the appropriate measures. Secure secure passwords, 2-factor authentication and secure Internet browsing are as minimum standards.They are great for smaller amounts of cryptocurrency or other currencies you are currently trading on an exchange. One could compare a hot wallet to a bank account. According to conventional wisdom, you should to only put money spent in a checking account while the majority of your money can be found in savings accounts and other investments accounts. Similar can be said in the case of wallets that are hot. Hot wallets can be described as mobile, desktop, web, and exchange accounts custody wallets.As previously mentioned, exchange wallets serve as custodial banks provided by exchanges. The owner of this type is not the holder on the personal key for the cryptocurrency stored in this wallet. If an event should occur where the exchange damaged or your accounts are compromised, you could lose the funds you have invested. The phrase "not your key, not your coin" is often frequented in cryptocurrency forums and communities.Cold walletsThe most basic description of"cold" wallets is that it's not associated with the Internet and thus has the lowest risk of being compromise. They can also be described as offline wallets or even hardware wallets. These wallets store a user's private key on something but isn't connected the internet. They can also come with software which operates in parallel so users are able to look over their entire portfolio without putting private key in danger.One of the safest ways to store your cryptocurrency offline is with a paper wallet. A paper wallet is a paper wallet that you create on certain websites. It then generates public and private keys that you print out on paper. The ability to access digital currency from these addresses is only possible if you possess the piece of paper that contains the private key. Many people laminate these plastic wallets to store them in safe deposit boxes in their banks or in a safe in their home. These wallets are meant for higher security and longer-term investments since it is impossible to quickly sell or trade bitcoin stored on this type of wallet.A more popular kind of cold money wallet is a hard-copy wallet. It is an USB drive device that keeps the private keys of a user offline. They offer a significant advantage over hot wallets in that they are not affected by viruses that could be infected by computer. With hardware wallets, your private keys do not come into contact with your computer's network or any software that may be vulnerable. The majority of these devices are open source, allowing the community to judge their security through codes audits rather than a company that declares that they're secured to work with.Cold wallets are the best and most safe way to store your bitcoins or other cryptocurrencies. However, they require more technical knowledge to setup.The best way to set your wallets is to have three items three things: an exchange account to use for buying and selling an exchange account, a hot bank account to keep small to medium amounts of crypto that you intend to trade or sell or trade, and a cold wallet to hold larger amounts that will last longer.How to Buy Bitcoin With PayPalBitcoin? can also be purchased through a payment processor PayPal? Holdings, Inc. (PYPL). There are two methods to buy bitcoin through PayPal?. The first and simplest method is to buy cryptocurrency with your PayPal? account, which is linked to a transaction mechanism, such as a check or debit card. The second option is to use the balance on funds in your PayPal? account to buy cryptocurrencies from a third-party company. This option is not nearly as effective as the first since very few of the third-party sites allow customers to purchase bitcoin by clicking it's PayPal? button.Four cryptocurrencies--Bitcoin, Ethereum, Litecoin, and Bitcoin Cash--can be purchased directly through PayPal?.9 With the exception of those who live in Hawaii, residents of all states can either use their existing PayPal? accounts or set up new ones. You can also use your crypto to buy goods or services using"Checkout With Crypto. "Checkout With Crypto" feature.10To establish a cryptocurrency account through PayPal?, the following information is needed such as name, physical address (where applicable), birth date, and tax identification number.11It is not possible for a credit card to purchase Bitcoin through PayPal?. During the purchase process, PayPal? will display a price for the cryptocurrency. However, that price is susceptible to rapid changes because of the volatility of cryptocurrency markets. It's best to make sure that you have more than the price you estimated for the purchase in your bank account.When you buy bitcoin direct via PayPal? it earns revenue out of the spread in crypto, or the difference between the market price of Bitcoin plus its price of exchange with USD. PayPal? additionally charges you a transaction fee for each purchase. These charges are based on value of the purchase. For instance, a flat charge of $0.50 is applied to purchases between $100 to $200. Following that, the cost is part of the overall dollar amount. For instance, a fee of 2 percent of the total amount is paid for purchases in the range of $100 and $200.12One drawback of purchasing cryptocurrency through PayPal? is that it is not possible to transfer the crypto outside the processing platform of the payment processor. Therefore, it's possible for you to transfer the bitcoin you purchased from PayPal?'s wallet to another crypto-wallet, or your personal wallet.11Another disadvantage to using PayPal? is that only a handful of merchants and exchanges allow using the processor to make payments. eToro is one of the few online trading platforms that permit for the usage of PayPal? to purchase bitcoins through its platform.13How to Buy Bitcoin With a Credit CardThe? procedure to purchase bitcoin using credit cards is similar to the process to buy it using debit cards or through electronic clearinghouse (ACH) payments. It is necessary to enter your credit card's information into the online trading or exchange company and then approve the transaction. In general, , it's not a great idea to purchase bitcoin with credit cards. There are a couple of causes for this.First of all, not all exchanges allow bitcoin purchase using credit cards due to the associated processing fees and the risk of fraudulent transactions. This could work to be in the best interest of consumers. This is since credit card processing can be able to add additional charges to transactions. So, in addition paying transaction fees you'll be left being charged processing fees which the exchange will pass on to you.The other reason is that the purchases made using credit cards are expensive. Credit card issuers treat bitcoin transactions as cash advances and charge high fees and interest rates on advances. For instance, American Express and Chase both classify purchases of cryptocurrencies being cash advance purchases. Therefore, if, for example, you purchase $100 worth worth of bitcoin using the American Express card, you must pay the amount of $10 (current cash advance charges for such transactions) plus an annual percentage fee of 25 percent. The credit card company also limits you to $1000 worth of bitcoin purchases per month.14A second method of buying bitcoin with a credit card is to acquire the Bitcoin Rewards credit card. These cards function similar to your typical rewards credit , but they give rewards in the shape of bitcoin. In other words, they convert the cash back from purchases into Bitcoin. One illustration of one Bitcoin reward card that is a rewards one would be the BlockFi? Bitcoin Rewards Credit Card.15 Be aware that the annual cost for these cards can be very high and may also be added costs associated to the conversion of fiat currency into crypto.Although exchanges such as Coinbase as well as Binance remain among the most popular ways to purchase Bitcoin But they're by no means the only way.Alternative Ways to Buy BitcoinBitcoin? ATMsBitcoin? ATMs act like in-person bitcoin exchanges. Users can place cash in an ATM and use it for the purchase of bitcoin. The money is delivered to online wallets for users. Bitcoin ATMs have been increasingly well-known in recent years. Retail large Walmart Inc. (WMT) is developing a pilot project that will give customers the option to purchase bitcoin. Coin ATM Radar can help locate nearby machines.However ATMs are expensive option. There are two costs that come along with ATM bitcoin purchases one of which is a purchase cost and the other one for conversion fees to convert Bitcoin into fiat currency. Both fees are fairly steep compared to those of other alternatives. As an example, the average charge for purchase in Bitcoin ATMs stands at 8.4% (of the amount of purchase) and 5.4 percent for sales at ATMs.16Be aware that Bitcoin ATMs have been increasingly requiring government-issued IDs as of early 2020.P2P exchangesThe decentralized exchanges offer buyers and sellers a secure way to communicate while facilitating all aspects the transaction, there are peer-to-peer (P2P) exchanges that allow a much more direct relationship between users. LocalBitcoins? is an example of this type of exchange. After signing up, users can post requests to buy or sell bitcoin. This includes information about payment options and costs. Users then browse through listings for buy-sell offers as well as select the partner with whom they wish to conduct business.LocalBitcoins? assists in certain aspects of the trading. While P2P exchanges aren't able to provide the same level of privacy as decentralized exchanges, they allow users the opportunity to search for the best deal. Most of these exchanges provide rating systems so users are able to assess possible trade partners before committing to.Mainstream brokeragesFew major brokerages provide the ability to buy and trade bitcoin due to the uncertainty over regulations for cryptocurrencies. Robinhood Markets, Inc. (HOOD) which is an app widely used by retail investors is one of the exchanges that offer cryptocurrency trading options. It charges 0% fee for cryptocurrency trades or purchase and makes profit from the flow of orders, passing its trading volume onto the other platforms for trading or brokerages.17The absence of a commission fee could be a compelling proposition for beginners, but there are some drawbacks to that proposition. First, Robinhood isn't equipped with the range of features and coins offered by well-known crypto exchanges like Coinbase. Robinhood was able to allow trading on its platform on seven cryptocurrencies: Bitcoin, Bitcoin Cash, Ethereum, Bitcoin SV, Dogecoin, and Ethereum Classic.18 In contrast, you can trade more cryptocurrencies than 100 on Coinbase.19 It also offers various types of orders that help minimize the risk of loss and protect against losses during trading.The Robinhood platform also does not offer an online wallet. If you are looking to buy cryptocurrency on Robinhood then you'll have to factor in additional costs to an online wallet service.Bitcoin and the other crypto investments aren't protected by insurance from Insurance companies such as the Securities Investor Protection Corporation (SIPC). In regular brokerages the agency is able to protect against the loss of cash and securities brokerage accounts with up to $500,000with a maximum of $250,000 cash limit.20 This protection is not available to customers trading on crypto-currency exchanges. Coinbase and other cryptocurrency exchanges Coinbase are covered by insurance against crime to guard their infrastructure against attacks. But that insurance does not shield individual customers from password theft.21How to Sell BitcoinBitcoin? can be sold at the same places where you bought the cryptocurrency, such as cryptocurrency exchanges and P2P platforms. In general, the procedure of selling bitcoin on these platforms is the same as the process for purchasing it.For instance, you might just need to click a button and specify an order type (i.e. which cryptocurrency will be sold immediately at the best price or it is necessary to sell it to limit losses) for the sale. Depending on the market composition and the demand at the location the selling price for Bitcoin can be different. For instance, exchanges within South Korea traded bitcoin at an amount that was referred to as kimchi during the rise in bitcoin prices back in 2018.Coinbase, a cryptocurrency exchange, charges a percentage of the value of the transaction in the form of fees. For instance, Coinbase charges 2.49% of the total transaction value as fees.22Exchanges generally have monthly and daily withdrawal limits. Thus, cash from an extensive sale may not immediately be available to the seller. There are no limits on the amount of cryptocurrency that you can sell, however.What Are the Steps for Purchasing Bitcoin?The process of purchasing bitcoin consists comprising four steps: deciding on an exchange or a location to place your order then selecting a method of payment and then making sure you have a safe place to store for the cryptocurrency you purchased. The type of venue selected in the initial step, there are additional steps required in the process. For example, if buy the cryptocurrency via Robinhood you might need to add additional charges for an online account as well as custody of your bitcoin since it does not offer these services.What Are the Most Popular Venues for Buying Bitcoin?The most popular options for buying Bitcoin are cryptocurrency exchanges and brokerages (crypto along with mainstream) along with payment services like PayPal?. You can also purchase Bitcoin via P2P online exchanges. In order to acquire bitcoin in indirect form you could invest in businesses that hold the cryptocurrency on their bilan sheets, including Tesla, Inc. (TSLA) or MicroStrategy? Incorporated (MSTR).2324How Much Should I Expect to Pay to Purchase Bitcoin?Typicallythe cost for purchasing bitcoin comprises fees per trade, plus the cost to convert conventional currency (generally dollars) to bitcoin. (Cryptocurrency exchanges and payment companies make money by converting this spread.) The fee per trade will be dependent on the dollar amount of the trade. A greater value of trade will attract higher fees. The total cost for purchase is dependent on the features offered by the retailer. For instance, Robinhood does not currently have an online option for storing bitcoin. So, you'll need to plan for charges for your online wallet purchase.Besides Cryptocurrency Exchanges, Where Else Can I Buy Bitcoin?You can also purchase bitcoin in the following locations:* Through Bitcoin ATMs* With online payment services like PayPal?* At mainstream brokerages like RobinhoodIs? My Bitcoin Purchase Protected by SIPC?Yes, your bitcoin purchase is not protected by SIPC.20 Certain exchanges, such as Coinbase accounts, the balance of your fiat in individual accounts could be insured by the FDIC to the tune of $250,000 per account.21The Bottom LineThe? process for purchasing bitcoin is slightly more complicated as compared to buying regular stocks or equity. This is due to the infrastructure and ecosystem for cryptocurrency aren't as advanced that those of traditional trading. http://www.trungtamytechomoi.com.vn/Default.aspx?tabid=120&ch=17329 consists of four steps: choosing a service or venue for making the transaction, connecting with the payment method of your choice, placing an order, and ensuring the security of your cryptocurrency. Each of these steps will require research and a thorough review of pros and advantages of each one. Bitcoin can be purchased through Bitcoin ATMs or by using payment services such as PayPal? or major brokerages like Robinhood.<iframe src="https://www.youtube.com/shorts/wYJhUGVaeyk" width="560" height="315" frameborder="0" allowfullscreen></iframe>