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Making investments in Bitcoin (BTCUSD) may appear difficult, but it's simpler when you take it apart into steps. Investing or trading Bitcoin just requires access to a bank account or exchange. However, more secure storage practices are suggested.There are a number of things hopeful Bitcoin investors require including a cryptocurrency trading account and identification proof to use a Know Your Customer (KYC) platform, a secure connection to the Internet, and a method for payment. It is recommended that you use your own personal account outside of the exchange account. Affordable methods of making payments using this route include bank accounts, debit cards, and credit cards. You can also get bitcoin at specialized ATMs as well as via P2P swaps.KEY TAKEAWAYS"The worth of Bitcoin is due to its usage as a place of value and payment method, as well as its limited supply and declining inflation.Although it's almost impossible for Bitcoin to be compromised but it's still possible for your exchange or wallet bank account to have been compromised. This is the reason that implementing appropriate storage and security measures are vital.* You can also purchase bitcoin through the main services such as PayPal? or Robinhood.* One method to hold bitcoin is to invest in companies that hold bitcoin on their balance financial statements.Before You Buy BitcoinSecurity? and privacy are the most important aspects when it comes to Bitcoin investors. Anyone who gets the private secret key to a public address in the Bitcoin blockchain can authorize transactions.1 Private keys should be kept confidential as thieves could try to steal them when they discover large amounts. Be aware that anyone could see the balance of a public address you are using. Another benefit of having this public information is that individuals can create multiple public addresses for themselves. They can then distribute their wealth of Bitcoin over a variety of addresses. A good strategy is to hold large investments at public addresses that are not specifically linked to accounts which are used for transactions.Anyone can view a history of transactions completed on the blockchain -- even you. Even though transactions are recorded publically on the blockchainsystem, identifying details about the user is not. With the Bitcoin blockchain just a user's public key is displayed next to the transaction. This means that transactions are secure but not anonymous. In that way, Bitcoin transfers are much easier to trace and traceable in comparison to cash, as all of them are open for public examination, unlike private transactions. But Bitcoin transactions also include some element of privacy built to their design. It's very difficult to trace the transactions of the parties--i.e., the party who sent and received bitcoin - on the blockchain of the cryptocurrency.Researchers from around the world and the FBI have claimed that they could monitor transactions on the Bitcoin blockchain and connect them to other accounts on the internet, including their digital wallets.2 For example, when one creates an account with Coinbase and then registers, they need to show their identification.3 When that user purchases bitcoin, it is tied to their personal name. If they transfer it to another wallet, it can be traced to the Coinbase transaction that is tied to the account owner's identity. This should not be a concern for the majority of investors as Bitcoin is lawful in U.S. and most other developed nations.Be sure to check out whether there are any legal or regulatory and tax consequences of purchasing and selling bitcoin in the region where you live prior to transacting.Buying BitcoinWe? have broken down the steps needed for purchasing bitcoin in the following steps. Be aware that you need be able to research the market and determine the best option to suit your situation.Step 1: Select a crypto trading company or a venueThe first step to purchase bitcoin consists of choosing a crypto trading site or venue. Most popular venues and trading services for buying cryptocurrency include transactions, payment options, and brokerages. From these, cryptocurrency exchanges are a good option due to their number of features and the use of cryptocurrencies in trading.When you sign up with a crypto exchange lets you buy, sell, and hold cryptocurrency. It is generally best practice to select an exchange that lets users take crypto out of their secure online wallet for their personal. For those looking to trade Bitcoin or other cryptocurrencies, this feature may not matter.There are numerous types that offer cryptocurrency exchanges. Since the Bitcoin philosophy is one of individual sovereignty and decentralization some exchanges permit users to remain anonymous and do not make users fill out particular information about themselves. These exchanges operate on their own and are generally decentralized therefore, they do not have a central point of control.While these systems are able to serve criminal purposes, they help the large majority of the population who do not have access to banking. For certain types of people - refugees or people living in countries with little to no infrastructure for government credit and banking--anonymous exchanges might help bring them into the mainstream economy.As of now, the most well-known exchanges aren't decentralized and follow laws that require users to provide identifying documents. Within the United States, these exchanges include Coinbase, Kraken, Gemini, FTX, and Binance.US Just to name a few. These exchanges have grown significantly in terms of the features they provide.<iframe src="https://youtu.be/OfVumcKtpG8" width="560" height="315" frameborder="0" allowfullscreen></iframe>The crypto world has grown rapidly in the last 10 years With a variety of new tokens which are competing with dollars from investors. With the exception of Bitcoin and a few other prominent coins such as Ethereum but not all of these tokens are accessible on all exchanges. Each exchange has its own set-of criteria for determining whether to accept or not allow trading of specific tokens.Coinbase, Kraken, and Gemini provide Bitcoin as well as a growing array of altcoins. These three are likely to be the most accessible on-ramps into crypto across the industry. The Binance platform is targeted at an sophisticated buyer, with higher-quality trading features as well as a better variety of altcoin options. FTX is a fast-growing digital exchange that has garnered an impressive multibillion-dollar valuation, is offering an limited selection of altcoins for U.S. investors.4 However, investors outside of those from the U.S. have a greater selection of options on its platform.One of the most important things to remember when setting up accounts for cryptocurrency exchanges is that you use secure Internet methods. This includes two-factor authentication . A long, unique password that includes lowercase lettersand capitalized ones along with special characters and numbers.El Salvador made Bitcoin legal tender on September 7, 2021. The country was the first to do so.5 The cryptocurrency can serve as currency for any transaction in which the business will accept it. In the end, however, it is still the U.S. dollar continues to be El Salvador's primary currency.Step 2. Connnect your exchange with the payment optionIf you've made a decision to go with an exchange, you'll have to collect your personal documents. Depending on the exchange, you may need to include images of a driver's license or Social Security card, as additionally, information about your employer as well as the source of your funds. What information you'll need depends on the place you reside in and the rules within it. The process is almost similar to creating a typical brokerage account.After the exchange has verified your identity, you'll be asked to join to a payment method. The majority of exchanges can connect your bank account directly or you can connect a debit or credit card. Although you can use a credit card to purchase cryptocurrency, it's not recommended because the price fluctuations of cryptocurrency could raise the price of buying coins.Bitcoin may be legal throughout the United States, but some banks may be reluctant to accept or suspend deposits on crypto-related websites or exchanges.6 It's advised to look whether your bank allows deposits to your chosen exchange.There are various fees associated with payments made via bank accounts, debit, or credit card. You should research the charges associated with each payment option to help make a decision on an exchange or decide which option is most effectively for you.Exchanges also charge fees per transaction. The fees may be fixed (if the trading amount is minimal) or an amount that is a percentage of the trade amount. Credit cards incur the processing cost as well as transaction charges.Step 3: Place an orderBitcoin can be purchased (or other cryptocurrencies) after selecting an exchange , and then connecting a payment option. In recent times bitcoin exchanges have steadily become more widespread. They have significantly increased both in terms liquidity and their variety of features. The technological changes occurring at cryptocurrency exchanges coincide with the change in the perception about cryptocurrencies. The business once thought to be a shady business or with questionable practices is now slowly becoming a legitimate business that has attracted the attention of all major players that are in the business of financial transactions.Now, cryptocurrency exchanges ' offerings have evolved to the point where they're nearly offering the same level of features as their counterparts with stock brokerages. Crypto exchanges today offer various types of orders and options to invest. Nearly all exchanges allow both market and limit orders. Some also have stop-loss or stop-loss orders. In the list of exchanges above, Kraken offers the most order types. Kraken permits market, limit, stoploss, stop-limit takes-profit, take-profit and limit orders.7Alongside a wide range of options for orders, the exchanges provide the option of setting up regular investments, which allows clients to integrate a dollar cost average into their preferred investment. Coinbase, for example, lets users set recurring purchases for each day, week, or month.8Step 4: Safe storageDigital wallets such as Bitcoin or Cryptocurrency provide the ideal way to store digital assets more securely. By keeping your crypto away from the exchange and stored in your own wallet, you can be sure that only you have control over the private keys to your accounts. Additionally, it allows you to have the ability to keep your funds separate without an exchange and protect yourself from the risk of your account being hacked and losing your funds.Though most exchanges provide user-friendly wallets, security isn't their main business. We generally don't recommend the use of exchange wallets for significant or long-term investments in cryptocurrency.Certain wallets come with more options than other wallets. Some are Bitcoin only, and others can store multiple altcoins. Some wallets offer the option of swapping one token with another.When it comes to selecting a Bitcoin wallet, there are many options. The first thing you need to understand about crypto wallets is the notion of hot wallets (online wallets) and cold wallets (paper or physical wallets).Hot walletsThere are online wallets that are referred to as "hot" wallets. Hot wallets are ones that run on devices that are connected to the Internet, such as computers, phones or tablets. The risk of vulnerability is that these wallets store the private keys to the coins on these Internet-connected devices. Although a mobile wallet can be quite convenient in the way it lets you access and make transactions with your assets rapidly, storing your private key in a device that is connected to the Internet makes it more vulnerable to attack.This may sound farfetched yet hot wallet holders who haven't setup enough security have the possibility of being robbed of their funds. This is a frequent situation and it could occur in a variety of ways. It is for instance, boasting on a platform like Reddit about the amount of bitcoin you've got while you're using very little to nothing secure and storing it in a hot wallet would certainly not be safe. Although, these accounts can be made secure so provided that proper precautions are taken. Secure security measures, such as two-factor authentication and safe Internet browsing should be considered essential specifications.The best wallets for hot wallets are for small amounts or currency you are already trading on an exchange. You could liken a hot wallet to a checking account. Financial wisdom is generally believed to keep only your spending money in a savings or checking account, but the bulk of your money is stored in savings accounts or other investments accounts. The same can be said in the case of wallets that are hot. Hot wallets are mobile, desktop, web and exchange accounts custody wallets.As we have mentioned before, exchange wallets are custodial services provided by exchange. The user of this wallet sort is not holder in the case of the private keys for the cryptocurrency in this wallet. If an event were to take place where the exchange is hacker-proof or your account is compromised, it would be lost your funds. The expression "not your key, not your coin" is heavily utilized in cryptocurrency forums as well as communities.Cold walletsThe most basic description of a cold wallet is that it is not connected to the Internet and therefore is at greater risk of being susceptible to being compromised. These wallets could also be referred to as offline wallets or hardware wallets. These wallets store a user's private keys on a device that isn't linked to the internet. They also come with software which operates in parallel, so users can access the entire portfolio without putting the private keys in danger.The most secure method to store your cryptocurrency offline is via a paper wallet. A paper wallet is a account that can be generated through certain websites. It produces private and public keys that you print on a piece of paper. The ability to access the cryptocurrency within these addresses is only possible if you possess the piece of paper that is protected by the private key. A lot of people laminate their plastic wallets to store them in safe deposit boxes at their bank or in a safe at home. These wallets are meant for high-security and long-term investments because you can't quickly sell or trade bitcoin stored through this method.A more typical type of cold cash wallet is a wallet made of hardware. A hardware wallet is typically an USB drive that can store a user's private keys securely offline. Such wallets have serious advantages when compared to hot wallets as they are not affected by viruses that could infect one's 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, which allows users to test their security by conducting audits of code rather than a company claiming that they are acceptable to make use of.The cold wallet is the best and most secure way to store your bitcoin or other cryptos. But they require more expertise to setup.The best way to set your wallets is to have three items including an exchange account that can be used for buying and selling with a hot or hot wallet that will keep small to medium amounts of crypto which you'd like to trade sell along with a cold and secure hardware wallet for holding larger sums in the long run.How to Buy Bitcoin With PayPalYou? can also buy bitcoin through payment processor PayPal? Holdings, Inc. (PYPL). There are two options to buy bitcoin through PayPal?. The first and most practical way is to buy bitcoin by using your PayPal? account that is connected to a payment method, such as a credit card, bank account or debit card. The second option is to utilize the balance on account balances in your PayPal? account to purchase cryptocurrencies through a third-party vendor. This option is not much as user-friendly because very few third-party sites permit users to buy bitcoin through Paypal. 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. It is also possible to use your cryptos to pay for products and services with"Checkout With Crypto" "Checkout With Crypto" feature.10To establish a Crypto account with PayPal? The following information is required to establish a PayPal? account: name, physical address and date of birth also a tax identification number.11It is not possible to use a credit/debit card to buy Bitcoin through PayPal?. During the purchase process, PayPal? will display a price for the cryptocurrency. The price, however, is subject fluctuation due to the volatility of cryptocurrency markets. It's best for you to check if you have more than the price you planned for the purchase in your bank account.When you buy bitcoin direct from PayPal? it earns revenue through the crypto spread or the difference between Bitcoin's market price or exchange rates with USD. The company will also charge a transaction fee for each transaction. These fees depend on price of the purchase. For example it is possible to pay a flat amount of $0.50 is per purchase between $100 to $200. In the following instances, the fee will be proportional to the total dollar amount. For example, a fee of 2% of the purchase price is to be paid for crypto purchases between $100 and $200.12One drawback of purchasing cryptocurrency via PayPal? is that you aren't able to transfer the crypto outside the pay processor's website. Thus, it's not possible for you to transfer the Bitcoin you bought from PayPal?'s wallet to an alternative crypto wallet or your personal wallet.11Another drawback to using PayPal? is that not many online and offline traders permit using the processor for payment. eToro is one of the few online marketplaces that allow the use of PayPal? to buy bitcoin through its platform.13How to Buy Bitcoin With a Credit CardThe? procedure of purchasing bitcoin using credit cards is the same as for purchasing it via debit cards or an automated clearinghouse (ACH) transactions. You'll have to input your credit card's details into the exchange or online trading company and also authorize the transaction. However, generally speaking, it's not a great decision to buy bitcoin using credit cards. There are several reasons to this.First of all, none of the exchanges permit bitcoin purchases with credit cards due to associated processing fees and the potential for fraud. This may be to be in the best interest of the customers. This is because credit card processing might tack additional charges onto such transactions. Thus, in addition to the transaction fee You will be charged with processing fees that an exchange could pass on to you.Another reason is that credit card purchases can be expensive. The issuers of credit cards treat bitcoin transactions as cash advances and charge hefty fees and interest rates for advances. For example, American Express and Chase both view purchases of cryptocurrency being cash advance purchases. Thus, if you purchase $100 worth of bitcoin using the American Express card, you are required to pay at least $10 (current cash advance fees for such transactions) and an annual percentage cost of 25%. The credit card company limits your purchases to a maximum of $1,000 in bitcoin transactions per month.14Another way to buy bitcoin with a credit-card is to apply for an Bitcoin Rewards credit card. Such cards function like your normal rewards credit cards, except that they pay rewards in Bitcoin form. The cards invest earnings from purchase into Bitcoin. One illustration of a Bitcoin cards that reward you is called BlockFi? Bitcoin Rewards Credit Card.15 Be aware, however, of the fact that annual fees for these cards might be high as well as the costs associated to the conversion of fiat currencies to cryptocurrency.Although exchanges such as Coinbase and Binance remain as the most popular method to purchase Bitcoin but they're certainly not an all-inclusive solution.Alternative Ways to Buy BitcoinBitcoin? ATMsBitcoin? ATMs act like in-person bitcoin exchanges. People can deposit cash into a machine and then use it to purchase bitcoin, which is later moved to online accounts of users. Bitcoin ATMs are more popular in recent years. In fact, retail large Walmart Inc. (WMT) is testing a pilot program that provides customers with the option of buying bitcoin. Coin ATM Radar can help locate nearby machines.However ATMs can be expensive option. There are two expenses associated with ATM bitcoin purchases: a purchase fee and an expense to convert Bitcoin into fiat currency. Both are quite high when compared to other alternatives. For instance, the global standard purchase price with Bitcoin ATMs is 8.4 percent (of the purchase amount) and 5.4 percent for sales made at ATMs.16Be aware, however, that Bitcoin ATMs are now requiring government-issued IDs beginning in 2020. http://www.dick168.com/home.php?mod=space&uid=303993 to decentralized exchanges, which offer buyers and sellers a secure way to communicate and manage all aspects of the trade, there's peer-to-peer (P2P) exchange services that facilitate a better communication between users. LocalBitcoins? is an example of this type of exchange. After creating an account, users can submit requests to buy or sell bitcoin. This includes details regarding payment methods and costs. They can then peruse listings of both buy and sell deals, choosing the trading partners with whom they wish to transact.LocalBitcoins? simplifies certain aspects of trading. Although P2P exchanges aren't able to provide the same anonymity as decentralized exchanges they give users the opportunity to search to find the best price. Some of these exchanges provide rating systems so users can assess potential trading partners prior to making a transaction.Mainstream brokeragesVery few mainstream brokerages offer bitcoin purchasing and trading features due to the uncertainty over the status of cryptocurrencies in the eyes of the regulators. Robinhood Markets, Inc. (HOOD) is an app popular with retail investors, is one of the exchanges that offer bitcoin trading capabilities. It charges 0% commissions on cryptocurrency trades as well as purchases , and earns money from the transaction flow that it receives, passing its trading volume onto various trading platforms and brokerages.17The absence of commissions could be an attractive proposition especially for people who are just beginning, but there are a couple of disadvantages to this offer. It is the first. Robinhood can't offer the wide range of features or coins offered by well-known crypto exchanges such as Coinbase. Robinhood offered trading on its platform for seven cryptocurrency: Bitcoin, Bitcoin Cash, Ethereum, Bitcoin SV, Dogecoin, and Ethereum Classic.18 While Coinbase is a different story, you can trade more than 100 cryptocurrency with Coinbase.19 The exchange also offers different order types to help reduce the risk of loss and protect against losses during trading.The Robinhood platform does not have an online wallet. Therefore, if you want to purchase cryptocurrency using Robinhood, you will have to consider additional fees for an online wallet provider.Bitcoin and the other crypto investments aren't secured by insurance provided by SIPPC. Securities Investor Protection Corporation (SIPC). At traditional brokerages, this organization protects against the loss of cash and securities in brokerage accounts containing up to $500,000with a maximum of $250,000 cash limit.20 That facility is not accessible to clients of cryptocurrency exchanges. Cryptocurrency exchanges such as Coinbase have insurance for crime to guard their infrastructure against attacks. But that insurance does not ensure that customers are protected from password theft.21How to Sell BitcoinBitcoin? can be sold at similar places to where you purchased the cryptocurrency for instance, cryptocurrency exchanges and P2P platforms. In general, the process of selling bitcoin through these platforms is similar to buying it.In this case, for instance, you could only have to click on a button, and then specify the type of order (i.e. that you must specify whether the cryptocurrency should be traded immediately at the best price or it is sold to stop losses) to complete the sale. Based on the composition of the market and demand at the place the selling price for Bitcoin will vary. For instance, exchanges in South Korea traded bitcoin at a so-called kimchi premium during the upswing in Bitcoin's prices back in 2018.A percentage of cryptocurrency exchanges will charge you a fraction of the value of the transaction as fees. For example, Coinbase charges 2.49% of the total transaction value as fees.22Exchanges generally have daily and monthly withdrawal limitations. So, the cash generated from the sale could not be readily available to the seller. There is no limit on the amount of cryptocurrency you are able to sell however.What Are the Steps for Purchasing Bitcoin? http://qihou123.com/news/home.php?mod=space&uid=746828 to buy bitcoin is comprised with four main steps: choosing an exchange or a location to place your order by selecting a preferred payment method and ensuring that your data is safe for your bought cryptocurrency. Depending on the type of choice made in the first process, there may be additional steps that are involved in the procedure. For example, if choose to purchase the cryptocurrency through Robinhood you might need to add additional charges for an online wallet as well as the custody of your bitcoin , as it does not offer these services.What Are the Most Popular Venues for Buying Bitcoin?The most well-known places for buying bitcoins are cryptocurrency exchanges, brokerages (crypto as well as mainstream) and payment providers like PayPal?. You can also purchase Bitcoin through P2P marketplaces. If you want to own bitcoin indirectly you can invest in companies that hold the cryptocurrency on their balance sheets, for instance Tesla, Inc. (TSLA) or MicroStrategy? Incorporated (MSTR).2324How Much Should I Expect to Pay to Purchase Bitcoin?Typically, the cost for purchasing bitcoin comprises a transaction fee plus the cost of converting a fiat currency (generally dollars) to bitcoin. (Cryptocurrency exchanges and payment solutions make money by converting this spread.) The price per trade is dependent on the dollar value of the trade. A greater amount of trades will carry higher fees. The total price of purchase depends on the services offered by the company. For instance, Robinhood does not currently offer an online bank account for the storage of bitcoin. Therefore, you will need be prepared for costs for online wallets for your purchase.Besides Cryptocurrency Exchanges, Where Else Can I Buy Bitcoin?Bitcoin can also be purchased at the following places:* Through Bitcoin ATMsPayments? can be made online using payment service providers such as PayPal?* At mainstream brokerages like RobinhoodIs? My Bitcoin Purchase Protected by SIPC?Your bitcoin purchase is not protected by SIPC.20 At certain exchanges, like Coinbase bitcoin, balances in fiat on private accounts can be insured under FDIC at $250,000 per account.21The Bottom LineThe? process of purchasing bitcoin is a bit more complex when compared to purchasing common equity or stock. This is due to the cryptocurrency's ecosystem and infrastructure aren't as well-developed as those of mainstream trading.The process of purchasing bitcoin is comprised of four phases: selecting a service or venue for this purchase. Connecting with a payment method, putting in an order, as well as ensuring that your purchase is safe in cryptocurrency. Each of these steps requires thorough research and an analysis of the pros and advantages of each one. You can also purchase bitcoin at Bitcoin ATMs and from payment services like PayPal? or major brokerages like Robinhood.