Bitcoin took the world by storm in 2017 as a mad craze arose across the globe for this wonder coin. Over the course of the past year, several applications have been built around Bitcoin that adds to its value and relevance.
The innovations arising from the emergence of Bitcoin has given rise to altcoins like Ethereum, Bitcoin Cash, Litecoin and Ripple. Bitcoin is attractive to many people because of its decentralized nature..
What is Bitcoin’s Selling Point?
Bitcoins are limited in supply, and this is a big selling point for this cryptocurrency. In a sense, Bitcoin can be likened to diamond, which is rare to come by. Any commodity that is scarce is bound to command value and worth.
When Bitcoin first came to human reckoning it was worth less than a dollar. However, as at March 2018, this cryptocurrency sells for more than $7,000. The decentralized nature of Bitcoin mining and Blockchain, makes it a currency of convenience.
Bitcoin has the ease of conversion as one of its unique selling points in today’s world. While fiat currencies might be difficult to use in a different country or continent, Bitcoin has a global acceptance.
As you travel from one country to another, you do not need a physical currency or wallet. In a Bitcoin wallet, you can millions of dollars worth of cryptocurrency at your disposal that can be easily converted to fiat money.
How to invest in Bitcoins
You can invest in Bitcoins in a variety of ways. While some methods are simple to understand, others are more complicated.
Here is a look at five of the commonest ways to invest in Bitcoin:
1. Use a Peer-to-Peer (P2P) Platform
The rise to global prominence of Bitcoin has followed a pattern of systematic growth and innovation. In the early days of introducing Bitcion, the best option available was to use a Peer-to-Peer platform like localBitcoins for immediate purchase.
Over the course of the past five years, a lot of developments have taken place in Bitcoin and altcoins investment. In using LocalBitcoins, you have to register for an account before you can proceed to buy or sell Bitcoins.
LocalBitcoins and other P2P platforms offer the user a number of options to utlise when buying Bitcoin. There is the option of bank deposits, cash transfers, a physical meetup or use of digital payments like PayPal, Credit Card, Payeer or Skrill.
For the purpose of security, it is advisable never to meet anyone for a physical exchange of cash to avoid robbery or loss. On LocalBitcoins, your deposit to the seller’s bank account will be verified by the seller before you get possession of our Bitcoins. In the same vein, the seller is expected to have his Bitcoin escrowed before his advert is listed on the site.
2. Trade Online
Online trading is one of the commonest means to invest in Bitcoin. There are several reputed online platforms you can use across the globe. In America, the best platform is Coinbase, and for residents of other countries, Binance is your best bet.
Setting up an account on exchanges will require that you register an account. As you open a new account, you will need an ID to make your identity verification possible. Verifying your ID is important as financial information and transactions are closely guarded to ward off fraud.
Everyone who decides to trade online will do well to learn some basic guidelines to Bitcoin trading.
3. Use a Bitcoin ATM
The first set of Bitcoin ATMs was launched in Canada. Over the past year, Bitcoin ATMs have become more commonplace across different cities on earth.
Using your Google Maps, you can locate Bitcoin ATMs, and buy Bitcoin with ease. In most cases, what you need to do is to make sure you have opened a Bitcoin wallet account.
You can get a free Bitcoin wallet in either ledgerwallet or Trezor. Once you have your wallet opened, you can walk to any Bitcoin ATM and buy Bitcoin. What you need to do is to scan your wallet bar code at the ATM and insert cash into the cash receiver.
The charge that applies when you use a Bitcoin ATM is in the range of 3% to 3.5 %. As you use an ATM, always take care to avoid anyone looking above your shoulder to clone your details.
4. Buy a Mining Gadget
Bitcoin mining involves solving complicated mathematical difficulties using your PC. There are a few gadgets that are available in the marketplace that will help you mine Bitcoin as soon as you connect them to your computer.
Your investment in this respect will be the mining gadget you are buying and the computer storage you are dedicating. Since miners work together, they are rewarded with share of profits in Bitcoin as they solve any mathematical difficulty.
Your return on investment will be positive as long as the price of Bitcoin holds steady, and remains profitable.
5. Download a Mining Extension
One way you can invest in Bitcoin is to download an extension using your browser. This latest innovation in Bitcoin mining makes it possible for you to use a dedicated Chrome and Firefox browser for this purpose. The best examples are bitter.io, bitminer.io, and getcryptotab.com.
When you download a Bitcoin mining extension, you can register your details using an email and password. You can share referral links on your social media account to earn more Bitcoin. In this vein, as people sign up using your links, you get referral bonuses.
As long as your PC is on, and your browser is open in the background, you will slowly but steadily earn Bitcoin.
Bitcoin continues to provide a basis for profit and returns on investment across the globe today. Although Bitcoin trading is affected by market forces like all investments, it is a promising investment.