Bitcoin and cryptocurrency investing can be a difficult concept to grasp. There are so many different terms, acronyms, and technologies that it can be hard to know where to start. That’s why we’ve created this guide for all those who want to learn how to invest in Bitcoin. It will teach you everything you need to know from the basics of Bitcoin, through what makes a good investment, to how you should manage your portfolio. We hope that after reading this guide, not only will you have a better understanding of what Bitcoin is and how it works, but also how it can help grow your wealth over the long-term.
Bitcoin is a type of digital currency that was created to solve a specific problem. It was the first type of digital money that could be sent without going through a middle man. As a result, Bitcoin has been described as being an “e-currency” and many other terms.
The Bitcoin protocol was developed by an unknown person (or group) using the pseudonym Satoshi Nakamoto for this purpose. Bitcoin can be used to make transactions or purchases from anywhere in the world with little or no fees.
Why Invest in Bitcoin?
If you want to grow your wealth, Bitcoin is a great place to start.
Bitcoin and other cryptocurrencies have seen an incredible increase in value over the past year, and it’s likely this trend will continue.
It’s not too late to invest in Bitcoin and reap the benefits of this growth. In fact, many experts believe that it’s just the beginning of a bull run for cryptocurrency investments.
Consider these statistics:
*Bitcoins were created in 2009 and their value was $0.0003 apiece
*In 2011, they reached $1 per coin
*In 2017, bitcoin was worth more than $17,000 per coin
*According to CNBC, Jeffrey Kleintop at Charles Schwab said he expects bitcoin prices to reach $10,000 by 2020
That’s more than 900% growth in less than 10 years! If you invest now, you can enjoy these same success rates.
How to buy bitcoin
One of the best places to buy bitcoin is via an online exchange. The most popular exchanges are Coinbase, CEX, Kraken, and Gemini.
If you want to buy bitcoins with US dollars, then Coinbase or CEX are your best options. If you want to use Euros instead of US dollars then Kraken is your best option. And if you want to use Canadian Dollars, then Gemini is your best option.
To buy bitcoins on Coinbase or Cex, you will need to first create an account which takes a few minutes. Then you will need to link your bank account so that you can purchase bitcoin!
How to store your bitcoin
The first thing to understand is how you store your Bitcoin. Generally, Bitcoin can be stored in one of two ways: digital and physical wallets.
A digital wallet is the easiest way to store your bitcoin and it’s surprisingly secure. You can use your phone or a third-party website to access and send bitcoins. Perhaps the most popular form of digital wallet is the storing of bitcoins on a cryptocurrency exchange, like Coinbase for example.
A physical bitcoin wallet is another option for storing your Bitcoin and tends to be more secure than storing them digitally due to its offline nature. The best way to think about a physical bitcoin wallet is as a kind of “cold storage” for coins that you don’t need right now but want to hold onto just in case they’re worth more in the future.
How to manage your bitcoin
Bitcoin is a volatile and unpredictable investment. If you’re thinking about investing in Bitcoin to grow your wealth, it’s important to manage your portfolio wisely.
There are many pitfalls of investing in Bitcoin. For example, one wrong decision can lead to an irreversible loss. That’s why staying on top of the market and monitoring your investments as they grow is essential to long-term success.
We’ve put together this guide on how to manage your bitcoin portfolio. It’ll cover how to diversify, the best times to buy and sell, and how to keep tabs on which crypto assets might yield the most over the next year or so.