Well, as with almost everything else in life – if not everything – you have to buy it before you can invest in it. Investing in Bitcoin can be very difficult, and that’s if you don’t have the step planned.
First you need to know that Bitcoin is a type of cryptocurrency, one of the first digital currencies, which was invented, designed and developed by Satoshi Nakamoto and released to the public in 2009.
And since then, updates and improvements have been made by a network of highly experienced developers and the platform has been partially funded by the Bitcoin Foundation.
Since bitcoin has become a hot topic and many people are investing in it, there is no harm in getting some digital wealth as well. It is interesting to note that in 2012, Bitcoin companies were only able to raise $2.2 million.
Despite the drop in price this year, the cryptocurrency continues to see growth in both users and merchants accepting it as payment.
So how can you get in on the action? Investing in Bitcoin for the average Joe can be simple if you just buy it directly.
Buying it today has become simple, with many companies in the United States and around the world involved in the business of buying and selling.
For US investors, the easiest solution is Coin Base, which is a company that sells BTC to people at a margin that is usually around 1% over the current market price.
If you want a traditional exchange, Bit Stamp may be a better choice because you will not only be trading with the company, but with the users.
The company only acts as an intermediary. Liquidity is higher and you can almost always find someone else to take the other side of your trade.
Fees start at 0.5% and drop to 0.2% if you’ve traded more than $150,000 in the last 30 days. All of these are already in their own way, means of investment, because the more BTC you buy, the more profit you will accumulate if you choose to store it or resell it to other traditional buyers at a higher price than what you bought with the company real
You can also buy bitcoins in another way other than the exchange. One of the most popular routes to so offline is Local Bitcoins, which is a website that matches you with potential buyers and sellers. When purchased, coins are locked to the seller in escrow, from where they can only be delivered to buyers.
But buying bitcoins offline should be done with some extra precautions, which are always common, just like you would when meeting a stranger. Meet during the day in a public place and, if possible, bring a friend.
Bitcoin is the most popular thing online right now. Investors and venture capital firms are betting that it is here to stay. For the average Joe, there are many ways to invest and buy Bitcoin.
In the US, the most popular avenues are Coin Base, Bit Stamp, and Local Bitcoins. Each has its advantages and disadvantages, so do your research to find what works best for you.