A Beginner’s Guide to Bitcoin Cryptocurrency

Bitcoin cryptocurrency is buzzing around the world, whether you are online or in any media. This is one of the most exciting and insane things that has happened in just the last few years. More importantly, you can make amazing profits by trading bitcoins, or you can keep it for a long time.
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You may have heard about stocks, commodities, Forex, and now about a new currency called bitcoin trading that is having a big impact on our lives. In this guide for beginners on the cryptocurrency Bitcoin you will get acquainted with the alphabet of bitcoin.
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About the cryptocurrency Bitcoin

The emergence of bitcoin is still unknown, but in October 2008 a work was published under the pseudonym Satoshi Nakamoto from Japan. His identity is still unknown, and as of September 2017, he is believed to have had about one million bitcoins worth more than $ 6 billion.
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Bitcoin is a digital currency, widely known as a cryptocurrency, and has no geographical boundaries. It is not regulated by any government and all you need is an internet connection. As a beginner, Bitcoin technology can confuse you and you will find it a little difficult to know about it. However, I will help you dig deeper and how you can easily make your first bitcoin trade.
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The cryptocurrency Bitcoin works on blockchain technology, which is a digital public book used by everyone in the world. You’ll find your transactions here every time you trade bitcoins, and everyone can use the book to check it out. The transaction will be completely transparent and verified by a blockchain. Bitcoin and other cryptocurrencies are part of the blockchain and are an amazing technology that only works online.
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The main conditions associated with the cryptocurrency Bitcoin

Before you are ready to own your first Bitcoin, it is better to know the key terms associated with bitcoins. It is also called BTC, which is part of bitcoin, and 1 bitcoin equals 1 million bits. With the advent of bitcoins came some other alternative cryptocurrencies. They are popularly called altcoins and include Ethereum (ETH), Litecoin (LTC), Ripple (XRP), Monero (XMR) and many more.
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XBT and BTC are the same thing and are usually abbreviated for bitcoin. Mining is another term that is often used, and it is actually a process performed by computer hardware for Bitcoin networks.

What you can do with bitcoins

You will be able to trade, make transactions, accept and store bitcoins. You can send it to your friends, ask a friend and save in your digital wallet. Even now you can top up your mobile / DTH directly by paying via bitcoin.
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The cost of transactions is low compared to PayPal, credit cards and other online intermediaries. In addition, it also protects your privacy, which can get online while using credit cards. It is extremely safe and no one can grab or steal coins. Because of its transparency in the system it is also impossible to manipulate because of the general public book. You can check the transaction anywhere and anytime.
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Demand is likely to grow as total bitcoin production will be limited to just 21 million. Japan has already legalized it, and other countries may follow suit soon, and the price could rise even more.

In the coming days I will talk in detail about bitcoin, where you will learn the wonderful materials of bitcoin trading. You can comment on your opinions and ask everything about bitcoins.
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If you found this guide for beginners on cryptocurrency Bitcoin useful, share it and like it on social media.


How to Buy Bitcoin – Step One

The best way to learn about bitcoin, is to jump in and get a few in your “pocket” to get a feel for how they work.

Despite the hype about how difficult and dangerous it can be, getting bitcoins is a lot easier and safer than you might think. In a lot of ways, it is probably easier than opening an account at a traditional bank. And, given what has been happening in the banking system, it is probably safer too.
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There are a few things to learn: getting and using a software wallet, learning how to send and receive money, learning how to buy bitcoin from a person or an exchange.


Before getting started, you will need to get yourself a wallet. You can do this easily enough by registering with one of the exchanges which will host wallet for you. And, although I think you are going to want to have one or more exchange wallets eventually, you should start with one on your own computer both to get a better feel for bitcoin and because the exchanges are still experimental themselves. When we get to that stage of the discussion, I will be advising that you get in the habit of moving your money and coins off the exchanges or diversifying across exchanges to keep your money safe.
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What is a wallet?

It is a way to store your bitcoins. Specifically, it is software that has been designed to store bitcoin. It can be run on your desktop computer, laptop, mobile device (except, as yet, Apple) and can also be made to store bitcoins on things like thumb drives. If you are concerned about being hacked, then that is a good option. Even the Winklevoss* twins, who have millions invested in bitcoin, put their investment on hard drives which they then put into a safety deposit box.
*The Winklevoss twins are the ones who originally had the idea for a social networking site that became Facebook. They hired Mark Zuckerberg who took their idea as his own and became immensely rich.

What do you need to know about having a bitcoin wallet on your computer?

Below you can download the original bitcoin wallet, or client, in Windows or Mac format. These are not just wallets, but are in fact part of the bitcoin network. They will receive, store, and send your bitcoins. You can create one or more addresses with a click (an address is a number that looks like this: 1LyFcQatbg4BvT9gGTz6VdqqHKpPn5QBuk). You will see a field where you can copy and paste a number like this from a person you want to send money to and off it will go directly into that person’s wallet. You can even create a QR code which will let someone take a picture with an app on their phone and send you some bitcoin. It is perfectly safe to give these out – the address and QR code are both for my donations page. Feel free to donate!
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NOTE: This type of wallet acts both as a wallet for you and as part of the bitcoin system. The reason bitcoin works is that every transaction is broadcast and recorded as a number across the entire system (meaning that every transaction is confirmed and made irreversible by the network itself). Any computer with the right software can be part of that system, checking and supporting the network. This wallet serves as your personal wallet and also as a support for that system. Therefore, be aware that it will take up 8-9 gigabytes of your computer’s memory. After you install the wallet, it will take as much as a day for the wallet to sync with the network. This is normal, does not harm your computer, and makes the system as a whole more secure, so it’s a good idea.
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Bitcoin Qt

  • The original wallet.
  • This is a full-featured wallet: create multiple addresses to receive bitcoins, send bitcoins easily, track transactions, and back up your wallet.
  • Outside of the time it takes to sync, this is a very easy to use option.
  • Search for Bitcoin Qt wallet download to find their site.


  • Runs on top of Bitcoi Qt, so it has all of the same syncing requirements.
  • Armory allows you to back up, encrypt, and the ability to store your bitcoins off line.
  • Search for Bitcoin Armory Wallet to find their site.

If you don’t want to have that much memory used or don’t want to wait for your wallet to sync, there are good wallets that do not make you sync the entire history of bitcocin:


  • A lightweight wallet that syncs quickly. This is very good for new users.
  • Search for Bitcoin Multibit Wallet to find their site.


  • In addition to being quick and light, this wallet allows you to recover lost data using a passcode.
  • Search for Bitcoin Electum Wallet to find their site.

After you get the wallet set up, take a few minutes clicking around. Things to look for:

o There will be a page that shows you how many bitcoins are currently in your wallet. Keep in mind that bitcoins can be broken up into smaller pieces, so you may see a decimal with a lot of zeros after it. (Interesting note, 0.00000001 is one Satoshi, named after the pseudonymous creator of bitcoin).

o There will be an area showing what your recent transactions are.

o There will be an area where you can create an address and a QR code (like the one I have above). You don’t need the QR code if you don’t want it, but if you run a business and you want to accept bitcoin, then all you’ll need to do to accept payment is to show someone the QR code, let them take a picture of it, and they will be able to send you some money. You will also be able to create as many addresses as you like, so if you want to track where the money is coming from, you could have a separately labeled address from each one of your payees.

o There will be an area with a box for you to paste a code when you want to send money to someone or to yourself on an exchange or different wallet.

There will be other options and features, but to start out with, these are the items that you should know about.

Getting Your First Bitcoins

Now that you have a wallet, you will, of course, want to test them out.

The very first place to go is http://faucet.bitcoin.st/.

This is a website that gives out small amounts of bitcoin for the purpose of getting people used to using them. The original version of this was run by the lead developer of bitcoin, Gavin Andreson. That site has since closed and this site operates by sending out one or two advertisements a month. You agree to receive those messages by requesting the bitcoins. Copy and paste your new bitcoin address and enter a phone number to which you can receive an SMS. They send out an SMS to be sure that people are not continuously coming back for more since it costs nothing to create a bitcoin address. They will also send out once or twice a month advertisement to support their operation. The amount they send it trivial: 0.0015 BTC (or 1.5 mBTC). However, they process almost immediately and you can check to see that your address and wallet are working. It is also quite a feeling to get that portion of a bitcoin. (Non-disclaimer: I have no connection with this site and receive nothing if you use them. I simply think they are a good way to get your feet wet).

Congratulations! You have just entered the bitcoin economy.

To get your feet a little wetter, you can go panning for gold. There are a number of services and websites out there that will pay you in bitcoin to do things like go to certain websites, fill out online surveys, or watch sponsored videos. These are harmless, and you can earn a few extra bitcoins this way, but it is important to remember that these are businesses that get paid when people click on the links on their sites. They are essentially kicking back a portion of what they get paid to you. There is nothing illegal, or even immoral about this (you might like what you see and make a purchase!), but they are frequently flashy and may not be completely straightforward. All the ones that I have tried (particularly bitvisitor.com) have paid out as advertised. It is interesting to experiment with these, but even with the likely rise in the value of bitcoin, you won’t become a millionaire doing this. So, unless you are an advertisement junkie, I would recommend you move on. If you would like to try, simply Google “free bitcoins” or something along those lines and you will find numerous sites.

Buying Bitcoin Hand-to-Hand

Finally, this is going to be the real test of bitcoin. Can people easily trade them back and forth? If this can’t happen, then there can’t really be a bitcoin economy because retailers won’t be able to use it. If retailers can’t use it, what earthly good is it? Fortunately, this is not really a problem. iPhone is a bit of a hold out, but many smartphones have apps (mobile wallets) that will read QR codes and allow you to send bitcoin to whomever you want. You can also display a QR code of your address, or even carry a card in your wallet with your QR code to let people send bitcoin to you. Depending on what kind of wallet you have, you can then check to see if the bitcoins have been received.

A couple of things to note:

  • When you set up your wallet, if you click around a bit, you will see an option to pay a fee to speed transactions. This money becomes available to a bitcoin miner as he/she/they process bitcoin information. The miners doing the work of creating blocks of information keeps the system up to date and secure. The fee is an incentive to the miner to be sure to include your information in the next information block and therefore “verify” it. In the short term, miners are making most of their money by mining new coins (check the section on What Are Bitcoins for more information about this). In the long term, as it gets harder to find new coins, and as the economy increases, the fees will be an incentive for miners to keep creating more blocks and keep the economy going. Your wallet should be set to pay 0 fees as a default, but if you want, you can add a fee to prioritize your transactions. You are under no obligation to pay a fee, and many organizations that process many small transactions (like the ones that pan for gold described above) produce enough fees to keep the miners happy.
  • In clicking around your wallet, on the transactions page or linked to specific transactions, you will see a note about confirmations. When you make a transaction, that information is sent out into the network and the network will send back a confirmation that there is no double entry for that bitcoin. It is smart to wait until you get several confirmations before walking away from someone who has paid you. It is actually not very easy to scam someone hand-to-hand like this, and it is not very cost-effective for the criminal, but it can be done.

Where can you buy bitcoin like this?

  • You may have a bitcoin Meetup in your area.
  • You can check out localbitcoins.com to find people near you who are interested in buying or selling.
  • Some are trying to start up local street exchanges across the world. These are called Buttonwoods after the first street exchange established on Wall Street in 1792 under a buttonwood tree. See if there is one, or start one, in your area.
  • See if you have any friends who would like to try bitcoins out. Actually, the more people who start using bitcoin, the larger and more successful it will be come. So please tell two friends!

Some people ask if it is possible to buy physical bitcoins. The answer to this is both a yes and a no. Bitcoin, by its very nature, is a digital currency and has no physical form. However, there are a couple of ways that you can practically hold a bitcoin in your hands:

  • Cascascius Coins: These are the brainchild of Mike Caldwell. He mints physical coins and then embeds the private keys for the bitcoins inside them. You can get the private key by peeling a hologram from the coin which will then clearly show that the coin has been tampered with. Mike has gone out of his way to ensure that he can be trusted. These are a good investment strategy as in the years to come it may be that these coins are huge collector’s items.
  • Paper Wallets: A paper wallet just means that rather than keeping the information for your bitcoin stored in a digital wallet, you print the key information off along with a private key and keep it safe in a safe, in a drawer, or in your mattress (if you like). This is highly recommended and cost effective system for keeping your bitcoin safe. Keep in mind, though, that someone could steal them or if your house burns, they will go with the house and there will be no way to get them back. Really, no different than cash. Also, as with Casascius Coins, they will not really be good for spending until you put them back into the computer.

* There is software to make printing your paper wallets easier. bitcoinpaperwallet.com is one of the best and includes a good tutorial about how to use them.

* The bitcoins are not actually in the wallet, they are still on the web. In fact, the outside of the wallet will have a QR code that will allow you ship coins to the wallet any time you like.

* The sealed part of the wallet will have the private key without which you cannot access the coins. Therefore, only put as many coins on the wallet as you want to be inaccessible. You will not be able to whip this thing out and take out a few coins to buy a cup of coffee. Rather, think of it as a piggy bank. To get the money, you have to smash it. It is possible to take out smaller amounts, but at this point the security of the wallet is compromised and it would be easier for someone to steal the coins. Better to have them all in or out.

* People who use paper wallets are usually security conscious, and there are a number of ways for the nefarious in the world to hack your computer. Bitcoinpaperwallet.com gives a lot of good advice about how to print your wallets securely.

Some people have also asked about buying bitcoins on eBay. Yes, it is possible, but they will be far overpriced. So, selling on eBay might seem to be a better option given the extreme markup over market value you might see. But, as with anything that is too good to be true, this is too good to be true. As I will explain in the next section, selling bitcoin this way is just way too risky.

How Not to Buy Bitcoin

In the next section, I am going to explain a couple of key points about buying from Bitcoin Exchanges. Before I do, let me give you a warning.

A short history lesson: When people first started setting up actual business based on bitcoin, they used all of the tools available to any merchant. They sold by credit card and PayPal. The problem with this business model was quickly spotted: bitcoin transactions are not reversible by anyone except the recipient of the money. Credit cards and PayPal have strong buyer protection policies that make it relatively easy for people to request a chargeback. So, nefarious individuals realized this and began making purchases of bitcoin and then sooner or later requesting a chargeback. And, since bitcoin is a non-physical product, sent by new and poorly understood technological means, the sellers were not able to contest this. Because of this, sellers stopped accepting credit cards and PayPal.

This was a big problem for the currency: How to move money between buyers and seller? Some business emerged that would credit you with bitcoin if you wired them money. Very often these businesses would give addresses in Albania, Poland, or Russia. The fact is that many of these did work and there are a lot of stories on the forums of people who bought bitcoins this way. But it took a lot of time and in the meantime the buyer just had to bite his or her fingernails wondering if they would get their bitcoins or kiss their investment goodbye.

I expect that as bitcoin becomes more acceptable and valuable, we are going to see a version of the Nigerian Prince scam. So the warning is this: we now have exchanges and other businesses that allow for moving money easily onto and off of exchanges. Never wire money for bitcoin. It was a short-lived, and well-forgotten, moment in the history of bitcoin.

Next, I will be talking about how to buy from a bitcoin exchange and give a review of the some of the best known exchanges.


Learn about existing Bitcoin abuses

Bitcoin, the most popular crypto that exists, is now considered one of the most popular investments. But did you know that this has led to a lot of new bitcoin scams? Yes, this is true, and unfortunately you can be a part of it if you know nothing about these scams. This article allows you to learn about all the types of bitcoin fraud that exist.
These are the types of bitcoin scams that exist –

Phishing scams

Always be aware of phishing scams. Phishing attacks are definitely favorites among hackers and scammers. As part of a phishing attack, an interested person usually impersonates a service, business, or individual simply through email or other text communication or by posting a fake and manipulative website that appears to be genuine. The goal is always to trick the victim into disclosing their private advice or sending a bitcoin to an address belonging to a particular scammer.
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Such emails often look legitimate but fake.

Fake exchanges

Undoubtedly, one of the least difficult ways to deceive investors is to pretend to be an Internet marketer, a branch of good and legitimate business. Well, that’s what fraudsters do in the discipline of bitcoin.

There are many such exchanges, and they presented themselves as a place to exchange and trade bitcoins, but in the end were fraudulent. Many exchanges have thus deceived people from their money by simply posing as a new respectable and legitimate cryptocurrency exchange.

Fake ICO

Along with the increase in the number of companies supporting the blockchain, fake ICOs have become popular as a way to support such new companies. However, given the unregulated nature of bitcoin itself, the door has been wide open for all kinds of fraud.

Most ICO fraud occurred because investors committed it either through fake ICO websites using fake bitcoin wallets or other crypto-wallets, or because they looked like real cryptocurrency companies.

Many have already been accused of such abuses, so it is better to check such wallets before actually deciding to place money in them.

Huge return

If you are in the trading industry, you probably already know that huge profits are simply impossible when it comes to bitcoin trading or crypto-trading in general. So if a broker tries to give you a promise that your money will be doubled over time, then the best option in such cases would be to stay away from such brokers as much as you can. They will just take your money and run away and you will be left with nothing but grief and remorse.

How to make money with Bitcoin online

Now on the eve of 2018 and bitcoin is on top of the mountain. The bad days seem to be gone, and although the bitcoin bubble could happen at any time, it cannot be said that cryptocurrency will remain. The sooner you get involved in making money on bitcoins, the better soil you will get in 5 years when it becomes a worldwide currency.

And if the bubble scares you, investing in bitcoin is just one option, but not the only one. Bubble or not, you can still make tons of money on bitcoins. And it won’t, but the value in the future will grow because people are just involved in it.

Make you own a Bitcoin Faucet

Salary potential: $ 50 to $ 800 a month.

Bitcoin Tap is a project in which you create a website or app for users to visit. You monetize the site with bitcoin-paid advertising. Advertising pays a small amount of bitcoins per page view, click or conversion.

To encourage more visitors to continue daily and hourly site navigation, you offer to share advertising revenue with them by paying satoshi, which are mostly bitcoin cents. To win, the user must earn a certain amount of satoshi, and payments are made weekly.

Faucets pay between 100,000 and 400,000 satoshi per hour. Some offer bonuses for seniority or achievement of goals.

The faucets started working with solving the captcha, and nothing more. A very sad task of passive income. New mixers are created in games when users kill aliens, feed creatures or kill robots to earn satoshi, the more they advance in the game, the more they earn. So this is a great idea for your own faucet.

The day when every video game player received money for the game is not far off.

Note that bitcoin taps usually do not work due to underfunding or liquidity. Faucet owners don’t get their payments fast enough to pay for a rapidly growing user base. They also tend to become targets for hackers.

Earn Passive Income From Your Bitcoin Blog

Because bitcoin is so new compared to other targeted content, there is plenty of room for new bloggers and websites. New businesses related to bitcoin are emerging every day; Everything from bitcoin exchanges, trade, money games sites, taps, online shopping and mining, wanting your advertising space.

Creating a bitcoin blog and monetizing may be slow at first, but the constant publication of rich content will interest some advertisers for at least 9 months.

You can join some affiliate programs or create your own bitcoin store. Bitcoin taps, wallets and exchanges pay big commissions for referrals.

A small salary from bitcoin taps

My first advice involved creating my own faucet. If it’s too difficult, try joining a friend and reaping its benefits. Instead of earning about $ 800 a month, it would be more than $ 30-100 a month from a monotonous task, but it’s still money and the first step is to start building your own bank.

Note that bitcoin taps are usually faulty and disappear very quickly. So be sure to join some reputable ones like Robotcoin.com and BitcoinAlien.com. It’s also fun because you can play games while earning, my very recommendation would be robotcoin.

Create an online store of a Bitcoin product or service

Bitcoin is still difficult to monetize in dollars and other hard currencies. Not that it’s extremely difficult, but it does announce some fees and taxes to the process. Although it is still one of the cheapest ways to send money anywhere in the world.

Buying bitcoins is a great way to make something useful out of them and helps you miss out on stock market fees and taxes. Especially if you can resell these goods and turn them into cash.

There are great opportunities for businesses in selling goods paid for in bitcoins, at low prices or wholesale. All you need is a bitcoin trader for your Shopify store or WooCommerce, such as BitPay.com. Shopify already comes with BitPay.

Is it possible to invest in Bitcoin?

Most likely, you are reading this article after the last frantic jump in the value of bitcoin, which led to a mark of $ 20,000. Now you are looking for reasons to invest in this cryptocurrency and blockchain technology. Here are some of the reasons you should:


The first thing many people think when they hear about the current price is that they are late and people who are still buying bitcoin are just jumping. Truth be told, with the coming years of mining, and the currency is still in its infancy (more like teenage years), its value will still rise, and it’s a smart investment.


Blockchain is not just a cryptocurrency. This is the future of supply chains and the fight against counterfeiting. Super-smart protocols such as DAO (decentralized stand-alone organization) and smart contracts are a few things that come from a blockchain that automate an organization’s work and money transaction.


People are robbed every day and banks are robbed. Bitcoin and Blockchain ensure that the money stored in your digital wallet has an extremely secure level of security than a virtual number that displays your cash at your local bank.


Have you ever had a bad experience when you needed to send money to the other end of the world, and the amount of expenses for currency conversion, opening a letter of credit, bank fees, etc. made you shudder? Bitcoin stops it all. Since there is no banking system when it comes to cryptocurrencies, there is no intermediary like a bank. You can avoid all these excessive costs by sending money directly to the intended recipient.


Did we mention that you can send money directly yourself? This will save you time as you do not need to fill out forms and applications. Just ask for the public address of the recipient and click the required amount.


Because the number of bitcoins is limited (only 21 million will be produced), the value of this cryptocurrency cannot be devalued due to limited supply, but the ever-increasing demand means that it is a self-floating currency. Lack of inflation means excellent investment.


Remember the Greek financial crisis when city councils asked to transfer extra money to the central bank? With regular currency the central bank is the owner, not you, and can force you to give it back to them. Bitcoin does not belong to anyone but you for the amount in your hands. No one can force it from you.

It is not too late to invest in Bitcoin and Blockchain, but, as in any other currency, the future is unpredictable. Carefully study the charts of your chosen bitcoin exchange before making an investment.

How "Crypt" Currencies Work – A Brief Overview of Bitcoin, Ethereum & Ripple

“Crypto” – or “cryptocurrency” – is a type of software system that provides transactional functionality to users over the Internet. The most important feature of the system is them decentralized character – usually provided in blockchain database system.

Blockchain and “cryptocurrencies” have become major elements of the global spirit of the times recently; usually as a result of the “price” of bitcoin rapid growth. This has forced millions of people to participate in the market, and many of the “bitcoin exchanges” are under severe infrastructure strain as demand grows.

The most important point to be aware of about “crypto” is that, although it actually serves a purpose (cross-border online transactions), it does not provide any other financial benefit. In other words, his “intrinsic value” is steadily limited by his ability to do business with other people; NOT in preserving / disseminating value (which most people see in this).

The most important thing you need to realize is that Bitcoin and the like are similar payment networks – NOT “currency”. It will be covered deeper in a second; The most important thing to realize is that “getting rich” with BTC does not mean improving the economic situation of people – it’s just a process of being able to buy “coins” at a low price and sell them more expensive.

To this end, looking at the “crypt”, you must first understand how it actually works, and where its “value” really lies …

Decentralized payment networks …

As mentioned, the main thing to remember about “Crypto” is that it’s mostly a decentralized payment network. Think Visa / Mastercard without a central processing system.

This is important because it highlights the real reason why people have really started to look more deeply at the Bitcoin offer; it gives you the ability to send / receive money from anyone from around the world as long as they have a Bitcoin wallet address.

The reason this attributes a “price” to various “coins” is the misconception that “Bitcoin” will somehow give you the opportunity to make money by being a “crypto” asset. This is not the case.

The ONLY The fact that people made money on bitcoins was due to the “increase” of its price – buying “coins” at a low price and selling at a MUCH more expensive. Although many people did well, it was actually based on the “big fool theory” – in essence, arguing that if you manage to “sell” the coin, it will be “bigger fool” than you.

This means that if you want to engage today in a “crypto” space, you are essentially looking to buy any of the “coins” (even “alternative” coins) that are cheap (or inexpensive) and enjoy their price rising while you will not sell them later. Since none of the “coins” are backed by real assets, it is not possible to estimate when / when / how it will work.

Future growth

For all intents and purposes, “Bitcoin” is a expended force.

The epic rally of December 2017 showed mass acceptance, and while its value is likely to continue to rise in the $ 20,000 + range, buying one of the coins today will be basically a huge game that will happen.

Smart money is already considering most “alternative” coins (Ethereum / Ripple, etc.) that have a relatively small price but are constantly rising in price and distribution. The main thing to look at in modern “crypto” space is how different “platform” systems are actually used.

Such is the rapid “technological” space; Ethereum and Ripple look like the next “bitcoin” – with a focus on how they can enable users to actually use “decentralized applications” (DApps) on top of their core networks to get the functionality working.

This means that if you look at the next level of “crypto” growth, it will almost certainly come from different platforms that you can identify.

Cryptocurrency for beginners

In the first days of its launch in 2009, several thousand bitcoins were used to buy pizza. Since then, the rapid rise of cryptocurrency to $ 65,000 in April 2021 after losing heart in mid-2018, falling about 70 percent to about $ 6,000, has stunned the minds of many people – cryptocurrency investors, traders or just curious. missed the boat.

How it all started

Keep in mind that dissatisfaction with the current financial system has led to the development of digital currency. The development of this cryptocurrency is based on the Satoshi Nakamoto blockchain technology, an alias that is apparently used by a developer or group of developers.

Despite many opinions predicting the death of cryptocurrencies, the performance of bitcoin has inspired the creation of many other digital currencies, especially in recent years. The success of crowdfunding caused by the blockchain fever has also attracted those to deceive unsuspecting audiences, and it has attracted the attention of regulators.

Except bitcoin

Bitcoin has inspired the launch of many other digital currencies. There are currently over 1,000 versions of digital coins or tokens. Not all of them are the same, and their values ​​are very different, as is their liquidity.

Coins, altcoins and tokens

At this point, suffice it to say that there are subtle differences between coins, altcoins, and tokens. Altcoins or alternative coins usually describe things other than the original bitcoin, although altcoins such as etherium, lightcoin, ripple, dogecoin and dash are considered the “main” category of coins, meaning they are traded on more cryptocurrency exchanges.

Coins serve as currency or a repository of valuables, while tokens offer the use of assets or useful assets, an example being a blockchain service to manage supply chains to check and track wine products from the distillery to the consumer.

It’s worth noting that low-value tokens or coins offer opportunities to raise, but don’t expect similar flatulence growth like bitcoin. Simply put, lesser known tokens are easy to buy but hard to sell.

Before embarking on cryptocurrency, start by studying the value and technological considerations, namely the commercial strategies outlined in the White Paper that accompanies each initial coin offering or ICO.

For those familiar with stocks and stocks, this is not unlike an initial public offering or IPO. However, IPOs are issued by companies with tangible assets and business experience. All this is done in a regulated environment. On the other hand, the ICO is based solely on the idea proposed in the White Paper by an enterprise that is not yet operational and without assets, which is looking for funds to launch.

Unregulated, so buyers be careful

“It is impossible to regulate what is unknown,” – probably summarizes the situation with digital currency. Regulators and regulators are still trying to catch up with cryptocurrencies that are constantly evolving. The golden rule in cryptospace is “caveat emptor”, let the buyer beware.

Some countries openly adopt policies to deviate from cryptocurrencies and blockchain applications, while monitoring for open fraud. However, there are regulators in other countries who are more concerned with the pros than the pros of digital money. Regulators typically understand the need to maintain balance, and some are reviewing existing securities laws to try to deal with the many varieties of cryptocurrencies around the world.

Digital wallets: the first step

A wallet is needed to get started in cryptocurrency. Think of e-banking, but minus the protection of the law in the case of virtual currency, so security is the first and last thought in cryptospace.

Digital type wallets. There are two types of wallets.

  • Hot wallets are connected to the internet, exposing users to the risk of hacking

  • Cold wallets that are not connected to the internet and are considered safer.

Apart from the two main types of wallets, it should be noted that there are wallets for only one cryptocurrency and others for several cryptocurrencies. It is also possible to have a wallet with multiple signatures, something like a joint bank account.

The choice of wallet depends on the user’s preferences, whether he is interested exclusively in bitcoin or etherium, as each coin has its own wallet, or you can use a third-party wallet that includes security features.

Notes in the wallet

The cryptocurrency wallet has a public and private key with personal transaction records. The public key includes a link to the account or cryptocurrency address, as opposed to the name required to receive the check payment.

The public key is available to everyone, but transactions are only confirmed after verification and verification based on a consensus mechanism that applies to each cryptocurrency.

The private key can be considered a PIN code, which is commonly used in electronic financial transactions. It follows that the user should never give out a private key to anyone and make backup copies of this data, which should be stored offline.

On a hot wallet it makes sense to have a minimum of cryptocurrency, and in a cold wallet more. Losing a private key is just as good as losing your cryptocurrency! The usual precautions are applied to online financial transactions: from strong passwords to malware and phishing alerts.

Wallet formats

Different types of wallets are available according to individual preferences.

  • Hardware wallets made by third parties that need to be purchased. These devices work like a USB device that is considered secure and only connects to the Internet when needed.

  • Web wallets provided by, for example, cryptocurrencies are considered hot wallets that put users at risk.

  • Software wallets for desktops or mobile phones are mostly available for free and can be provided by coin issuers or third parties.

  • Paper wallets can be printed with relevant data on cryptocurrency owned with public and private keys in QR code format. They need to be kept in a safe place until they are needed during a crypto transaction, and copies should be made in case of accidents such as water damage or printed data over time.

Crypto exchanges and marketplaces

Cryptocurrencies are trading platforms for those who are interested in virtual currencies. Other options include websites for direct trade between buyers and sellers, as well as brokers where there is no “market” price, but it is based on a trade-off between the parties to the transaction.

Thus, there are many cryptocurrencies located in different countries, but with different standards of security practices and infrastructure. They range from those that allow anonymous registration, which only requires email to open an account and start trading. However, there are others that require users to comply with international verification requirements known as Know-Your-Customer and Anti-Money Laundering (AML) measures.

The choice of crypto-exchange depends on the preferences of users, but anonymous may have restrictions on the amount of trade allowed or fall under sudden new rules in the host country of the exchange. Minimum administrative procedures with anonymous registration allow users to start trading quickly, and the KYC and AML processes will take longer.

All crypto transactions must be properly processed and verified, which can take from a few minutes to several hours, depending on the coins or tokens being traded and the volume of the trade. As you know, the problem of scalability is a problem of cryptocurrencies, and developers are working to find a solution.

Cryptocurrency exchanges are divided into two categories.

  • Fiat cryptocurrency Such exchanges provide for the purchase of fiat cryptocurrency by direct transfers from bank or credit and debit cards, as well as through ATMs in some countries.

  • Only cryptocurrency. There are cryptocurrency exchanges that deal only with cryptocurrency, which means that customers must already own cryptocurrency – such as bitcoin or etherium – to “exchange” for other coins or tokens, based on the market rate.

Fees are levied to facilitate the buying and selling of cryptocurrencies. Users need to conduct a survey to be satisfied with the infrastructure and security measures, and to determine the tariffs that are convenient for them, as different rates are charged on different exchanges.

Don’t expect a total market price for the same cryptocurrency with differences. You may want to spend time researching the best price for coins and tokens that interest you.

Financial transactions on the Internet carry risks, and users should consider precautions such as two-factor authentication or 2-FA, be aware of the latest security measures and be aware of phishing scams. One golden rule of phishing is not to click on the links provided, no matter how authentic the message or email is.

Thinking about investing? Think like bitcoin

What is Bitcoin?

If you’re here, you’ve heard of bitcoin. It has been one of the most frequent headlines in the last year or so – as a scheme of rapid enrichment, the end of finance, the birth of a truly international currency, as the end of the world or as a technology that has improved the world. But what is Bitcoin?

In short, Bitcoin is the first decentralized money system used for online transactions, but it will probably be useful to dig a little deeper.

We all know, in general, what “money” is and what it is used for. The most significant problem observed in the use of money for bitcoin is related to a centralized and controlled by one entity – the centralized banking system. Bitcoin was invented in 2008/2009 by an unknown creator who wears the pseudonym “Satoshi Nakamoto” to bring decentralization of money on a global scale. The idea is that currency can be traded internationally without any difficulty or fees, checks and balances will be distributed around the world (not just in the books of private corporations or governments), and money will become more democratic and equally accessible. for everyone.

How did bitcoin start?

The concept of bitcoin and cryptocurrency in general was created in 2009 by an unknown researcher Satoshi. The reason for his invention was to address the issue of centralization in the use of money, which relied on banks and computers, an issue that did not satisfy many informants. Since the late 1990s, attempts have been unsuccessful to achieve decentralization, so when Satoshi published a document in 2008 presenting a solution, it was very welcome. Today, bitcoin has become a common currency for Internet users and has generated thousands of “altcoins” (cryptocurrencies that are not part of bitcoin).

How is Bitcoin produced?

Bitcoin is produced through a process called mining. Just as paper money is made by printing and gold is mined from the ground, bitcoin is created by “mining”. Mining involves solving complex mathematical problems regarding blocks using computers and adding them to a public book. When it started, mining required a simple processor (such as on your home computer), but the level of complexity has increased significantly, and now you will need specialized equipment, including a high-end graphics processor (GPU), to extract Bitcoin.

How to invest?

First you need to open an account on the trading platform and create a wallet; you can find some examples by searching Google for “Bitcoin Trading Platform” – they are usually called “coin” or “market”. After joining one of these platforms you click on the assets and then click on the crypto to select the desired currency. There are many indicators on every platform that are very important and you need to make sure you keep them before you invest.

Just buy and keep

Although mining is the most reliable and, in a sense, the easiest way to earn bitcoin, there is too much fuss, and the cost of electricity and specialized computer equipment makes it inaccessible to most of us. To avoid all this, make it easy for yourself, enter the desired amount directly in your bank and click “Buy”, and then sit back and watch your investment increase as prices change. This is called an exchange and takes place on many exchange platforms available today, with the ability to trade between different fiat currencies (USD, AUD, GBP, etc.) and different cryptocurrencies (Bitcoin, Ethereum, Litecoin, etc.).

Bitcoin trading

If you are familiar with stocks, bonds or Forex exchanges, then you will easily understand crypto-trading. There are bitcoin brokers such as e-social trading, FXTM markets.com and many more to choose from. The platforms provide you with Bitcoin-Fiat or Fiat-Bitcoin currency pairs, for example, BTC-USD means bitcoin trading on US dollars. Watch for price changes to find the perfect pair depending on price changes; platforms provide price among other indicators to give you the right trading tips.

Bitcoin as a stock

There are also organizations set up to allow you to buy shares of companies that invest in bitcoin – these companies trade back and forth, and you just invest in them and wait for your monthly income. These companies simply pool the digital money of different investors and invest on their behalf.

Why should you invest in Bitcoin?

As you can see, investing in bitcoin requires a basic knowledge of the currency, as explained above. Like all investments, it involves risk! The question of whether to invest or not is entirely up to the individual. However, if I wanted to give advice, I would advise investing in bitcoin for the reason that bitcoin continues to grow – although there has been one significant period of boom and bust, it is very likely that cryptocurrencies in general will continue to grow. value growth over the next 10 years. Bitcoin is the largest and best known of all modern cryptocurrencies, so it is a good place to start and the safest bet at the moment. Despite the instability in the short term, I suspect you will find that Bitcoin trading is more profitable than most other businesses.

Easy ways to buy and invest in bitcoin

What is Bitcoin?

Bitcoin is a decentralized peer-to-peer digital currency system designed to enable Internet users to process transactions using a digital exchange unit known as bitcoin. In other words, it is a virtual currency.

The Bitcoin system was created in 2009 by undisclosed programmers. Since then, bitcoin has attracted a lot of attention as well as controversy as an alternative to the US dollar, the euro and commodity currencies such as gold and silver.

Growth to popularity

Until 2009, bitcoin did not attract much attention in the world of business and finance. He became famous in the period 2011-2012, when he scored more than 300%. Since August last year, the value of bitcoin has risen by 400%. As a result, venture capitalists and investors around the world continue to attach importance to cryptocurrency.

In the first half of 2014, venture capital companies invested $ 57 million in bitcoin in the first quarter, and another $ 73 million in the second quarter, for a total of $ 130 million, up 50% from $ 88 million last year. This is the complete opposite of the 2012 scenario, when bitcoin firms raised a relatively meager $ 2.2 million.

This statistic undoubtedly proves that bitcoin is worth your investment, and the question arises, how can you buy and invest in bitcoin?

A Guide for Beginner Bitcoin Investors

The easiest and least difficult way to invest in bitcoin is to buy bitcoin. There are many established firms, mostly in the US as well as abroad, engaged in buying and selling bitcoins, abbreviated BTC.


If you live in the US, Coinbase is the place you are looking for. Coinbase provides its customers with BTC with an approximate markup of 1% of the current market price. Residents of the United States have the ability to sync their Coinbase wallets with their bank accounts. As a result, future payment transfers go smoothly. This company also gives you the ability to automatically buy bitcoins from time to time. For example, if you want to buy $ 50 in bitcoins at the beginning of each month, Coinbase allows you to set up an automatic purchase for that amount.

Please read the terms and conditions before using this service. If you have subscribed to an automated bitcoin service, then you will not be able to control the price at which BTC is bought every month. Note that Coinbase does not function as a Bitcoin exchange, meaning you buy and sell coins directly to firms. Because the firm has to supply coins to other buyers, you may face delays or failures when placing orders during rapid market movements.


BitStamp meets the requirements of a regular bitcoin exchange. Bitcoin acts as an intermediary that allows you to trade with other users rather than with the company itself. Here liquidity is higher and you always have a good chance of finding someone who is willing to trade with you. There is an initial commission of 0.5%, which can be reduced to 0.2% if you trade $ 150,000 in 30 days.

Alternative ways to purchase bitcoins

Local bitcoins

Exchange is not the only way to invest in bitcoin. Local bitcoins are often used to purchase BTC offline. The site is designed to connect potential buyers and sellers. Bitcoins are kept by the seller on deposit and can only be given to buyers.

Buying bitcoins offline is not always very reliable and secure. So it’s best to meet with sellers in the afternoon and let a friend tag you just in case.

Bitcoin is not just a modern trend. Venture capital firms consider bitcoin a worthy replacement for ordinary currency in the long run. For you, there are useless ways to enter the realm of investing in bitcoin. As mentioned earlier, Coinbase, BitStamp and Local Bitcoins are the most popular channels for investing in bitcoin in the United States. Do your homework and find out which avenue supports all your frames.

Is the bull market early or the bear market?

For virtual currency investors, the more important question is whether this round of rising currency prices is a restart of the bullish market or a bearish trap.

Last night the price of bitcoin rose in just an hour. The price has risen from violence to about $ 6,800 to a high of $ 8,100. During the day it grew by almost 20%. Bitcoin-led other virtual currencies have also led to a strong rebound, with profits from a single currency even exceeding 50%. Faced with the collective warming of the virtual currency market, many investors have shouted that the “bull market is back”.

According to CoinMarketCap, the market value of bitcoin rose by almost $ 20 billion during the day, and the entire virtual currency market also experienced overall market growth. There was no “search” effect. According to the daily volume of bitcoin transactions, which exceeds 9 billion US dollars, billions of additional funds should enter the market yesterday, not equity funds.

In fact, during the Bitcoin boom, Bitfinex, a digital currency trading platform, also recorded a number of major purchases. With the increase in bitcoin purchases, many shorts were forced to close their positions, which further broadened the growth trend of the market. Nick Kirk, director of Cypher Capital, also praised the phenomenon. At the same time, he also believes that this sharp rebound is likely to be a response to the removal of early regulatory pressure.

Pantera Capital Management, one of the world’s largest digital currency hedge funds, said bitcoin has hit rock bottom. $ 6,500 is the lowest point for the bitcoin bear market. For most of this year, bitcoin will be above that price and may even exceed a record high of $ 20,000 last year.

Fundstrat founder Tom Lee also expressed confidence in Bitcoin. He believes that the current Bitcoin P / B ratio and other figures are almost the same as in the bear market at the end of 2014, and has formed an important technical correction. Based on this, he said that the value of bitcoin could more than triple this year and rose to $ 25,000 later this year.

Historical data show that bitcoin did grow in the second quarter of the calendar year. In the second quarter of 2011, bitcoin rose by as much as 1964%, 36.25% in 2012 … 61.98% in 2016 and 131% in 2017.

Of course, the volume of Bitcoin OTC is also showing signs of market recovery. Since March, bitcoin trading in Canada, Europe, Vietnam, Mexico and Vietnam has grown and reached record highs.

With the consistent admission of major financial institutions such as the hedge fund giant Soros and the leading financial group of the Rockefeller family, the financial size of the virtual money market will be further expanded.

However, it should be noted that although bitcoin is currently experiencing strong growth, it is still in the downtrend channel and has not yet been effectively broken. It remains to be seen whether the virtual currency market has really changed. Investors should always be vigilant and pay attention to position management.

More importantly, major global Bitcoin markets, including the US, have sought to create a regulatory framework. Uncertainty of regulation will inevitably have a greater impact on the short-term development of the virtual currency market. In the long run an orderly, healthy market can go even further.