Only a couple of years ago nobody cared much about cryptocurrency but now it’s considered the major advancement and the technology of the future. The list of possible benefits and use cases could be endless. While the first cryptocurrency is still the most widely accepted as a means of payment and a long-term investment, those who want to enter the space prefer doing it through investing in Bitcoin.
Bitcoin is the first-ever cryptocurrency and has been on the market for a decade now. Being the most established of all, it looks trustworthy and attractive to the vast majority of investors. It was Bitcoin that introduced the key benefits of blockchain technology to the world. Due to its decentralized and permissionless nature, Bitcoin can act as a universal payment method that eliminates intermediaries and unnecessary fees associated with them. Bitcoin transactions are transparent and secure, which is another draw.
Bitcoin was designed to replace traditional money, and it has all chances to embody this intention as it provides transactions that are cheaper, faster, and safer. It doesn’t function like actual money to the extent it was meant to do but is rather considered a profitable investment asset now. However, one thing doesn’t necessarily exclude the other – we can expect cryptocurrency to be both a means of payment and a store of value.
Ways to buy Bitcoin
As the cryptocurrency market is maturing and expanding, the number of options to purchase coins is growing. Ultimately, you can buy Bitcoin online on the exchange platforms and offline in land-based stores and ATMs – indeed, this option is available but not in every country, so be sure to check it first. To make the best choice, you should define what your top priority is – convenience, speed, flexibility, security, etc.
The largest volume of transactions accrues to centralized cryptocurrency exchanges. But why does it matter? If the exchange boasts large trade volumes, it means that it has a liquid market, and thus offers a more affordable price. With this in mind, you should look no further than the industry leader. CEX.IO is among the most reputable services where you can buy your first Bitcoin or some altcoins with fiat.
The process of setting up an account with CEX.IO is pretty simple. You should go to their official website located at https://cex.io/ and find the Register section, where you will be provided with several registration options – via email or social media. Mind, however, that you will not be able to conduct any trading operations until you prove your identity. Once the verification process is done, you are all set to start investing in Bitcoin.
The best thing about CEX.IO is that it is perfectly tailored to the diverse users’ needs. If you are a newbie investor that is only testing the cryptocurrency waters, then the option of purchasing Bitcoin with a credit card through an ‘instant buy’ section is exactly what you need. The principle behind this service is simple:
- Jump to https://cex.io/buy-bitcoins
- Choose a pre-set buy offer or define the custom one
- Click Buy
- Get the purchased amount of Bitcoin in an instant
However, if you are no new to the cryptocurrency market and know it inside out, you will be thrilled to learn that CEX.IO owns a multifunctional trading platform. Their marketplace covers not only Bitcoin; the traders are free to choose among the major altcoins as well. Top it all, the platform offers the functionality of margin trading and automated trading via APIs. Seasoned traders will appreciate it for sure!
Centralized exchanges cover 99% of all crypto deals, but it’s expected that the alternatives will rise soon. Decentralized exchanges seem to correspond better to the general idea of crypto, as they have no single server processing the transactions and no company controlling them. These platforms don’t even store customers’ assets. Instead, they connect users with the matching orders and allow them to buy and sell Bitcoin directly, on the peer-to-peer basis. Local Bitcoins, Bisq, Paxful are some of the most notable examples of decentralized Bitcoin marketplaces.
There is bad news for those looking to use a peer-to-peer exchange, though. Decentralized marketplaces do not generally comply with government regulations and thus lack policies for customer protection. However, they offer premium privacy and anonymity.
ATMs and stores
Even though Bitcoin represents digital money, you can buy it offline. Although the number of retail stores that make it possible to buy Bitcoin is rising, this method is still not so popular. This option has become a reality primarily in the US thanks to LibertyX that has a large network of local stores.
However, the case is way different with Bitcoin ATMs. According to Coinatmradar, over 70 countries allow their citizens to get Bitcoin in such a way. Overall, there are around 4,000 ATMs worldwide.
To sum it up
Now that you know the common ways of purchasing Bitcoin, you can easily get some and start exploring the cryptocurrency space. No matter which approach you eventually choose, always remember about security. First of all, set up a private wallet and protect it with two-factor authentication. While searching for a proper exchange or store, check the reviews and user feedback.
Once you are a proud Bitcoin owner, you can just hold it expecting high returns or start trading for other cryptos and fiat. Still, stick to the golden rules of the cryptocurrency market and never invest more than you can afford to lose.