You might have heard the term Bitcoin but not sure what it is and how to use it. Moreover, Bitcoin payment method has become more of a controversial by and large these days. So, common people with less understanding of this secure payment method often avoid it because of the wrong word of mouth. This drove us to write a guide about Bitcoin to supply you the right information on how to use it for secure online transactions.
Money transactions have always been a matter of big concern for the people. Especially when everything has switched to online mode; however, it has brought a great convenience for the people, but the security loopholes in the so-called secure online transactions that have caused harm to many people, losing their finances online. To that end, a decentralized payment method, Bitcoin is developed to make the online transaction experience way more secure than online banking.
This makes all the difference; it is the first ever digital payment method that does not need any intermediate party like banks to rely on. In fact, it is an open source and decentralized program of online transactions for the global market. The best part is, it only requires a device to connect the internet in a bid to participate. But, this secure method is widely misunderstood by many people, and there are many confusions about it like whether or not it is legal, safe or reliable. On the same token, we have brought this Bitcoin guide for to present you with the right piece of information.
(also read THE ULTIMATE PRIVACY GUIDE)
What Is Bitcoin?
You must be aware of plastic money like credit cards or debit cards. But if the reader is a non-technical person then I assume, you might not know what a digital or electronic currency is. The electronic currency is a type of money that’s not any real note but a virtual one. And it is earned, sold or purchased by its value only. Such form of currency is developed with the help of painstaking mathematical computations; which is policed by tons of computer users called miners. In short, it is the electricity that is transformed into long strings of code, having monetary value.
How To Use Bitcoin For Secure Online Transactions?
The very first step in a bid to use Bitcoin is to first get them from any of the following sources.
Buy Some Amount Of Bitcoin Online:
For all the newbies in cryptocurrencies, it is advisable to try the combined Bitcoin wallets in order to get the ball rolling. The websites like Xapo and Coinbase allow you to purchase a small amount of Bitcoin in return of only 1% service charges. But, just like banks they will likely to store your Bitcoin on their server.
Get Enormous Amount of Bitcoin Via Trading Exchange:
On the other hand, if you are thinking to buy $2,000 of Bitcoin, then it is obvious you will want lesser service charges when exchanging it. In the case, you should make use of trading exchanges. They work just like a stock market with bids that change 24/7. Likewise, open the account in exchange is somewhat similar to that of the bank account. However, you will have to look for trading exchange in according to your geographical location because different regions have different exchanges.
Use Bitcoin ATMs:
There is one more option to get Bitcoin that is to use Bitcoin ATMs. These ATMs are in many cities of the world that allow the people to exchange cash for Bitcoins. These ATMs charge a total of 5-8% fees of the Bitcoin value you are trading. You can find the up to date list of Bitcoin ATMs at CoinATMradar.com.
Buy Bitcoins From Acquittance:
To your knowledge, it possible worldwide to do the exchange of cash and Bitcoin with any of your acquittance offline. But here is a morsel of advice for you that is not to trade a huge amount of Bitcoin if you do not trust the person on the other end. You can get your eyes on the local bitcoin dealers around you at LocalBitcoins.
Just like you earn cash out of the goods you have to sell on eBay; there is the same version of eBay for Bitcoins, and that is OpenBazaar. Here you can sell your valuables in exchange for Bitcoins.
However, it is not easy for nontechnical people but let me explain how you can successfully become a Bitcoin miner. You need to first download a mining program like CGMiner on a custom device(PC) that turns the mathematical equation into Bitcoins. Sadly, mining was previously possible for the common individuals, but now it is only for authorized companies.
How To Get Bitcoin Wallets?
Preferably, if you don’t think yourself a technically competent individual then keep your Bitcoins in the account from where you have purchased them. In fact, many non-technical people do this. But, having one’s own Bitcoin wallet is the real beauty of Bitcoins in which you do not need to trust any third party. Similarly, since bitcoin exchanges store huge amount of dollars Bitcoins and it can become a great attraction for the hackers to target. So, keeping your own wallet will save you from such situation. Three kinds of Bitcoin wallets come handy to protect your Bitcoins and are free from hacking and intrusions. (also check How to Secure Your Email-A complete Email Encryption Guide)
Mobile wallets run on the mobile phones and are easy to carry and good for in-store use. It’s because mobile devices are less vulnerable to malicious software, it is easy to have best suitable conditions for small but secure storage of Bitcoin.
One of the most popular web wallets is Blockchain.info. Web wallets are easy to use and always remain available as it is online. All you are required to do is to sign up an account and log in, providing the credentials.
: Such wallets offer you the most foolproof security. It is very wise to store your significant amount of bitcoins even if you are a newbie.
These wallets are highly preferable for long term storage. It possesses a high power of resistance against hacking. In fact, they are a bit cumbersome when it comes to spending Bitcoins.
These are not a good starting place for newbies. Such wallets are that for which Bitcoin was actually conceived. You’ll need to run a local copy of the blockchain to make your transactions anonymous and for secure online transactions.
Why Has It Become Controversial?
Precisely, several reasons have made the Bitcoin payment method the news sensation. It all started back from 2011 till 2013 when a group of criminal crooks popularized Bitcoins by purchasing them in the form of millions of bunches of dollars; in order to shift their black money outside the state without being caught by the agencies. As a result, the value of Bitcoin touched the skies.
No doubt about it, one solid reason of Bitcoins being controversial is that it has the power of making money that is untrackable for the federal bank and empowers the general public to control their money. Moreover, it can never be frozen or scrutinized by the taxation authorities. Hence, it gives the people a secure online transactions experience. (also read 6 REASONS EVERY TRAVELER NEEDS A VPN)
Some Facts About Bitcoin That You Might Not Know:
Take a look at the following facts about Bitcoins that you might not know.
There Is No Chance For Imitation:
It is impossible to defraud or counterfeit in Bitcoin payment method, making it an excellent way of secure online transactions.
Impossible To Block:
It is not possible to block bitcoins, and its wallet can never be frozen.
Transaction At Low Cost:
Not only it facilitates you with secure online transactions but also cost you very nominal as it charges very less.
You Control Your Money:
Here’s the kicker, unlike banking system, Bitcoin does not want you to trust on any third-party involved in between. In fact, it decentralizes the power and enables every individual to control their money easily.
This should be taken as a warning; Bitcoin transactions are irreversible. So, do it carefully because you can’t reverse or refund in this system.
Open Source Program:
Being an open source program makes it stand ahead of all the conventional payment methods, and that is why it provides you a secure online transactions experience.
Bitcoin News Services:
As Bitcoin industry has been evolving, now there are many Bitcoin news portals to keep you updated with the latest changes in values and regulations of Bitcoins.
Conclusion – Bitcoin Security:
Best of all, dealing in Bitcoins is the most secure way of investment, trading or purchasing. It is because you are not physically handing over money that keeps you safe from thieves. Moreover, as you are not relying on any third party, it also reduces the chances of being victimized by hackers or cyber crooks. Even though, many VPNs providers deal in Bitcoin to give you a secure online experience. (also see, 5 Best Bitcoin VPN 2017)