A simple guide to buy Bitcoin

If you have decided to purchase Bitcoins but do not know what the steps are to doing it right you should refer to a simple guide. There are some prerequisites to buying cryptos and researching these would help you to face the challenges that may arise in your initial days as a crypto investor or trader.

Steps needed to buy the Bitcoin:

  • To start with, you will have to create a digital wallet for storing the Bitcoin. The Bitcoin wallet simply acts as storage similar to an ordinary wallet that holds your currency notes and coins. You can choose from different wallet options; software wallet, hardware wallet, online or offline storage, mobile wallet, desktop wallet and paper wallet. When you are trading every day, you can opt for the online wallet, although steps to creating this are slightly longer. The wallet is needed to make sure that whatever Bitcoins you own are not taken by anyone else; this is why there are “private keys” that work like passwords and give you exclusive access to your money.
  • Your next job is to create an account for trading at any of the leading cryptocurrency exchanges. These trading platforms will accept your fiat money and then give you cryptos like Bitcoin in exchange. Since the exchange delivers the cryptos to you, they will have a price and transaction fees attached to every buy order. This explains why such exchanges are called broker exchanges, like Binance, Coinbase, Coinmama, etc. You must consider factors like the location and fee structure before deciding on an exchange. If you're looking for the best bitcoin trading platform in the UK, check the list, which highlights the best platforms based on minimal fees and commissions. With these platforms, you can trade in a cost-effective manner while reducing your time commitment. People from different countries can choose the bitcoin exchange that corresponds to their region because there are several bitcoin exchanges available in different countries. Traders in Australia should check out the best crypto exchange Australia, which offers user-friendliness and low transaction fees while keeping your bitcoin money safe.
  • Once you have selected an exchange, you must register for an account and complete all security checks. These verification criteria may vary from one platform to another; but, in general, you will be required to visit the exchange website’s home page and use the “register” button to get started. You will be prompted to provide your email ID, type in a password, and the exchange then sends you confirmation emails.
  • On your dashboard, you will find multiple steps mentioned for completing the registration process before you can actually buy the Bitcoin. These steps may not be the same for all exchanges but they will include relevant anti-money laundering measures and KYC rules of the place where it is located. Some exchanges will ask for your phone number for dual-factor authentication. 2FA is preferred as it is an additional layer of security that can be comforting for the buyer. You may be asked to scan your ID and put up an image like in a driver’s license or passport.
  • After the registration is over, you can choose your payment method; whether you wish to opt for bank transfers, credit or debit cards, etc for buying Bitcoins. Credit cards are suited for larger purchases since their transaction fees are higher.
  • You must connect your bank account to this wallet for sending and receiving payments. Transfer fees will be lower than 1% and many exchanges do not even charge users for this.
  • You must then select an amount to deposit and transfer this to the exchange; card purchases will be instant but bank transfers may take a while.
  • Finally, you can use your money in the wallet for buying Bitcoins. All you have to do is click on the “Buy” option and wait for the transaction’s approval. If you do not wish to invest a lot of money at the start, you can even buy a fraction of the Bitcoin.