Bitcoin has been hitting record highs this year. It is projected to keep growing and could be worth as much as quarter a million by 2021. Here is how you can buy some right now.
Thus far, the value of Bitcoin is at about $17,000. It has maintained this average value by going a bit higher or lower in the last few days.
Any investment is risky, but most experts see Bitcoin as being quite volatile. Its value changes drastically from day to day. As recent days have shown, past performance does not predict what the future will be. This is also true for the stock market. However, if you are willing to buy a stake in this currency, it is quite possible to do so. Here is how you can achieve this.
Get Yourself a Wallet
The bitcoin wallet can be physical or a program that you download onto your computer. This wallet will hold the keys; the unique strands of numbers that let you access your coins. At some wallets, you can even purchase Bitcoin directly on the site. Others simply work as storage for your Bitcoin.
Choose where to Purchase
Now that you have a wallet, decide where you will get your Bitcoin. To do this, you will need to visit a bitcoin exchange. This will allow you to purchase, store, and trade your Bitcoin at one location. Today there are many large and trusted bitcoin exchanges such as Coinbase, eToro, BITTREX, iq option, LocalBitcoins, CEX.IO, EtherDelta, and many others.
Bitcoin exchanges are usually quite easy to use. Once you have created your account, you will then be required to choose the mode of payment. Most exchanges will allow you to use a debit or credit card to buy bitcoin. The exchanges usually have a weekly cap, which is mainly dependent on the payment option you choose. If you link up your bank account with most exchanges, you will be able to trade more. However, transactions may take longer.
After finding a bitcoin exchange that you like, decide how much you want to spend in dollars. Since Bitcoin is worth so much today, you are able to purchase just a small fraction of this asset. Besides buying the Bitcoin, you will also be required to part with a small amount as a transaction fee for the cost of running the exchange.
Once you send your banking information to a bitcoin exchange, you need to secure it. For instance, ensure that you have two-factor authentication enabled. You can do this by using an app such as Google Authenticator. This is better than using your phone number. Then hackers would only need access to your phone number to steal your bitcoin wallet.
That is all you need to get started in Bitcoin. However, you should also think whether it is worth the risk. Wisdom would suggest when prices are low and sell high. However, many experts are still quite skeptical about it. However, if you think it is worth it, you can start with a small amount and proceed from there.
Do you think investing in Bitcoin will pay off in the long term? Leave us your thoughts below.