Bitcoin is one of the most exciting and innovative inventions of our time, but there are growing concerns and confusion surrounding this digital currency. Many people are interested in buying bitcoins but aren’t sure if it’s safe to buy bitcoin online. This article will show you some tips for buying bitcoins safely.
Be aware that you need to be careful with your hard-earned money. With this in mind, let’s get started.
1. Buy From a Trusted Source
First, you need to buy BTC from a trusted online store. Check the feedback on the transaction that you’re making. It would help if you bought bitcoins only from stores with many positive transactions and user-positive reviews on their website. Here are some of the things to look out for:
- Online stores that offer high-quality service in exchange for bitcoins
- Online stores with multiple payment options so that you can pay with different payment methods. If a store offers to store your bitcoins for you and offers to purchase them for you, this is a good sign that the store is trustworthy.
- Stores that offer refund policies, which means they can replace the product or service they sell if these are not satisfactory to their clients.
- Shops selling bitcoins for less than a 10% premium on market prices. Websites offering bitcoins at high premiums are likely to be scams and impostors.
- Stores that have no history of transactions or have a suspicious history of transactions are likely to be scams and impostors. Contact the merchant before investing in them and see if you can get some honest customer feedback that can help you decide if this is a website to trust or not.
2. Pick Your Payment Method Wisely
The payment methods should offer protection in case the seller fails to deliver what he promised. There are a lot of payment methods that you can choose from, and it’s all about finding the one that suits you the best:
These digital wallets store your bitcoins offline and allow you to spend them through a secure payment transfer. Some online wallets store your bitcoins in the cloud, while others store your bitcoins in a physical computer-based wallet. They are available for Windows, Mac OS X, Linux operating systems, Android, and iOS smartphones.
Paper and Hardware Wallets
These are physical devices designed to protect your bitcoins and make them portable simultaneously. If you’re not tech-savvy, then a paper or a hardware wallet will be the best choice.
If you’re from an approved country, then a credit card will be the easiest and the most secure payment method on bitcoin exchanges. Bitcoin exchanges partnered with some banks to allow you to make deposits to your exchange account with your credit card.
Cash is probably the oldest and the most-trusted method of payment to buy BTC. This payment method has security and a privacy edge over other payment methods.
It is probably one of the most convenient online payment methods, although it’s not very secure or private. You can send money through Paypal, but it’s a hassle because you will have to verify your identity every time you purchase or send a payment.
3. Information is the key
Before you buy bitcoins, you should know what to do with them. So, here are some things you can do with a bitcoin:
The most common way to use bitcoins is by trading them for other currencies or making trades on the exchange. You can also use bitcoin as an investment and hedge against your country’s currency volatility.
A secure way to save your bitcoins is by getting a paper wallet. You can easily print one and send it offline to keep your bitcoins safe and secure.
When you buy something on any online store with bitcoin, you’re essentially buying bitcoins since the online stores that accept bitcoins usually exchange them for cash.
You can use your bitcoins to pay for different transactions, purchases, and services.
You can also list your business on a peer-to-peer network, where other people will be able to pay you with bitcoins and vice versa.
4. Practice Makes Perfect
The most important thing you need to do when buying bitcoins is not to lose money since that would be a significant setback for the idea of using bitcoin.
Start with small amounts of bitcoins. The best bitcoin broker would let you buy a few worths of bitcoins and trade them for other currencies, including fiat money. This way, you will learn how to use the digital coins’ features to your advantage and evaluate a bitcoin’s price.
You can also check the company’s legitimacy, how long it has been operating, what kind of experience it has with transactions, and how many members are in its customer base.
5. How To Choose the Proper Bitcoin Exchange
You must consider three things when choosing a bitcoin exchange that will help you make the right choice. These are:
- Capital. It would help if you chose an exchange where the company is reliable and has enough capital to avoid experiencing long delays in your transactions.
- Technology. It would be best if you chose an advanced exchange that uses the latest technology to protect your transactions, secure and fair.
- Customer service. Choose an exchange where you can get reliable customer service support.
Investing in bitcoin can be tempting, but you should do it cautiously. This is especially true when you’re inexperienced in online financial transactions. But, if you research and use the right bitcoin exchange, you can enjoy a secure trading environment and a high success rate in all your transactions. So, if you want to start buying bitcoins, follow this guide.