Bitcoin is a cryptocurrency and a payment system, first proposed by an anonymous person or group of people under the name Satoshi Nakamoto in 2008. Bitcoin uses peer-to-peer technology to operate with no central authority or banks; managing transactions and the issuing of bitcoins is carried out collectively by the network.
Bitcoin is open-source; its design is public, nobody owns or controls Bitcoin and everyone can take part. Through many of its unique properties, Bitcoin allows exciting uses that could not be covered by any previous payment system.
How do I purchase a bitcoin?
The process of buying bitcoin is quite simple. If you’re new to cryptocurrency exchanges then you’ve come to the right place.
Here’s a step-by-step guide on how to buy bitcoin.
1. Choose your exchange
The first thing you need to do is choose a reputable bitcoin exchange. There are many exchanges out there but we recommend using Coinbase, Gemini, or Kraken.
All three exchanges are regulated and allow you to buy bitcoins with a credit card or bank transfer.
2. Create an account and verify your identity
Once you’ve chosen your exchange, click on the “Sign Up” button and enter your personal information. You will need to verify your identity before you can buy bitcoins.
Most exchanges will require you to upload a picture of your ID and sometimes also a selfie while holding your ID. This is done for KYC (know your customer) purposes to prevent money laundering and fraud.
3. Deposit money into your account
Once your account has been verified, you can now deposit money into it. The amount of money you can deposit will depend on the exchange but most will allow you to deposit fiat currency (like USD, EUR, GBP) using a wire transfer or credit/debit card. The funds will then show up in your account and you can start buying bitcoins!
4. Buy bitcoins!
Now that you have deposited money into your account, it’s time to start buying bitcoins! On most exchanges, simply click on the “Buy/Sell” tab at the top of the page and enter the amount of bitcoins you want to buy and select “Buy Bitcoins”. The bitcoins should then show up in your account within minutes! And that’s it, you’re now the proud owner of some bitcoins!.