It’s completely normal to finally gain somewhat of an understanding of Bitcoin, and then immediately have the urge to purchase as many bits as your finances will allow you. Well your should hold your horses before hopping on the Google machine and searching for “where to buy Bitcoin with credit card”.
We’re not saying that it is a bad decision to invest in bitcoins, just that you need to do your research before you get in over your head with cryptocurrencies. It is important to first learn about the basics of Bitcoin and fully understand things like:
- What is Bitcoin?
- Are bitcoins actually worth anything?
- Are Bitcoin transactions anonymous?
- What are the methods for purchasing bitcoins?
- Are there any major retailers that accept Bitcoin as a payment method?
What is Bitcoin?
Bitcoin is a purely virtual form of money that can be exchanged between two online users without the need for a middle man, like a bank or e-wallet. Some people refer to bitcoins as “cash for the internet” – you can’t actually hold bitcoins in your hand like you can with a $100 bill or a quarter.
Are bitcoins actually worth anything?
The fact that bitcoins operate entirely on the internet is what sketches some people out and leads to the belief that Bitcoin isn’t actually real money. However, Bitcoin is indeed real money. In fact, it is worth a great deal and depending on the current value of Bitcoin, you could be looking at a gold mine when you make an investment into this cyber cash.
Are Bitcoin transaction anonymous?
No. It is commonly believed that Bitcoin transactions are 100% untraceable and anonymous, but is act performed over the internet actually untraceable. No, it is not. There is still a perk of using Bitcoin over any other payment method, though. Even though Bitcoin transactions can be traced through something called the blockchain, there is no personal or financial information actually on record.
When making a Bitcoin transaction, you will never have to include things like bank details or credit card information. There is no need to include names, social security numbers, or home addresses. So in reality, none of your personal information is really at risk when sending, receiving, or trading bitcoins.
What are the methods for purchasing bitcoins?
Purchasing bitcoins – and any other form of cryptocurrency for that matter – is super simple. There are several methods for Bitcoin investment. You can use real money like US dollars or Thai baht, to purchase coins through official Bitcoin exchanges or private sellers. You might already be familiar with some of the popular exchanges, like Coinbase and Coinflip.
Are there any major retailers that accept Bitcoin as a payment method?
Absolutely. More retailers than ever before are accepting Bitcoin payments, which is extremely smart on their part. Bitcoin used to be the ultimate payment method for the online black market for illegal goods, but this is no longer the case. You can use your coins at major retailers like Overstock, Amazon, and WordPress. Some Etsy vendors will even accept your bits.