You’re about to get the complete guide to Bitcoin trading guide. While many are successful in it, millions are still unable to master the game. Insidegist9ja has decided to help out in order to help you succeed just like others. This article contains a fast grasp knowledge on the foremost popular cryptocurrency, Bitcoin trading: its History, Some Facts, Creating it, Buying and Selling it.
- Read also: 5 Easy jobs You Can Do To Start Making Money
Bitcoin is actually about series of code (as in programming) with value attached thereto. This value or figures are often exchanged and sold for money (physical cash). Bitcoin is the pioneer of all kind of cryptocurrency that’s alive today.
Bitcoin constitutes about 31,000 thousand lines of code that was created by a man or group of men by the name Satoshi Nakamoto(details unknown). History believed that Satoshi Nakamoto was only an alias employed by the creator. His identity remains unknown as at when he invented the road of code called Bitcoin in early 2009.
Nakamoto’s Bitcoin invention was birthed out of the desire and thought of getting a money flow system whereby authorities, companies, or individuals had control over it’s operation without being traced.
As at early 2017, 1 Bitcoin is worth over $8,500, having almost peaked at $20,000 in 2017.
As at when this piece was made, 1Bitcoin equal 4,328,415.80 Nigerian Naira. Current price of 1 Bitcoin
A Bitcoin Wallet” could also be a specially designed program which allows a user store his/her Bitcoin and also, transfer to other users (merchant or customer) that accepts Bitcoin as a kind of payment. It’s Like your physical currency where you keep your money in your pockets, purse or a wallet.
Transferring of Bitcoin
Transferring of Bitcoin is safe if you can manipulate it. It constitutes encrypted codes for transaction which makes the user have full access thereto. This same encryption guides the creation of latest units also.
How Do I Buy My Bitcoin?
Getting a Bitcoin is much easier than you know. Bitcoin trading works like any other trading. Bitcoin is kind of a commodity (a currency within the important sense of it) that you simply can acquire; Buying it, or Mining (Creating) it.
Creating a Bitcoin trading account is totally simple. It requires you knowing the requirements involved but before that, let’s look at some facts that you need to know about Bitcoin trading.
- Only 12.5 Bitcoin are often mined / created every 10 minutes.
- There are finite Bitcoin — there can only be 21 million Bitcoin alive.The creator, Satoshi Nakamoto, is believed to possess 1 million of Bitcoin.
- In July 2017 alone, the whole amount of Bitcoin in circulation were recorded to be about 16.4 million. •In 21years time, the 21 million cap on Bitcoin quantity is estimated to be reached.
Mining Bitcoin could also be a posh, capital and energy-intensive process backed-up with sophisticated hardware, constant power (electricity) and internet. Insidegist9ja gathered that there are thousands of miners actively mining Bitcoin and each one they’re doing is to completely solve a complicated mathematical puzzle within the space of 10 minutes.
The fastest a miner is during a position to successfully solve a puzzle, he/she gets rewarded with 12.5 Bitcoin (currently worth over 100,000 USD). Miners make money by selling newly generated coin to interested buyers.
Buying and Selling Bitcoin
Since you can’t sell in any supermarket without owning a store, then you’ll have to have a Bitcoin account before starting out as a Bitcoin Marchant. Bitcoin sales and purchase websites are called Bitcoin Exchanges.
The Level of Bitcoin purchase you create determine the type of buyer you’re. Thus the type of buyer you’re determines the type of Exchange you use. Exchanges like Gemini and GDAX affect buyers and sellers of giant volume of Bitcoin.
Coinbase, Kraken, Bitstamp, Paybis are trusted exchange for trading smaller volumes of Bitcoin. In Africa, you’ll buy or sell on Bitkoin Africa.
Note that security and trust should also be a key factor in choosing your Exchange platforms to trade your Bitcoin.
In 2016, Bitcoin worth many dollars were stolen when Bitfinex, a Bitcoin Exchange platform was hacked.
Extreme carefulness Should be applied when choosing your exchange platform. It is also advisable to choose Bitcoin retail exchange platforms (like Poloinex) that verify customers during trade.
Where do I Store My Bitcoin?
Bitcoin can also be traded for cash, or other cryptocurrencies but as already mentioned above, a Bitcoin Wallet is kind of a virtual purse where you store your Bitcoin…and there are various kinds of them available.
- Hardware Wallet
This is a physical wallet: A tool specifically made for Bitcoin transactions. It connects to the online before a transaction are often administered and in contrast to other wallets, it is the foremost secure because it’s nearly impossible to hack.
Example of Hardware Wallet include Ledger Wallet, Trezor and KeepKey.
- Online and Mobile Wallets
These are typically online wallets which can be accessed on the online and mobile gadgets anywhere you’re. it’s free, easy to line up, and convenient but less secure.
There are several online wallet providers but safety remains a drag so ensure to use the right platform.
- Software Wallet
This is a wallet which, a touch just like the other software, you set in on your computer. This wallet allows more control and security over your wallet but you’ve to form sure your computer is safeguarded against hackers and prying eyes and insured against impromptu damage by backing it up. The official Bitcoin Wallet are often downloaded on the official Bitcoin website here.
- Paper Wallet
It’s mostly used for long-term storage of Bitcoin. Paper Wallets are actually piece of paper on which the private and public keys of your bitcoin address are printed. Platforms like BitcoinPaperWallet and WalletGenerator offer Paper wallets.
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