This year has been cyrptocurrency’s biggest year so far. Overall market cap for the industry has more than doubled despite several hiccups and intermittent dips. Bitcoin alone rose from over a thousand dollars to over $4000 within a space of few months and it shows no sign of losing steam. Every day the digital currency industry gains new converts who simply cannot see any other legitimate market where they can double their investments possibly within a couple of week with just some luck!. As a newbie if you’re wondering how you can get in on the craze this is a quick guide on what you need to do.
How to Buy Cryptocurrency
Find a Broker
Cyrptocurrency’s unlike fiat currencies are decentralized and are not issued by governments. And so if you need to get some you need to either mine them (which is no business for a newbie) or buy them. There are two basic ways:
- Exchanges: These are like your money changers, only that they deal solely in several kinds of cryptocurrency instead of fiat ones. What you need to do is go to any reputable site that operates in your region like Coinbase for the United States, fill in the required personal information. Once you are approved you can make a deposit and make your purchase. Exchanges have different modes of payment depending on which country you are buying from. Some accept credit card payments, others exclusively accept bank payments to reduce the risk of fraud from credit card transactions. Also many have limitations on the amount of any crypto coin you are able to purchase for the first few transactions. So make your quick research and decide which exchange suits your needs best.
- Peer to Peer Traders: This is a more private albeit riskier way to buy cryptocurrency’s. As you buy from individuals listed on the site Localbitcoins closest to you. This brokers usually accept cash payment and it is ideal for those who want to remain anonymous.
Also Read: Top 5 Cryptocurrency Exchanges
Have a Wallet
Whether you buy from an exchange or through peer to peer traders it is greatly advised you have your own personal wallet to ship your currency to once you buy them. Many exchanges like Mt. Gox have wrapped up suddenly without notice so you are safer by being your own personal bank.
Lastly do avail yourself with the intermittent dips all cryptocurrencies are susceptible to, buy when the fear is rife, they almost always bounce back stronger than ever before.