Simple Ways to Buy and Spend money on Bitcoin
What is Bitcoin?
Bitcoin is really a decentralized, peer to peer, digital currency system, designed to give online users the capability to process transactions via digital unit of exchange called Bitcoins. Quite simply, it's an electronic currency.
The Bitcoin system was created in the year 2009 by an undisclosed programmer(s). Ever since then, Free Bitcoins Online has garnered huge attention along with controversy alternatively to US dollar, Euros and commodity currencies such as for example gold and silver.
Rise to Popularity
Bitcoin had not attained much attention on earth of business and finance before the year 2009. It rose to prominence in the 2011-2012 period when it gained over 300%. Bitcoin has had a 400% growth in its value considering that the August of last year. As a result, venture capital firms and investors around the world continue to pay for importance to the cryptocurrency.
In the first 50% of 2014, venture capital firms invested $57 million in Bitcoin in the first quarter, followed closely by another $73 million in the second quarter amounting to a complete of $130 million, that will be 50% higher than last year's total of $88 million. This can be a complete contrast to the scenario in 2012 where Bitcoin firms amassed a relatively meagre amount of $2.2 million.
These statistics prove beyond doubt that Bitcoin may be worth your investment, which begs the question, how can you buy and purchase Bitcoin?
A guideline for novice investors in Bitcoin
The simplest and least complicated method to buy Bitcoin is by purchasing bitcoins. There are a large amount of established firms, mainly in the US along with abroad, that are involved in the business of buying and selling bitcoins, abbreviated as BTC.
Coinbase
If you're residing in the U.S. then Coinbase is the place you're looking for. Coinbase provides it's clients with BTC at an estimated mark up of 1% over the existing market price. Residents of the United States have the choice to sync their Coinbase wallets with their bank accounts. As a result, future payment transfers are manufactured hassle free. This provider also offers you the choice of automatic bitcoin buying from time and energy to time. For example, if you're interested to get $50 in bitcoins at the start of monthly, Coinbase allows you to setup a car buy for that amount.
Be mindful of the terms and conditions when you start to use this service. When you have subscribed to an automatic bit coin service, you then won't be able to control the cost at that the BTC is bought every month. Note that Coinbase is doesn't be a Bitcoin exchange i.e. you get and sell the coins directly from the firm. Since the firm must source the coins from other buyers, you could face delays or disruptions when laying orders during fast market moves.
BitStamp
BitStamp suits certain requirements of an old-fashioned bitcoin exchange. Bitcoin acts as an intermediary which lets you trade with other users and not the organization itself. Here the liquidity is higher and you always have a great chance to locate someone who is willing to trade with you. There is an initial fee of 0.5% which is often reduced to 0.2% in the event that you trade $150,000 in a period of 30 days.
