Cryptocurrency may be the wave of the future. It solves many of the currency problems associated with a centralized banking system. And it is a digital currency that you can use to help you build your personal wealth.
What is Cryptocurrency?
Cryptocurrency is an ingenious invention. It started out as Bitcoin, whose founder, Satoshi Nakamoto launched the idea on October 31, 2008, with a brief whitepaper. It is now believed that the founder’s name is a pseudonym for a person or group of people.
Today, there are an estimated 700 alternative currencies, referred to as “altcoins.” Still, Bitcoin remains relevant. All cryptocurrencies view Bitcoin as the de facto standard.
What’s more, the blockchain technology that all cryptocurrencies are based on has reached a new stage of evolutionary growth. With the introduction of the XYO network, blockchain technology will become part of the offline world.
A blockchain is a digital ledger that chronologically records transactions. Since this is a public record everything is transparent.
How to Buy Cryptocurrency
Let’s imagine that you’re interested in buying Bitcoin.
Perhaps, you’re interested in it because you realize that if you had spent $200 five years ago to buy a whole Bitcoin, it would now be worth about $6,000.
Perhaps, you want to buy it as a medium of exchange. Many merchants are accepting Bitcoin as a form of payment. For instance, you could use it to buy a Dell computer or a Microsoft application or book a trip with Expedia.
Perhaps, you want to buy one because you’re curious. You want to understand how digital gold will play a significant role in the future.
Incidentally, even if you decide to buy an altcoin instead, these steps will give you a good idea of how to go about making a purchase. Incidentally, you don’t have to be intimidated by the process because it is easy and will take you about 20 minutes or less.
Currently, the Bitcoin is fairly expensive to buy. At the time of this writing, 1 Bitcoin is equal to $8,627.62 US Dollar. But this is the value of a whole Bitcoin. You could buy one a fraction because it can be divided down to a one hundred millionth part. So, you could buy a fraction for $5 to $10.
Here are the steps to take to make a purchase:
Step #1: You’ll need to go to a one-stop shop to get everything set up for you. You can get everything you need to buy Bitcoin from many websites. Coinbase is one example of a popular website to get started. You’ll get clear instructions on all the steps you’ll need to take.
Step #2: You’ll need to get a Bitcoin address, which is referred to as a public key. This is unique string of numbers that functions like a bank account number. It will allow you to be able to receive a Bitcoin.
Step #3: You’ll need to acquire a Bitcoin wallet to store your Bitcoin.
Step #4: You’ll need to find a Bitcoin exchange. This is a website that allows you to convert your cash into Bitcoin. You can use a debit or credit card to make the purchase.
Step #5: You’ll need to verify your identity, which can be done with a passport or driver’s license.
In the final analysis, owning cryptocurrency could have a huge impact on your future. It’s worth researching and if you like what you find, then think about buying a few but always remember to never invest more than you are comfortable losing.