Why Should You Buy Bitcoin?
With Bitcoin, what you see is what you get. Every single feature is transparent, out in the open and decentralized from any subjective influence. Because you need to know your money is always safe, right?
The idea of Bitcoin was first introduced way back in 2008 by a developer named Satoshi Nakamoto. To this day, no one really knows who he is. However, maybe he knows exactly what he is doing – letting his accomplishments speak for themselves.
Bitcoin is the leading digital currency today and a digitalized payment system of its own. This is one of the safest ways to transfer your money and use it widely through the online community.
Many would argue that Bitcoin is the same thing as FIAT money (dollars, euros, etc.), only in a digital form. That’s mainly because it could be exchanged by two parties based on the consensus on its worth, for any goods or services available online. However, there are a few important characteristics to note. They distinguish Bitcoin from the money we have in our wallets and the coins clunking in our pockets, making it much easier (and safer) to use.
Namely, there is no one to control the flow of Bitcoin. This, however, does not mean that the chaos rules among the Bitcoin users, but quite the opposite. Bitcoin is independent of the influence of any institution. Instead, it is maintained by volunteer coders, on an open network of computers all around the globe. Why is this important? Mainly, this type of currency and its control (or lack thereof) takes a lot of the pressure off during your trading activities. This way, there are no banks to stand in the way of you and your hard-earned money.
One other important distinction that attracts users is anonymity. When using Bitcoin, all the system needs to know is whether you have enough to make a transaction. You don’t need to reveal and/or verify your identity. The protocol will just check the validity of your request itself, as well as your previous transactions.
How is the Pricing of Bitcoin Determined?
Since Bitcoin is not a classic currency such as dollar or euro, typical influencers such as economic growth, monetary policies, and inflation rates do not affect it. Instead, there are several other factors that determine its price at any moment.
First one is supply and demand. For Bitcoin, a specific system was created to assure the growth of the demand in the long run. That way, the price of Bitcoin will increase over that time, as well. If you observe that process closely during shorter periods of time, you will notice something quite clever. Specifically, the rate of introducing new coins is slowing down, to assure the users will be more eager than ever.
Another important fact is that the supply of Bitcoin is limited. That limitation is set at 21 million, so after that number is reached, Bitcoin will no longer be produced. Now, when you look at it that way, slowing down the release of each unit of Bitcoin makes sense. After the entire 21 million is released, the price of Bitcoin will depend on many other factors as well, but mostly the popularity of other currencies.
Next, the price of Bitcoin is also affected by the availability and the competition. In other words, the more popular a certain currency is, the stronger it becomes on the market. That way, it can have a bigger say in important matters of trading on it. One of it being, how other currencies will be added in the future.
Another aspect that we should take into consideration is the regulation. When Bitcoin started to take over the market by storm, the regulatory bodies found themselves in unknown surroundings. Namely, they debated whether they should value it as a currency or rather an asset. Eventually, it was decided that Bitcoin will be used as an underlying asset in cases of exchanging traded fund (ETF), futures and derivatives.
What does that mean for its price? Basically, it is expected that the demand will only go up since the investors who otherwise couldn’t afford Bitcoin will now be able to do so. Not to mention that the volatility of its price can decrease significantly.
How Can I Buy Bitcoin?
Since Bitcoin is making our lives online easier each step of the way, it should not be too complicated buying it. Days of you waiting in line at the bank, handing your personal documents in order to verify your identity and then waiting again for all of it to be processed are long gone. With Bitcoin, you can explore everything the online trading world has to offer, without fear that something will go wrong. In addition to being fast and simple to use, it can also teach you a lot of useful tips. Managing your money wisely and taking your time to plan things out are just some of the many traits you will pick up along the way. So, keep reading to find out which 3 steps to take before joining the Bitcoin family!
Opening an Account
Creating your account with CoinsHype has never been easier! It’s just like opening your profile on social media – just enter a few basic information about yourself and you’re good to go. When you click on the “Register” button on our website, a tab will open on the right. There, you can enter your name, e-mail address, and phone number, as well as create your password, which only you will know, of course.
Verifying Your Account
Before being able to explore all the online trading world has to offer, you will need to verify your CoinsHype account, first. The account verification makes sure that your experience is even safer, as well as more enjoyable. In order to fulfill this step, you will need to upload your valid government issued ID, as well as a selfie picture of you holding it. This process may seem like a hassle, but we assure you that it is a standard. The fraud prevention policies we follow require this type of control, and since it is for your protection, it’s worth the few extra minutes.
Depositing My FIAT Money /Bank Wire Money
After you finished creating and verifying your account, you can finally deposit your money and start trading! In order to be able to buy Bitcoin, you will need to have a Bitcoin wallet, first. Signing up for one is easy, and you can do it both on your mobile and desktop device.
Then, you can deposit your FIAT money – USD, EUR or GBP. Besides this option, you can also choose other forms of payment, such as a credit or a debit card, bank transfers or alternative methods of payment. No matter which one you choose, you will get a confirmation that you successfully made a deposit. This will come in the form of a receipt from your bank or a credit card company.
Furthermore, all the transactions regarding Bitcoin are also recorded in the blockchain – a system that safely guards all the information. While processing your request for buying or selling Bitcoin, these blocks are a key element of proving ownership, as well as the validity of your request.
The last thing you should know about Bitcoin in this area is its immutability. In other words, the transactions made regarding this digital currency cannot be reversed or cancelled. This may seem like a harsh or strict move, but it is completely in your favor. Namely, it prevents all your transactions from falling into wrong hands (or any hand, that is) and being tampered with.
Bitcoin is the world’s leading digital currency, and you can clearly see why. It’s fast and safe to use in order to navigate the online trading world and exploring everything it has to offer. Here at CoinsHype, we make sure that your journey of acquiring Bitcoin is even simpler. So, join our big family and see all that is in stock for you with Bitcoin in your pocket!