Getting Started with Bitcoin!
Learning about Bitcoin isn't really that much different that doing email via the Internet. If you can keep that concept in your mind I think it will help you understand the process better.
One of the benefits of Bitcoins is you can send them as easily as you send a text or email! Bitcoin Payments are impossible to block or stop since the entire Bitcoin network lives on millions of computers ALL over the world. So unless you shut down the internet worldwide, Bitcoins always remain "on".
Governments may pass laws to try and stop Bitcoins from growing, but they remain unstoppable and not censor-able (very similar to the internet).
This brings a huge benefit to the people who hold Bitcoins, however that being said it requires you the owner of the Bitcoins a lot more understanding and responsibility because if you lose your secret keys and do not take this seriously, there is no CEO to call or "forgot my password" button to retrieve them. Once they are gone they are lost and nobody gets them. But the rewards can be huge.For starters Bitcoins becomes "your money" again and with you holding the private keys nobody else can get to it! Unlike your bank.
Bitcoins Not Inflated!
With Governments issued currencies, they are constantly being inflated away, Bitcoin cannot be inflated. If the government runs out of money and needs to "print" more, they just do it and never ask for your permission. Now with Bicoin that cannot happen as only 21 million total Bitcoins will ever be made and nobody can alter those facts. This places the power of saving money in your hands.
To "own Bitcoins" you must have a Bitcoin wallet to store them, just like the one for your money. This is similar to an email account, where you send and receive all of your emails-you do the same in your Bitcoin wallet. This Bitcoin wallet is free and there is a lot of them to choose from. Now the Bitcoin wallet is the place you store your Bitcoins just like you currently store money in your bank only you might store your bitcoins on your Smart phone, instead of a brick and mortar bank.
To view some Bitcoins wallet choices:
USA residents click HERE
All Others Click HERE
One of the huge benefits of Bitcoins is there are almost no fees to transfer Bitcoins. Which unlike a bank, you do not have to live within the banks banking hours! Plus in my opinion Bitcoins could be far safer to hold than ANY money in the current banking system.
I will make this prediction that within the next 10 years conventional banking as we know it today will either be gone or on its way out, because of all their unfriendly...
Banking rules that Bitcoins do not follow!
For Example-Bitcoins have:
- Low transaction fees, unlike a bank
- Fast track-able transactions-unlike a bank-it can take days to send money
- Send money anywhere in the world within minutes, unlike a bank-they must be part of the "SWIFT" system.
- No hours of operation, unlike a bank
- Anybody can have a Bitcoin account-very few people have a bank account when compared to the world's population
Everything you have heard about Bitcoins bring used for illegal activity, while this is possible, is highly unlikely, and is more likely a bunch of propaganda. Cash is the proffered method terrorist/drug dealers/criminals would like to use as it gives the greatest anonymity.
Despite all the rumors Bitcoin's are not anonymous.
In order to purchase Bitcoins you generally get them from an exchange (there are pro's and con's to this). Below is a list of exchanges to consider (do your own homework to determine which is best for you).
To see a list of Exchanges Click HERE
Don't worry you can purchase ANY amount of Bitcoins say as small as $1.00 USD.
Once the source is found to purchase the Bitcoins then the Bitcoins can be purchased and placed into your wallet. Bitcoins for use on a day to day basis then you can be kept in this current wallet (a hot wallet).
Now if you keep them in a "hot wallet"(less secure-more so available for day to day) or maybe you want to move them to a Cold Storage wallet (long term storage-much more secure). Both have advantages and both have disadvantages. Cold storage is where you should put your investment (large sums) of Bitcoins. As it is the most secure place to hold them. It basically takes them "off" of the internet for storage. It also requires multiple signatures in order to transfer them out. (Kinda of like 2 signatures needed on a check in order for it to be cashed). A hot wallet can live on your smart phone and be used whenever you purchase something.