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If you’re curious about Bitcoins and wondering if you can make some money by buying and selling them, this article is for you. We will explain what Bitcoins are, how to buy them, earn them, or make your own, and how to sell them in order to make a profit.
Bitcoin is a type of cryptocurrency, which is a digital currency that is becoming increasingly popular. While some people believe that it has the potential to become a global currency, others warn that criminals currently benefit most from it. For the average person, however, Bitcoins can be used to buy a few things, such as hotels on Expedia, Microsoft software, and Dell hardware.
Why Buy Bitcoin?
At present, the main reason why people invest in Bitcoins is because they see it as a way of making money. The value of Bitcoins has increased dramatically in recent months; one Bitcoin was worth $12,000 just a week before it surged to $15,327.70 on December 8, 2017. In 2017 alone, it has increased by 1,300%. In 2009, one Bitcoin was worth $27, and acquiring five thousand would have made you quite wealthy.
Why You Shouldn’t Buy Bitcoin
One of the biggest red flags about Bitcoin is that it is an extremely volatile currency, and while its value seems to be on the rise, it is very likely to drop. Many experts compare Bitcoin to the dot-com bubble of the late 1990s, when companies like Amazon saw their shares fall. Bitcoin’s association with criminal activity is another concern, as it is a secure, anonymous and unregulated currency, which is particularly attractive to anyone who wants to launder money, evade taxes, or buy weapons.
How to Buy Bitcoin on iPhone
There are various ways to invest in Bitcoin, such as to sign up for a wallet service or buy it from certain ATMs. However, you can now buy Bitcoin directly from your iPhone using Coinbase, a popular app available in the iOS App Store:
- Download the app and open it, and you’ll see a page with the current Bitcoin price and the highest price for the day.
- Tap “Sign in to get started.”
- Enter your personal details, email, and password. Your password should be at least 8 characters long and secure, with letters, numbers, and other characters.
- You will receive an email from Coinbase that you must open to verify your email address.
- Read and agree to the user agreement.
- On the next page, you’ll find a brief overview of Bitcoin’s past performance (as well as Ethereum and Litecoin) and their prices.
- Tap the green “Finish Account Configuration” button.
- You will be asked to verify your phone number, add a payment method, and identify yourself.
- Verifying your phone number increases account security. You will receive a verification code through text message.
- Adding a payment method comes with different options depending on how much you have to invest. If you have a lot to invest, you have the advantage of buying and selling. However, you’ll need to link your bank account and it may take a few days for Coinbase to finalize that process.
- If you’re planning on investing a small amount, you can directly use your credit or debit card. Coinbase charges a 1.49% fee for buying and selling, and a credit/debit card fee of 3.99%.
- We recommend choosing the Credit/Debit payment method for smaller investments.
- Next, Coinbase will ask for additional information to add a card. Your ID will need to be verified before you can buy with a card. Coinbase’s registration process, however, is currently under heavy pressure due to high traffic.
- Once you are registered, you can complete your Bitcoin transaction using your Coinbase wallet service.
While it may seem easy to buy Bitcoins, the process of selling them appears to be more complicated. At present, you cannot sell digital currencies and receive the proceeds on a linked debit or credit card. You can, however, withdraw payments to your bank account using Coinbase, and the steps are as follows:
- Use the Coinbase app and set an alert that will notify you when the Bitcoin price is rising or falling.
- Tap the “Menu” icon.
- Select “Sell.”
- Enter the amount you want to sell, either in Bitcoin or in your local currency.
- Select your wallet from which you want to sell.
- Select your bank account or the wallet that you want to deposit into.
- Finally, tap “Sell Bitcoin.”
Top FAQ:
What is Bitcoin and how does it work?
Bitcoin is a type of cryptocurrency, a digital currency that operates independently of a central bank or financial institution. Transactions are carried out peer-to-peer without the need for an intermediary. Each transaction is verified using blockchain technology, a complex system of algorithms that create a record of every Bitcoin transaction.
What can I buy with Bitcoin?
You can use Bitcoin to buy almost anything, including hotel stays, software, and computer hardware. eBay, Expedia, and Overstock.com are a few of the large retailers accepting Bitcoin payments. As more businesses accept Bitcoin as a payment method, its value as a currency will continue to rise.