For over a decade now, Bitcoin has been the largest virtual currency ever to exist. Hence, an increasing number of people want to acquire crypto coins each passing day. However, there are two main ways to collect Bitcoins: mining them or buying them.
By reading this guide, you’ll discover how you can collect Bitcoins, which option is more preferable, and how you can store the digital coins securely.
Understanding How Bitcoin Works – A Quick Overview
Understanding how Bitcoin enters the market, gains or loses value, and avoids inflation is essential to understanding how the cryptocurrency works.
Firstly, Bitcoin is a virtual currency that depends on blockchain technology to be released into the market, to be secured from hackers, and to decrease in supply over the course of time. In order to obtain Bitcoin and bring it into circulation, you have to undergo the Bitcoin mining process.
Once you’ve undergone the mining process by solving mathematical equations and spending computing power, you get rewarded with a Bitcoin/s. Since Bitcoin has no physical form and is entirely digital, it can then be stored in a crypto wallet. You can find several types of crypto wallets online, which include mobile, web, desktop, and hardware.
The easier alternative to mining Bitcoin is purchasing it through crypto exchange platforms. This may cost you less and takes no time at all, especially since there are now hundreds to thousands of crypto exchange platforms online.
Understanding How Bitcoin Mining Works
Bitcoin mining is responsible for bringing new Bitcoins into circulation with the help of sophisticated hardware. It’s a time-consuming process and is most commonly done in mining farms. The mining process consists of mathematical equations that the miner must answer through their device, and it demands a lot of computational power. The first device to find a solution to the equation is rewarded with Bitcoin, and the process repeats itself. A study done by Cambridge revealed that crypto mining takes up around 121.36 terawatt-hours (TWh) per year.
Every Bitcoin that is mined and brought into circulation is confirmed and then recorded on the blockchain. Once you’ve mined the Bitcoin, you’ll have to find an online wallet provider and download your crypto wallet. If you have obtained a large sum of Bitcoin and want to hold on to them rather than selling them, the best option is to go for an offline wallet. However, if you want to use the crypto more often, it’s best to store them in an online wallet where you can access them more easily.
Here’s how you can buy Bitcoin online
While Bitcoin mining is a time consuming and costly procedure, buying Bitcoin is super simple, easy, and convenient. All you have to do is download a Bitcoin wallet online – make sure to find a crypto wallet that is easy to use and highly secure. After that, you can simply sign up with a reputable crypto exchange platform and purchase Bitcoin from there.
The best thing about crypto exchange platforms nowadays is that most of them come with a free demo account feature. You can use the demo account to practice how crypto trading works and understand how you can efficiently purchase crypto.
Additional Ways to Collect Bitcoins
Buy Bitcoin through Bitcoin ATMs
There are several ways to get hold of Bitcoin in person as well. Firstly, you can access a Bitcoin ATM to directly purchase the crypto coins and add them to your digital wallet. In order to find a Bitcoin ATM, websites like Coin ATM Radar are quite helpful. The highest number of Bitcoin ATMs currently exist in the US – though they can be found in other parts of the world in great quantities as well.
Purchase Bitcoin from retail stores
Several retail stores in the US offer Bitcoin in return for cash, and these stores can be located with the help of LibertyX. You can simply find the store nearest to you and buy Bitcoin on the spot. Though make sure to read reviews for their service beforehand.
You can buy Bitcoin from banks
There are several banks that sell Bitcoin to people in return for cash as well. You can use Paxful to hunt down these banks, then pop up at your nearest one to get your hands on some Bitcoin. Buying through a reputable bank is actually a pretty reliable way to acquire cryptocurrency. Bank also offer services in how to invest in bitcoin.
Find people who are selling crypto locally
While crypto exchange platforms allow you to buy and sell cryptocurrencies online, there are still a number of people who prefer to trade their crypto with others for regular fiat currency. So, you can use LocalBitcoins to find people willing to sell their cryptocurrencies via standard bank transfers and PayPal
Can you get Bitcoin for free?
There are several ways that allow you to obtain Bitcoin without having to purchase it or mine it. For instance:
- There are now online servers that offer Bitcoin in return for online games. All you have to do is play games for an extended period of time to receive the cryptocurrency as a reward. The game server or provider will use advertisements to profit from this, and you get to make money while having fun.
- A few websites offer Bitcoin in return for a few online tasks. Though the Bitcoin might not be significant, it depends on how much time you invest into the job.
- Several platforms offer Bitcoins in return for other time-consuming tasks such as reading a classic book or writing about cryptocurrencies.
Although there are numerous ways to get your hands on cryptocurrencies, it’s essential to double-check any sources that are offering these. There are many scammers out there that take advantage of such schemes and offer nothing at the end of the day. So dig into online reviews before investing your time into anything.
Bitcoin has been the hot topic for a decade now, and people are increasingly interested in the collection of the cryptocurrency. Luckily, there are now several ways to collect Bitcoin. You can mine the crypto – which is a time and energy-consuming process, or you can simply buy it off a crypto exchange platform.
Alternatively, Bitcoin can be bought from Bitcoin ATMs, some retail stores, and even a few banks. In fact, people can now earn Bitcoin by playing online games and doing similar tasks. Although, the reliability of these online schemes can be tricky.
So far, the most simple and reliable way to acquire cryptocurrency is through a reliable and regulated crypto exchange platform. You can get crypto from the comfort of your home and benefit from the numerous tools these platforms offer.
How Do You Collect Bitcoins? FAQ
✅ Is Bitcoin still worth collecting today?
Ever since Bitcoin’s inauguration back in 2009, the cryptocurrency has continuously been the market-leading cryptocurrency. Though there are now thousands of digital currencies that you can invest in. For instance, Ethereum is another virtual currency that has gained immense fame over the course of time. In fact, Ether is more commonly used for day to day transactions, whereas Bitcoin is treated more like a commodity than a currency.
😎 Is it safe to mine Bitcoin from your home computer?
Bitcoin mining is an energy-intensive and damaging procedure. It not only takes a lot of time but also costs a lot. Most miners use special powerful computers built specifically for mining, which decreases the time it takes for mining. There are also Bitcoin mining groups that consist of miners who add up their computing powers to mine Bitcoin and then divide the reward.
❓ Can Bitcoin be stolen from an online wallet?”
Since Bitcoin and other cryptocurrencies do not have a physical form and are instead entirely digital, they need to be stored in digital wallets. There are various kinds of Bitcoin wallets online, which include online and offline wallets. Which wallet you should choose depends completely on your personal use of the cryptocurrency. Read more about collecting Bitcoin on our website.