The ongoing hype about cryptocurrencies might have you worried if you should invest in this craze too? If that’s true you feel like a lot of people – the hard part for most is to get started.
So this series aims to lead crypto-beginners their way to set up your wallet and get your first cryptocurrency!
First of all, you need a brief knowledge about the technology, I’d suggest you watch the videos at Bitcoin.org
Now that you know the basics you are ready to start.
Step 1: The Wallet
Every Digital currency needs a wallet, you can think of a wallet like your bank account; its a set space inside the bank which belongs to you – the wallet is your part of the blockchain.
In your wallet, you will store all your funds, receive and make transactions and maybe even deploy smart contracts.
Some popular wallets include:
Choose one of the wallets listed above and install it.
Follow the step by step process & make sure you use a strong password.
Make sure you back up your private key, your public key And your 12-word phrase(if available) somewhere safe and offline. If you lose these you lose access to all your funds.
Step 2: buying desired Cryptocurrency
There are multiple ways to buy crypto I will tell you about three most popular ones:
This is a community site made for trading with real people. Search for traders near you, see their trust score and schedule a trade. This is considered one of the safest / most anon way to purchase.
This is probably the most popular option.
You register(and verify) for one of the many exchanges online(see list below). After that, you can top up your account with a credit card or via Bank transfer.
After adding funds its time to start buying!
Generally, you should buy low and sell high. So maybe wait if you see the price just rose 20%.
Most exchanges charge about 0.5-5% per transaction.
When you have made your orders and they were filled you are now a proud holder of Cryptocoins! But wait – you are not done yet!
One of the most important steps is to withdraw all funds from the exchange to your wallet. Because unless your Coins are in your wallet you do not(technically) possess them. To be save never leave your funds on an exchange.
To do this you will need your public key you saved earlier. It will look something like this:
Once you have made the withdraw it will take a while for the transactions to be confirmed and soon you will see your ETH in your wallet application.
Ethereum / Bitcoin ATM
A Bitcoin ATM, as the name suggests, is like an ATM but for cryptos.
Find a nearby ATM on coinatmradar.com get your Fiat money ready and use the ATM. In most cases you will get a printed paper wallet – keep this secret and safe – you can import your paper wallet(with its funds) to your own wallet by using the “import wallet” option.
Most ATM’s charge about 3-5% per transaction.
Congratulations you just purchased your first Cyptocurrency and you did so in a safe manner!
This is part 1 of a series on Getting started with Cryptocurrencies.
Subscribe to crypto.rendered.ch to follow along as we teach you how to become a Crypto-Pro! Next time: investing in ICO & Tokens: what to watch out for.
I bitcoin really Anonymous? find out here!
Thanks for reading!