Bitcoin has become all the rage recently. If you are intersted in learning more about bitcoin, then you could check out something like wethecryptos to give you a better idea of why Bitcoin has become more popular. Bitcoin is literally everywhere nowadays, you cannot escape it. One fact that may completely shock you is, some porn sites also accept bitcoin now. And it is easy to see why. Bitcoin offers an extremely discreet and simple way of paying for porn. The cryptocurrency market has gone absolutely stratostrophicthis year going from $1,000 to close to $19,000. For information on how they are handling this huge success visit beincrypto for the latest cryptocurrency news and updates. And the phenomenon of rapid price increases is not isolated to this year alone. Somebody who invested £1000 in Bitcoin in 2013 would be sitting on £1.2million today! That is a 119,900% rise in under 14 years! Crazy! For anyone interested in tracking the Bitcoin price over time, this is a good chart to look at : https://99bitcoins.com/price-chart-history/
With returns like these, everyday investors are clamouring to get a piece of the action. They are two major ways of doing so. The first is buy owning Bitcoin directly by opening a Bitcoin Wallet. The Second way to buy into the crypto currency is to buy into Bitcoin related funds listed on the stock exchange. If you’re interested in potentially investing in it, be it now or further down the line, you’ll need to ensure that you’ve built up a thorough knowledge of how it all works, starting with the sort of information you can find on About Bitcoin and similar sites online.
Buy bitcoin using Bitcoin Wallets
Most investors buy Bitcoin outright using Bitcoin Wallets. Bitcoin Wallets are basically the Bitcoin equivalent of a bank account. It allows you to receive bitcoins, store them, and then send them to others. The two main types of wallets are Software Wallets and Software/Hosted Wallets.
Some of the most common bit coin wallets include :
- Coinbase – https://www.coinbase.com/join
- Electrum – https://electrum.org/#download
- Blockchain – https://blockchain.info/wallet/#/
Buy Bitcoin On The Stock Market
Gaining exposure to Bitcoin via the stock market is becoming increasingly popular. Investors are doing so buy buying into bitcoin focussed funds such as the following using their online stock broker.
- The Bitcoin Investment Trust – is managed by an American firm Grayscale whose shares are traded on the New york Stock Exchange. The investment trust buys Bitcoins and thus its share price follows the performance of the digital currency. Investors are able to buy shares in the investment trust and thus gain exposure to Bitcoin. As Investment trusts can trade at a premium or discount to the assets it holds, in this case the underlying Bitcoin it holds, investors need to do through research to ensure they are not overpaying.
- XBT provider AB – is an exchange traded note traded out of Sweden which tracks the price of Bitcoin in Swedish Kronor. This tracker fund is set up to replicate the price movements of Bitcoin. Investors buy shares in the fund (exchange traded note) which in theory mirror the gains and losses of owning the currency itself.
- XBT Provider AB Euro – is an exchange traded note traded out of Sweden which tracks the price of Bitcoin in Euro. This tracker fund is set up to replicate the price movements of Bitcoin. Investors buy shares in the fund (exchange traded note) which in theory mirror the gains and losses of owning the currency itself.
So there you have it, ways for the average person to buy Bitcoin. But with every investment, or in this case speculative trade, be ware of the risks involved. The price of Bitcoin can go down as fast or even faster than it has gone up.