Step 1 - Educate Yourself
Entering the world of Bitcoin is not an easy task, it takes a lot of learning. One of the most important things you can do before diving right into Bitcoin is simply educating yourself.
Always remember: There will only ever be 21 Million Bitcoin total, every Satoshi counts!
One of the challenges when first getting into Bitcoin is learning the conversion rates. Most will attempt to think of Bitcoin in the sense of Dollars whereas $1 = 1, but in Bitcoin $1 = .00286 BTC. - As of 11.06.2014
Learn the conversions:
Entering the world of Bitcoin is not an easy task, it takes a lot of learning. One of the most important things you can do before diving right into Bitcoin is simply educating yourself.
Always remember: There will only ever be 21 Million Bitcoin total, every Satoshi counts!
One of the challenges when first getting into Bitcoin is learning the conversion rates. Most will attempt to think of Bitcoin in the sense of Dollars whereas $1 = 1, but in Bitcoin $1 = .00286 BTC. - As of 11.06.2014
Learn the conversions:
- 1 mBTC = 0.001 BTC [milli BTC]
- 1 uBTC = 0.001 mBTC [micro BTC or millionth of BTC]
- 1 Satoshi = 0.01 uBTC [smallest unit of divisibility, hundred milltionth of a Bitcoin]
- 1 Satoshi = 0.00000001 Bitcoin
- 1 Bitcoin = 1,000,000 Bits
- 1 mBTC = 1,000 Bits
- 1 Bit = 100 Satoshis
Read the original Bitcoin whitepaper by Satoshi Nakamoto: https://bitcoin.org/bitcoin.pdf
For more Documentation and Resources visit: https://bitcoin.org/
Step 2 - Get a wallet
There are many wallets to choose from and here are our recommendations:
Web Wallets
Web wallets are the easiest & most convenient to use, but are potentially less secure than wallet software run on your own computer.
It's important to remember to always activate Google Authenticator or Authy on your web wallets for optimum security.
There are many wallets to choose from and here are our recommendations:
Web Wallets
Web wallets are the easiest & most convenient to use, but are potentially less secure than wallet software run on your own computer.
It's important to remember to always activate Google Authenticator or Authy on your web wallets for optimum security.
- Blockchain - Highly Recommended
- Xapo | Also has a Bitcoin Debit Card available. - Highly Recommended
- Coinbase | Buy and Sell Bitcoin.
- Coinkite
Software Wallets
Software wallets are downloaded and run from your computer. They're considered more secure because the user has more control and doesn't depend on a 3rd party service. Most software wallets require nearly a full day constructing a local copy of the blockchain before use.
If you add a password to your wallet don't forget it! If you do you can consider the Bitcoin in the wallet as gone...forever. Or until you remember your password.
Software wallets are downloaded and run from your computer. They're considered more secure because the user has more control and doesn't depend on a 3rd party service. Most software wallets require nearly a full day constructing a local copy of the blockchain before use.
If you add a password to your wallet don't forget it! If you do you can consider the Bitcoin in the wallet as gone...forever. Or until you remember your password.
- BitcoinQT | The original Satoshi wallet from bitcoin.org
- Armory | Armory is the most mature full featured wallet.
- Multibit | Easiest to use! - Highly Recommended
Mobile Phone Wallets
iphone & Android apps are available.
iphone & Android apps are available.
- Blockchain - Highly Recommended
- CoinJar
- Coinpunk | Use as a web application on iphone & Android
Hardware Wallets
Hardware wallets are the most secure because they don't expose your private keys to the network.
Hardware wallets are the most secure because they don't expose your private keys to the network.
Step 3 - Getting Bitcoins
Although it's not yet easy to buy bitcoins, it's getting simpler every day. Here are our recommendations:
Although it's not yet easy to buy bitcoins, it's getting simpler every day. Here are our recommendations:
- LocalBitcoins.com - This fantastic service allows you to search for people in your community willing to sell bitcoins to you directly.
- How To Buy Bitcoins - An international directory of bitcoin exchanges.
- expresscoin - Recommended for fast, simple service.
- Coinbase | Bitcoin exchange based in the United States. - Highly Recommended
- BitStamp - A multi currency bitcoin exchange based in Slovenia.
- CoinJar - CoinJar allows direct bitcoin purchases on their site. They're based in Australia but serve an international clientele.
Accepting Bitcoins
Many people find that the best way to get bitcoins is to accept them as payment for the products or services they already sell. Just give your customers the option to pay in bitcoin.
To make it easy, you may want to sign up for a bitcoin merchant account which allows you to send invoices and integrate bitcoin payments into your online order pages for most of the popular shopping cart systems.
Many people find that the best way to get bitcoins is to accept them as payment for the products or services they already sell. Just give your customers the option to pay in bitcoin.
To make it easy, you may want to sign up for a bitcoin merchant account which allows you to send invoices and integrate bitcoin payments into your online order pages for most of the popular shopping cart systems.
Earning Bitcoins
The starting question for most people entering Bitcoin would be "How do I earn free Bitcoin?"For many of those people Bitcoin Faucets are just that answer.
Bitcoin faucets give away free Satoshi for users visiting their websites and completing a CAPTCHA. Most of these websites are run on ad revenue, which helps aid in giving away free Satoshi to its users.
Are Faucets Profitable?
Yes! For instance, there's enough faucets out that you can easily earn around 1,000 Satoshi an hour. Say you collect this 10 times in a day, that's equivalent to 10,000 Satoshi in 1 day.
Let's look at the numbers:
The starting question for most people entering Bitcoin would be "How do I earn free Bitcoin?"For many of those people Bitcoin Faucets are just that answer.
Bitcoin faucets give away free Satoshi for users visiting their websites and completing a CAPTCHA. Most of these websites are run on ad revenue, which helps aid in giving away free Satoshi to its users.
Are Faucets Profitable?
Yes! For instance, there's enough faucets out that you can easily earn around 1,000 Satoshi an hour. Say you collect this 10 times in a day, that's equivalent to 10,000 Satoshi in 1 day.
Let's look at the numbers:
- 10,000 Satoshi = 0.00010000 Bitcoin
- 10,000 Satoshi = 100 Bits
- 0.00010000 Bitcoin = $0.03 - As of 11.06.2014
Step 4 - What can I do with my bitcoins?
Bitcoins can be used to purchase just about anything you want. Dental services, a brand newcar, travel and even luxury real estate.
We recommend searching the merchant directories below to locate the merchants you're interested in. You can buy gift cards with bitcoin and spend them in most of the stores you already use.
Merchant directories
Bitcoins can be used to purchase just about anything you want. Dental services, a brand newcar, travel and even luxury real estate.
We recommend searching the merchant directories below to locate the merchants you're interested in. You can buy gift cards with bitcoin and spend them in most of the stores you already use.
Merchant directories
- coinmap - Find bitcoin friendly merchants near you
- bitpay merchant directory - Over 44,000 businesses and charities.
Hosting and Web Services
Starting a website or want to buy domains or hosting with Bitcoin? Here are some web services that accept Bitcoin:
Starting a website or want to buy domains or hosting with Bitcoin? Here are some web services that accept Bitcoin:
Step 5 - Keeping up to date with bitcoin
Here are some good places to keep up with bitcoin news and discussion:
Here are some good places to keep up with bitcoin news and discussion:
- r/bitcoin - Bitcoin links and discussion by the Reddit community
- Coindesk - An excellent source of bitcoin news
- Bitcoin Magazine - Insightful articles with deep technical credentials
- BitcoinX - Bitcoin headlines, market rates & charting resources
- The Video - An excellent primer for anyone curious to understand the bitcoin phenomenon