To buy bitcoin you require just two things.
- A wallet to store your bitcoins
- An exchange to buy it with FIAT currency such as dollars, pounds, yen etc.
Step 1: Get a Bitcoin Wallet with Coinbase
To buy bitcoin you will need a wallet to store, send and receive bitcoin in.
There are several wallets available to choose from, for example, a desktop, hardware, mobile or web wallet. Searching the web will often bring many different choices to the fore. The ones below are considered the safest and easiest to use.
In our opinion, the easiest way to buy Bitcoin and store it is in a web wallet.
If you are planning on holding onto it for some time then you may want to consider a hardware wallet as that is the most secure way of storing Bitcoin. However, if you would like to hold and trade with Bitcoin, we recommend Coinbase – a very user friendly wallet and cryptocurrency exchange.
Plus, by clicking this invitation to set up a Coinbase account, when you buy over $100’s worth of Bitcoin, you will receive $10 of Bitcoin free!
Bitcoin Core is a software wallet.
It is the most popular wallet, used by more than 80% of users connected to the bitcoin network. Simply download the wallet and run the installer and click through the wizard until completed. The wizard explains everything clearly and simply. It takes about 2 minutes to set up and you are ready to send and receive bitcoins!
You also have the option to store your bitcoins offline using the Ledger Nano S cryptocurrency hardware wallet. This wallet is secure and can also be used to store other types of cryptocurrency.
Once you have the wallet of your choice it is time to get some bitcoin. You can receive bitcoins in your wallet if you sell goods or services. You will just have to give buyers your wallet’s public address. An easier way to get bitcoin is to buy some first.
Step 2: Buy Bitcoin on Coinbase
Most people starting out buying cryptocurrency from an exchange using their local currency. Just like when you visit a travel exchange before going on holiday abroad. Most exchanges accept GBP, Euros and USD.
For beginners, Coinbase is perfect place to start buying and selling bitcoins. The application also allows you to send and receive bitcoins. They have an easy to use mobile app and signing up requires an ID and a few more personal details.
Once you are up and running you can buy and sell, not only bitcoins, but also ethereum, litecoin and bitcoin cash.
Where to Spend Your Bitcoin
Now that you are in possession of some bitcoin you can either leave it in your Coinbase account, send it to your Bitcoin Core software wallet or your Nano Ledger S hardware wallet for safekeeping.
Alternatively, you can put them to work at the many businesses around the world which accept bitcoins.
If you plan to spend them in the UK then the search engine www.wheretospendbitcoins.co.uk is very useful to find shops, bars, restaurants and other places that accept bitcoin.
If you would rather not spend it and store it as an investment you can always stay up to date with what is happening in the bitcoin space by joining the many communities that exist either on Facebook, Twitter or the forums such as reddit.