How to Get Bitcoin and other Cryptocurrencies
The most common ways to obtain cryptocurrency can be organized into the following methods; Buy with FIAT, receive it for goods or services, earn it by “mining”, lend it on exchanges, and alternative blockchain uses.
1. Buy with FIAT Cash
Purchasing cryptocurrency can be facilitated with specific online wallets, exchanges and ATM machines.
Online wallet examples; Coinbase (International), Quadriga CX (Canada), Coins.ph (Philippines).
Exchange examples; Bittrex, LedgerX, Bitfinex.
ATM machines; As of August 1, 2017 there are documented ATM machines for Bitcoin, Litecoin, Ether, Dash, and Dogecoins. You can view locations of cryptocurrency ATMs all over the world at Coin ATM Radar.
2. Receive for Goods or Services
Receiving cryptocurrency for goods or services (or gifts and donations) is as easy as providing a cryptocurrency wallet holder with your public key or a unique QR code generated by your own wallet.
3. Earn it by “Mining”
Because Bitcoin and other cryptocurrencies are decentralized, all transactions take place on a distributed network of computers called “miners”. Every computer system used for mining retains an up-to-date copy of a given cryptocurrency ledger for redundancy and to ensure counterfeit value cannot be added to the system.
Miners are rewarded with cryptocurrency for every transaction they complete for the network.
4. Lend on Exchanges
It is possible to lend cryptocurrency on exchanges for a modest interest margin. Bitcoin lending rates have skyrocketed in recent months; in early August of 2017 the average lending rate in USD was .0669% per day, compared to .02% – .04% per day a year ago.
5. Alternative Blockchain Uses
Bitcoin has opened the door to widespread use of blockchain technology, however it needn’t only be used for financial services.
Blockchain technology can be used to buy and sell idle computer processing power with micropayments, track and sell electricity generated by users on the grid, or even run a website like Airbnb. We have only scraped the surface of what business use-cases are possible on a blockchain.
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You’ll notice I didn’t mention “become a contract killer” or “sell illegal drugs online” as ways to earn Bitcoin –and that’s because the notion that cryptocurrency users are a criminal majority is silly.
What do you think? Did I leave anything out that you think should be included? Have any advice? We’d love to hear from you in the comments at the bottom of the page.
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