As against the common belief, investing in Bitcoin is quite an easy and simple process.
Currently, there are three ways through which you can invest in Bitcoin, such as, through Bitcoin wallets, Bitcoin ATM or cryptocurrency exchange.
Let’s look at each option:
- Bitcoin Wallet
You can invest in Bitcoin through software-based online Bitcoin wallets that run on the computer, mobile or tablets. These are also known as hot wallets and provide an easy and convenient way to access the market and make transactions.
Such wallets are linked to third-party Bitcoin marketplace (cryptocurrency exchange), through which you can place buy and sell orders for Bitcoins.
Due to security risks attached to hot wallets, these wallets are best for investing and storing small amounts of Bitcoins. Also, Bitcoin wallets have high transaction fees for buying and selling Bitcoins, which makes it an unattractive option for users.
- Bitcoin ATM
Bitcoin ATM functions like any traditional ATM, but the only difference is you can buy and sell Bitcoin for cash using these machines.
You can invest in Bitcoins using a debit card or cash (only a few accept fiat currency) and send it to your Bitcoin wallet address. Some Bitcoin ATMs also dispense paper wallets that you can scan later and use accordingly.
However, there are only a few Bitcoin ATMs around the world, which makes it difficult to access.
- Cryptocurrency Exchange
Investing through a cryptocurrency exchange is one of the safest and easiest ways to invest in Bitcoin. You just need to create an account with an exchange, which is similar to creating an email-id and after completing the mandatory KYC verification process, you can start buying Bitcoin.
Investing via cryptocurrency exchange helps you to get the best market rates, provide a secure and convenient way of making transactions and greater access to the crypto market that helps you to take full advantage of the cryptocurrency market.
For instance, CoinSwitch Kuber in India offers the easiest way to invest in Bitcoin starting at ₹100 and also offers the benefits of transacting in INR and bank transfers.
For beginners, it is the most ideal platform to start due to its simplistic user interface and offers the best rate across Indian and global exchanges.