Get Started With Bitcoin-A Beginners Guide…
Unveiling the Future of money
After almost twenty decades of unquestionable dominance, the central bank which is the most lucrative cartel globally is losing its financial grip courtesy of financial technology. We all know that it is illegal for anyone to create and print currency, it is a punishable offense in every land. Only the central banks have had the exclusive right to do so under the law. However, with the advent of digital currencies through financial technology, the monopolistic stance of the central bank is seriously weakened.
This has really frightened the central bankers and the development doesn’t go down well with them because digital currencies will definitely threaten their supremacy on the money supply.
Digital currencies transactions do not require banks or any equivalent intermediaries, not even any government agency because they are stored beyond their reach. You may wonder what actually governs the creation of digital currencies since it is beyond the reach of the central bank. Well, it is determined by using the same absolute rules that regulate the volume and rate of creating new currency units. The bankers are seriously threatened by the success of digital currencies because it weakens the domineering monetary system of central banks and their exclusive ability to produce money. They are fighting tooth and nail to maintain their dominance and ensure the continuity of their monopoly. Hence, the European Central bank has started to petition the European Union to enact rules to restrain digital currencies such as Bitcoin.
THE OPERATION AND FUNCTION OF DIGITAL CURRENCY
Digital currency does not require any physical coins or cash. Instead computer code is used to represent it. It creates value through the basic demand and supply. How does that work? The more something is utilized, the more demand for it and definitely more supply to meet the demand, such is the logic behind the popularity of digital currencies. It can be definitely referred to as the future of money, especially with the government’s complete war on cash to have full dominance over the flow of currency globally has really increased interest in digital currency as a better alternative out of such monopolistic grip.
Universally, a central bank decides the flow of money supply in every national economy. Such central control is not necessary with digital currency because their operations are decentralized, no central coordination is necessary. They operate through a peer-to-peer methodology where people share their computing resources with others in the network. With that method of operation, there cannot be any effect of negative interest rates since the currencies are not stored in any particular bank.
Apart from the aforementioned benefits, what other benefits give digital currencies an edge over paper currencies? Here are some other facts:
- Digital currencies can be transferred instantly with some anonymity maintained.
- Portability is another advantage; you can carry millions, even billion’s dollar worth of equivalent paper currency in a small usb drive, or even better on the phone you are holding.
- True Digital currencies cannot be impounded or confiscated since the operation is decentralized.
- No need of any intermediaries, their value is derived by individuals that engage in the transaction not with the intervention of central bankers.
- With digital currency, there is no danger of counterfeit currency that characterizes the use of paper money.
- Crypto Currencies like Bitcoin make international business easier
- What about to the government itself? Is there any benefit of digital currencies to the government?
In a word NO, as they are rushing to create their own digital currency. From the Stone Age to the Bronze Age and from the Bronze Age to the Iron Age, there has never been any period in human history that people have been this exposed and cherish digital substances like this present computer age. In this period of impressive changes .
Learning about Bitcoin isn’t really that much different that doing email via the Internet. If you can keep that concept in your mind I think it will help you understand this process better.
One of the benefits of Bitcoins is you can send them as easily as you send a text or email! Bitcoin Payments are impossible to block or stop since the entire Bitcoin network lives on millions of computers ALL over the world, not just one server or one computer. So unless you shut down the internet worldwide, Bitcoins always remain “on”. No matter who tries to stop it! Today satellites can complete your transactions so even if the internet is down you still can complete your Bitcoin transaction.
Thus you can transact Bitcoins 24 hours a day 7 days a week!
Governments may pass laws to try and stop Bitcoins from growing, but they remain unstoppable and not censor-able (very similar to the internet).
Huge benefits to the people who hold Bitcoins, however that being said it requires you the owner of the Bitcoins a lot more understanding and responsibility because if you lose your “private” keys and do not take this seriously, there is no CEO to call or “forgot my password” button to retrieve them. Once they are gone they are lost and nobody gets them. But the rewards can be huge. For starters Bitcoins becomes “your money” again and with you holding the private keys nobody else can get to it! Unlike your bank.
Since Bitcoins are not physical, you may have a hard time getting your head around this. It is estimated that near 95% of all transactions completed are digital only, so this is really nothing different than what you are currently transacting. Basically everybody uses only digital money now.
However with Governments issued paper currencies, that are constantly being inflated away, Bitcoin cannot be inflated away. If the government runs out of money and needs to “print” more, they just do it and never ask for your permission. Now with Bitcoin this cannot happen as only 21 million total Bitcoins will ever be made and nobody can alter those facts. This places the power of saving money back into your hands.
To Get Started Today in Bitcoin
In order to get started in Bitcoin you are going to need (2) two things.
A Bitcoin Wallet-
To “own Bitcoins” you must have a Bitcoin wallet to store them, just like the one for your regular “CASH” money. If you think of it like an email account, where you send and receive all of your emails-you do the same in your Bitcoin wallet. A Bitcoin wallet is FREE and there are many to choose from. Your Bitcoin wallet is the place you store your Bitcoins just like you currently store money in your bank only can store your Bitcoins on your Smart phone, instead of a physical Bank.
To view some Bitcoin wallet choices you can place on your phone click HERE
To view a video of installing your First wallet. Click Here
One of the huge benefits of Bitcoins is there are almost no fees to transfer Bitcoins and unlike a bank, you do not have to live within the banks banking hours! Plus in my opinion Bitcoins could be far safer to hold than ANY money in the current banking system.
I will make this prediction that within the next 10 years conventional banking as we know it today will either be gone or on its way out, because of all their unfriendly banking rules of which Bitcoins do not follow!
- Low transaction fees, unlike a bank
- Fast track-able transactions-unlike a bank-it can take days to send money
- Send money anywhere in the world within minutes, unlike a bank-they must be part of the “SWIFT” system.
- No hours of operation, unlike a bank
- Anybody can have a Bitcoin account-very few people have a bank account when compared to the world’s population
Everything you have heard about Bitcoins bring used for illegal activity, while this is possible, is highly unlikely, and is more likely a bunch of propaganda. Cash is the proffered method terrorist/drug dealers/criminals would like to use as it gives the greatest anonymity.
Despite all the rumors Bitcoins are NOT anonymous.
- Buying your Bitcoins-
In order to purchase Bitcoins you generally get them is from an exchange (there are pro’s and con’s to this). Below is a link of exchanges to consider (do your own homework to determine which is best for you).
To see the Exchange I use Click HERE
(If you use the above link you will get $10 in Bitcoin, just for getting started in Bitcoin!!)
You can purchase ANY amount of Bitcoins say as small as $1.00 USD.
Once an exchange is found to purchase the Bitcoins then the Bitcoins can be purchased and placed into your wallet. Now you need to decide if you plan to spend these Bitcoins on a day to day basis then you can keep them in this current wallet (a hot wallet).Click Here to Learn More!
Now if you keep them in a “hot wallet”(less secure-more so available for day to day) or maybe you want to move them to a Cold Storage wallet (long term storage-VERY secure). Both have advantages and both have disadvantages.
To get FREE access to an Armory Bitcoin cold storage wallet (the same many leading Bitcoin experts are using) enter your email address and you will get a complete full 16 video courses on how to set an Armory Bitcoin cold storage wallet.
Click HERE to get the FREE private membership course on Armory cold storage wallets.
Cold storage is where you should put your investment (large sums) of Bitcoins, as it is the most secure place to hold them. It basically takes them “off” of the internet for storage. It also requires multiple signatures in order to transfer them out (kind of like 2 signatures needed on a check in order for it to be cashed). A hot wallet can live on your smart phone and be used whenever you want to purchase something.