Bitcoin wallets are used to transfer bitcoin from one to another thus making it possible to transact in bitcoins. There are several bitcoin wallets available, and while some can be downloaded to the computer, some are clouds based. Among the various wallets available, each wallet offer its specific recommendations and benefits. The most convenient and easy bitcoin wallets to use are the cloud wallets, though one should remember that when one entrust the bitcoins to cloud based wallet, the responsibility of the BTC lies with the business holding the. Thus bringing in the vital issue of trust in cloud based bitcoin wallet. The most recommended cloud based bitcoin wallets are copay.io and bitgo.com. Alternatively, bitcoin wallets are also available as downloadable programs which are called software wallets. The user exercises absolute control over these wallets and therefore, they are considered to be comparatively more secure than the cloud based bitcoin wallets. Some examples of software wallets are Electrum and copay.io.
The next the most commonly asked questions in bitcoin use is how to buy and sell bitcoins. To get hold of bitcoins, there are several possible ways. The most straightforward way is to purchase the bitcoins directly. This direct purchase can be made through a trusted bitcoin exchange. One of the trusted bitcoin exchange is bitsstamp.net and USD/EUR/GBP, etc. can be used to buy bitcoin. Alternatively, one can even purchase bitcoins from other individuals, around you who are willing to sell bitcoins. These face to face transactions can be conducted to procure bitcoins Moreover, you can also search and contact bitcoin exchanges near you for secure bitcoin purchase.
Bitcoin transactions are very straightforward and when you are purchasing something online from a store which transacts in bitcoin, they share with you the address for bitcoin transaction. They provide you with the address to which you have to send the appropriate amount of the bitcoins from your wallet. Although, bitcoin transactions are instantaneous like any online transaction, the actual transfer or arrival can take upto few hours.
Bitcoins are not unlimited and have a cap of 21 million bitcoins which is the “whole” bitcoins. However, the inherent quality of the bitcoin is that it can be transacted even it is divided into halves, quarters, tenths and even in its smallest amount called the “Satoshi”. Thus there is abundant bitcoin available for circulation.
Let us look at the 5 basic essential traits of bitcoin:
1. This virtual currency has no central authority overruling it. Its transactions are not governed by governments, banks and businesses, who cannot seize funds from any bitcoin user.
2. The currency is very easy to use and transaction accounts can be easily and quickly put up as opposed to traditional accounts. Also for setting up a bitcoin wallet no questions are fees is asked.
3. It provides with blanket anonymity for conducting any transactions and allow for anonymous sale and purchase.
4. It ensure transparency through the blockchain which is a public storage for information thus ensuring transparency in numbers but anonymity in accounts.
5. It is free from any fees and thus even for the minutest of transaction no fee is charged.
Remember these as you work to increase your balance.