About five years ago, the idea of purchasing a virtual currency like Bitcoin seemed preposterous. Not only was it risky as you would most likely run into liquidity problems, but the idea of owning virtual currency was still new to many. However, Bitcoin is gaining a lot of attention and acceptance nowadays. Add the fact that Bitcoin just experienced a meteoric rise in value. It seems people are starting to look at it as a legitimate investment opportunity.
Before 2013, the cryptocurrency experienced a sudden surge of value. However, between 2013 and 2015, Bitcoin nearly lost half its value when compared to its highest peak. At its lowest point during this period, a single Bitcoin was valued at $230.
Fast forward to 2017 and Bitcoin is on the rise again. In fact, said cryptocurrency just hit its all-time high, and it's still on the rise. Bitcoin's value is hovering around $1,400 to $1,500.
With such a rapid rise in value, a lot of people are interested in knowing how to get a piece of the action. The problem with Bitcoin is that it's not owned by some large corporation (and that's the beauty of it). That means there's no one out there shelling millions trying to educate the public. Hence, most people are still not completely aware on how to buy and sell bitcoin.
Thankfully, there are small independent app makers that are making things easier for everyone. One of that is an app known as Coinbase. It's an app that allows you to trade Bitcoin and Ethereum (another form of cryptocurrency) on your phone. It's worth mentioning that the Coinbase app is more of an extension to their desktop app.
To start buying or selling Bitcoin, go ahead and download the Coinbase app. After you have downloaded the app, you need to click the icon to open it.
The first thing that you will see is the present price of Bitcoin along with a graph of its recent movement.
At the bottom part of the screen, there's an option for "Sign-up" and "Log in."
If you don't have an account, then you need to click "Sign up."
Coinbase sign-up process is just like any other. You need to put in your name, email, and choose a password. Keep in mind that Coinbase requires that you input your state as certain states have a different mandate when it comes to dealing with cryptocurrency.
If you run into problems with the app, you can switch to the desktop version for a smoother sign-up process.
Before entering your necessary financial information, Coinbase has a two-step verification process which involves them sending a code to your phone and then you will have to input the code to the desktop app.
From then on, you can enter your financial details so you can start buying and selling Bitcoin.
Keep in mind that your Coinbase account acts like a wallet. For example, if you choose to deposit $5 from your credit card, debit card or bank, that $5 sits on Coinbase. From the Coinbase wallet, you can then purchase Bitcoins. If you sell your Bitcoin, the equivalent value is then converted to dollars and sits on your Coinbase account.