So, you have your bitcoin or you are thinking of how you are going to invest in bitcoin, that is a good idea. What you should ask yourself before you dig deeper into investing is ‘how much do you know about bitcoin?’
Bitcoin is here with a bang. It is one of performing cryptocurrency among the over 400 cryptocurrencies. It has been doing well with its value shooting in a way that it caught every investors eye. More and more information is servicing about how good it is.
When you have bitcoin in your wallet, you will be able to trade freely. That is because it is being accepted globally and more and more people are doing business with it. it is a currency that is used across border and has no central restriction making it good for trade.
When you look at the security part of it, you can have bitcoin worth a lot of fait cash in your wallet and it will be secure for a long time. That is because there is no evidence of your transactions hence your wealth is safe from scams and theft.
It is for these reasons and many more that you should have your own bitcoin to experience its benefit. Before you do that, you need to educate yourself on what you need to know about the currency before you venture into trading with it.
As much as we would like to admit the currency is changing how we are doing business, it is good that you also know that the currency is not acceptable globally. There are times when you will want to trade and the only cash you have is the digital currency, what do you do?
You will have to look for a way to exchange the digital currency into fait currency that you want. Bitcoin is a currency that exists online. For you to be able to have it exchanged, you will have to go through one of the following ways to have fait cash;
- Through a site
There is a sight that will conveniently help you get the currency that you want. That means if you have fait cash, they will help you buy the bitcoin equivalent to the cash that you have. They will also help you get the fait cash that you need for you to trade in a business where bitcoin is not accepted
This is where you do it in person. In the process, you will have to meet with the person with the money you want or with the bitcoin that you want. Once you meet. You will exchange the currencies as a willing buyer and a seller
- Bitcoin trading exchanges
It is a platform where trading if bitcoin and other cryptocurrencies happen. When you enter the site, you will open an account and place the order of what you want and your price and terms. You will have to wait for a person who will place an order of what you have to offer, and exchange takes place.
- Electronic payment system
They are a system designed to operate just like an ATM. Once you want fait cash or bitcoin, you go to the machine and press with instruction provided until you get what you want. They are few available, but they are helping traders in getting the much-needed fait cash or bitcoin that they want.
- Cryptocurrency converters
They are the one that makes traders and investors trade at ease. That is because they do the calculations and convert your bitcoin into the current value fait cash or converts your cash into the equivalent bitcoin value of your cash.
All the above processes are available to make the work of an investor easier. You don’t have to hustle up and down looking for the currency to trade with. Since cryptocurrency is the most reliable and convenient way of exchanging cash for fait currency read along and know more.
For many of the investors and traders who have used the converters will agree with me that converters are scripts that convert USD into fait currency of your choice based on the weighted average of the recently posted value.
Converters can be termed as a marketplace where you can buy and sell your bitcoin in a safe and secure way. it acts as a middle me between the buyer and the seller. It is convenient in the sense that it allows trading of cryptocurrency to be made using the normal traditional currency.
Why do you need to convert your currency?
Well, many may be wondering why. As an investor, you need your business to run smoothly and make a profit in the process, right? well since you need a means of trading, you will need to convert the currency you have because?
- To know the real value of the digital currency you have in terms of your local currency.
- To trade with a uniformly acceptable currency.
- To know when the right time is to trade your bitcoin or buy bitcoin to make a profit.
Know that you know why you need a converter, it is essential to know how it works. That is to enable you to trade at ease without any difficulties. It is important to note that be keen to know where they are getting their information from.
The information and figures must be up to date and should be accurate according to reputable exchange sites. In the case of buying bitcoin, you should be careful not to trade with any exchange site that you come across. The converter works in three easy steps. These steps are;
- Enter your figures
When you go to any converter, they will ask you to enter the amount of money you would like to receive in your local currency. It can be $30 or any other amount that you want. All you must do is enter the information in a correct way and wait for the results
- See the equivalent
When you enter the information, the converter will convert the information you need. That is, it will show you the amount of bitcoin you will part with for you to get the amount of fait cash that you entered. Then with the information, you will choose your next step.
- Convert fait into bitcoin
The process involves actual bitcoin trade. You will have to look for a trading exchange site that has been around for a while and with reputable reviews before you get to buy your bitcoin. you need to create an account with the exchange site and go through the necessary process before you buy.
What to consider when looking for a converter
Now that you know how a converter work, how can you know the best one to use? the truth is, there are a lot of converters available online. It becomes confusing for a first-time investor to choose the right converter. A good converter should have the following characteristics;
Do you need a converter that will provide you with what you want? yes, a converter that will give you the currency that you need as ease. If you need the dollar, euro or any other world currency, you should make sure it is able to give you the fait currency that you want.
For you to transact well, you need a tool that speaks or transact in a language that you understand. That is necessary for effective communication with the converter. Make sure you are comfortable with the language of the tool before you continue.
- Charge lowest fee
As an investor or a trader, you will need to be keen on this. That is because you need to make sure you use the listed amount of your cash in the transaction fee. Go for the converter that is charging the lowest fee to maximize your return.
How secure is your fait cash or your bitcoin with the converter? Will it leak any information that you will enter t other sources? This is vital questions that you will need to ask yourself before you continue. Your information and currency should be safe in a good converter.
Make sure the converter has many ways of verifying your identity. That may include the use of a phone SMS, face scanning or thumb printing. Some also have a scanning system to make sure the user is identified before he/she access his/her account.
- Volume of trade
How much doe the converter does in a day? That information will help you know how many other investors are using the converter. The more the trades per day, the clearer the indication that the converter is trusted and used by many investors.
Best Converters found in the Market
Now that you have the above information, you are ready to use a converter. You need to go online and look for a converter with the above characteristics and start converting your figures. The following are three popular trusted converters that you can use online;
- Coin base
It is the favourite of the three. That is because it is newbie friendly and guides newcomers in a more efficient and easy way. it has the above characteristics and is the most recommended on the social media when it comes to cryptocurrency
Founded in 2012, coin base is found in 32 countries. It is known best to trade bitcoin, Ethereum and lit coin. It is the largest of the converters and it supports several world currencies making it number one choice.
What makes it more attractive is the charges they charge. First, if you want to buy or sell bitcoin, there is no deposit fee that will be charged, incredible right? the only time that you will be charged a 1% fee is when you purchase the fait cash or the bitcoin that you need.
The data that they post is up to date making the figures that they give to be reliable and accurate. When it comes to the opening of an account, the process is easy, simple and anyone can understand including the first users.
When it comes to the security details, the converter has a 2-factor authentic process of making sure your account and information is secure at all time. This minimizes theft threat and makes investors trust them and trade with them more often.
It is the converter you need to go for if you are dealing with a less popular cryptocurrency. That is because it supports several digital currencies that other converters do not trade. They include the monero, dash, byte coin and digital notes.
The converter is convenient for investors who are discovering other digital currencies. With over 200 types to choose from, it is a relief to know that there is a converter that has your back in case you need to convert the currencies.
Cryptopia converter was founded in 2014. It is another converter that supports over 400 cryptocurrencies to trade with. What makes it more convenient and favourite among the users is the fee they charge.
If you choose to convert using cryptopia, you will enjoy the lowest fee compared to the other converters. They charge a low fee of 0.20% per purchase. Well, that comes with its downside. And it has made people walk away from it.
The converter is popular among the blockchain community. With that, I this seen a lot of traffic to the converter since more people want to use it every day. That makes the converter snag and can be overwhelming for a first timer who is not patient and does not know how to go around it.
As an investor, it is advisable to venture into lucrative investments in the aim of making a profit. Bitcoin trading is an investment that has a good return however, you need to equip yourself with the necessary information when it comes to conversion of your currency.
With the above information, you have the vital facts you need to know about bitcoin converters before you start using one. Go through the necessary process to make sure you get the best in the market and enjoy making a profit in the process.