CHAPTER 3

Get Started with Bitcoin (4 Steps)

Good, now you know what Bitcoin is and why you should use it. Then it’s time to get started with the cryptocurrency. If you follow our guide with step-by-step instructions, it only takes a few minutes.

First, we show you how to create or buy a secure Bitcoin wallet. Then we will help you buy your first bitcoin. Thereafter we will explain how to protect and store your bitcoin.

The final step is to send and receive bitcoin,so you learn how to use the cryptocurrency. We will help you all the way to avoid common beginner mistakes.

It’s easier than many think with Bitcoin. But since it’s about your money it can feel safe with guidance. Here are four steps to start using Bitcoin today:

Step 1: Create a Bitcoin Wallet

Step 2: Get Your First Bitcoin

Step 3: Secure Your Bitcoins

Step 4: Send and Receive Bitcoin

As you can see, getting started with Bitcoin is easy! In the following sections, we will go through all the steps in detail. We end with important about safety along with some tips and advice.

NOTE! It is important that you read the security information!

1. Get a Bitcoin Wallet

A Bitcoin wallet is needed to receive and send bitcoins. It’s easy to create a Bitcoin wallet, but there are many different types with various security.

With Bitcoin, you have a private and public key that you keep in a wallet. Simply explained, your public key acts as your email address and your private key as your password.

This means you need to protect your private key and not show it to anyone. That’s why you need a secure Bitcoin wallet.

If you want to buy Bitcoin for a smaller amount, you can use an online wallet. That is automatically created when you open an account at a Bitcoin exchange. We help you choose a secure Bitcoin exchange.

However, we strongly recommend buying a hardware wallet if you want to buy bitcoin on a regular basis or for a larger amount. That is the best type of Bitcoin wallet because it’s both easy to use and very secure.

If you create your own online wallet or software wallet, you should back up your private key and keep it offline. You don’t need to think about that with a hardware wallet because it protects your private keys for you.

Compare and choose the best Bitcoin wallet here →

2. Get Your First Bitcoin

You can get Bitcoin in three different ways. The most common and usually easiest is to buy Bitcoin on a marketplace. But you can also sell a product or service in exchange for Bitcoin.

The third way is to earn Bitcoin through Bitcoin Mining. Then you install software on your computer to verify transactions and get rewarded with Bitcoin. However, it’s hard to make money with mining,and it requires great knowledge and a lot of resources.

We recommend that you buy your first Bitcoin on a trustworthy exchange. There are many places to choose from, but not everyone is safe and reliable.

We will help you choose the best exchange for you. Is it the first time you buy Bitcoin? Do you want to buy Bitcoin instantly with your credit/debit card?

You will get help with all this in our beginner’s guide about Bitcoin exchanges. We have reviewed and compared all the best exchanges. There are simple step-by-step instructions. Do you want to buy Bitcoin instantly? No problem →

eToro is the Best Bitcoin / Cryptocurrency Exchange. You can buy Bitcoin and cryptocurrency easy, instant and secure. Their exchange platform has received our highest rating. Open an account and start trading now!

eToro is the Best Bitcoin / Cryptocurrency Exchange. You can buy Bitcoin and cryptocurrency easy, instant and secure. Their exchange platform has received our highest rating. Open an account and start trading now!

Risk Disclaimer: Cryptoassets are highly volatile unregulated investment products. No EU investor protection. Your capital is at risk.

3. Secure Your Bitcoins

Have you bought Bitcoin? If the answer is no, scroll up! If the answer is yes, congratulations! Welcome to the future financial world where you can be your own bank.

The next step is to secure your Bitcoin by taking control of your private keys. Now you need a secure Bitcoin wallet that we helped you with in the first step.

When you buy Bitcoin on an exchange, the money (private key) is kept in your account at the exchange. This is risky as the company stores and controls your Bitcoin.

The whole purpose of Bitcoin is to control and protect your own money. If you keep your Bitcoin on an exchange, your account may be restricted or blocked. In the worst case, you lose your Bitcoin if the company goes bankrupt.

For your Bitcoin to be secure, you need to transfer them from the exchange to a secure Bitcoin wallet. Once you have bought Bitcoin on a marketplace, we strongly recommend that you transfer them to a secure hardware wallet.

Read our Bitcoin wallets guide to learn more about different types of wallets and safe storage of Bitcoin.

4. Send and Receive Bitcoin

The easiest way to learn about Bitcoin is to use Bitcoin. Therefore, you should make at least one Bitcoin transaction. We recommend that you send Bitcoin between two of your own wallets to learn how to send and receive Bitcoin.

You will learn this if you buy Bitcoin at an exchange and transfer them to your private Bitcoin wallet. To receive Bitcoin, you only need to share your public Bitcoin address. It consists of a code between 27-34 letters and numbers. The address can look like this:

31Uw6L6RiIcdQgPqBkvIofH6CQ7wnMjxC

Your private key looks similar but is shorter. Be sure to never share your private key! Most wallets create QR codes of the keys, to make it easier to send and receive Bitcoin.

A Bitcoin can be divided into one-hundredth of a million (0.00000001), also called a satoshi. When to transfer Bitcoin, the wallet usually recommends a transaction fee which varies depending on the market. The higher the fee, the faster the transaction is completed.

The number of stores and services that accept Bitcoin is growing every year. To pay or send Bitcoin is also simple but requires a few more steps:

1. Open your wallet and navigate to the “Send” page.
2. Fill in the recipient’s public Bitcoin address (or scan the QR code).
3. Enter amount (many wallets automatically convert the bitcoin price to normal currencies).
4. Make sure the address and amount are correct.
5. Send!

The transaction is usually done directly, but it may take a few minutes. If you’re transferring a large sum of money, you should wait for at least 6 confirmations to be 99.99% sure that the transaction is not canceled. Here you can learn more about How Bitcoin Works.

Now you know how to get started with Bitcoin! Don’t forget to read the security information →