Buy and Store Bitcoin

HOW TO BUY

Bitcoins can be bought on a bitcoin exchange. QuadrigaCX is one of the largest and oldest exchanges in Canada. 

Step 1: Registration 

  • You need first sign up an account with the QuadrigaCX exchange. 
  • For added security, you should always enable two factor authentication using Google Authenticator on a smart phone or using email or both. 
  • Remember to write the the recovery phrase or save a screenshot of the QR code and keep it offline and safe. Anyone who gain access to either the recovery phrase or QR code has full access to your two factor authentication. 

Step 2: Verification 

You then need to get verified with the exchange, by either a (1) manual ID and address method or (2) automatically using EQUIFAX system. This is to protect the exchange from frauds. Unlike financial transactions via banks, transfer of bitcoins is irreversible. One can first transfer money to  the exchange, and after receiving his bitcoins request the bank to reverse the transfer.    Verification helps exchange prevent such frauds.

Step 3: Funding

Once verified, you can fund your account with a number of methods, ranging from Interac e-Transfer to Direct Bank Transfer to Bank Wire. 

HOW TO STORE

Bitcoins bought in an exchange are initially stored by your exchange. Unless you plan to trade them frequently, you should withdraw them to your own wallet. 

Many software wallets exist on computers and smartphones. Green Address and Copay are good choices on both iOS and Android smart phones.

For maximum security, you may want to consider to use a hardware wallet. Both KeepKey and Ledger are good choices. Compared to software wallets, your private key never leaves the hardware wallet. It makes impossible to steal your bitcoins in a hardware wallet without physically possessing the wallet. Also, You do not need to worry about your computer or smartphone being compromised by hackers. 

Posted in How

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