How to Trade Safely With Bitcoin

Regardless of how much or little you have known about Bitcoin, if you feel you are ready to explore it, I agree with you. Go ahead and dig out this treasure pot. However, there are still a few things that must be at the back of your mind as you get on the course. The way Bitcoin allows you to exchange m
oney is different from what obtains in the banking system. So you must constantly educate yourself about use and misuse of Bitcoin.

 

 You must secure your wallet

Read Also: What You Should Know About Bitcoin

Hey! Don’t forget, your Bitcoin holds your money! How would you treat your regular wallet? No doubt you would secure it the best way you could. But you Bitcoin wallet should be more secured. There are security angles to attractive features of Bitcoin which allows you to transfer values any time T and place P in the most convenient way and which give you a great measure of control of your money.
If you’re careless with them, you’re done for. At the same time, if you used them correctly, you are guaranteed a very high-level security for your wealth. It is, therefore, your responsibility to ensure the security of your wallet. I will share with you some tips on how you can safely secure your Bitcoin wallet later.

 Bitcoin price is unpredictable

Due to the fact that, Bitcoin is a relatively new and noble electronic currency, its price can unpredictably rise or lower within split seconds. Your knowledge of this should cause you not to keep your life savings in Bitcoin for now. You must keep trading with it as you would constantly trade with a high-risk asset.
If you decide to keep some money in Bitcoin because you are speculating, let it be the amount you can take a chance with. Otherwise, I will advise you to convert your Bitcoin payments to your local currency as soon as you are not trading with them. There are local service providers that can convert Bitcoin to local currency.

 

Read Also: The History of Bitcoin

The History of Bitcoin and Why you should Invest In Other Fast Rising Crypto Currency - See more at: http://www.naijatechlovers.com/2016/11/the-history-of-bitcoin-and-why-you.html#.WIXoqrkZDK9

The History of Bitcoin and Why you should Invest In Other Fast Rising Crypto Currency - See more at: http://www.naijatechlovers.com/2016/11/the-history-of-bitcoin-and-why-you.html#.WIXoqrkZDK9

Bitcoin transactions cannot be reverted

Before you click off any payment in Bitcoin, be sure you are paying to the right person and that it is the right amount. This is because Bitcoin transaction is irreversible. Once you paid wrongly, you are at the mercy of the receiver to you initiate another back payment if he is honest. For this reason, deal only with reputable organizations and individuals
As Bitcoin continues to gain ground, businesses may be able to track the payment requests they are displaying. For now, Bitcoin can detect typos and the system may not effect the payment if you don’t enter a valid Bitcoin address.

 Bitcoin trading is not private by default

You are to go the extra mile in protecting your Bitcoin privacy. This is because every transaction in Bitcoin is stored permanently in the public Bitcoin network. This means that all users will see the balance of any Bitcoin address. Of course, they may not be able to know the identity of the user of the address until the Bitcoin is used and information has to be revealed. That is why you must not use a Bitcoin address more than once for the sake of security.

Bitcoin is still being improved

Being a new currency, one advantage of Bitcoin is that it is still experimental. You can make a lot of money now in the system before the system gets tightened up. This does not mean that the market may have a downturn, it can only get better. But no one can tell for sure what becomes of Bitcoin’s tomorrow.
What we know for sure is that it is still being developed and each next level produces new challenges as more and more people adopt Bitcoin. This increases the opportunity for the expert Bitcoin traders. Don’t panic at this time if you experience increased fees, slower confirmations, and other seemingly tough issues. Speak with the expert Bitcoin traders before you make a consequential investment in Bitcoin.

 Dealing with tax regimes

While there is nothing legal or illegal about Bitcoin, you should expect the government to come up with taxes and regulations on Bitcoin, though it is not a currency of any nation. But government’s desperation for IGR will cause them to beam their search light on your earnings, alternative income, payroll, and capital profits and they will expect you to pay tax on any and all of them. You must know how to find your way in this regard so that you will not be on the wrong side of the law in Bitcoin earnings.


Read Also: What You Should Know About Bitcoin

With all of these as your precautions, you can trade safely and make cool profits in Bitcoin which will make you one of the millionaires in a short while. I can only add, Do enjoy your Bitcoin trading!