More and more people in South Africa are eager to invest in Bitcoin. The price of bitcoin has been faithfully increasing over the years, to the delight of long-term investors in Bitcoin. Many South Africans want to jump on the bandwagon, a few are deterred by the high-risk investment.
If we look at historical data, the value of bitcoin has increased from $608.67 (12 September 2016) to $4,166.59 (12 September 2017).
Graph source: 99BITCOINS
However, even though the data shows a very steady rise, the future price may not be the same. But investors are certainly treating Bitcoin like digital gold in hopes that it will continue to increase in value like it has in the past (source: bitcoinzar).
If you’d like to start investing in the cryptocurrency, you’ll need to start by choosing a Bitcoin exchange, which can be found online or in the form of an ATM. Just make sure that you choose a good Bitcoin exchange to avoid getting scammed. Consider factors such as the reputation of the Bitcoin exchange, security, privacy of information, exchange rates and fees.
You will also have to get a bitcoin wallet so you can receive, store and spend your bitcoins. Usually, Bitcoin wallets come in the form of apps, websites and software programmes. They give you access to your bitcoins.
Once you have a bitcoin wallet you can purchase bitcoins via bank transfer, using your credit card, using your debit card, through a local bitcoin ATM or by converting money through your PayPal account. However, you need to be extra careful once you own bitcoins. As your wallet is in the cloud, you are subjected to hackers stealing your coins, computer viruses and accidentally deleting them yourself.
Basically, investing in bitcoin is high risk and high reward. Do you think it’s a good idea to invest in bitcoin? Let us know what you think.