In a world where everything has gone digital with divers types of liquid cash displaying as digital numbers on the screens of our phones and PCs, cryptocurrency has become the order of the day with Bitcoin on the lead. Like online banking, crypto trading involves the movement of cryptocurrencies from one Wallet to Wallet. And trust me when I say you can make online purchases from some online stores with Bitcoin and other prominent cryptocurrencies. Thus, I will like to discuss the steps for opening a Bitcoin Wallet in this segment.
So what then is a Bitcoin wallet?
A wallet is an online or offline database used to store the private keys for coins in a person’s custody. This is where a person sends, receives and stores. When you transact with your wallet just like online banking, you need to sign with our private key which shows that you are the owner of the coins you are transferring. This is to say that in the realm of crypto trading, a Bitcoin Wallet is equivalent to a bank account.
Assuming you just got paid in Bitcoin for a transaction online, how do you open a bitcoin wallet to manage your coins?
You must realise that choosing a Bitcoin Wallet is not that easy because there are different Bitcoin Wallets to choose from and there are several factors which also influence the Wallet Type to choose. Some of these Wallet Types include; Online, Software and Hardware Bitcoin Wallets and some advanced ones such as Shared Bitcoin Wallet. For a newbie, it is always best to start off with the online Bitcoin Wallet. This is because it can be opened free of charge, cost less to maintain it, supports different kinds of coins, and has a 2-FA option (Two Factor Authentication option) to secure the Wallet. You must however be very careful due to widespread activities of hackers online, so it is wise to secure your wallet in the best way you can. Signing up will take a couple of minutes if you follow these simple steps;
- Download the Bitcoin.com Wallet App for iOS, Android, Windows, Linux, or Mac or you can use some websites like btc.com or bitgo.com which help in the buying and selling of Bitcoin.
- Click sign up to create a free Bitcoin Wallet. If you are using the App, from the home screen, click the “+” in the Bitcoin Cash Wallet’s Menu to create a new wallet. Enter your email address and password as provided. Then confirm the password and click on Continue or Next button. It is always recommended that you choose a password you can remember but best to choose an alphanumeric code.
- Once you pass the stage in (2) above, you will see a message display on your screen which says Get Started. Click on that button and boom! Your Bitcoin Wallet has been created in a jiffy.
Tips on Managing Your Bitcoin Wallet
- You cannot transact without a Bitcoin receiving address. A Bitcoin receiving address is just like the normal bank account number and is an alphanumeric combination. Fortunately enough, it is generated once you create a new Bitcoin Wallet. So look for icon that directs you to your Bitcoin address, copy it and back it up by either sending it someone who is about to pay you or to your email. It is recommended to write it down because once the person paying pays into a wrong account, the payment cannot be retracted.
- Always back up your Bitcoin Wallet. There are digital and analogous methods of backing up your wallet. For the digital aspect, it is advisable to use a “2-FA option”. This involves using several devices to login to your Bitcoin Wallet, that way, it will be difficult for hackers to access your wallet with just your password. Alternatively, you can use the simpler method of just writing down your wallet details on a piece of paper and keep it in a safe place.
- Personalise your Bitcoin wallet. It will be wise to create a username and a password to login to your Bitcoin wallet. Also, it is expedient to fund the account and it is at your discretion to choose which currency you want to transact.
Remember, it is your responsibility to choose a Wallet Type which will be easy for you to access and secure.