WeBitcoin: Beginner and How to Guide: Bitcoin Beginner

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What is Bitcoin and How do i get it?

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What is Bitcoin?</h3>
It was probably the greatest trade in all of recorded history. 
 
In October 2009, a Bitcoin aficionado who went by the name of ‘Liberty Standard’ published the first bitcoin exchange rate. He arrived at the figure by dividing the cost of the electricity consumed by his computer over a 30-day period by the number of bitcoins it generated. 1,309 bitcoins to one dollar was the price.6 Liberty  
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Standard was actually criticized for valuing bitcoins too high. Four years later, on November 29th 2013, one bitcoin was $1,242 – over 1.6 million times higher. A bitcoin was the same price as an ounce of gold. 
 
If anybody managed to buy the low (which actually came in December 2009 at 1,630 bitcoins to the dollar) and sell the high, they made over two million times their money. In four years, one dollar became two million dollars. 
 
Nice work if you can get it. 
 
The story of Bitcoin is amazing – not just for the gains (and the losses) that have been made, not just because of the revolutionary technology, but also because of the human stories that have come about as a result. 
 
There’s the developer in Finland who, trying out the tech, bought a beer from his buddy for some bitcoins. Three years later, his buddy sold those coins and bought a des res apartment in the trendiest district in Helsinki. There’s the computer nerd with an interest in economics who became the FBI’s most wanted drug dealer. And, of course, there’s the great whodunit. 
 
Read More: <a href="http://webitcoin.blogspot.com/2016/04/how-bitcoin-could-change-everything.html" target="_blank">How Bitcoin Could change Everything</a> 
 
Who invented Bitcoin? Who is Satoshi Nakamoto? 
 
He has a Japanese name, a German email address and he uses British spelling. He has invented a new form of money that could change the world. He is worth almost a billion dollars. He has computer programmers the world over purring at the unhackable genius of his tech. Half the internet – as well as investigative journalists and forensic scientists, even – have been trying to figure out his identity for over three years. And yet still, nobody knows who he is. 
 
I think I’ve cracked that, by the way. 
 
The story of Bitcoin has everything from the hilarious to the mysterious to the audacious to the calamitous. 
 
Genius computer hackers. Dogs with funny names. Cypherpunks. Cryptography. Financial systems. Governments. Organized crime. Attempted murder. Political insurrection.  
 
 
Inspiring bursts of generosity. Squatters. Poker players. City traders. And people just like you. 
 
When you type a website address into a browser you might have noticed that the letters ‘http’ appear at the front. ‘Http’ stands for Hypertext Transfer Protocol. In typing an address you are actually sending an HTTP command to transmit that website to you. Hypertext Transfer Protocol is the means by which information is shared across the web. 
 
Similarly, when setting up an email account, you might have noticed the letters ‘smtp’ – for example, ‘smtp.gmail.com’. SMTP stands for Simple Mail Transfer Protocol.  
 
SMTP is the protocol by which we send emails to each other. What actually happens when you send an email through Gmail to, say, someone with a Yahoo address is that a Google server reaches out to a Yahoo server and transmits a text file; then the Yahoo server says to its user, ‘you’ve got mail’. 
 
So, a protocol is an agreed system by which information is shared across a network. 
 
Bitcoin – with a capital ‘B’ – is another protocol. The function of the protocol is to send and receive payment information. 
 
With Bitcoin, your computer reaches out to another user’s computer, gives it some binary gibberish proving you control X number of coins at this address and want them to increase the balance at that address. 
 
The unit of money on the Bitcoin protocol is the ‘bitcoin’ (with a small ‘b’). As the dollar is the unit of money on the US banking network, so bitcoin is the unit of money on the Bitcoin system. So, Bitcoin is two things – a protocol and a unit of money. 
 
 
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What is Bitcoin and How do i get it?

What is Bitcoin? It was probably the greatest trade in all of recorded history. In October 2009, a Bitcoin aficionado who went by the n...

11:53

How Bitcoin is Really Future Of Money?

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Where is Bitcoin headed? No one knows for sure, but a popular refrain is heard in the Bitcoin community: In ten years, either Bitcoin will be worth nothing, or significantly more than today. I believe this is true. 
 
 
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The idea of digital money that you manage yourself is a powerful one, and in the first four years of this monetary experiment we’ve seen explosive growth. It’s easy to see continued growth in both individual users and businesses that accept coins. If it continues at its current pace, the value of 1.0 BTC will continue to rise compared to other currencies.  
 
Eventually, goods and services might be priced in Bitcoin itself, instead of relying on other currencies to judge value. Online shopping might not require entering your credit card information, or signing up for a PayPal account. Your identity wouldn’t need to be revealed when purchasing goods, unless you made that choice. 
 
Another aspect of Bitcoin that I haven’t discussed is the potential for smart contracts, which use the cryptography inherent in Bitcoin to facilitate more complex transactions, such as escrow services, arbitration, or even estate management. If Bitcoin becomes more popular, these services will likely be implemented in the code (as Satoshi originally intended). 
 
But the future is far from certain. There are three primary threats to Bitcoin that I see on the horizon, that could substantially restrain—or even destroy—this new monetary system. 
 
1. Technical. Right now the Bitcoin economy runs fairly smoothly, handling tens of thousands of transactions daily. But what will happen if that hits millions of transactions daily? Can Bitcoin handle the same amount of volume that a major credit card does? There is speculation on both sides of the issue, but no one really knows. If the system isn’t able to handle a large amount of transactions, its value is obviously limited. 
 
2. Governmental. Because Bitcoin can be used for illegal activities (so can cash), and because the Bitcoin system is inherently difficult to regulate, governments across the world might decide to limit their citizens’ ability to use Bitcoin. If this happens, it will obviously inhibit the Bitcoin economy significantly. 
 
3. Competition. Right now, Bitcoin is the clear leader among digital currencies, but it isn’t the only one. Several alternative cryptocurrencies have taken the Bitcoin code, altered it, and launched their own currency. Some of the most popular ones include Litecoin, PPCoin, and Ripple. These aren’t nearly as valuable as Bitcoin, but it is possible that one day another digital currency could replace Bitcoin if it were significantly better. 
 
If Bitcoin can handle large transactions, avoid government restrictions, and beat the competition, I believe it will become the standard currency of the internet. This monetary experiment has evolved from a nine-page paper written in Fall 2008 to a billion dollar marketplace today, with millions of dollars of investment capital flowing into new start-ups, and new services launched each week. 
 
Only time will tell if Bitcoin will be as revolutionary to our current monetary system as email was to the old system of communications. It’s certainly off to a great start, and I hope this guide has helped you to join this grand monetary experiment. 
 
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<a href="http://webitcoin.blogspot.com/2016/03/big-advantages-of-bitcoin.html">Read Next: Big Advantages of Bitcoin</a></div>
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How Bitcoin is Really Future Of Money?

Where is Bitcoin headed? No one knows for sure, but a popular refrain is heard in the Bitcoin community: In ten years, either Bitcoin will ...

06:40

Spending and Accepting Bitcoin

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You’ve got your coins, and they are safely stored, but what can you do with them? Since Bitcoin is digital money, any way you currently spend your money could be done with Bitcoin. The only restriction is on the other party being willing to accept them as payment. 
 
 
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While the Bitcoin economy is still young, more and more businesses are accepting this digital currency every day. Even apart from businesses, there is an ecosystem of individuals who are trying to transact as many of their affairs as they can in Bitcoin. 
 
For a list of businesses and websites that accept Bitcoin, <a href="https://en.bitcoin.it/wiki/Trade" rel="nofollow" target="_blank">visit here</a>. Another good site is <a href="http://bitcoin.travel/" rel="nofollow" target="_blank">here</a>. Here are some of the more popular ways to spend coins. 
 
Bitmit. This platform allows buyers and sellers to list their goods for Bitcoin. 
 
Coingig. Another platform service. 
 
Craigslist. Search for Bitcoin on Cragislist and you’ll find people willing to sell for coins. 
 
Rediff Bitmarket. A subreddit community for buying and selling goods in Bitcoin. 
 
BitcoinTalk Forum. This forum is full of very active users, and has a section entirely dedicated to buying and selling goods and services in Bitcoin. 
 
Gyft. This is a smartphone app that allows you to purchase gift-cards with Bitcoin. Gyft has rapidly become a convenient way to spend coins at stores that don’t accept them directly. 
 
Bitspend. This service allows you to spend your Bitcoin almost anywhere (Amazon is popular). You tell them exactly what you want to purchase, send them the Bitcoin in the corresponding amount, and they make the transaction for a fee. There are several of these services available; Bitspend is currently the most popular. 
 
Bitcoin Store. This site deals with electronics, and has surprisingly low prices. A very popular site. 
 
Wordpress. The largest online blogging platform accepts Bitcoin as payment. 
 
Reddit. This extremely popular content aggregation site takes Bitcoin for its extra services. 
 
Satoshidice. A popular gambling site that lets you send Bitcoin as a bet. It’s fun, but please play responsibly! 
 
OKCupid. One of the more respected online dating sites accepts Bitcoin for their paid services. 
 
NameCheap. One of the larger web domain and hosting sites. 
 
Amagi Metals and Coinabul. These precious metals dealers are well-known and happily accept Bitcoin. 
 
BitPremier. If you’re rich, check out this luxury site. They have everything from high-end sports cars to yachts. 
 
Private Internet Access. A Virtual Private Network (VPN) that allows you to connect anonymously to the internet. One of the first to accept Bitcoin. 
 
Seals With Clubs. Great online poker site, only uses Bitcoin. 
 
Betting. There are multiple platforms that allow for betting with Bitcoin. BetsofBitcoin and BitBet are two of the best. 
 
Charity. Many charities and political organizations now accept Bitcoin. Here is a list of some of the more popular ones. 
 
Hidden services. There are many sites that aren’t accessible through the regular internet that offer goods and services of questionable legality. The most prominent is called The Silk Road, a marketplace for drugs and other items. I would advise against using these sites. Obviously, you do so at your own risk. 
 
This is only the tip of the iceberg. Search around online and you’ll find many opportunities to spend your coins. 
 
Read More: <a href="http://webitcoin.blogspot.com/2016/03/how-to-buy-bitcoin-with-credit-card-and.html" target="_blank">How to Buy Bitcoin with Credit card and Cash</a> 
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Accepting Bitcoin</div>
 
Since this is a growing market, don’t just look for ways to spend your coins—consider offering your own goods or services for Bitcoin as well! You can use the platforms we mentioned above to do this, but you can also use services created specifically for merchants (one of the best is BitPay). Here is a <a href="http://webitcoin.blogspot.com/2015/08/best-way-to-accepting-bitcoins-in-your.html" target="_blank">guide for </a><a href="http://webitcoin.blogspot.com/2015/08/best-way-to-accepting-bitcoins-in-your.html" target="_blank">small-businesses</a> who want to accept Bitcoin.</div>

Spending and Accepting Bitcoin

You’ve got your coins, and they are safely stored, but what can you do with them? Since Bitcoin is digital money, any way you currently spe...

06:20

How to Avoid Risks of Bitcoin

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There are some specific measures you can take to avoid these risks. A few of them are simple, but some require technical knowledge and some time commitment. You determine how safe your coins are; if you don’t have many coins to protect or you are so rich that you don’t care, then you don’t need to feel compelled to follow these suggestions. 
 
 
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1. Have a Clean Operating System 
 
Your operating system (OS) is the type of software you use to run your computer. There are three main OS used today: Windows, Mac OS, and Linux. Malware is most happy running on Windows, so it is the least safe client to run a Bitcoin client on. A Mac isn’t a whole lot better, but Linux is significantly safer to use for Bitcoin.  
 
If you plan on keeping a significant amount of coins on a computer, I would recommend installing a Linux distribution and learning how to use it. They are free and have nearly all the same features that their expensive counterparts have, besides being safer. 
 
In fact, I would recommend getting an older laptop, wiping the hard drive completely, and installing Linux. Finding an old laptop online, through Ebay or Craigslist, is usually simple and cheap. This gives you the most security, since you are certain the OS is clean and cannot have malware. If you are looking for a good distribution of Linux (there are many kinds of Linux to install), I recommend either Ubuntu or Mint. 
 
Read More: <a href="http://webitcoin.blogspot.com/2016/03/how-to-protect-bitcoin-from-threats.html" target="_blank">How to Protect Bitcoin from Threats</a> 
 
2. Recognize the Internet is Dangerous 
 
The internet is an accident waiting to happen, in terms of Bitcoin safety. Your computer—and coins—have a direct connection with anyone else in the world. You have a few options to mitigate this risk. You can operate offline altogether, by using a paper wallet or offline service (the Armory client allows for this). This is the best option for large amounts of Bitcoin, and it is generally true that the more you are able to do offline, the better. Storing Bitcoin offline is called ‘cold storage.’ 
 
Or you can carefully work on a computer connected to the internet. Using Linux, you will be somewhat safer, since it isn’t as easy for an attacker to directly access you, or contract malware. If you are using Windows, you need to ensure you are up to date on your protective software.  
 
I recommend using Microsoft Security Essentials, a free program that gives excellent protection. Also make sure to regularly update your software and run the appropriate scans to make sure you are clean. Just remember that even if your scans show you are clean, it is possible to have malware on a Window system. 
 
Whenever you are browsing the internet, be careful where you go and what you click on. The same is true for downloading files, and torrents. Malicious software is frequently spread through falsely labeled downloads. 
 
3. Use 2-Factor Authentication 
 
Online exchanges and wallets nearly all offer a service called 2-factor authentication. This means that when you try to log into your account, or when you try to send Bitcoin, it requires that an outside source verify the requests are genuine and not from a malicious source. Typically, this happens by sending you a text on your smartphone or by requiring you to input an authentication code generated by a program elsewhere. 
 
You should always enable 2-factor authentication. I use the Google Authenticator app on my phone, which I prefer, but there are plenty of other systems like this. 
 
4. <a href="http://webitcoin.blogspot.com/2015/08/your-bitcoin-wallet-and-how-to-use.html" target="_blank">Use Paper Wallets</a> 
 
I’ve mentioned paper wallets multiple times, and that’s because they are the most secure and simplest way to store your coins. To generate a truly secure paper wallet, you need to make sure that your private keys are never on an OS that isn’t clean and that they never see the internet. To do that, you need to follow these steps. 
 
1. Find a paper wallet generator that is trustworthy. I would suggest using Bitaddress to create your wallet. 
 
2. You can print off the paper wallet from Bitaddress above, but this is not truly secure, since the private keys are created by a third party while connected to the internet. You need to use their tools while offline. To do this, save the Bitaddress page (as an .htm file). 
 
3. Put the file on a USB drive. 
 
4. Open the file on a clean OS that is not connected to the internet—and preferably never has been. 
 
5. Generate a new Bitcoin address using the Bitaddress service. 
 
6. Print off the paper wallet. 
 
7. Delete the file and make sure that there is no electronic record of the private key remaining on the computer or USB drive. 
 
8. Ensure the printed paper wallet remains secure from theft, fire, flood, bugs, or other damage. If you lose your paper wallet, or is it not readable, you cannot retrieve your Bitcoin! Remember, to use Bitcoin, you must have a private key that corresponds to your public address. A paper wallet—properly created—ensures that the private key only resides on a piece a paper, and no one else can use the coins in that particular public address. That’s why if you lose your paper wallet, you lose your private key, and you lose the ability to access your coins too. 
 
9. Send coins to the public address of your paper wallet. You’re done! 
 
Now, if you want to use those coins, you import your private keys into whatever wallet you are using. Bitaddress, and most paper wallet generators, generate a QR code that allows for quick recovery of your private key when you need it by scanning the code with a smartphone or webcam. 
 
A quick note on paper wallets: If you do choose to ‘withdrawal’ from the wallet, make sure you take out all the coin from that wallet at once. A paper wallet that has been used once means it is no longer a paper wallet; you will need to create a new one to be completely secure again. 
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<a href="http://webitcoin.blogspot.com/2016/03/how-to-store-and-secure-your-bitcoin.html">Read Next: How to Store and Secure Your Bitcoin</a></div>
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How to Avoid Risks of Bitcoin

There are some specific measures you can take to avoid these risks. A few of them are simple, but some require technical knowledge and some...

05:58

How to Protect Bitcoin from Threats

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You know the different ways to store your coins, but what are you keeping them safe from? There are several threats to your digital money, and being aware of them will help you avoid them as much as you possibly can. 
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1. Yourself</div>
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You are probably the greatest threat to your own coins. This may sound strange, but it’s true, there are many horror stories online of people making mistakes and having lost their Bitcoin. There are two primary mistakes that Bitcoin users make. One is to encrypt a Bitcoin wallet, then forget the password. The second is hard drive damage or other technical error that causes the loss of the private key. 
 
Some of the standalone Bitcoin clients allow you to encrypt your wallet, so that if someone gains access to your computer they cannot get your coins. However, people sometimes set up this encryption, then forget about it—until they want to spend their coins. Then they need the password—oops! They can’t remember. And if this happens to you, you’re sunk; there is no way to recover those coins. I recommend that if you think encryption is necessary, you write down your password and keep it in a safe place. This is obviously true for an online wallet as well, since you need a password to log in. 
 
Since many users store their coins on a local drive, another problem is hard drive failures leading to lost coins. This is a shame, since it is so easily avoidable: all you need to do it create a copy of the wallet file and store it on a USB drive or an online storage system, such as Google Drive or Dropbox. If you do have a backup (you should), I recommend encrypting that copy—just write down the password first! 
 
2. Physical Theft: Roommates and “Friends” 
 
While this is far from the most dangerous threat most Bitcoiners will face, coins can be stolen just like cash. If you have a paper wallet, or a mobile wallet, or a client on a laptop, a thief could simply walk off with your coins. If they know how to use Bitcoin, and they get access to your wallet, they could transfer your coins to another address they own. 
 
This doesn’t seem to happen all too frequently, but when I do hear about it, typically it occurs in college dorms or other settings where people have tech savvy acquaintances. If this concerns you, just keep your wallet encrypted and keep a close eye on it. 
 
3. Active Attacks: Hacking 
 
There are a few tech-savvy criminals out there who try to steal as many Bitcoin as they can. They typically target exchanges or online wallets were there are lots of users, so individual users typically aren’t at risk unless they have coins stored online. 
 
Several exchanges have been hacked in the past few years, leading to various amounts of lost coins. As the Bitcoin community grows, and as the infrastructure grows, it is likely that these types of attacks will become mitigated once bigger companies implement more rigorously tested safety measures. For now, the best approach is to store only small amounts in the exchanges or online wallets. 
 
4. Passive Attacks: Malware 
 
These are likely an even greater threat than active attacks to the average Bitcoin user, since they target the individual computer that might hold the coins. A passive attack is accomplished with malicious software meant to compromise your computer. These can include things like keyloggers, which record all of your keystrokes and send them to the attacker. Keyloggers are commonly used to obtain passwords, and if an attacker has your passwords they have your Bitcoin. 
 
Alternatively, the malware might be a piece of software that searches your computer for a wallet file, and if it finds one, it sends that file (or just the private keys) along to the attacker. 
 
This type of attack can even come from a browser; if you allow a bad script to run it can wreak havoc, especially with online wallets. This malware is unfortunately all too easy to contract, especially if you don’t have good protection against it and are unsafe in your web browsing. 
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<a href="http://webitcoin.blogspot.com/2016/03/how-to-store-and-secure-your-bitcoin.html">Read Next: How to Store and Secure Your Bitcoin</a></div>
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How to Protect Bitcoin from Threats

You know the different ways to store your coins, but what are you keeping them safe from? There are several threats to your digital money, ...

05:08

How to Store and Secure Your Bitcoin

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Now you know what Bitcoin are, and how to obtain them. There is only one more thing you need to know before you can begin using Bitcoin: storage and security. This is one of the more daunting aspects about using Bitcoin, because if you make a mistake you could lose your coins permanently. It requires some technical skill, though nothing too complex. This isn’t a section you can skip. If you do, you may as well be juggling your key-ring over a sewer grate or leaving your wallet behind in a taxi-cab. 
 
 
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First, let me explain some terminology. When the media discusses Bitcoin, they often say that the coins are kept in wallets, which is true but misleading. The coins are actually in their deposit boxes (their public addresses), and a wallet is simply a service that collects all of a user’s deposit boxes into one place. Think of a wallet as your own little bank: you have your own row of deposit boxes, and all the private keys to those boxes as well. When you need to send Bitcoin from any of your public addresses, the wallet has your private key right there for you. 
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Read More: <a href="http://webitcoin.blogspot.com/2016/03/how-to-protect-bitcoin-from-threats.html" target="_blank">How to Protect Bitcoin from Threats</a> 
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This wallet can be stored in many different places. There are five main ways to keep a wallet. 
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Bitcoin-Qt: The Real Deal</div>
 

The first option is the original option. This is the computer program (called a client) that the core of developers working on Bitcoin release every so often, with updates to make the system better. 
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This client downloads the entire blockchain onto your computer. Since this is the record of every Bitcoin transaction ever made, there is a lot of data to store. As of June 2013, the blockchain was about 8Gbs in size. 
 

This standalone program has its advantages. 
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<li>When you are running the program, you are a node in the network, so you are helping the blockchain stay healthy by verifying transactions.</li>
<li>You are not trusting a third party with your private keys, they are stored locally on your hard drive.</li>
<li>The code is the most reviewed and most secure.</li>
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There are some disadvantages as well. 
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<li>Downloading the entire blockchain takes a very long time (hours or even days depending on your internet connection), and significant hard drive space.</li>
<li>It requires time to sync with the network if you haven’t run the program in a while.</li>
<li>If you encrypt your wallet, then forget your passphrase, your coins cannot be retrieved.</li>
<li>You are connected to the internet, increasing the chance that someone could steal your private keys.</li>
<li>You can only access your coins from the computer that has the client.</li>
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While Bitcoin-Qt is a solid choice to use as your wallet, I would not recommend it for the first time Bitcoin user. There are better choices. If you do want to use the main client, <a href="http://bitcoin.org/en/download" rel="nofollow" target="_blank">visit here.</a>

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The Modified Clients</div>
 

There are some clients that are also standalone programs, but have some different features from the main Bitcoin-Qt client. Here are a few of the more popular modified clients. 
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Multibit. This is considered a ‘lightweight’ client, since it doesn’t require downloading the entire blockchain and uses fewer system resources. Setting up and syncing the client is much easier and faster than using Bitcoin-Qt. For first-time users who want a standalone program as their wallet, I recommend Multibit. 
 

Electrum. This client doesn’t download any of the blockchain at all, it connects to a remote server. As such, it is very fast. It also allows users to create a ‘secret seed’ when they first set up the wallet. If your computer ever crashed, you could recover your coins using this system, unlike with the other clients I mention. 
 

Armory. This client is very secure and very feature-rich. There are many neat options for users, such as creating a “cold-storage” wallet for extra security.  
 

However, this client has more features than a new user will ever need.

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Accessible Anywhere: Online Wallets</div>
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You don’t need to have a standalone program on your computer to use Bitcoin, you can use an online wallet. This is exactly what it sounds like: a website that offers to hold your Bitcoins in an easily-accessible online wallet. This has its advantages. 
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<li>No syncing necessary, your Bitcoin are instantly available.</li>
<li>It can be accessed in more places than just your computer; all you need is an internet browser.</li>
<li>You can use browser plugins to make using Bitcoin online very simple.</li>
<li>Your coins aren’t stored on your hard drive, so if your computer crashes your coins will still be safe online.</li>
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However, there are some significant drawbacks to using an online wallet. 
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<li>You trust a third party with your money. While several online wallets have an excellent reputation, it is still a significant risk to let another party hold your private keys.</li>
<li>As I’ll explain soon, if you are connected to the internet you are already vulnerable to malicious attackers who could try to steal your coins. Using an online wallet can make that attack even easier.</li>
<li>The online wallet services themselves can be—and have been—attacked. Several have been shut down because of these attacks.</li>
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So should you use an online wallet? I do, for small amounts. It’s a simple way to keep a small amount of coins available if I’m going out of town and want to make sure I can access some coins easily. But I would never recommend using an online wallet for large amounts of coins. 
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Which wallet to use? Mt. Gox and Coinbase have wallets built into their services, and both are fine to use, but my recommendation is Blockchain. This is the most widely used online wallet, and for good reason, it is simple but has an excellent reputation. 
 
 
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Bitcoin on the Go: <a href="http://webitcoin.blogspot.com/2015/08/your-bitcoin-wallet-and-how-to-use.html" target="_blank">Mobile Wallets</a> 
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You don’t need a computer to use Bitcoin at all—most smartphones are capable of using a wallet app. They aren’t able to download much of the blockchain at all, and aren’t particularly secure either. 
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Android has many different wallets available. Check the reviews first to make sure they are legitimate. I use an app simply titled “Bitcoin Wallet.” The iPhone is a little bit trickier—they unfortunately don’t allow their apps to use Bitcoin. However, you can get a limited function wallet for download through their iTunes store.</div>
 

Should you use a mobile wallet? I would definitely use one, but with the same warning as the online wallet: only in small amounts. It’s neat to carry Bitcoin with you wherever you go, and if you ever do happen upon a business that advertises they accept Bitcoin, consider buying something small as a show of support! 
 
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Paper wallet</div>
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Not only do you not need computers to use Bitcoin, you don’t need smartphones either. In fact, you can keep Bitcoin on nothing but paper. First of all, why would you even want to keep your coins on paper? Well, that’s simple—paper wallets are, by far, the safest way to store your Bitcoin. If you have large amounts of coins, or you don’t want to spend the coins but just save them, then you should consider using a paper wallet. 
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It doesn’t seem to make sense that Bitcoin, a digital currency, would be able to be stored on paper. But remember, the beauty of Bitcoin is in public-key cryptography, and the public ledger (or blockchain). To create a paper wallet, all you need to do is create a new public address and private key, put some Bitcoin in the public address, then print off the private key and store it somewhere safe. To use your Bitcoin later, you can input the private key. Often paper wallet generators create a QR code so that you can simply scan the private key. 
 

While the process is simple enough, it gets more complicated to create a paper wallet in a totally secure way. I’ll walk you through creating a secure paper wallet later, but first you need to understand why proper storage is so important. 
 
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<a href="http://webitcoin.blogspot.com/2016/03/how-bitcoin-is-really-future-of-money.html">Read Next: How Bitcoin is Really Future Of Money?</a></div>
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How to Store and Secure Your Bitcoin

Now you know what Bitcoin are, and how to obtain them. There is only one more thing you need to know before you can begin using Bitcoin: st...