The rise of the cryptocurrencies began with the advent of Bitcoin. The crowned kind of online currencies, Bitcoin is the most famous and currently most valuable form of cryptocurrency. If you want to trade it and make reasonable profit from it, there are several things that you need to know. Get educated on what BTC is before you buy Bitcoin. Above you can see the most trusted BTC exchanges with their respective reviews

The basics: what is Bitcoin and how is it generated

The main idea behind Bitcoin is to have a secure, independent currency that is run by a peer-to-peer network without any form of centralization. Bitcoins are made of block-chains, which update and share information on the amount of coins that each and every user has.

The process of generating Bitcoins is called mining. Basically, the mining process is calculation concerned with the algorithm that defines the very nature of Bitcoin. The algorithm possesses two main qualities – it has a fixed rate as well as a limit up to which mining can be done. In short, this means that at any point of time, it is known what amount of Bitcoin there is in existence, hence it is easy to determine the amount of coins that can be traded.

Why’s Bitcoin so important and why buy Bitcoin?

The most important thing about Bitcoin is that it is a currency that frees its user from third party influences when a transaction is being made. There are no banks through which the transactions are made – rather the coins come out of the Bitcoin exchange wallet of one user and goes into the wallet of another. This eliminates the need of fees and outside interferences. Since Bitcoin is not a tradition form of currency – it is not a fiat one, nor is it backed by a precious metal – it is much more volatile and dependent on factors such as government regulations, speculations and being adopted by mainstream companies and corporations. Basically, the more people trade Bitcoin, the more volatile it becomes. In the same time when you buy Bitcoin you invest in its price.

On the importance of a BTC exchange broker

Bitcoin has a pretty long and complex history, much of which was unregulated. Because of this, when trading Bitcoins, it is even more important to have backing from a trusted, regulated broker than when you are trading any other form of currency. Finding the right broker is step one when you are entering the world of BTC trading, and we are here to help you with that task. Buying Bitcoin has made many people wealthy, but one has to pick carefully the time and place before the buy.

Things to be considered when picking up a Bitcoin trading broker

Due to the nature of the market and the fast pace with which BTC trading develops, finding a reliable and trustworthy exchange broker for your transactions is not as easy as it may sound. By running comparisons and doing deep research, our specialists are able to assess the most important factors when it comes down to picking up the top brokers and exchange platforms out there, namely:

• Is the broker/exchange regulated? Using such is of utmost importance because regulations actually contribute to the stability of the market and make transactions much more secure. You will be protected from unexpected losses due to factors that are outside the trading process itself.
• What type of client support does the broker/exchange offer? The Bitcoin market is open 24 hours a day, seven days a week. You need to be able to reach your broker at any time, from any place for questions and support with the trading platform.
• The platform itself is also very important. Because BTC trade is still in its initial stages of development, many platforms offered by brokers are underdeveloped too. The platform should be easy to operate with and offer all the data you need in an accessible and understandable manner.
• Fees and liquidity – two crucial factors to consider. What fee will you have to pay to your broker? Will investing with them will actually be profitable for you when you consider the intensity of your trading activities and the amount of fees you will be required to pay. Also, you should make sure that the Bitcoin exchange has enough equity so that you can easily make transactions – no matter whether it is buying, selling or cashing out.
• Other tradable assets – many platforms focus on trading Bitcoins exclusively, but that is not a smart thing to do if you are entering the game now. There are over 1000 cryptocurrencies in existence now and their number will rise. The more trading options your broker offers you, the better.