Create a Wallet
First of all you need a wallet. That is where you will store your coins for now. There are many different types of wallets. The most secure wallet is a so called 'brain wallet'. How to create a brain wallet is decribted in the menu item Security.
To get started, we will use a hosted wallet that is provided by any common exchange. That's where we acquire our first BitCoins and venture into the world of crypto, and this is also the place we use in order to convert crypto back to fiat. These exchanges are the interface between two worlds, so to speak, and they are the easiest and fastest way to acquire crypto currencies. However, they should not be used to store crypto currencies over extended periods of time. Here are some recommendations for easy to use exchanges:
CoinBase is the one account that everyone should have. The company has been around since 2012 and is based in San Francisco, California. Here you can buy BitCoin, Ethereum and LiteCoin using debit card, credit card or bank transfers. The card transactions of buying and selling are instantaneous. If you sell, the money goes to your fiat wallet and you can withdraw it to your banking account. With CionBase as a base you can then transfer the BitCoins to different accounts, exchanges or to your cold storage, paper wallet or brain wallet. The account is absolutely free of any costs. A verification is needed in case you want to buy amounts higher than $500. By using the below link, you get $10 bonus on top your first purchase. CoinBase - Sign up here and get $10 worth of BitCoin
BitPanda (former Coinimal)
Alternatively to CoinBase there is also BitPanda, which is based in Vienna. On BitPanda you can buy BitCoin, Ethereum, Dash and LiteCoin using debit card, credit card, Neteller, Skrill, Sofort-Transfer, Skrill, Giropay / EPS, SEPA or vauchers. If you sell, you can choose between SEPA, Skrill, Neteller or Amazon-Vouchers. With BitPanda as a base you can then transfer the BitCoins to different accounts, exchanges or to your cold storage, paper wallet or brain wallet. The account is absolutely free of any costs. Without verification you can buy 50 Euros worth of Bitcoins a month up to a total of 600 Euros. Higher verification levels require a government issued ID.
There is also the option of using BitPanda To Go, which allows to buy a vaucher in over 1700 post offices in Austria, which can be redeemed online. BitPanda - Sign up at BitPanda
LocalBitcoins does not necessarily require you to sign up. It is a peer-to-peer market that brings sellers and buyers together. You can buy BitCoin only using whatever Payment method you choose. If you want, you can also buy them in cash or by meeting the seller in a coffe place or a park bench close to the place where you live, which is why it is called local BitCoins. The great advantage of LocalBitcoins is that ou can choose between over 30 methods of payment, whether you want to pay cash, PayPal or with Amazon-Vouchers is up to you to decide. It's on LocalBitcoins that you are most likely to get fantastic bargains. If you want to stay under the radar, all you have to do is to have the seller send the Bitcoins directly to your safe wallet.LocalBitCoins - Buy or sell locally or globally
Cex.io offers BitCOin and Ethereum and the payment methods are cards and bank transfer. Pounds, Euros, Dollars and Rubel can also be traded on Cex.io and accounts for each currency are provided and trading between all currencies are possible, It is basically the light version of CoinsBank. BitCoin and Ethereum on Cex.io
AnyCoin Direct offers BitCoin, Ether & Ether Classic, Monero, Pivx, Stratis, LiteCin, Gulden, DogeCoin, Dash, BlackCoin, PeerCoin and Zcash. It is a dutch platform, and it doesn't provide a wallet. When purchasing the coins, the wallet address has to be entered. This can be a hardware wallet or a hosted wallet. Payment methods are Bancontact / Mistercash, GiroPay, SEPA- and Bank Transfer. Buy Crypto Currencies at AnyCoin Direct
Changelly offers an easy way to purchase 60 cryptocurrencies by credit card with immediate delivery. Simply choose the amount, enter an address where you want to receive the crypto currency:
Crypto Trading or AltCoin flipping
The usual strategy is to always buy cheap cryptocurrencies, like DogeCoin or ByteCoin and sell part of them at a higher price - usually when it trebbles. That means that you get your original BitCoin investment back plus you have the worthless Altcoins. If they pick up, you made it. If not, it's no loss. That's why it's important to have a good veriety of AltCoins in your portfolio. You never know which one will go to the moon. And it is enough if only one does. With the Blockchain technology developing, there are many hot candidates. I'll explain some of them in more detail later on.
Impossible? Look, what happened when BitCoin went from $700 to $3000. Those people who missed the BitCoin train took the Ethereum train, which then went from $50 to $300 and the people who missed that jumped on LitCoin, which went from $5 to $30. We want to focus not on the price, but on the rate it goes up. Lets take this example. If you had $100 worth of BitCoin before May, you now have about $400. If you had $100 worth of Ethereum, you would now have $500. If you had $100 worth of LiteCoin you would now have $600.
Now let's say you buy DogeCoin for $100. That would today give you roughly 35,000 DogeCoin. And some day they go from $0.003 to $0.50. You then made $17,500. BitCoin, Ethereum, LiteCoin and many others where also there one day. I always have to think about that hapless guy who in 2010 bought two pizzas for 10,000 BitCoins. Today's worth would be 28 Million Dollars.
The only important thing is the growth rate. So, if you buy $10 worth of worthless Cryptocurrencies, and only one goes up by 5000%, you already won. What's the risk? The cheaper the coin is, the lower the risk. They can't go down to 0. That's impossible, because then I would buy them all, but that would make the price go up tremendously. It is a free market, after all. The risk is this: You buy for 10$, you still get more or less your $10 back any time you want. But if DOGE goes just from 0.00000080 BTC to 0.00000160 BTC (which keeps happening, so far) your $10 turned into $20 minus the fees.
LiteBit offers about 30 Cryptocurrencies for sale. It is for those people who don't have a credit card, or who don't want to use it. Accepted payment methods are: SEPA Bankwire, GiroPay, Sofort and some other local methods used mainly in Belgium and The Netherlands. Wallets are also available for use. LiteBit - Entry level BitCoin & AltCoin Store
CoinsBank is a so called exchange. Here you can trade BitCoin, LiteCoin, Dollar, Pound, Euro and Ruble. Verifying is not necessary, as long as you don't deposit or withdraw fiat, whereas transferring crypto is free. CoinsBank also offers a Visa card, that you can use anywhere to pay with BitCoin, and also a mobile App. However, CoinsBank is an account that is not necessarily needed. There are other exchanges that may make more sense, depending on what cryptocurrencies you use and what you use it for. I only use CoinsBank to grow my currencies. So I shift everything to crypto. If it goes down, I shift everything to fiat. The overall tendency is for BitCoin to go up, so the main focus should be on BitCoin. That way within three months I five folded my original investment of €100. No commercial bank can offer a rate like that. Not even close. You may ask: What if it went down instead of up? Well, too bad it didn't, because then I would have bought more BitCoin and kept it. BitCoin is an asset of appreciation, fiat is an asset of depreciation. That's why BitCoin increases it's value, while fiat loses value - constantly. CoinsBank - Buy, Sell & Trade Crypto & Fiat
Poloniex is a pure crypto exchange and therefore a verification is not needed. The daily withdrawal limit starts at $2000, which should be enough for the beginning. Poloniex offers trading in many different cryptocurrencies. They are traded in BitCoin, Ethereum, Monero and Tether USD. It has no connection with your banking account, but this Exchange gives you about 50 different wallets, which enables you to accept any popular cryptocurrency on the market. All you need to do is to save the QR-codes and display it on your phone to accept a payment. Poloniex - Trading the most popular Cryptocurrencies
CoinExchange is a pure crypto exchange like Poloniex, just with much more Cryptocurrencies. No verification needed, since it is a pure crypto exchange and trading platform that gives you about 300 different wallets, which enables you to accept any popular cryptocurrency on the market. All you need to do is to save the QR-codes and display it on your phone to accept a payment. CoinExchange - Trading almost all Cryptocurrencies
An image of the QR-Codes of any crypto address can be visualized by adding "blockchain.info/qr?data=" before and optionally "&size=200" after the address. The number in the suffix, in this case '200' is the size in pixels the generated image is going to have. In this case, the image would be 200px by 200px.
it will show the following QR-Code: