Bitcoin basics

Be up an running with Bitcoin in just a few minutes

I’ve been working with Josh Riddett (from easycryptohunter.co.uk) to get started myself with Bitcoin and I found it incredibly confusing…

So I have put this page togther to help YOU get started much faster and easier than I did, and help you get started with as little as £10 if you like!

I decided that I didn’t really need to put together a course as I have now figured out how to get you started right away (see below).

If you still want to know any other details. Or if you are confused about anything and you would like additional personal support please drop me a message and £99 via www.PayPal.me/JohnVDenley/99 and I will be happy to help you get to where you need to, including how to buy a speculative Altcoin! Plus, once you have a wallet up and running I will transfer £20 worth of Bitcoin back into your wallet 😀

Only play with money you are willing to lose.

 

What is Bitcoin?

Bitcoin is simply an online currency, like dollars or yen or euros. You can buy them just like you might buy euros in the post office or at the airport in exchange for pounds. The difference is that bitcoin is not tied to a specific country and they only exist online. Also there is a limited amount of the currency, so they won’t just “print new money” this is why the exchange rate actually keeps going up, as the “coins” in circulation become more valuable.

However, contrary to what I just said there are less “actual coins” in circulation than there are coins that exist, bit more coins are created in payment for people who “mine” the coins, and that’s done by making your spare computer power available to the network to help run the technical stuff that keeps it all secure.

The spanner in the works, and the bit that makes things dangerous and exciting is that people are creating their own versions of the original bitcoin (AltCoins – see below). Some of these are somewhat dubious in nature, but it’s quite hard to tell the good from the bad, so please do be careful. However, if you are willing to take a risk and you have money you are willing to lose if you make a mistake, then you CAN make a lot of money quite quickly…
For example: I bought $200 of the new “Bitcoin Gold” last week at $111 per coin, and currently I could sell my holdings at $156 per coin… But as it’s money I’ve accepted that I might lose, I am holding until the price reaches $200 per coin and then I will sell $200 of my coins and turn it back into British pounds (like along your euros back to the post office after a holiday) and that will leave me with about $200 of “free” money still “in the game”…
The original bitcoin is currently worth £4600 and 2 weeks ago it was £3990… Back in January it was £630 yup six HUNDRED, so almost 10x your investment/gamble in 10 months! Even crazier is that in October 2013 you could buy a coin (now worth £4600) for £95 so thats nearly 5000% in 4 years!!!
Here is the Chart of the Bitcoin price, it’s all a bit nuts isn’t it!
What is AltCoin and Cryptocurrency?

Altcoin is the generic term for ALL alternative currencies (that work like Bitcoin but are NOT Bitcoin). CyrptoCurrencies is the term that covers Bitcoin AND Altcoin.

There are hundreds of Altcoins out there some more stable than others. Think of them as “penny shares” from the 90’s or if you have seen the film “The Wolf of Wall Street” that scene at the beginning when he is selling the “aircraft company”. This is a bit like the cryptocurrency market right now!!

Here is that scene (the language is a little fruity so be careful where you watch it!): https://youtu.be/nJzo5TDfamk but also dont let that put you off TOO much as they say at 1m50s there were some people who made decent money on those stocks as have people who “bet” on Bitcoin 12 months or so ago! As Siam Kidd says on his blog he still thinks the price of Bitcoin could get up to $20k, and its currently at about $6k!

There is a list of most cryptocurrencies at: coingecko.com

Get started for free
I’ve been playing for a few weeks for free and my favourite way to get started for fun with out spending any money is here:
freebitco.in 

Here are some other sites I also use below, but they need to be used carefully as they have lots of potentially dangerous links on them, but I have been using them fairly consistently for about 3 weeks now and have barely earned £1 from using them, but it IS a bit of fun and does give you a good way to play around and get started if you have ZERO cash!  You will also note that they are all affiliate links, so I will get a TINY bit of compensation if you use them!

BEWARE OF CLICKBAIT!!

http://bonusbitcoin.co/?ref=17755992DD66 
http://moonbit.co.in/?ref=d06bb747e538

http://moondoge.co.in/?ref=ca48491212f5
http://moonliteco.in/?ref=5a940878f87a
http://freedoge.co.in/?r=1254959  

Get started for REAL
  1. Create a wallet, which you can do both in a web browser and on your phone at blockchain.info/wallet
    1. Do not try to buy bitcoin from inside blockchain, it gets confused!!
    2. Blockchain is a slightly confusing name as “blockchain” is also the name for the technology behind Bitcoin
  2. Get your Wallet deposit address (NOT your wallet ID)  (eg mine is 1QBRBpN42SRY55DQ1gyZ6xvunmoyxaRVUD – feel free to send me some bitcoin if you like!)
    1. NEVER reveal your wallet ID or your 12 word wallet passphrase to ANYONE…..EVER!!
  3. Buy bitcoin instantly, without needing to confirm identity through www.coinify.com and deposit into your blockchain wallet (using the address from step 2)
  4. Consider using wallet.mycelium.com as a mobile only option – definitely get your 12 word passphrase for this wallet! and keep it safe, I use LastPass rather than keeping a paper copy, but obviously anything “online” is always open to potential “attack” although I feel LastPass is secure enough to not worry about, after all it has ALL my passwords anyway!!
  5. Do consider getting a “Leger Nano S” offline wallet from Amazon: http://amzn.to/2zo40ol for added security
  6. If you want to buy Bitcoin Gold you will need to buy it at www.bitfinex.com for now (not easy to understand how and you will need to verify your ID) Check out my journey below and the current price at coinmarketcap.com/currencies/bitcoin-gold/ 

 

My Bitcoin Gold Journey:

Current BTG price: current price at coinmarketcap.com/currencies/bitcoin-gold/ 
To trade: www.bitfinex.com
Official page: bitcoingold.org 

 

  • 24th October 2017 update – the Bitcoin Gold fork happened earlier today and I missed it!! – It’s hard to be sure, but it’s likely that the value of bitcoin gold will rise quite rapidly initially so now is a good time to buy some BTG if you have some spare cash that you are happy to “gamble” with… Although it’s a relatively safe gamble as it’s highly unlikely you will lose ALL your money!! You might just have to WAIT a bit for the value to go back up if it does drop!
  • 25th October 2017 update – Bitcoin Gold dropped from $800 to $120 today, so I am glad I didn’t buy any yesterday, although I did get some free due to my “original bitcoin” holdings”. I did buy $200 of BTG at $111 per coin today (you dont need to buy “whole” coins online!!)
  • 1st November 2017: Update – Bitcoin Gold is currently trading at $154 😀 If it goes above $222 I will have doubled my money and I will take out my original stake, so I am left with “free” money! 😉 

  There is some more good advice and information at Siam Kidds website: www.therealistictrader.com/ridiculous-bitcoin-bubble

Things I needed to understand: 

 What is a wallet?

 How does it all work and what does it mean?

 If a coin is £4000+, how can I afford to buy one?

 How do I create an account

 How do I buy coins?

 Why are there different prices?

 Can you really earning free coins

 Transferring to a wallet and back into your bank account…

 What is mining?

 What is a BlockChain?

 What is the difference between a passphrase, a private key & a public key (NB NEVER EVER share anything other than a public key = “your wallet”)

 How do I Backup my wallet?

 What is a hardware wallet and should we use them?

 Buying mining power on exchanges – not currently a good idea

 Using your own PC to earn coins through mining – not currently a good idea

 Renting a mining rig (from Josh, or me soon) – expensive initial outlay, but in less than 12 months it will literally be like printing money!

 Buying a mining rig (from Josh – possibly via me!)

Your details are 100% safe!
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