Creating a new Bitcoin wallet online takes literally a few seconds. You will be able to send and receive payments immediately. Coinbase and Blockchain are both recommendable. However do not leave large sums of Bitcoins in your online wallet EVER!
Software wallets are downloaded and run from your computer. They are secure because the user has total control and doesn’t depend on a 3rd party service. Most software wallets require nearly a full day downloading a local copy of the blockchain before use.
I would advise to have one of each. One online (hot wallet) and one offline (cold wallet). Whenever you have some Bitcoins you transfer them and store them off line.
I would like to encourage you to keep investigating the world of crypto currencies. It is important to give bitcoins and other crypto coins our support! Imagine being your own bank, no one knows how many crypto coins you own. You handle all of your payments yourself and as anonymously as you want. Payments are almost instant and done by phone or card from anywhere.
When you send some bitcoins to someone, you create a message (transaction), attaching the new owner’s public key to this amount of coins, and sign it with your private key.
When this transaction is broadcast to the bitcoin network, this lets everyone know that the new owner of these coins is the owner of the new key.
Your signature on the message verifies for everyone that the message is authentic. The complete history of transactions is kept by everyone, so anyone can verify who is the current owner of any particular group of coins.
The complete history of transactions is kept by everyone, so anyone can verify who is the current owner of any particular group of coins
Is it possible to have my Bitcoins stolen? How can I prevent theft?
Yes Bitcoin and other currecies can be stolen but they also ARE SAFE! As long as you treat your wallets like you do with real wallets. Do not let them lay around or give them to other people. Do not let other people or companies handle your finances. If you need to have some coins with online wallets for transactions that is fine but do not let to to many of your coins be stored in online wallets EVER!
Whenever you read news of people being scammed it usually is because they left the Bitcoins with an online service that got hacked or the service simply disappeared with all the Bitcoins. It is also possible that online wallets can be frozen for other reasons and you will not be able to access your Bitcoins.
How can I use Bitcoins if I don’t know the people I am dealing with?
There are trusted Escrow services that act between sellers and buyers to avoid risk of losing Bitcoins when you are buying or selling from people you do not know. Use them!
There is a lot of hype surrounding Bitcoins and it is very volatile. This makes Bitcoin a very suited currency to win or lose lots of wealth. Luckily there are lots of other coins of crypto currency to invest in and play with. As momma said, don’t put all your eggs in one basket! The high volatility may scare some people but it is perfect to earn crypto coins by trading them.
What happens if I lose my wallet, or my computer crashes?
As long as you have been making the necessary backups your Bitcoins will not be lost. There are several ways to backup your wallet, the most convenient one is keeping a copy of your wallet on one or more usb sticks. Another option is writing down your keys on paper.