How can Bitcoin be traded and earned?

16 Wed, Feb 2022



Bitcoin can be acquired as a purchase at an exchange, exchanged with someone else, earned through competitive mining or acquired as a payment for goods or services. 

A cryptocurrency exchange, or a digital currency exchange (DCE), are online platforms and marketplaces in which users buy, sell, and trade cryptocurrency. Here, individuals exchange one kind of digital for another based on the market value of the given assets. A similar nature to  stockbroker, an exchange provides all the tools required to buy and sell Bitcoin. When choosing a cryptocurrency exchange, it is important that an individual looks at the supported security, withdrawal options, currencies and their prices. Miningstore can assist with all types of trading fundamentals on cryptocurrency trading, including their very own Trading Academy in which you can begin to learn to capitalise on the blockchain market within crypto currency exchanges, such as the buying and selling of Bitcoin. Furthermore, If this is your first time buying Bitcoin, then we strongly recommend you watch the following video. Topic 2: Setting up your Exchange Accounts & Wallets. Once you have watched this video you will know how to buy Bitcoin on Coinbase or Mine Digital. You can also head to coinmarketcap to find out many other places to buy Bitcoin.

Bitcoin can simply be exchanged with someone else via peer-to-peer. Here, an individual or party can make a direct deposit of Bitcoin as a digital currency to another individual or party without the need of a centralised intermediary. Here, the most common practice of sending and receiving Bitcoin is crypto wallets. A wallet keeps an individual’s private keys, that is, the passwords that allow an individual to access their cryptocurrencies. Being safe and accessible, wallets come in many forms such as paper wallets, with keys written on a physical medium such as a piece of paper which can be stored safely away wherever the individual feels is safest. A more convenient wallet is a hardware (or cold) wallet such as a harddrive or USB stick in which an individual can connect to a computer when they please in order to use their crypto. Alternatively, many popular online (or mobile apps) such as MetaMask, Trust Wallet, Coinbase wallet can be used as online wallets to transact with crypto very easily. These wallets are usually protected by two-step encryption. 

Competitive mining is also another way of obtaining Bitcoin (or cryptocurrency) autonomously. A bitcoin miner will first select their tools of trade, setting up a hardware GPU, mining software, a wallet and preferred mining pool. In essence, a block within a blockchain (ie Bitcoin) is validated by ‘nodes’ called ‘miners’ with the validation of each block is completed through a mathematically difficult problem, called the ‘proof-of-work puzzle’. These competitive miners compete against each other, with the first miner solving the problem then announcing it, with the block then verified by a majority of miners in the network, reaching consensus. Then, the miner in which they solved the solution is then rewarded in the form of cryptocurrency such as Bitcoin, or rewarded in the form of a transaction reward. Miningstore specialises in providing Miners and can certainly assist with Bitcoin mining, offering an array of ASIC/BTC miners. Visit the sale page here

Acquired as a payment for goods or services is also a form of means of receiving Bitcoin, or paying for another good or service with Bitcoin is a form of sending Bitcoin. Worldwide there are roughly 15,174 businesses worldwide accepting it and around 2,300 in the US. Major retailers such as Microsoft, Overstock, Home Depot, Namecheap, Starbucks and Whole Foods are now accepting Bitcoin or other cryptocurrencies as a payment for goods and services.