How Bitcoin Works
In this section, we will do our best to explain the Bitcoin process as simply
as possible without going into too much technical jargon.
The first thing you need to do is get yourself some bitcoins. You can either
mine this yourself, receive some as payment for goods or services, or buy
at a Bitcoin exchange like Coinbase or Kraken. There are different wallets
for you to store your new bitcoins in.
You can use a desktop wallet, mobile app wallet, paper wallet, hardware
wallet or an online wallet. There are pros and cons to each type of wallet.
However, most experts agree that online wallets, specifically those on
exchange sites, are not so secure because both your private and public
keys are saved online. This makes your wallet highly vulnerable to hackers.
When you’ve selected the most suitable wallet for your needs, you can then
start making bitcoin transactions. To send bitcoin to another user, all you
have to do is just get their email or bitcoin address, enter the amount you
wish to send, write a quick note to tell them what the payment is for (this is
optional), and hit the Send button!
Alternatively, if you’ve got the QR code to their bitcoin wallet, you can
simply scan it and hit Send. The transaction will appear in the other
person’s account in a short period of time, usually between 10-45 minutes.
The reason for this ‘wait’ is explained more fully in the next section.
And that’s it! Bitcoin transactions are quick, safe, cheap and the perfect
alternative to paying with bank-issued credit and debit cards, and even
paying in cash.
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