How To Buy And Use Bitcoin In 2020 | Mystic TV Hosting
HOW TO BUY BITCOIN FOR MYSTIC TV
The following guide will show you how to buy and use bitcoin – the digital currency that has transformed our global payment system. Bitcoin popularity has been on the rise in recent years and shows no signs of slowing down.
Because of it’s open-source nature, anybody can participate in the network and improve it. This means nobody controls or owns it, not even any central bank. To give you a better understanding of how you can trust Bitcoin transactions for Mystic TV, we first need to understand digital currancy, the history and a safe and trusted location to buy Bitcoin:
- What is a Cryptocurrency
- What is Bitcoin
- History of Bitcoin
- How Bitcoin Works
- Why Buy Bitcoin
- Limitations of Bitcoin
- Bitcoin Wallet
- Buying Bitcoin
- Coinbase Features
- How to Create a Coinbase Account
- How to Buy Bitcoin on Coinbase
- Avoiding Bitcoin Fraud
- Paying For Mystic TV With Bitcoin
Use the instructional guide below to learn How to Buy Bitcoin and use it properly.
What is a Cryptocurrency
Crytocurrencies have become a popular medium of exchange in the past decade. Through sophisticated cryptography, information is safeguarded against hackers that make it a safe, efficient and decentralized way to buy and sell products.
To understand this digital asset much better, let us compare it to other types of digital money.
|Digital Currency||Virtual Currency||Cryptocurrency|
|Definition||Money transferred online from one account to another through smartphones, computers, credit cards and the web||A type of digital currency that is limited to certain platforms and communities||A type of virtual currency that uses cryptography to control the number of currency units and keep all transactions secure|
|Purpose||Used For buying goods and services||For buying goods and services within a community||Used For peer-to-peer payments|
|Advantages||Seamless, fast and convenient during transfers||Faster transaction as long as it is accepted by the community or platform||Secured, minimal transaction fees, decentralized|
|Regulation||Can be regulated or unregulated||Unregulated||Depends on the country; regulated in the United States as currency and security|
|Examples||Paypal and Stripe funds||Microsoft Points, Nintendo Points, Facebook Credits and Amazon Coin||Bitcoin, Ethereum, Ripple, Litecoin|
The decentralized nature of cryptocurrencies prevent governments and central banks from regulating them. This is different than fiat money, which is declared by the government to hold value.
As of this writing, there are more than 1,600 kinds of cryptocurrencies available, which make up more than $100 billion of capitalization. Bitcoin (BTC) is considered the first block-chain (a public digital ledger where cryptocurrency transactions are recorded in the shared database).
Since bitcoin emerged onto the scene, many other block-chains have developed as well. This paved the way for “altcoins” or currencies modeled after the original bitcoin.
Most altcoins are slight modifications of their predecessor but they exhibit different purposes. Take note that altcoins have lesser liquidity and higher risk of value retention than bitcoin.
Examples of altcoins include:
- Ethereum (ETH) – a decentralized platform that enables smart contracts or self-executing contracts written into a code; second to bitcoin in terms of capitalization
- Litecoin (LTC) – offers faster confirmation of transaction compared to bitcoin
- NEO (NEO) – allows developers to build their own applications and is hugely popular in China
- Ripple (XRP) – used by global banks to make their transactions much faster
Finally, we have tokens or those that do not have their own block-chain. They do not represent any physical commodity such as gold or real estate.
These are used to purchase things in decentralized applications, which are built on Ethereum or NEO. A hugely popular token is the Binance Coin (BNB) that is used in the cryptocurrency trading platform Binance. In early 2019, its value surged by 300%!
What is Bitcoin
The world’s first decentralized cryptocurrency, bitcoin — the most famous of all, is widely used today as a means of payment and a form of investment.
Bitcoin is a token that is created using special software and controlled electronically. As a cryptocurrency, it is a code snippet that resembles a typical IOU, which relies on a virtual distributed ledger. Unlike traditional money, bitcoin is not printed and does not go through a centralized payment gateway or central bank. It is transacted over blockchain-based networks that can be accessed by the public. Because of this, anyone can send “digital money” to purchase products or services. And because everyone can purchase and use it, many have experienced the ups and downs of bitcoin since it exploded into the investing scene a few years ago.
History of Bitcoin
The history of cryptocurrencies began in the early ‘1980s. An IBM research professional, Martin Hellman, delved into cryptography (the process of converting simple texts into usable codes to secure networks). His vision was to use electronic fund transfer to purchase basic necessities. Then came David Chaum’s paper on digital money that furthered Hellman’s notion. In the paper, the computer scientist proposed developing electronic cash. It was a revolutionary idea that paved the way for a series of developments, especially in 1988 when the term “cryptocurrency” was first used by Wei Das, a computer engineer and cryptocurrency developer.
On May 22, 2010, when bitcoin still had little value, Laszlo Hanyecz agreed to pay 10,000 bitcoins for two boxes of pizza. His order is worth approximately $50 million today.
Bitcoin’s creation is shrouded in mystery. It is attributed mainly to Satoshi Nakamoto, a mysterious person (or can be a group of developers) who is reported to have developed the digital money and published its proof of concept used to test the feasibility of the blockchain project.
Nakamoto was influenced by the ideas of his predecessors to come up with bitcoin’s whitepaper. In 2008, he registered the Bitcoin.org domain.
A year after, Satoshi made the first bitcoin transaction by sending 10 bitcoins to Hal Finney, an early bitcoin contributor.
Then came what would be touted as bitcoin’s most bizarre transaction: One bitcoin owner purchased two delivery pizzas for the price of 10,000 Bitcoin units.
Back then, bitcoin still had little value so nobody knew that in today’s world, that pizza delivery is worth approximately $50 million!
And oh, Bitcoin Pizza Day is celebrated every May 22nd to commemorate the first public trading of the world’s most popular cryptocurrency.
How Bitcoin Works
For a regular bitcoin user, the entire process of sending and receiving bitcoin may be simple enough. In reality, it’s more complicated than that so I’ve written a much simpler explanation below.
All bitcoin transactions are recorded on a public ledger called the blockchain. User A sends 1 bitcoin to User B who then uses this to pay for services to User C.
Bitcoin transactions are all recorded on a public ledger called the blockchain.
This provides everyone the ability to verify each transaction that contains digital signatures, which are recorded as a “block” and then secured in the blockchain. This decentralized setup allows users to confirm transactions through peer-to-peer network in real-time and in a safe and automated way.
Often times people ask – Can the recording be cheated? And the answer is no.
Transactions must be similar to all computers connected to the network so there’s no need for the central bank or other financial institutions to certify each transaction and take a commission out of it. Bitcoin transactions are processed through expensive computer hardware to help in bitcoin mining, a process where bitcoins are generated by solving complex algorithms in which transaction info is distributed to the network.
Mining bitcoins secures the network by adding each transaction to the blockchain and then releasing new bitcoins into the network. In essence, the more problems a hardware solves, the more bitcoins are mined. However, the supply of bitcoins was designed to be fixed at 21 million BTC by Nakamoto. The algorithms then become more difficult to compute as more bitcoins are mined in order to keep the total number of the digital money growing at a fixed rate.
Why Buy Bitcoin
Buying a bitcoin has numerous advantages that are explained in detail below. Users will experience:
Increased transparency in all transactions
Anyone can find complete information about bitcoin and the blockchain online.
Highly secured digital currency
All transactions have a unique cryptographic fingerprint and a protocol where all networks (called “nodes”) agree on its history.
A permanent public ledger
All transactions are recorded in the blockchain.
Low transaction fees
Very minimal fees that would otherwise have been expensive when third parties are involved similar to a traditional transaction. Accepted in many countries
Bitcoin isn’t constrained by locality unlike fiat money. In countries where it is legal, it is easy to transact using bitcoin.
Unlimited transaction regardless of the day
Anyone can use bitcoin without being restricted by bank holidays or branch closing time.
Unlike in online payments where merchants can track your spending, bitcoin users’ anonymity is guaranteed because of the network’s privacy protection feature.
Limitations of Bitcoin
There are, however, limitations as to what one can do with bitcoin. These consist of:
Limited business acceptance of Bitcoin
While many establishments now accept bitcoin (Xbox Store, Expedia), there are still many businesses that have yet to embrace its use.
Bitcoin is subject to erratic price volatility. From as high as $1,100 in value in 2017, it has dwindled to less than 50% from its peak value.
Vulnerability to fraud
Bitcoin users are often the target of hackers and financial scammers. After a popular Thai actor and his siblings were found to have defrauded unsuspecting investors of approximately $24 million worth of bitcoin in 2018, local authorities have uncovered another scam worth $1.3 million of bitcoin in early 2019.
Lack of refund policy
It’s difficult to ask for a bitcoin refund in case of failed, canceled or fraudulent transactions.
Excessive electricity use when mining
Mining bitcoin consumes huge amounts of electricity where much of the source comes from electric plants that contribute to air pollution.
In order to buy and send bitcoin, you need to download a reliable and safe bitcoin wallet, which is a software used to save the private key (or address) of a bitcoin address.
Every bitcoin user has a private key (address) that is used to send or purchase bitcoins from another address. These are impossible to copy and are ideal for irreversible transactions.
When you create a wallet, you will be assigned a random private key (address), which always begins with the number 5, such as:
NOTE: This is a sample private key (address) only. Do NOT send your bitcoin to this address.
When receiving bitcoins, on the other hand, you need a public key (address), which always begins with the number 1. An example of this is:
NOTE: This is a sample public key (address) only. Do NOT send your bitcoin to this address.
Bitcoin wallets can be in the form of desktop, mobile, web, hardware and paper. Desktop wallets, as the name implies, are installed on desktop computers. Mobile wallets, on the other hand, are good for those who travel and need to buy and sell bitcoins.
Web wallets can be accessed on any browser and are ideal for online purchases. Hardware wallets store bitcoin information for increased security against hackers. Finally, paper wallets are QR codes printed on paper, which only allows you to access your funds once it is scanned. This makes it safe from online platform hacks.
There are a variety of ways to buy or obtain Bitcoin including ATM’s, peer-to-peer and mining. We have found through experience that some are more confusing than others so we will keep this as simple as possible. We are going to show you how to use Coinbase and then be able to order Mystic TV using your wallet to send! Since its launching in 2012, it has already received a total of $546 million in eight rounds of funding from venture capital firms and foreign banks.
Coinbase is trusted by more than 25 million users in more than 30 countries, making it one of the largest trading exchange platforms today.
It is preferred by many because it:
- is highly secured by maintaining compliance with U.S. State and Federal regulations
- is backed by credible institutions such as BBVA, Y Combinator, Bank of Tokyo, Digital Currency Group and by Reddit co-founder Alexis Ohanian
- has high transparency in terms of its operations
- has secured storage of cryptocurrency in the form of hardware wallets and paper wallets, which are stored in safe deposit boxes and vaults
- insured its cryptocurrency funds against potential hacking
- supports bitcoin and other popular digital currencies such as Bitcoin Cash, Litecoin and Ethereum
- requires only minimal buying amount (for as low as $25)
- offers convenient payment methods (credit/debit card, PayPal account or bank account depending on the country)
- has improved its account security through 2-Factor Authentication, new device verification and time-delayed withdrawals
- offers stellar customer support
How to Create a Coinbase Account
Follow the steps below to set up your Coinbase account.
Click the Get started button on the upper right corner of the homepage.
Enter your First name, Last name, Email, Password and State on the fields provided.
Click the Create account button.
A verification email will be sent to your email inbox.
Open the verification email and click the Verify Email Address button.
Add your phone number then click the Send Code button.
Enter the seven-digit code on the Coinbase website then click the Submit button.
Just like PayPal and other payment methods, you will be requested to verify your identity. Enter the necessary information in each field.
Review each field then click the Continue button.
You will be asked to select your ID type that will be submitted for identity verification.
NOTE: Canada may be diffrent than the US for what it asks for. Show them your smile!
Choose an upload method either through Webcam, Mobile Camera or File Upload.
Take a photo of your document or upload it then wait for the verification process to be completed.
Add a payment method of your choice. Depending on your country, you will be presented with different choices such as Bank Account, PayPal Account or Debit Card.
For some, the option will be limited only to Credit/Debit Card. Link your credit or debit card then click the Add Card button.
NOTE: Coinbase will make two charges to your card just like PayPal makes two small deposits to your account. To verify your card, you need to look up the two amounts and enter into Coinbase.
How to Buy Bitcoin On Coinbase For Mystic TV
Now that you have a free Coinbase account, you can start buying bitcoin on the platform and pay for Mystic TV in just a few clicks. Use the following steps for desktop and mobile bitcoin purchasing. Our step by step guide will have you a pro within a few run throughs! Take a deep breath. You got this!
Purchase Bitcoin On Desktop / Laptop Users:
On the Coinbase dashboard, click the Buy/Sell menu.
The Buy section will be displayed. Select Bitcoin.
Select from the payment method that you set earlier.
Enter the dollar amount of bitcoin that you want to purchase. The website will display its equivalent bitcoin (BTC) value.
You may also enter the bitcoin amount and its corresponding dollar value will be displayed.
Best Practice: Always buy a couple more dollars worth than what you need. There are transaction fees involved.
On the right side of the page, the purchase details will be displayed. If the information is correct, click the Buy Bitcoin instantly – $XXX.XX button on the left panel, where XXX.XX represents the fiat money value.
A confirmation message will be displayed. Click the Confirm Buy button.
A check icon will appear when your purchase is successful. Click the View Dashboard button to return to the dashboard.
Check the summary of your account together with your recent bitcoin purchase.
Purchase Bitcoin On Mobile Users (iOS and Android) For Mystic TV
Tap the Buy icon on the Navbar located at the bottom of Coinbase dashboard.
Choose the BTC section.
NOTE: If you want to buy other cryptocurrencies such as ETH or LTC, tap the corresponding buttons.
On the USD field, enter the dollar amount of bitcoin that you want to purchase. The website will display its equivalent bitcoin (BTC) value. You may also enter the bitcoin amount on the BTC field and its corresponding dollar value will be displayed.
Choose the wallet where you want to deposit your bitcoin.
Tap Buy in the upper right-hand corner. The total fees will be displayed depending on the account that you use.
NOTE: A higher fee will be charged if you use a credit card.
Authenticate the purchase.
How To Avoid Bitcoin Fraud
Following the immense popularity of bitcoin, many scammers have found ingenious ways to dupe unsuspecting bitcoin users. These scams include:
- Malware and ransomware to access your bitcoin account
- Ponzi-related cryptocurrency schemes
- Fake coins or tokens offered through shady initial coin offering (ICO)
- Unsolicited emails that takes users to a link to a scam website or also known as phishing
- Fake wallets and exchanges that drain a user’s bitcoin account
- Prize giveaways that lure users to send their private information to claim fake rewards
To avoid bitcoin fraud, here are a few tips:
- Do not share your private key (address) with anyone.
- Make sure to keep it in private so that no one can access your account.
- Deal only with credible providers and platforms.
- Read online professional reviews by experts and how they assess the legitimacy of providers.
- Keep your devices free from malware.
- Install antivirus software and updated it regularly.
- Use platforms with a 2-factor authentication. Coinbase ensures that any transaction is secured through this extra security layer.
- Use a hardware wallet.
- Store your private keys (addresses) in a physical vault to keep hackers from accessing your files.
Paying For Mystic TV With Bitcoin
Let’s now take a look at exactly how to use the Mystic TV checkout to use the Bitcoin just purchased:
Select the months, connections and start the checkout process. Select Bitcoin from configuration options and from the checkout page.
You will be taken to the unpaid invoice and will select CoinPayments.
Select BTC (1st Option). Enter the same email address and name as you did on the Mystic TV checkout page and then click on Complete Checkout.
You are now at the CoinPayments Checkout. The amount shown under Amount Remaining is the total amount of Bitcoin that is due for your Mystic TV. That is how much you owe.
From the Coinbase dashboard go into your Bitcoin Wallet. At the top right hand corner you will see the send button (paper airplane). Select the up and down arrow to the right to change from Dollar to Bitcoin. Enter the amount you see in step 4 then continue.
In the To field you can either paste the Bitcoin Wallet address you see in the CoinPayments Checkout page OR you can click on the QR Code to the right of the To field and then scan the code seen on the CoinPayments Checkout page.
Do not close this page until payment has completed. Once completed you will recieve a notice on the CoinPayments Checkout Page stating PAID and your Mystic TV invoice will be marked paid and your account will either be created or updated. Your Mystic TV bill is now paid and we will email you to let you know all is good to go!