I asked deepseek the following: things someone new should know about bitcoin, how to use it and make it part of their life?
What is Bitcoin?
Definition: Bitcoin is a decentralized cryptocurrency, meaning it is not controlled by any government, bank, or central entity. It is a form of digital money that operates on a peer-to-peer (P2P) network.
Underlying technology: It runs on blockchain, a secure, public ledger that records all transactions.
- Key features Decentralization: There are no middlemen like banks.
Limited supply: There will only ever be 21 million bitcoins, making it scarce and potentially deflationary.
Security: Transactions are encrypted and verified by the network.
Transparency: All transactions are public on the blockchain, but identities are pseudonymous.
- How to get started with Bitcoin Get a wallet:
Types of wallets:
Hot wallets: Connected to the internet (mobile, web, or desktop). Examples: Exodus, Trust Wallet.
Cold wallets: No internet connection (hardware or paper). Examples: Ledger <dont use ledger>, Trezor, Coldcard.
Important: Keep your recovery phrase (12 or 24 words) in a safe place. It is the only way to recover your funds if you lose access to your wallet.
Buy Bitcoin:
Exchanges: Platforms like Binance, Coinbase or Kraken allow you to buy Bitcoin with fiat money (dollars, euros, etc.). <search for apps made on your local area or country>
P2P: Platforms like LocalBitcoins or Paxful allow you to buy directly from other people.
Bitcoin ATMs: In some countries there are ATMs where you can buy Bitcoin with cash.
Learn how to send and receive Bitcoin:
Each wallet has a unique address (a string of numbers and letters). To receive Bitcoin, share your address. To send, enter the recipient's address and the amount.
- How to integrate Bitcoin into your life Savings: Many see Bitcoin as a long-term store of value, similar to digital gold.
Payments: Some stores and services accept Bitcoin as a payment method. You can use it to buy products, services, or even donate.
Investment: Bitcoin is volatile, so some see it as an investment opportunity. However, do your research and only invest what you are willing to lose.
Remittances: It is a fast and cheap way to send money to other countries.
- Risks and Precautions Volatility: The price of Bitcoin can rise or fall dramatically in a short period of time.
Security: Protect yourself from hackers and scams. Never share your private keys or recovery phrase.
Regulation: Bitcoin laws vary by country. Find out about regulations in your area.
Scams: Be wary of offers that are too good to be true, such as Ponzi schemes or fake exchanges.
- Continuing Education Resources:
Books: "The Bitcoin Standard" by Saifedean Ammous.
Websites: CoinDesk, Bitcoin.org.
Podcasts: "What Bitcoin Did", "The Pomp Podcast".
Communities: Reddit (r/Bitcoin), Twitter, Telegram.
- Long-term mindset Bitcoin is an evolving technology. Adopting it requires patience and continuous learning.
Don't get carried away by FOMO (fear of missing out) or panic during price drops.
Not your keys, Not your coins