You must have heard about cryptocurrency and Bitcoin if you are living in the modern world. Well, so what is cryptocurrency? Cryptocurrency is binary data made to work as a mode of exchange. Individual records regarding coin ownership are stored in a ledger enforced by a series of disparate networks of computers.
In simpler terms, cryptocurrency is a digital or virtual currency that is protected by cryptography, making it impossible to counterfeit. Cryptocurrency is gradually overtaking the traditional forms of transactions and will soon be the main form of making transactions.
In this article, we will discuss the process of creating a cryptocurrency account for beginners and highlight all that you need to know about it. Be sure to read it to the end to be in the know.
How to get a cryptocurrency account
For any first-timer, there are various ways through which one can get a cryptocurrency account. The most common method is the use of a bitcoin exchange account. First of all, there are different types of cryptocurrencies, including Bitcoin, Dash, Ethereum, and many more. However, this article will be centered on Bitcoin in particular.
To experience a friendlier and easy time, digital currency exchange is the way to go in getting absorbed into the cryptocurrency ecosystem. As it stands, most workplaces are not likely to accept cryptocurrency as a form of payment and so you will likely need to utilize cryptocurrency exchange.
The sign-up process
Signing up for a Cryptocurrency account is quite straightforward. However, there is a need for noting that the signup process for all forms of cryptocurrencies is not the same. But the whole general process of registration tends to be similar for all cryptocurrency forms.
So, for signing up as a beginner, you are required to provide some bits of personal information. Depending on where you are signing up from, the information required may range from some crypto to another. However, generally, the required details may not go past your official names and your email address in most scenarios.
After providing these personal details, the crypto then sends you an email confirming that you are in full control of the allocated address. Next, after confirming your details, you are then required to add a payment method that is used for deposits and withdrawals.
Again here, depending on the crypto form, you may be required to perform another identity confirmation, a more extensive process known as ‘Know Your Client’. However, whether to undergo this process or not is determined by your level of engagement. For some people, the registration process completes once they confirm their personal details.
Also, depending on the sizes of transactions that you intend to make with your account, you may be required to provide more personal details about yourself. Bigger trades demand divulging more information, while smaller trades do not require lots of declarations.
What do you need to start trading?
For you to start trading with your account there are some general requirements that you need to fulfill. Depending on your jurisdiction, the laws governing the verification of accounts may vary. Due to this reason, some crypto platforms can get you verified instantly, while others take time to approve your account.
Generally, you may require these set of details to get verified on crypto trading platforms: full legal name, email address, phone number, physical address, date of birth, a selfie holding your identification card, copy of utility bill, social security number, and the nature of your interest in cryptocurrency.
In general, acquiring a crypto trading account is just a simple process that should not eat up your head as it only requires the exercise of patience.
Safety and security
Yes, your personal data should be safe if you choose to trade on a trusted and genuine platform. Otherwise, the reliability varies from one platform to another. Also, the security of your deposited funds lies in the hands of the trading platform. So, to avoid any issues with the security of your information and funds, you should be keen to register on a genuine crypto trading platform.
How long does registration take?
As earlier mentioned, the registration process varies from one platform to another depending on the jurisdiction and the number of cryptos that you want to trade with. Some platforms register your account within a few minutes and you are ready to trade while others take days to get you approved. So, depending on these factors, the timings may vary. But generally, within a few days after registration, you should have your account approved and ready to trade.
Is crypto investing legal?
Cryptocurrency is a legal trade, though some countries don’t accept it as a form of payment. Crypto trade is not regulated by any central bank and is not available in print form. However, the sale of cryptocurrency is only regulated where it is considered money transmission understate or federal law.
Countries accepting cryptocurrency as a form of payment
There are some countries where cryptocurrency is considered a legal exchange of transactions while others consider it illegal. However, cryptocurrency is the future of payment forms, and it will soon phase out traditional payment methods with time.
The main reason why cryptocurrency is not accepted by some countries is that it is anonymous, and thus they tend to believe that it can be used secretively to perform criminal activity like the sale of drugs and illegal goods like weapons.
Most countries have not yet approved the use of bitcoin as they are keen on applying the wait-and-see approach, chilling to observe its performance in countries that have already legalized it.
As of now, the only country that recognizes Bitcoin as its legal tender is El Salvador. However, other countries like the USA, Canada, and Australia maintain a generally-bitcoin-friendly approach that encourages its existence.