How Many Bitcoins Go Toward Buying Silver and Gold?
With the decentralized cryptocurrency Bitcoin gaining a foothold in legitimate business and retail, some adopters may be interested in buying Physical Gold and Silver with Bitcoin, and wondering how common that has become. The fact is, it’s difficult to ascertain without a peek into the workings of Bitcoin. What we do know, however, is that cryptocurrency can be particularly attractive to those who wish to build their Gold and Silver holdings privately.
Buying Precious Metals with Bitcoin
Digital currencies allow people worldwide to exchange goods and services without fiat currency or traditional financial institutions. One of the most recognized cryptocurrencies is Bitcoin, and it enjoys tremendous popularity because it allows people to store wealth outside of financial systems that many feel have become corrupt. However, these cryptocurrencies are extremely volatile and are not generally considered a good place to store real wealth. Investors who want to maximize security still believe in physical Precious Metals as a way to store wealth long-term in a more stable asset.
If you want to use cryptocurrencies, you will need to first get a Bitcoin Wallet, which is just a simple Google search away. There are many tutorials, including on the APMEX education page, to help you get started with Bitcoin. To buy Precious Metals with Bitcoin, you must first find a dealer that takes payment in cryptocurrency, which is becoming more and more accepted worldwide. At checkout, they will give you their digital address and you simply send Bitcoin from your wallet to the address provided. Bitcoin transactions are repeatedly verified to ensure their legitimacy, and it can take some time for payments to be received.
Bitcoin could change the way people do business both on the internet and in life. Cryptocurrency is growing both as a payment mechanism and as a potential investment product—although that is a long way off according to most experts. Despite the allure and utility of cryptocurrencies, they are still wildly volatile assets, and present long term risk. Investors who want a safer way to hold wealth outside of the financial system can enjoy the privacy of Bitcoin when they purchase physical Gold and Silver.