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Bitcoin tutorial

1. WHAT IS BITCOIN?

2. WHY SHOULD I CHOSE BITCOIN?

3. HOW AND WHERE I GET BITCOINS?

There are many exchanges in Internet allowing bitcoin purchase for USD, EURO or your local currency through conventional payment ways (Visa\Mastercard, PayPal, etc.). We prepared for you the list of the most popular and trusted exchanges.
Please note, most of these options require user verification before bitcoin purchase, in line with KYC/AML regulations (Know Your Customer/Anti Money Laundering). This is a formal/regular procedure, which is done only one time, when you register an account. As we noticed in I.2 exchanges know, that you buy bitcoins, but they cannot know where to and what for you send them. In our store customers receive all the time different bitcoin addresses to send bitcoins to.
Click on the images below to visit the respective exchange.

Coinbase is probably the most popular and damn easy to use exchange, which combines an attractive interface, a great site to get bitcoins with a debit card or Paypal, and multiple online wallets for your digital currency. Over 4,800,000 users are signed up, including 45,000 merchants, and 9000 developer apps. Works well for European, American, & Canadian customers. All instructions are provided on www.coinbase.com
Mobile apps: available for Android and IOS

CEX.IO is a platform where you can easily buy bitcoins with your ordinary VISA/MasterCard. Just go to https://cex.io/cards/ and click on “GET STARTED”.

LocalBitcoins is a popular p2p (person to person) market place, similar to eBay. This site allows you to buy bitcoins at different ways in 13924 cities and 248 countries. Buyers and sellers create offers and must agree on a price and terms of a trade before a transaction can be made. It’s possible to buy bitcoins with no ID on LocalBitcoins either by buying with cash deposit or meeting in person and trading cash. This is one of the first and most reputed exchanges available. Escrow and dispute resolution is provided by the site.

With LibertyX you can pay by cash and get bitcoins instantly at 19,000+ local stores in the USA. Visit https://libertyx.com/ or dowlnload the mobile app to find the nearest store to you.
Download LibertyX for IOS
Download LibertyX for Android

Wall of Coins is a peer-to-peer cash exchange, currently available in the United States, Canada, Germany, Argentina, Latvia, Poland, and the Philippines. A phone number is required for use, but not for verification purposes. No ID is required. Just go to https://wallofcoins.com/en/ and click on “Buy bitcoins”.

Buy bitcoins with cash deposits, debit/credit cards, PayPal, online transfers or gift cards. Video tutorial is available on site.

Bitquick.co is one of the easiest and quickest ways to buy bitcoins instantly with cash.

At CoinMama, you can buy bitcoins with a credit card and no verification for your first $150 worth of bitcoin purchases. However, bitcoin-USD ratio is higher. On the other side our 10% discount for all orders paid by bitcoins fully compensates all fees.

BITPANDA is Europe's most popular service to buy and sell bitcoin. Available purchase with Visa, MasterCard, Paypal, SofortUeberweisung, etc.

Bitit is an Europe-based exchange. It allows users to buy bitcoin online with a 3D Secure credit or debit card in 10 minutes and with cash in more than 150K+ Local Stores using Neosurf, Flexepin or Cashlib vouchers. First 25 euros worth can be purchased without ID.

Bitcoin ATMs are similar to regular ATMs, but instead of spitting out fiat currency, deliver bitcoins to your wallet upon the insertion of cash. There are different types of Bitcoin ATMs made by a variety of companies. Each ATM is unique; some may require verification, a picture of your ID, or confirmation via phone number. There are, however, a number of ATMs that allow customers to buy without any verification. Coin ATM Radar keeps track of Bitcoin ATMs across the world. You can use Coin ATM Radar to determine if a Bitcoin ATM near you requires verification.
You can specify there our bitcoin address (which you receive at the checkout) to pay directly to us, thus, you even don`t need to create a bitcoin wallet.

In fact there are much more exchanges. Please follow the link to check the rating list of TOP45 exchanges: www.bestbitcoinexchange.io
The more complete list of exchanges is available here:
https://howtobuybitcoins.info/#!/

4. HOW DO I SEND/RECEIVE BITCOINS?

Your bitcoins are stored in your bitcoin wallet software. Always back it up! If you lose or delete your wallet-file and don`t have recovery info or backup you lose your money. So be careful. There are lot of software wallets for almost all operating systems. The full list of official wallets for all platforms is available here:

https://bitcoin.org/en/choose-your-wallet

For Windows, there are 2 types of wallets: full and lightweight. Full wallets download full transaction history for all time of the bitcoin existence. It is called blockchain. For now, it takes over 100 Gb of your disk space and several hours for full synchronization. However, only at the first launch. After this, it will work fast. Among these wallets Bitcoin core is the most popular, official and secure client. It has improved privacy and does not disclose information about IP-address, etc. to others.

Lightweight wallets do not download full blockchain to your PC. They connect to remote servers, which store the full copy of blockchain. For the most users lightweight wallets are an optimum solution.

Electrum (https://electrum.org/) is of the most popular lightweight bitcoin wallets.

So, how it works.

Bitcoin wallets generate special addresses, which look like a string of letters and numbers. For example:

19vkjeAJEKUKRCJX9Zjy2LgE1n72ST1zj9

This is analogue of an e-mail address in Paypal. You always send money to addresses similar to the one posted above (Don`t send bitcoins to the address above, it is just an example!). When you install the wallet software you will be able to generate a numerous amount of similar addresses within this wallet.

Important: After you install and launch a lightweight wallet app for the first time to create a new bitcoin wallet the app will provide you so-called seed phrase, which is a sentence consisting of 12 or more words.

You will be offered to write them down somewhere in a safe place. This seed or a recovery-phrase allows a user to easily restore a wallet without needing any other information. So, if your PC is not working or the wallet file is damaged by a virus, for example, you will be able to restore all your bitcoins on another PC or mobile device by using this recovery phrase. Very convenient as you see.

So, if you are going to receive a payment, it is highly recommended to always generate a separate address for a particular payment. It improves privacy. On the screenshot below you can see how the main interface of Electrum wallet looks like:

All wallets are similar and have the same buttons - send and receive. This is all you need. In order to receive bitcoins from somewhere (e.g. bitcoin exchange) you need to generate a new address. Just click on “Receive” (in some wallets there will be a button “Request payment”) as illustrated below.


Copy this address to clipboard and provide it to your bitcoin exchange. Bitcoins will come to this address.
Once you get bitcoins into your wallet, you can send them to others. Just click on “Send”. Here is a screenshot.


As you see there are only 3 fields to fill:
Pay to - here you put the address of who you want to send bitcoins to. If you are paying for products in our store, you need to put here the address, which you receive at the checkout, when bitcoin is chosen as payment option.
Label - this field is not mandatory. You can leave it blank. It`s just a notice for you what you paid for.
Amount: the amount of bitcoins you are sending.
NOTE: By default, Electrum shows balance in mbtc, which is 1/1000 of bitcoin. To change the view to btc go to Tools – Preferences – Appearance. In the Field “Base unit” chose BTC.


Official bitcoin/USD ratio can be always checked here:
https://blockchain.info/charts/market-price
However, each exchanger has its own Bitcoin-USD ratio. Consider it, when buying your Bitcoins.
We implemented BTC-USD calculator on our site. It always shows actual ratio taken from blockchain.info.


As mentioned before, other wallets look very similar.

If you use a wallet on your mobile phone, use a QR-code to send bitcoins. Find the option “Scan QR-code” in your mobile wallet and direct camera of your smartphone to the QR-code. Our store shows such codes after checkout if bitcoin is chosen as payment option:


The QR-code will be decrypted by your wallet into bitcoin address and automatically inserted into the “Send to” field of your mobile wallet.

As you can see, bitcoin is very user-friendly. Moreover, it is more anonymous and safer as Paypal or credit cards. Nobody can block it: you are the only owner of your bitcoins. Finally, orders paid by bitcoins are shipped faster as orders paid by WU/MG.
If there are any questions regarding bitcoins, don`t hesitate to contact us.

With best regards,
Pharmacom Labs & Basicstero team

 

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