Bitcoin is a digital method of payment. It was invented in 2008 by Satoshi Nakamoto. While the mechanics behind Bitcoin might seem very complicated, it’s actually quite simple and straightforward to use. Over 3 million people use Bitcoin and approximately 100,000 merchants recognize Bitcoin as a legitimate currency. Some advantages of Bitcoin over normal currencies include lower or no fees, extremely safe and secure transactions and quick payments and receipt of funds.
While Bitcoin is often under scrutiny by government regulars because it allows its users to be completely anonymous and mask their identify and potentially hide transactions from government and law enforcement, governments including the United States recognize and understand that it can be used for legitimate purposes. The good news for sports bettors is that more and more online sportsbooks now accept Bitcoin and it makes it easier, quicker and more secure to make deposits and receive timely payouts.
How to I Start with Bitcoin?
To use Bitcoin, you must have a wallet to store your coins. There are several software applications you can download to set up a wallet, prove your identify and make transactions, but a much easier way to get started with Bitcoin is to sign up for an online wallet. These are internet companies which provide all of the services you will need for a modest per transaction fee. Think of these internet wallets as a bank. You signup, receive a wallet address, and if desired, you can even link your account with your own bank. By linking with your bank you can quickly and easily transfer money from your bank to the wallet account to purchase Bitcoins, and when you receive Bitcoin payments, you can sell the Bitcoins and transfer the funds back to your bank.
We have used coinbase and have had very good experiences with them, but we make no specific recommendation and suggest you do a bit of research before making your wallet decision.
Bitcoin Market Volatility
Bitcoin prices can fluctuate widely. It has been stated that Bitcoins fluctuate 7 times more than gold and 8 times more than stock. Here is a site showing current Bitcoin prices and historic Bitcoin price fluctuations. Unless you want to play the market on Bitcoin and speculate, our suggestion is to not have Bitcoins sitting in your wallet for too long. Rather, buy Bitcoins when you are ready to deposit money into your Sportsbook of choice, and once you receive Bitcoin payouts back to your wallet, either use the Bitcoins to purchase goods or services or sell your Bitcoins and transfer the funds back to your bank. Here is a list of merchants who accept Bitcoin payments.