How to setup a Bitcoin Wallet
Now days, there are a lots of new ways to pay for stuff, with cards, Apple Pay , NFC Pay, Virtual Wallet etc. However, another new financial technology that could revolutionize the way we spend: Bitcoin, is a cryptocurrency based on complex maths. But to use it, we need to set up a Bitcoin Wallet. A “wallet” is basically the Bitcoin equivalent of a bank account. It allows you to receive bitcoins, store them, and then send them to others.
How Do I Get a Bitcoin Wallet?
There are different ways to get a wallet. Bit the first thing to do is decide whether we want a mobile, web or desktop wallet, all of which have their own advantages and disadvantages,
Desktop wallet – the most secure option, giving you complete control over your wallet. It also means that you are solely responsible for backing up and securing your wallet
Mobile wallet – very handy, as you can carry it in your pocket and use it to pay for things in stores, and exchange money in person
Web wallet – certainly the most convenient type of wallet as they can be accessed from just about anywhere, these are also the most insecure, as the wallet is held on a server by a third party. This means that you have to trust the website hosting your wallet not to abscond with your money, and problems with the server, or the company suddenly closing down, may result in loss of money. Pure web wallets should therefore never be used to store large amounts of money.
Now for service, there are four main wallets that we recommend for beginners:
Coinbase is a web wallet with a simple design and a number of very useful features that make it excellent for beginners. You can send and receive bitcoins via email and buy and sell bitcoins directly from Coinbase. A full-featured Android app enables access to all account functions on the go. Coinbase’s founders have a proven startup track record and have raised money from very prominent venture capitalists. This gives Coinbase a level of legitimacy unparalleled in the Bitcoin space. They are also one of the only large Bitcoin companies to never suffer a major hack.
Electrum is a software wallet that enables you to set up a strong level of security very quickly. During the simple installation process, you are given a twelve word phrase that will allow you to recover all of your bitcoins in the event that your computer fails. Your wallet is also encrypted by default which helps protect your coins against hackers. Electrum is available for Windows, OSX, and Linux and is our recommended software wallet for beginners.
Bitcoin Wallet for Android and Blackberry: Those looking for mobility and security, we recommend the simply-titled Bitcoin Wallet mobile app. There is a version for both Android and BlackBerry OS. It is a software wallet, so you retain complete control over your bitcoins. It also works well with QR codes and NFC.
Blockchain.info: It is one of the quickest and easiest ways to get a Bitcoin wallet is to simply go to Blockchain.info and fill out their brief requirements. Blockchain.info is another web wallet like Coinbase and provides a simple setup and mobile access to your account via their Android app. They also provide a number of other useful services to the Bitcoin community.
Armory and original Bitcoin-Qt client are also good choice but they are for the advanced user.
Setting up account at any of these service is easy and just require a valid e-mail id.
Now that you have a wallet set up, it’s time to learn how to get some bitcoins. But that we will cover in next article.