If you're getting started with Bitcoin, there are a few things you should know. Bitcoin lets you exchange money and transact in a different way than you normally do. As such, you should take time to inform yourself before using Bitcoin for any serious transaction. Bitcoin should be treated with the same care as your regular wallet (bank account) or even more in some cases!
Bitcoin enable you to control your money, and transfer the value to anyone globally, bitcoin provides highest level of security if used correctly, but with this feature comes an added responsibility to keep your money safe, you should use non custodial wallets, and non custodial exchanges for the same, here is an informative thread about the same -
https://bitcointalk.org/index.php?topic=5173370.0 [Not your keys not your Coins]
Unlike traditional money (fiat currency) the price of bitcoin is highly volatile, the price of bitcoin can increase and decrease within a shorter span of time. Therefore Bitcoin investment is a risky asset to put your money into, though in longer duration Bitcoin has given massive returns, but its price currently is at 50% less then ATH.
- Bitcoin Transferred are Irreversible
This is one of the most imp properties of Bitcoin, it is irreversible in nature, once you have send the bitcoins, it can be only be refunded or sent back to you by the person receiving the funds. That is why you should be very cautious with dealing with any business, or users whom you are sending bitcoins. Also always stay away from scammers who try to lure you with offering interest on your bitcoins, or asking you to double your coins. Never send your coins to anyone.
Note : Only confirmed transactions are irreversible, if the coins are not confirmed, they can be reverted back.
- Confirmations Decide if BitCoins have been sent
When you send your coin on any other bitcoin address, some confirmations are needed on the blockchain, to assure that coins have been sent, else the transaction can also be reverted. If you pay too low fees, the initial confirmation can take a little longer time.
- Bitcoin Doesn't Bring Anonymity, It gives you transparency
All bitcoin transactions are stored publically and permanently on the network, you can visit some of the blockchain explorers here to check how funds are moved from one address to another and everytime bitcoins are moved a transaction hash is generated. A users identity is always hidden, unless it is reveille during a transaction or business process.
- Remember to file your taxes
Your legal jurisdictions would want you to file taxes as per your profits, or you will have to show them your investments in bitcoin. Remember never to become a rebellion and be in compliant with laws.
Be A Happy Bitcoin HODLERS :-)
