The value of Bitcoin has seen huge fluctuations in recent years, and its performance in May 2022 saw its value drop below $30,000, a staggering drop from its value last October of more than $60,000.

In his article in the US magazine "Forbes", writer Mark Huson said that if you are thinking of investing in Bitcoin, you should know that there is no guarantee that you will see a great return or a breakeven point.

And the UK's Financial Conduct Authority - known as the Financial Conduct Authority - has issued a warning to cryptocurrency buyers on several occasions to be prepared to lose their entire investment.

The writer says that if you are aware of the risks faced by the industry and still want to buy bitcoin, here is how to do it with a credit card.

Subscribe to a cryptocurrency exchange

The writer notes that to buy Bitcoin, you will need to exchange some currencies with it, and if you want to pay for your Bitcoins, you will need to resort to a cryptocurrency exchange that accepts exchanges in currencies such as: “Coinbase” and “Binance” .

Also, according to the author, you have to choose an exchange with a Bitcoin wallet, so you will not have to register for a wallet on another exchange, and if you want to keep your cryptocurrencies in a wallet outside the exchange you chose, make sure that they allow withdrawals, and check the fees they charge, if Found.

And if you intend to buy bitcoin with your credit card, check if the exchange accepts the trademark on your credit card.

Credit card payment

Once you sign up for an account with a cryptocurrency exchange, you will need to add funds to it, and some exchanges charge fees for certain payment methods.

For example, Coinbase does not charge any fees when adding funds to your account via bank transfer, but charges 3.99% when using a credit card.

Also be aware that when you use a credit card to buy bitcoin your card issuer will treat it as a cash advance, so you will not only pay an exchange fee, but an interest rate.

You will likely be charged interest from the moment you make the purchase, regardless of whether or not you paid your balance later.

The writer states that, although not common, there are credit cards that charge 0% on cash advances.

However, it is not recommended to buy bitcoin with a credit card, because if you buy bitcoin with a credit card you should try to pay off your balance as soon as possible to reduce the interest you will be charged.

Apply to buy

Inside the platform you are using, go to the “Bitcoin” option, and enter the amount you want to invest, if you are going to invest in $30,000, you will buy 1 bitcoin, if the value of a bitcoin is $30,000 and you have invested $100,000, you own 3.33% of Bitcoin.

Store your coins securely

You can store your bitcoins in your own built-in wallet on the exchange, or a wallet provided by a third party, if you prefer and the exchange allows you to do so.

But if you keep your Bitcoin in a “hot” wallet, i.e. online, you can instead use a “cold” wallet;

that is an offline storage device.

Keep in mind that there may be fees to be paid for withdrawing your bitcoin from the exchange, and if you choose to use a cold wallet you will need to not forget your access token safely or you will risk losing your belongings.

How to sell your bitcoin

The writer points out that you can sell your bitcoin via the cryptocurrency exchange whenever you wish, or when it reaches a certain price.

Once sold, you can transfer the money back to your bank account, although in some cases you will have to wait a couple of days before you can withdraw it.