Tracking Bitcoin Investments: Free And Easy Ways

If you want to check your Bitcoin investments for free, you can use a block explorer tool, which is open to anyone. All you need to do is enter the Bitcoin public address into a public blockchain browser. This will show you the relevant entries in the global shared Bitcoin ledger, which confirms that you, as the holder of the private key for that address, are the owner of the funds. You can also use a tool like BitRef to check the current balance of any Bitcoin address. This is safe because it uses only public data.

Check the current balance of any Bitcoin address using a tool like BitRef

BitRef is a tool that allows you to check the current balance of any Bitcoin address. It is a safe service that uses only public data, and there is no need for a login or password. You can access it on any device with the internet and a valid Bitcoin address string. It also supports the new Bech32 address format.

BitRef showcases all transactions linked to a specified Bitcoin address, including the confirmation status, date, BTC amount, and USD value. It also allows you to monitor multiple Bitcoin addresses with a single request. You can separate different addresses with a "+" sign in the address field or the URL. This way, you can enter all your wallet addresses and monitor your entire wallet in one place.

BitRef also offers a browser extension for Chrome, Firefox, and Opera. With the extension, checking your Bitcoin address balance is even faster and easier.

It is important to note that BitRef is simply a tool that displays information from the Bitcoin blockchain. It does not hold any Bitcoins, and seeing your Bitcoins through this site does not mean they are stored there. Additionally, BitRef respects your privacy and does not use, store, or transfer your information to third parties.

Use a block explorer to double-check funds and confirm wallet addresses

A block explorer is a tool or website that provides detailed information about blocks, transactions, and the state of the Bitcoin blockchain. It acts as a search engine for the blockchain, allowing anyone to view information about the blocks, addresses, and transactions created by the Bitcoin network.

Block explorers are essential in tracking cryptocurrency transactions because they enable transparency and security, identify fraudulent activities, and help to track illegal activities. They are very helpful for diagnosing issues with a transaction or wallet balance.

To use a block explorer, simply copy and paste your transaction hash/ID from your wallet app into the search bar. You can also paste any Bitcoin address into the search bar.

• Blockchain.com
• BitInfoCharts
• Binance Block Explorer
• Etherscan
• BitcoinChain.com

Store your Bitcoin in a hot or cold wallet

Storing your Bitcoin in a hot or cold wallet is an important consideration for any investor. Hot wallets are connected to the internet, offering convenience and easy access, but this comes with increased security risks. Cold wallets, on the other hand, are offline and provide superior security, but they are less accessible and require an additional device.

Hot wallets are ideal for those who need quick and easy access to their Bitcoin for regular transactions. They are connected to the internet through your computer or phone, making sending and receiving Bitcoin straightforward. However, this convenience comes at a cost. Hot wallets are more vulnerable to hacking attempts and theft. While security measures are constantly improving, there is always a risk when your wallet is connected to the internet.

Cold wallets, also known as cold storage, are physical devices that keep your Bitcoin keys offline. They are considered the safest way to store your Bitcoin as they eliminate the risk of online theft. Cold wallets come in various forms, from simple storage devices to more advanced options with additional features like Bluetooth and software integration. While they offer superior security, cold wallets are less accessible and require an additional purchase, typically ranging from $50 to $250.

When deciding between a hot or cold wallet, consider your priorities regarding security and accessibility. If you prioritise security and have long-term storage needs, a cold wallet is ideal. If you require frequent transactions and value convenience, a hot wallet may be more suitable. Additionally, you can use a combination of both, storing smaller amounts in a hot wallet for easy access and trading, while keeping larger amounts in a cold wallet for added security.

Ultimately, both options have their advantages and disadvantages, and it's essential to weigh your needs and preferences before choosing the wallet that's right for you.

Use a strong password and two-factor authentication for extra security

When creating accounts for your digital wallets and currency exchange, it is imperative to use a strong password and two-factor authentication for added security.

Two-factor authentication (2FA) is a security process that requires users to provide two different authentication factors to verify themselves. The first factor is your password for your wallet, and the second factor is a verification code retrieved via text message or from an app on a mobile device. This adds an extra layer of security to the authentication process, making it harder for attackers to gain access to your devices or online accounts.

Some common authentication methods include:

• One-time passcode via text message or email: You receive a verification passcode, typically six digits long, by text message or email. This is only good for one login and expires automatically. However, hackers can take over your phone number through a SIM card swap attack and intercept text messages.
• Authenticator app: Apps like Google Authenticator, Microsoft Authenticator, and Duo generate a verification passcode, which is safer as it is not susceptible to SIM card swap attacks or email hacking.
• Security keys: Physical devices that use encryption to confirm that the key is associated with your account. They can be in the form of USB keys or near-field communication (NFC) devices. Security keys are the strongest method of two-factor authentication as they don't use credentials that can be stolen.

It is important to note that while two-factor authentication improves security, it is only as secure as its weakest component. For example, SMS-based 2FA is vulnerable to attacks such as mobile phone number portability attacks and malware that can intercept text messages.

Buy Bitcoin via a crypto exchange, ATM, or peer-to-peer exchange

There are several ways to buy Bitcoin, including via a crypto exchange, ATM, or peer-to-peer exchange.

Crypto Exchange

Crypto exchanges are online platforms where users can buy, sell, and trade cryptocurrencies using fiat currency or other cryptocurrencies. They offer a range of functions, including trading instruments like crypto derivatives. Some popular crypto exchanges include Crypto.com, Coinbase, Kraken, Gemini, and Binance.

To buy crypto on an exchange, you will typically need to follow these steps:

• Choose a crypto exchange to use, such as Crypto.com or Coinbase.
• Create an account on the chosen platform, providing personal information and ID verification.
• Deposit fiat currency or another cryptocurrency into your account.
• Navigate to the 'Buy' section of the platform and select the crypto you want to purchase.
• Enter the amount of cryptocurrency you want to buy and confirm the transaction.

Bitcoin ATM

Bitcoin ATMs act as in-person bitcoin exchanges. Individuals can insert cash into the machine and use it to purchase bitcoin, which is then transferred to their online wallets. Bitcoin ATMs can be found at retail stores such as Walmart.

To buy bitcoin at an ATM, you will typically need to:

• Insert cash into the machine.
• Follow the instructions on the ATM to purchase bitcoin.
• Provide the address of your bitcoin wallet to receive the purchased bitcoin.

It is important to note that two fees are associated with ATM bitcoin purchases: a purchase fee and a conversion fee for converting fiat currency to bitcoin. These fees tend to be higher compared to other options.

Peer-to-Peer Exchange

Peer-to-peer (P2P) exchanges are platforms that allow buyers and sellers to trade cryptocurrencies directly without the involvement of a third-party exchange. These exchanges are also known as DeFi, short for decentralized finance. Examples of P2P exchanges include LocalBitcoins and the Crypto.com DeFi Wallet.

To use a P2P exchange, you will typically need to:

• Create an account on the platform.
• Post a request to buy or sell bitcoin, including information about payment methods and prices.
• Find a suitable trade partner and complete the transaction.

It is important to research and choose a reputable platform when using P2P exchanges, as they do not offer the same level of anonymity as decentralized exchanges.

Frequently asked questions