How To Deposit Using Bitcoin
A lot of people have gone through our training on how to make their first purchase of Bitcoin, and then how to use that Bitcoin to buy other specific altcoins.
Alternative To Bitcoin Sports Betting – Ethereum Sports Gambling Using Bitcoin For Online Gambling. Bitcoin is convenient and cost-effective for anyone looking to send payments anywhere in the world but is particularly valuable for U.S. Residents where depositing and withdrawing with traditional currencies can be a lot slower and more expensive. Bitcoin Details It is possible to deposit funds with one Bitcoin address and withdraw to a different Bitcoin address, but you cannot transfer funds internally to your Bitcoin wallet unless you have made a Bitcoin deposit into your Personal Area before.
But there is one last piece to this puzzle missing.
And that is how to add Bitcoin to your offline or hardware wallet.
This step is extremely important.
When you first buy any sort of cryptocurrency, you most likely are using an exchange to do so.
There are other ways to purchase Bitcoin, like using a Bitcoin ATM machine, but 99% of people will be using an exchange to get their hands on this digital gold.
But there is a risk to this.
The Risk Of Leaving Your Bitcoin On An Exchange
The risk is that you are leaving your Bitcoin open to attacks from hackers and thieves.
What you must understand is that when you sign up to an exchange, your account is associated with cryptocurrency public addresses.
This means that you have your own destination that you can share with others to send and receive Bitcoin and other cryptocurrencies.
How to find your public address is pretty much the same for every exchange, so if you know how to find it on one, you’ll easily be able to find it on any other one.
So, as an example, here is how you find your Bitcoin public address on Binance:
You go to the top right corner and hover over “Funds.”
Then click “Balances”.
This then brings you to a page of all of the cryptocurrencies available for purchase on the exchange.
Assuming we want to know our Bitcoin public address, type in “Bitcoin” in the search bar.
Then click “deposit”.
Here is where your Bitcoin public address is.
If you bought Bitcoin through Binance, this is where your Bitcoin would be sent.
If you also bought Bitcoin on another exchange – let’s say Coinbase – and wanted to send it to Binance so you could purchase another cryptocurrency with it, this is the address you would copy and paste to do so.
But there is a problem with this.
The problem is that you only have access to this address: your PUBLIC address.
But you DO NOT have access to your PRIVATE address.
This is why you NEVER want to leave your cryptocurrencies on ANY exchange.
Think of your private address as the password to your bank account – if someone knows what it is, they can simply login in and drain your account.
I’m not saying that anyone at Binance has access to your private key, but what I AM saying is that your private key is stored online.
How To Make A Deposit Using Bitcoin
And YOU don’t even have access to it.
And this is a huge problem.
You should never store your Bitcoin, altcoins, or any other cryptocurrency in a wallet that stores its private key online.
Especially not an exchange wallet.
So what you have to do is deposit your Bitcoins into an offline (hardware) wallet.
The first step in doing so is to actually get yourself a hardware wallet.
Bitcoin Hardware Wallets That Are Safe To Deposit Your Funds
The 3 most popular, highly-praised hardware wallets in terms of safety in adding Bitcoin to are:
These wallets are top of the line and are the highest-security hardware wallets money can buy.
What Information Do I Need To Add Bitcoin To My Hardware Wallet?
Okay, so now you bought a hardware wallet.
Great!
The next step to secure your Bitcoin is to add it to your hardware wallet public address.
The wallet that I personally use is the Ledger Nano S.
So I will use this as an example.
Now, before we get into how to actually do this, let’s understand one thing:
Sending and receiving Bitcoin between wallet addresses is universally the same process.
What I mean by this is that depositing your Bitcoin from your Kucoin exchange wallet to your Trezor wallet is the same process as depositing Bitcoin from your Cex.io wallet to your KeepKey wallet, which is the same process as depositing your Bitcoin from your Coinbase wallet to your Ledger Nano S wallet.
This is because, in every instance, all you need are the same two pieces of information:
- Your login credentials
- The public address of the destination wallet
If you have both of these things, you can successfully add Bitcoin from your online wallet to your offline wallet.
Funding Your Bitcoin Account And Adding It To Your Wallet – The Entire Process
Now it’s time to figure this whole process out.
How do I go from having my money in hand, to buying Bitcoin with it, and then adding that Bitcoin to my wallet?
This is how you do it.
For this example, I’m going to use one of the most popular exchanges and one of the most popular hardware wallets.
We will be taking our Bitcoin from our online Coinbase wallet, and depositing it into our offline Ledger Nano S wallet.
1. Buy Bitcoin On Coinbase.
So, obviously, the first thing you have to do is actually buy the Bitcoin.
There are many places you can buy Bitcoin from, but for the purposes of this example, let’s say we use Coinbase.
We actually have a full, step-by-step walkthrough of exactly how to buy Bitcoin on Coinbase.
We will continue on, assuming you have gone and read this article.
2. Locate Your Ledger Nano S Public Address.
Now that we have actually made our Bitcoin purchase, it is now time to take it off of the exchange and place it in our safe, offline wallet.
To do this, we must find the public address of our hardware wallet.
For the Ledger Nano S, this how you find it:
How To Deposit Using Bitcoin
Go to the Ledger Wallet website and download the Ledger Wallet Bitcoin & Altcoins.
Then, plug in your Ledger Nano S.
When you plug the Ledger Nano S into your computer, this screen will show up:
Here, it will ask you if your Bitcoin address is Segwit or Legacy.
For fear of going too far down the rabbit hole here, simply select “I don’t know” for now.
We will explain the difference between Segwit and Legacy addresses in a future article.
Next you will see this screen.
Click “receive.”
Here, it will display your public Bitcoin address.
This is the wallet address that you will be adding your Bitcoin to.
3. Fund Your Wallet By Depositing The Bitcoin To This Public Address
Now that you have the public address of your destination offline wallet, you have to go to Coinbase and send the Bitcoin to it.
Note that I have bought $100 worth of Bitcoin in order to show you how this transaction works (a little less because of the transaction fees and volatility).
On your Coinbase dashboard, go to “Accounts”.
You’ll see the total amount of Bitcoin in your Coinbase wallet on the left.
We want to send the Bitcoin from this wallet to our Ledger Nano S wallet.
Click “send”.
Here is where you copy and paste your Ledger Nano S public address.
Keep in mind that, as I said, this process is the same for all exchanges.
You simply find the specific cryptocurrency you are trying to fund your offline wallet with, and then click either “send” or “withdraw”.
Most exchanges actually saw “withdraw”.
But the option is the same.
Two areas typically pop up when you do this:
- The destination public address
- The amount you are sending
That’s all the information your have to put it.
You just need to know the public address of the wallet you are funding, and the amount you wish to send.
In this case, I’m just going to send the entire amount.
Click “continue”.
4. Confirm This Transaction Via Email
Depending on the exchange, there may be a verification email sent to you in order to confirm this transaction.
This is simply an added security feature in order to make sure it is actually you that is sending the money.
Once you find this email and click “confirm”, the transaction is final.
Now all you have to do is wait for the funds to be added to your wallet!
This can take anywhere from a couple minutes up to an hour.
So don’t freak out or stress if you don’t see your wallet funded right away!
The funds are on their way and will be deposited shortly.
If you prefer video, here is a great video detailing the steps of transferring bitcoin between wallets:
How To Get Bitcoin Account
Adding Bitcoin To Your Wallet: Closing Remarks
And that’s it!
You have officially sent, received, and successfully funded your Bitcoin wallet!
That wasn’t so hard, was it?
Admittedly, I was on the edge of my seat the first time I did it, too.
With this whole world being so new to me at the time, it took a while for me to actually summon the courage to actively send my Bitcoin from one place to another.
But after the first few times, I got used to it.
And you will, too!
Just be sure to take your time and follow this guide step-by-step.
Before you know it, you will have safely added your Bitcoin to your offline wallet!
Good luck!
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