If you are considering accepting bitcoins for your business, then you will be joining an increasing number of companies that are going in the same direction. However, before you can start accepting this form of payment, you need to set up a cryptocurrency wallet that will store all your bitcoins electronically. What is a wallet, and how can you set one up? Here are some tips for creating a bitcoin wallet for your company.
What is a Cryptocurrency Wallet?
In many ways, a cryptocurrency wallet, or bitcoin wallet, is much the same as the leather wallet you have for physical money. It keeps all of the bitcoin that you receive from your customers, and it also allows you to keep them safe, and pay other companies with them. However, unlike a leather wallet, these digital wallets can do so much more. You can see how much you have at a glance, who you last paid and who last paid you. It also has more security features than a traditional wallet.
How Do the Wallets Work?
Bitcoin wallets are typically used as a safe deposit box when you buy bitcoin, it keeps them in a safe place and allows you to send and receive coins quickly and easily. Just as real safety deposit boxes have keys, so do the wallets. The keys are not physical, but digital keys, otherwise known as master keys or private keys. They use long hexadecimal codes to help stop the keys from being hacked. It might seem like a daunting thing to have as a key, but you can print it onto paper, save it to a document, or save it as an image. All you need to do is keep it safe and secure because if you lose it, you lose your coins as well.
How Do You Create a Wallet?
There are a couple of ways that you can create a bitcoin wallet. That’s because you can have an online wallet or a physical USB style wallet. With the online wallets, they are fairly easy to set up, if you have ever set up an email, then the process is similar. The online wallets are web browsers that you can use to set up your account in a few minutes. Once you have set it up, you will have to download the key file, and then you get the private key itself. Remember, the key needs to be kept safe. The hardware wallets you can buy online, when they arrive, you must check that they are intact. You can then plug it into your computer and download the extension for your web browser. After that, you can then set up your account and create your PIN number; this allows you to access the ‘front end’ of the wallet.
Setting up your bitcoin wallet is all you need to do to start accepting bitcoins in your business. Once you have started, tell your customers so they can tell their friends about the flexibility of your payment options.