Bitcoin, Ethereum, Ripple, Dogecoin, Litecoin, Gemini, and other cryptocurrencies have become a phenomenon everywhere on the globe. Online trading and crypto exchanges like Coinbase make it easy for traders and buyers to acquire crypto.
If you're new to Bitcoin, the concept of buying gold or anything else with a digital currency may sound strange to you. Still, there's a lot to appreciate about the way these coins are changing our world.
It's easy to see how someone could get lost in all the new terminology surrounding crypto and Bitcoin. Let's demystify some of these questions to understand better how these digital assets hold value.
Then, we'll get into how you can buy gold and fine jewelry with Bitcoin right from your shopping cart.
What Is Cryptocurrency?
Perhaps you've overheard friends discussing cryptocurrency recently. Maybe you've seen a news network discussing blockchain technology, volatility, digital ledgers, how cryptocurrencies work, the cryptocurrency market, and bitcoin mining. If you're unfamiliar with cryptocurrency, all of the terms involved may sound Greek to you.
Cryptocurrency is a kind of virtual currency that is highly secure. This digital currency utilizes cryptography to secure it so that it's nearly impossible to counterfeit. It works because it employs an online ledger with a decentralized network so that the crypto is not controlled by any computer, body, or person.
The Key Principles of Cryptocurrency
If you're lost, here are a few principles you can keep in mind to guide you through the basics of crypto:
Blockchain: A blockchain is an organizational method used by many cryptocurrencies to ensure integrity as data communicated in a transaction.
Decentralization: Cryptocurrency exists in a decentralized network that functions outside the control of the government or central authorities.
Digital Asset: Cryptocurrency at its core is a digital asset that you can use to purchase goods and services. Though it's not accepted nationwide yet, many stores are beginning to see the benefit of allowing patrons to pay in cryptocurrency.
How Many Cryptocurrencies Are Out There?
Just like there are various forms of currency with physical cash, there are also different types of cryptocurrency. By now, you might have heard of some of the most prominent cryptocurrencies in the United States, such as Ethereum and Bitcoin. Bitcoin has a reputation for being the first cryptocurrency to host decentralized digital currency, but more on that later.
Some internet brands even have their own crypto coins, which function as chips or tokens at a casino. Because of the novelty of this medium of exchange, some also offer cryptocurrency rewards for joining their platform.
Why Do People Enjoy Using Cryptocurrency?
Some people enjoy crypto for its novelty. Others revere it for its security and elimination of third-party banking hassles. Still, another group of crypto admirers enjoys it more for its investment opportunity. These investors willingly put their stake in crypto in hopes that it will continue to rise in value and return a favorable investment in the future.
Is Cryptocurrency a Wise Investment?
Many people are incorporating crypto assets into their investments because they may replace the banking system as we know it. Rather than depending on third-party financial institutions for asset storage and lending, crypto may very well replace the modern bank account. The absence of transaction fees adds to crypto's attractiveness for many.
Cryptocurrency provides customers with more financial options, independence, and opportunities. Another benefit is that its decentralized, open-source structure helps to address the contemporary banking system's weak spots by delivering access directly to customers.
How Do People Mine Cryptocurrency?
Where do crypto coins originate? Bitcoin mining is the mechanism by which new bitcoins enter circulation; it is also the method by which the network validates new transactions, and it is an essential component of the blockchain ledger's management and development.
Essentially, miners worldwide with special computers compete to have their machines solve complex equations through an algorithm. The first miner computer to correctly solve the equation receives a crypto reward. Their solved equations then become a part of the blockchain technology that keeps the exchange of digital assets secure.
How Is Cryptocurrency Legal?
The government does have some regulations on cryptocurrencies. The Securities and Exchange Commission (SEC) is a federal body that governs the securities markets in the United States.
Suppose authorities decide that a cryptocurrency is an investment contract and thus a security. In that case, it is subject to SEC regulation and must either be registered or be exempt from registration.
How Does Cryptocurrency Work?
When you're thinking about getting into crypto, you'll want to know how everything works. Essentially, crypto coins are a digital currency that anyone can buy or transfer. For every cryptocurrency transaction, digital ledgers record the data and keep a database of how many times that particular coin has been bought or traded in circulation.
Within those same transactions, a security measure called blockchain technology verifies each transaction for legitimacy. There's comforting transparency about blockchain code; anyone can see how it works so that anyone can audit it for security.
What Can I Buy With Cryptocurrency?
How can crypto benefit your life? Essentially, many retailers accept crypto today, making it as easy to use as debit or credit cards. How does it work?
When you make a transaction with a retailer that accepts crypto directly, you'll enter a private key that helps confirm your purchase at checkout. You’ll use the coins in your crypto wallet to make the purchase, and blockchain technology will confirm your transaction before rewarding you with your purchase.
What can you buy with crypto? The list of commodities and luxuries you can purchase with your cryptocurrency wallet is ever-growing. Here are a few things you can buy today with your crypto assets:
- Vehicles
- Vacations
- Home furnishings
- Tickets to an event
- Electronic equipment
- Art
- Coffee
- Food
- A college degree
- Jewelry
Of course, you won't be able to purchase all of these at any retailer just yet. Still, crypto's widespread usage is only growing, and it may be as common as cash one day.
What Is Bitcoin?
Bitcoins (BTC) are a relatively new approach to cryptocurrency. Like other cryptocurrencies, each Bitcoin is worth a dollar amount that fluctuates based on market demand. As a result, Bitcoins owned in 2010 are worth much more today based upon their rise in value.
You can use Bitcoin payments for a variety of purchases (such as buying a new Tesla!), as they are now in wider circulation.
How Do I Buy Bitcoin?
The way to make these particular digital coins a part of your daily life is to visit a marketplace platform that hosts cryptocurrency exchanges. Make an account with a username and password. You can do this from a computer or even a mobile device.
You can then buy new Bitcoin or sell it using various currencies. A secure folder known as a "digital wallet" (or hardware wallets) stores your Bitcoin assets. These Bitcoin wallets work on your phone or desktop computer to assist you in your internet purchases.
Just like your physical wallet holds physical funds, digital wallets hold digital currencies. When you store bitcoins, you would do so through the bitcoin wallet app.
How Do Bitcoin Transactions Work?
When you're exchanging Bitcoins with another person or completing a transaction, you might find it confusing to discern what's going on behind the scenes. When you purchase something with cash, you can see it leave your hand. With crypto, it's a little bit different; it can be found in your wallet address.
Whenever you want to make a transaction through Bitpay or at a seller that accepts Bitcoin, here's what happens.
In the checkout process, you'll use your Bitcoin invoice address to help authenticate (guarantee) your purchase through the blockchain ledger. You might also be able to use a QR code to make transactions in some cases.
In essence, it works like a debit card. The difference is that instead of your bank granting acceptance to your purchase, the blockchain letter does.
Why Do People Like Bitcoin?
So now you know a bit of the basics of Bitcoin. You may still be wondering why some people like it so much. For starters, because cryptocurrency is a decentralized currency, there are no third-party banks to charge you transaction fees.
Another reason people like it is for the investment opportunity. It offers them diversification in their investment portfolios. Some people purchase Bitcoin through platforms such as Coinbase, hoping they'll rise in value in the next few years.
Is It Hard To Spend Bitcoins?
Bitcoin is still relatively new to our world. With that novelty comes a string of difficulties that can make it feel challenging to use Bitcoin (such as volatility).
One of those challenges is that the price of Bitcoin is fluid. With fluidity comes uncertainty, which causes Bitcoin to be less predictable than cash for some people. On the other hand, the pros of using Bitcoin may outweigh the cons.
How Can I Make the Most of My Bitcoin Investment?
Part of the appeal of cryptocurrency as a whole is the ability to buy things anonymously and forego the third-party banks and fees in making Bitcoin transactions. Sellers can also control their anonymity as they make exchanges and purchases.
Let's take a deeper look at a few other ways you can make the most of crypto coins and Bitcoins.
Build Your Crypto Portfolio
One way to get into crypto is to begin building your portfolio. You can purchase Bitcoin and other cryptocurrencies on platforms like Coinbase, Kraken, and Gemini that host exchanges.
When you get your wallet set up to hold your Bitcoin, you'll have a public key (Bitcoin wallet address or simply Bitcoin address) and a private key. These function as passwords that allow you to make transactions securely through a Bitcoin network. Some buyers prefer not to spend their crypto. These investors do so in hopes that the value will rise in the future.
Search for Merchants That Use Bitcoin
You can use Bitcoins like cash or debit cards to purchase things you need. To make a purchase at a retailer that accepts Bitcoin (like Paypal), you'll use your Bitcoin wallet and enter an alphanumeric code or a QR code at checkout. If you need to deposit more coins into your bitcoin wallet, you can do so digitally or through a Bitcoin ATM.
How Can You Buy Gold With Bitcoin?
Now it's time to talk about how you can buy gold with Bitcoin. Ironically, a bit of the rationale behind investing in Bitcoin is that it's the digital gold of this era. Like people have invested in physical gold for years, some investors choose to place their stake in Bitcoin for its growth opportunity.
When it comes to buying gold or gold bullion with Bitcoin, you can purchase it like you'd purchase anything else with your cryptocurrency. We’ll explain the specifics again, this time using gold as an example.
After buying Bitcoin with your credit card and loading it into your crypto wallet, you'd find a gold retailer who accepts Bitcoin and then enter the amount you prefer to spend. You can then enter the retailer's blockchain address or QR code to complete your end of the transaction. After that, the blockchain will confirm your purchase.
What Else Can You Buy With Cryptocurrency?
In this new world of digital currency, you can buy many things. Whether you want to purchase airline miles and hotel stays for a vacation or groceries, the list of stores that accept cryptocurrency is multiplying. Let's look at a few things you can buy with Bitcoin specifically.
Furniture and Home Goods
Are you looking to refresh your entryway with a floor-length mirror? Perhaps you've been eyeing a dining table at an online retailer. You don't have to use cash or credit for these purchases anymore. Many furniture retailers accept Bitcoin as tender in this era of online shopping.
Cars
Did you know you can also use Bitcoin to purchase a car? There's no need to rely on cash anymore when you buy from certain manufacturers. If you're interested in Teslas, you can now buy one with Bitcoin.
Travel Accommodations
Now and then, everyone needs a good excuse to get away and experience all that the world has to offer. When you're in need of a getaway, you can book airline miles through several major airlines using Bitcoins. Depending on your destination, you can use cryptocurrency at your destination, too. Several hotels now accept Bitcoin in exchange for stays.
Fine Jewelry You Can Purchase With Bitcoin
Perhaps you're interested in buying gold for its status as a precious metal. If so, you may be interested in using your cryptocurrency to purchase fine jewelry. Let's look at classic Noémie diamond jewelry with precious metals you can invest in and wear daily.
1. Tennis Bracelet
Here's a piece that has both been a trend and outlasted trends. The Tennis Bracelet is by no means new. It's been around for nearly a century under the name "diamond line bracelet."
In the 1980s, it gained popularity during one historic tennis match in which Chris Evert asked to stop the game in order to find the tennis bracelet that she wore during matches. This incident caused the popularity of this diamond bracelet to spike.
Today, this is still a go-to piece of jewelry that many enjoy adding to their evening looks and casual wear alike.
2. Diamond Chain Link Ring
When you want to invest in unique fine jewelry, you should choose pieces that make a statement. Our Diamond Chain Link Ring is one example of a band that looks modern with delicate white diamonds surrounding each chain link.
Customize your band with 18-karat rose gold, yellow gold, or white gold. This band is an excellent detail to elevate your leisurewear.
3. Trois Hoop Earrings
Do you love exciting earrings? Perhaps you only have one piercing, but you love the multi-pierced look. Our Trois Hoop Earring gives the appearance of three delicate hoops in their own piercings, yet each attaches to one stud.
Delicate white diamonds surround each hoop with splendor. This earring is one piece that can add personality and glamour to your daily look at once.
4. Custom Letter Necklace
Do you have a loved one with a birthday coming up? Perhaps they recently got promoted at work, and you'd like to celebrate them.
One piece you can purchase with Bitcoin is our Custom Letter Necklace. This pendant makes the perfect gift for a loved one. You can display their initial or your own so that they can keep you in their heart always.
Brilliant white diamonds encircle the engraved pendant for a charming touch on an everyday pendant.
5. Diamond Eternity Band
Are you getting married soon? If so, you may be looking into wedding jewelry and wondering about your options. Ten years ago, you might not have pictured yourself purchasing wedding jewelry with digital currency, yet it's a genuine possibility today.
If you're on the lookout for the perfect classic wedding band, consider our Noémie Princess Cut Diamond Eternity Band. In your choice of rose gold, white gold, yellow gold, or platinum, this band boasts nearly one carat of stunning princess diamonds. It’s the perfect piece to wear alone as an anniversary band or as an accent to a remarkable princess engagement ring.
6. Solitaire Engagement Ring
Are you and your partner talking about engagement? Perhaps you've both discussed creative ways to invest in your wedding and engagement jewelry. When you're ready to buy a classic diamond engagement ring with cryptocurrency, our Noémie Solitaire Engagement Ring is an outstanding choice.
If you're on a budget, consider choosing a lab-grown option for the solitaire's focal stone. Lab-mined stones are identical to earth-mined diamonds in every way, yet we offer them at a fraction of the price. You can enjoy an exquisite diamond engagement ring at an attractive price that works for your budget.
7. Crescent Moon Necklace
Are you someone who enjoys the beauty of nature? Perhaps you feel connected to the earth and the universe in an almost tangible way. You can represent your love for the heavens by wearing our Noémie Crescent Moon Necklace.
This piece displays excellent quality graduating diamonds along the crescent shape. You can choose to wear it alone or pair it with another dainty necklace for a layered look.
How Noémie Offers Incredible Value
Choosing to invest in gold or fine jewelry with your cryptocurrency is a great decision. With that, you'll want to ensure that your purchase comes from a reputable retailer that offers the best value for their precious metal jewelry.
We only use excellent 18-karat gold and platinum for your rings, necklaces, earrings, and bracelets. When it comes to diamonds, you can revel in your Noémie piece's stones, knowing they hold a VS clarity and F/G color grade.
We use thoughtful product assortment and own our own production house to cut out the middleman. All of this is to ensure you get incredible diamond jewelry at the most attractive, fair prices.
When you purchase fine jewelry from Noémie, you can be confident that the pieces you choose are handcrafted with care and attention to detail.
You Can Buy Your Heart's Desires With Bitcoin
Cryptocurrency is one of the more exciting technological developments in recent years. What’s more important is that its current widespread popularity has made it possible for you to incorporate this digital asset into your spending habits.
Whether you choose to invest in new furniture, splurge on a vacation in France, or indulge in delicate Noémie diamond jewelry, cryptocurrency is a new medium of exchange that can make your dream purchases a reality in a brand new way.
When you're searching for the best fine jewelry to buy with Bitcoin, Noémie is the retailer for you. You can wear your Noémie jewelry every day, too, knowing it will hold its value for decades to come.
Sources:
Cryptocurrency Definition | Investopedia
What Is Cryptocurrency? Beginners Guide to Digital Cash | NerdWallet
Crypto Is Everywhere, But Should You Invest? | Forbes
How Does Bitcoin Mining Work? | Investopedia
Bitcoin emergence as 'digital gold' could lift price to $146,000, says JPM | Reuters