First off, let's start off on why you shouldn't start out with Bitcoin (or any crypto-currencies for that matter).
-You want to get rich
If you think that crypto-currencies are an easy investment right now, you are like many other people out there. That being said, there is nothing really special about Bitcoin that give it value, and it has probably a better chance of going down in value than up. The fact that you have heard of it on the evening news, like most stocks, means you are too late to make any big money.
-You want to do something illegal
See the next point that shows why this is a bad idea.
-You want to be anonymous
Bitcoin is actually the exact opposite of a private, anonymous currency. As far as the currency is concerned you name is a hash number, and that number is published EVERYWHERE for anyone to see anytime. Bitcoin could be described as something closer to a car title, where it takes the buyer's name and the seller's name to change possession, but unlike a title, you don't get a new clean one each time it changes possession. Every time currency changes hands it adds another line with the new owner. The only way that this could be considered an anonymous currency is that you don't have to associate your real name or information in order to use the currency. So that means it is your job to make sure that the site you are buying from isn't checking your computer for identifying information or adding cookies so that it can identify you later. It is built on trust. That being said, if you wanted to do something illegal with Bitcoin, chances are you would get caught. An expert might not get caught, but if the leader of the Silk Road got caught, chances are they can catch you too if they wanted.
-You want your money to be safe
Crypto-currencies are incredibly volatile and prone to theft. Before when Grandma downloaded Flappy Fish and infected your computer, you might have lost your old school ROM collection or old homework assignments. Now, if Grandma invites hackers in, they get your wallet and everything in it, if you keep your wallet on your computer, that is. There is no way to reverse the transaction and finding them will be difficult if they are professionals. What has happened is your "bank" is now sitting on your hard drive with nothing but "Norton Security Suite" to have your back. If you want your money to be safe, give it to a real bank. On top of that, even if you pay a service to keep your coins safe, they might double in price tomorrow, or be worth nothing. One of those two.
-You want to make normal shopping easier
There are more and more stores taking Bitcoin, but getting started with Bitcoin is kind of a pain, as you will see later.
-You want to start mining
Just don't. Please. Unless you are looking to have fun and lose money, just don't.
Now that I have explained all of that, I have no attachment to money and quite like the smell of it burning, so much that I decided to throw some away after Bitcoins.
Buying Bitcoins
Safest way to do Bitcoin? Coinbase.com
Sign up with your email and a password. Take note of the current conversion rate in the upper right hand corner.
In order to verify your bank account you have two options. You can give them the keys to the kingdom immediately and type in your online banking credentials (which is typically a no-no) or you can wait 3-4 days for them to verify a deposit from your account.
Actually want to buy something with those coins now before they change in price? Sorry, that’s not going to happen. If you don’t pay with your credit card they will make you wait, again. For a digital currency company, they sure are waiting till they have the green in their hands.
Add a credit card if you don’t want to wait the 4 DAYS to get Bitcoins (click enable instant buy)
Throwing away your hard earned money
So when my Bitcoins do come in, where can I spend them? The list on Bitcoin.com used to be pretty sad, but now http://usebitcoins.info/ is nice and pretty, even if it still is a list of no-name companies.
But wait, TigerDirect accepts Bitcoins! (I have 4 days, maybe I should hold out for Newegg?)
But for some reason you still need to give them your name, address, and current location of all your valuables.
Better solution? Egifter.com / gyft.com
Both vendors will sell you instant electronic gift cards for Bitcoins on the spot, all you need is an email address and you are set. (They sell Amazon Gift cards, hint hint.)
That being said, like most merchants, TigerDirect gives you a USD total and converts it on the fly to BTC. Be careful though, if you take more than 15 minutes on TigerDirect, you will be forced to start all over.
