When I buy a Bitcoin with dollars, where does the money go to?

4

I understand the networking concept of the coin, but I am not sure I understand the purchase process.

Let's say I have 1000$ that I want to spend on Bitcoins, who do I give this money to?

yonso

Posted 2013-12-02T08:59:36.087

Reputation: 43

Answers

6

You give the money to someone who has bitcoins available to sell to you.

This might happen via an exchange such as bitstamp.net which matches buyers and sellers.

npad

Posted 2013-12-02T08:59:36.087

Reputation: 176

Asked: 2013-12-02T08:59:36.087

Viewed: 2 489 times

Active: 2017-12-17T22:26:28.697