When it comes to promising digital investment instruments, Bitcoin is one of the most talked-about. Its rising popularity in Indonesia is marked by the growing number of Bitcoin trading platforms.
According to Investopedia, Bitcoin was first introduced to the public in 2008 by a group of developers using the pseudonym Satoshi Nakamoto. Since then, Bitcoin has become the world’s largest cryptocurrency and the pioneer of all digital currencies.
If you’re new to cryptocurrency and want to learn how to invest in Bitcoin, this article will guide you through every step—from understanding its basic concept, choosing a reliable platform, to ensuring safe transactions.
What Is Bitcoin and How Does It Work?
Let’s start with the basics. Bitcoin is a digital currency (cryptocurrency) that enables peer-to-peer financial transactions without intermediaries such as banks.
Although it’s called a currency, Bitcoin doesn’t exist in physical form. However, it holds monetary value and can be traded. Every Bitcoin transaction is recorded in a public digital ledger called the blockchain—a decentralized, transparent, and tamper-resistant technology. Bitcoin’s value is highly volatile, making it ideal for investors seeking portfolio diversification while being aware of the risks.
How Bitcoin Works
As mentioned, all Bitcoin transactions are stored in a digital ledger called the blockchain, which keeps a record of every transaction since the very first one. These records are publicly accessible to everyone on the network.
Since Bitcoin isn’t physical, it relies on digital signatures secured by cryptography to authenticate transactions. Each transaction is then verified using a system called Proof-of-Work (PoW)—a mechanism that prevents double spending and ensures only valid transactions are approved.
Transactions start when a user sends Bitcoin. The request is transmitted through a peer-to-peer network where miners verify it. Once verified, it’s added to a new “block” in the blockchain. Each new block is linked to the previous one through a unique code, forming an unbroken chain of information—hence the term blockchain.
To falsify even one transaction, someone would need to alter every previous block, which is nearly impossible due to the enormous computational power required. This is what makes Bitcoin secure and transparent.
Easy Steps to Buy Bitcoin
Now that you understand how Bitcoin works, let’s walk through the practical steps to buy Bitcoin in Indonesia:
1. Set Up a Bitcoin Wallet
Think of Bitcoin like digital cash—you’ll need a wallet to store it.
There are three main types of Bitcoin wallets:
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Hot Wallet (online): Examples include Trust Wallet, MetaMask, or in-app wallets like Pintu or Indodax. Convenient for beginners but more vulnerable to hacks.
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Cold Wallet (hardware): Devices like Ledger or Trezor store Bitcoin offline for stronger protection—great for long-term investors.
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Paper Wallet: A printed version of your Bitcoin keys. However, it’s not recommended for beginners since it can easily get lost or damaged.
If you’re just starting out, a hot wallet is perfectly fine.
2. Choose a Legal Exchange Platform
You’ll need to register on a crypto exchange, a digital marketplace for buying and selling Bitcoin. In Indonesia, trusted and government-regulated platforms (licensed by Bappebti) include: Tokocrypto, Indodax, and Pintu.
3. Register and Verify Your Account
Once you’ve chosen an exchange, create your account and complete the verification process:
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Fill in your personal details (name, email, phone number)
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Upload a valid ID (KTP or driver’s license)
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Take a selfie holding your ID
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Enable Two-Factor Authentication (2FA)
Verification prevents identity theft and ensures your account is legally protected.
4. Deposit Rupiah Balance
Before buying Bitcoin, top up your exchange account using available payment methods. Once your balance appears, you’re ready to start trading.
5. Buy Bitcoin
You can purchase Bitcoin using two main order types:
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Market Order: Instantly buy Bitcoin at the current market price.
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Limit Order: Set your desired price and wait until the market matches it.
Buying Bitcoin doesn’t require huge capital. You can start with as little as IDR 10,000!
6. Move Bitcoin to a Private Wallet (Recommended)
If you plan to hold Bitcoin long-term, transfer it from the exchange to your personal wallet for extra security.
Why? Because exchanges can be hacked. By keeping Bitcoin in your own wallet, you have full control over your assets.
Secure Your Bitcoin Transactions with Digital Identity Technology
In the crypto world, identity security is everything. To ensure your Bitcoin transactions are safe, the registration and authentication process must be protected against identity fraud.
VIDA Digital Identity plays a crucial role in securing crypto transactions. For instance, Tokocrypto—a leading Indonesian crypto platform—uses VIDA’s technology to strengthen its onboarding and verification systems.
Here’s what they’ve achieved with VIDA’s technology stack (OCR, Liveness Detection, Identity Verification):
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99%+ API Success Rate for seamless verification
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25% higher acceptance rate overall
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Liveness Detection prevents fake faces, deepfakes, and spoofing attacks
VIDA’s Key Security Solutions for Bitcoin Platforms
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VIDA Verify
Performs legal, PKI-based digital identity verification using a validated selfie and ID card. Protects users from identity theft and fake accounts. -
VIDA Auth with FaceToken & PhoneToken
Enables biometric and device-based authentication for logins and transactions—eliminating the risks of phishing, SIM swaps, and fake devices.
With strong authentication layers, your Bitcoin investments remain safe from advanced digital threats.
Buying Bitcoin is not difficult—but doing it securely requires knowledge and preparation. Start by choosing a licensed exchange, use a secure wallet, and protect your identity with trusted digital security solutions like VIDA.
That way, you can confidently explore the world of crypto investments—safely, efficiently, and responsibly.
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