How to Buy Bitcoin?
While it may not seem this way, buying Bitcoin is not difficult. In fact, it can be done in euros, US dollars, yen, pounds, or any other cryptocurrency or fiat currency. You can even buy Bitcoin via a cryptocurrency exchange, from other individuals, or using Bitcoin ATMs.
How to Buy Bitcoin
When learning about buying Bitcoin, it is good to know that you don’t have to purchase an entire Bitcoin. You are able to buy fractions of it. A half, a quarter, or even one-millionth of a Bitcoin will experience the same appreciation as the rest of the coin.
The same applies to depreciation. Now that we have covered the basics, the next step is to get a wallet. A cryptocurrency wallet is a standalone bank account.
It is used to hold, receive, and transfer Bitcoin. Once you have a wallet, you can choose how you want to acquire Bitcoins. You can do this with an exchange, a local dealer on a marketplace, or selling goods/services for Bitcoins.
If you’re looking to buy Bitcoin with cash, you can do this by visiting your nearest Bitcoin ATM if this is a viable option. Some of the very best Bitcoin exchanges and brokerage services for beginners are:
- BC Bitcoin
When you buy Bitcoin via an exchange, you will not need a private wallet straight away. However, it is highly recommended. This is especially true if you’re making a long-term investment.
If you’re looking to buy Bitcoin for more than USD 1,000 value, you should look at getting a secure hardware wallet. A wallet like Ledger or Trezor would be ideal for maximum security.
With so many folks learning to invest in bitcoin, buying bitcoins is now easier than ever. But here’s the thing, when your goal is to learn how to buy bitcoin, a guide like this one is step number one. After that, you have to dip your feet in. But don’t wait too long. The longer you wait, the greater the fluctuation in price, as bitcoin is fluid and changes throughout the day.
There are many great websites and apps that allow users to buy bitcoin with relatively low fee structures attached. Do your research before choosing one, then begin your investment journey!
Where to Buy Bitcoins?
Learning where to buy bitcoin can feel like a change. You have a few options when buying cryptocurrency like bitcoin, including:
- Finding a bitcoin ATM near you.
- Using an online payment service, like PayPal, to purchase from a website.
- Signing up for a mainstream brokerage account through services like Robinhood or Coinbase.
How to Use Bitcoin ATMs
You can find bitcoin ATM locations in most major cities these days, luckily enough, and using one is easier than ever.
When it comes time to buy bitcoins ATM machines prove the simplest way. But first, you need to know how to use bitcoin ATM machines.
- Sign up for an account with the bitcoin ATM operator in your area; preferably one you trust and one at a location you frequent.
- Ensure your crypto wallet is prepped for the transaction.
- Head on over to the nearest ATM.
- Enter your bitcoin wallet via the touch-screen on the machine.
- Insert your money for the transaction.
- Take your receipt!
It really is that simple to buy bitcoin using cash these days. And even better is, bitcoin ATMs are extremely secure, like a standard ATM, so you don’t have to worry about your transaction. Most ATM operators provide fantastic customer service, too, in the event you need to call.
P2P Exchanges: P2P Bitcoin Exchange for All
Another option when buying bitcoin is to utilize a p2p bitcoin exchange service, like Paxful or LocalCoinSwap. A BTC exchange like one of these services will allow you to swap cryptocurrency coins with other users, or buy bitcoin using cash through their service.
When you buy bitcoin using a p2p bitcoin exchange, the money you’re paying goes into an escrow-like account held by the exchange itself. Once the transaction is approved, bitcoin enters your wallet and the money leaves the escrow to complete the purchase.
The downside is, that you usually cannot choose who you trade with. It’s an automated process, more often than not.
Mainstream Brokerages: Brokers That Accept Bitcoin
Lastly, when purchasing bitcoin online, you can use mainstream brokerage firms. These firms, some of which have earned a reputation as the best bitcoin brokers in the world.
These brokerage firms include the likes of Robinhood, eToro, Coinbase, Kraken, Binance, TradeStation, and Webull. Some have varying fee structures when buying bitcoin through their service; specifically, when you sell bitcoin, the firm will take a cute of the proceeds to cover their services and servers.
But if you’re just starting out and want to invest in bitcoin, no other option offers the same level of convenience. You can download an app on your smartphone from, say, Robinhood, then check the price of bitcoin with a single click, and buy with another click. It’s easier than ever to invest in crypto!
Top Bitcoin Exchanges & Brokers
You’re here because you want to invest in bitcoin, and for that, you need the top bitcoin exchanges and brokers on the market. We’ve got you covered!
From the get-go, BC Bitcoin proves an efficient experience when buying cryptocurrency. Overall, it’s the user experience that sells the service. Few buyers have any issues when purchasing bitcoin or dealing with customer service.
It’s rare that a transaction encounters any trouble when buying or selling, easing one’s mind in the crypto world.
With an easy-to-use interface and convenient transaction structure, Coinmama proves that buying and selling crypto is a welcome endeavor for anyone with a little start-up cash on hand.
Unfortunately, as many Coinmama reviews show, despite the excellent user experience overall, their fee structure leaves something to be desired. You’ll wind up paying a bit more in fees than many of its competitors.
Do you want commission-free trading? If so, then you want eToro. There’s an excellent reason why trading on eToro is often recommended when it comes to buying bitcoin online. Their trading platform is relatively simple to understand and utilize, making it simple for beginners to learn investment strategies and buy crypto.
The downside is, like all other brokerages on the market today, they do charge a makeup spread based on the crypto being exchanged. For bitcoin, that spread is around 75 base points.
When you want quick and reliable purchasing power for bitcoin and other common cryptocurrencies, Switchere pushes to the forefront. The purchasing platform is one of the fastest to get you started buying and selling.
Like others, though, Switchere suffers from an extensive fee structure that winds its way into your wallet with every purchase.
If speed, security, and convenience matter most to you when buying and selling crypto, then the Xcoins exchange should do wonders for your investment mindset.
When it comes to exchange rates and processing fees, Xcoins actually has one of the best, lowest structured plans in place.
If you’re new to bitcoin, or even to cryptocurrency as a whole, chances are Coinbase is one of the first names that crop up when buying crypto coins of any kind. They’re an extremely user-friendly platform designed to make buying over 100 crypto coins easy and fluid.
The downside, however, is that Coinbase buy bitcoin does feature a steep commission structure. You have a spread markup to contend with, plus a transaction fee, for every purchase of bitcoin and other coins.
Binance touts itself as a unique and specialized trading platform, allowing users to buy and sell cryptocurrencies, including bitcoin, with ease. That’s all true, and most users find themselves extremely happy with the results of their purchase and sale of bitcoin.
It’s the fee structure that wins over so many to the Binance crypto exchange, though. The service boasts low commission structures, which reduce over time as you trade more crypto through the platform.
The Poloniex exchange proves capable of handling a new user and guiding them through the bitcoin purchase process with relative ease and convenient fee structures to boot.
The downside? Many who use the platform complain of poor customer support, and the company does have a history of hacking issues that could scare some away.
Besides the wicked cool name of this trading brokerage, you can bet the platform offers exceptional Kraken bitcoin purchasing and selling powers to boot.
Their 1.5 percent fee structure is a welcome touch, though they do have additional fees for using a credit card or funding your account via bank transfer. And lastly, they do offer pro tiers for an additional sum, but it lowers your fees.
If you want a ChangeNOW exchange review, look no further. With impressive customer service, instant crypto swaps, and an easy-to-use platform, ChangeNOW proves top-tier.
Unfortunately, for power users, you cannot manage crypto-to-fiat large swaps, and fees are quite high.
Ways to Buy Bitcoin
Now that you have a better idea of where to buy bitcoin, let’s find out the ways to buy bitcoin without incurring massive charges or sketchy services online.
Buy Bitcoin with PayPal
Perhaps the easiest way to invest in crypto today is PayPal to bitcoin purchases and exchanges. You can totally buy BTC with PayPal, and the payment processor generally only charges its usual fee structure for a transaction. It’s simple, and fluid, and you can often complete a BTC purchase with a single click if you have the setting enabled on your PayPal account.
Of the many ways to buy crypto, the safety and security of PayPal prove the most convenient for most users. Of course, you will need a PayPal account, which requires a bank account to set up.
Buy Bitcoin with Credit Cards
Your other option, instead of using a bank transfer or PayPal account, is to buy bitcoin with credit card companies backing your purchase. Yes, you can buy BTC with credit cards, and it works just like most other purchases.
The downside is that many p2p exchanges and brokerage firms do not allow credit cards for payment processing. They prefer a bank transfer, or the security of a massive, global company like PayPal.
That doesn’t mean the option isn’t available to you, though. Find a service that accepts credit cards and you’re golden to buy crypto at a whim!
How to Buy Bitcoin in Your Location
How to buy Bitcoin in certain areas is yet another common question. People from around the world Google this question daily to find their answers. First of all, you must find out whether or not your country currently has regulations.
For example, you need to know if it is legal to buy Bitcoin in your country. Then you have to figure out which way is the most convenient way for you. There are many online resources available to show you the exchanges available.
For example, if you live in Canada, you should Google “How to buy Bitcoin in Canada”. This will provide you with all of the information you need to get started. Each way to buy Bitcoin has its own set of pros and cons associated.
Exchanges are the most flexible way to do this. You are able to buy only a small amount of Bitcoin or exchange tens of thousands of dollars. However, buying Bitcoin in person offers far more anonymity.
You should take the time to compare the applicable transaction fees to see where you can find the best price available. Before you settle on a specific exchange or seller to buy Bitcoin, you need to check that it/they are trustworthy. You can ensure this by checking out reviews or monitoring feedback from previous customers.
A Step-by-Step Process of Purchasing Bitcoin via an Exchange
When you’re looking to buy Bitcoin via an exchange, it will look something like this:
- Create a private Bitcoin wallet.
- Find the best exchange option to purchased Bitcoin in your location.
- Register in the exchange.
- Make a deposit.
- Purchase Bitcoin via the exchange’s markets.
- Store it safely in your private wallet.
The process will differ if you’re purchasing Bitcoins in person, via Bitcoin ATMs, or via individual marketplaces. Though, the essence remains the same.
The Bottom Line
Buying Bitcoin is an exciting experience. Often, it is very empowering when you actually get to understand and use the technology behind it. While it may not be as convenient as banks today but you will enjoy transacting in a new, trustless, financial paradigm.