Do you want to buy Bitcoin? Then, there are several ways to do it. Bitcoin is a digital currency accepted in many stores. You can buy this currency to use it to shop online and offline.
This helps you avoid transaction fees that you would otherwise have to pay to financial institutions for every transaction you make. Previously, bitcoins were bought underground, as something illegal. But now there are many reliable sites available to buy Bitcoin, such as Bitcoin Up.
Exchanges are reliable sites for people interested in buying bitcoins. You can use your hard money to buy bitcoins and add them to your Bitcoin wallet. These are operated and governed by a centralized authority that allows traders to trade, i.e. buy and sell bitcoins. You can also store traditional bitcoins on the exchange. This helps you to have quick access to your funds.
Success will depend on your experience with Bitcoin trading. The exchange will allow you to buy and sell bitcoins quickly. The exchange you are buying from will ask you for personal details. These exchanges operate according to rules and regulations. They will want to comply with anti-money laundering requirements, and you should know your regulations as a user.
This is the best marketplace for decentralized and centralized sites. The best part of these exchanges is that there are no third parties involved. You can conduct the transaction directly with the other person. There is no centralized authority monitoring your trading activities. It gives you a lot of control over your funds without putting them in the custody of a third party. There are many decentralized marketplaces where you can buy bitcoins quickly.
Converting unused gift cards into BTC
If you have bought gift cards online and haven’t used all that money, you can convert that sum into bitcoins and add them to your bitcoin wallet. This will not let the money on your gift card go to waste, as you can use it to buy bitcoins. There are many sites that will exchange your gift cards for bitcoins, and others will sell you the gift cards in exchange for bitcoins. Sometimes you may want to sell the gift card at a reduced price to get bitcoins in your account. This is the most effective way to convert gift cards into bitcoins.
An ATM is a machine where you can withdraw or deposit money at any time. It is an easy way to make transactions. Today, there are many ATMs available where you can buy bitcoins. These are not the typical traditional ATMs, but bitcoin-specific ones. These will accept your cash bills and give you bitcoins.
You must deposit cash into the ATM to convert it, and you will receive a paper ticket with the wallet details. You can also see on this ticket your bitcoin balance. Afterwards, you can use this paper ticket and withdraw cash at another ATM. This is the best way to convert bitcoins to cash and cash to bitcoins. You can use bitcoins to make online purchases. You save a great deal of money on the purchases you make online. However, bitcoins are not accepted in many places in the world. If you are looking for a Bitcoin cashier to convert your cash into bitcoins, you should check on the ATM portal Bitcoin Radar. This will guide you to the nearest Bitcoin ATM. Chances are high that there is a Bitcoin ATM installed near you.
These are some of the ways you can buy bitcoins. These are the ideal places you can go to buy reliable bitcoins without having to expose yourself to scammers or thieves. Finally, we recommend only investing in academic mode and never with savings or money you need. Also, always verify opinions regarding online platforms before making any deposit.
An exchange is in this context an online platform where you can exchange, i.e. sell or buy, cryptocurrencies in exchange for other cryptocurrencies or traditional currencies (EUR, USD, etc.). Why do you need to know this? If you are thinking of buying cryptocurrencies, it is not a bad idea to take a look at the different possibilities that are presented to you. And if you are serious about trading, you should consider using crypto trading bots too.
- Broker exchange house
- Traditional” exchange house
- P2P Exchanges
Broker exchange house
This type of Exchange is the closest thing to an online store or traditional exchange agency that you would find in an airport. The company purchases the cryptocurrencies and then resells them to users at market price (plus some extra commission).
This is the easiest option if you have no idea about trading, although it is also usually the most expensive. Coinbase is one of the best known platforms that works on this business model.
Traditional” exchange house
“Traditional” exchange houses are the most popular among investors. They are Exchanges that offer a trading platform where traders can exchange cryptocurrencies freely at market price. Generally, a spread is charged for each transaction and some commissions for deposits, payment methods, balance disposal, etc.
On these platforms cryptocurrencies can be traded on margin and, depending on the exchange, on the basis of other currencies (EUR, USD, etc.). Visible examples of this business model are Kraken, Bitfinex and Poloniex.
Platforms that offer “peer to peer” exchange of cryptocurrencies, i.e. between peers. Through these exchanges you can sell or buy currencies to individuals, who do not necessarily base the selling price on the value of the markets.
These types of Exchanges usually add a small commission to transactions for “handling fees”. One of the most popular is Localbitcoins.
All exchanges, no matter what type they are, act as intermediaries. That is why in the end you will have to pay some kind of commission. What fees do you have to pay?
Commissions depending on the payment method
Although Exchanges do not usually charge this type of commissions, the issuer of the payment does. So when buying cryptocurrencies, depositing money into your wallet account, etc., you will probably have to pay X commissions. To these you will have to add the costs for currency exchange, for example: when buying Bitcoins with Euros.
Commissions for each transaction
This is basically the spread or commissions earned on each transaction. They are calculated according to the volume traded and can be fixed or variable (depending on market prices).
Commissions when withdrawing the balance
Just as it happens when depositing money in your account or buying cryptocurrencies, when withdrawing your balance from the Exchange you will probably have to assume two commissions: the first one according to the payment method (if you prefer to receive the balance to your bank account, Paypal, debit card, etc.); the second one, for currency exchange (in case of receiving, for example, your Bitcoins in Euros).
When buying cryptocurrencies or depositing your money in an exchange house, you will be able to choose between different payment methods:
- Credit and/or debit card: it is usually one of the most expensive options, with commissions of around 3%.
- Paypal: as with credit card payments, Paypal is one of the most expensive options, with commissions of around 3-4%.
- Bank transfer: undoubtedly one of the most popular and widespread methods, with commissions of around 1%.
Cryptocurrency deposit: if you are looking to buy cryptocurrencies from scratch, this option does not work for you. However, if you already have some digital currencies and want to exchange them for others or deposit them in an Exchange, you can generally do so with 0% commissions.
5 factors to choose the best exchange
#1 Available cryptocurrencies: not all exchange houses offer the purchase or trading of all cryptocurrencies; for example, Bitstamp does not have Dash others don`t support Ethereum. And if you are into sports betting, Monero is also a must have cryptocurrency!
#2 Commissions and payment methods: the costs vary significantly from one exchange bureau to another. Check the costs incurred according to the payment method you use, for spreads and balance disposal, among others. How to pay for your coins is an important issue: an exchange that does not allow payment by credit card is useless if you are looking to buy Bitcoins with your Visa card.
#3 Wallet, yes or no: some exchanges such as Coinbase also offer a wallet service. This means that you can purchase your cryptocurrencies directly from your digital wallet without the need to register extra at the exchange.
#4 Security: a good exchange has to offer liquidity and be a carrier of cryptocurrencies worth more than a few hundred million USD. On the other hand, the best platforms keep most of their funds in offline deposits (in paper format or USBs) to protect them from attacks.
#5 Limits when depositing or withdrawing your balance: as can happen with an ordinary ATM, Exchanges usually set limits on the amounts you can deposit and withdraw at one time. The amounts are usually quite high (above 1,000 EUR), however, it depends on your needs as an investor.