One of the most pressing problems when trading cryptocurrency is buying the right cryptocurrency. Even experienced Forex traders find it difficult to understand where to buy and sell cryptocurrency, but after reading this article, you will be able to make a transaction in 15 minutes.
How to buy cryptocurrency?
Buying cryptocurrency has never been easier. To buy digital currency, you only need to follow a few steps:
- You need to register with a cryptocurrency exchange or trading platform that allows you to buy bitcoins, laitcoins or any other digital currency.
- Complete an identity verification (KYC).
- Deposit local fiat currency or bitcoin.
- Choose desired cryptocurrency in exchange center.
- Receive the desired amount.
Where to buy cryptocurrency?
Exchanges such as Coinbase, Binance, Cex.io, Bitstamp, etc. etc., are some of the easiest and safest ways to buy bitcoins and other cryptocurrencies online.
LocalBitcoin.com and similar sites are the most popular way to buy cryptocurrency, which makes transactions through P2P system, also known as OTC transaction method for buying cryptocurrency.
Bitcoin ATMs are the only offline way to obtain cryptocurrency
Binance is one of the leading cryptocurrency exchanges in terms of trading volume and ease of use. Binance provides a large number of cryptocurrencies. Among major exchanges, it is, in fact, the first one that works with the largest number of currencies itself. The security system of the site works on the traditional cryptocurrency data protection system, so no one can get access to the wallet of its owner
The interface of Binance is a bit cumbersome, with which to understand the beginner will be difficult, but after a short acquaintance with the tools of the site, we can come to the conclusion that this is the most useful platform for trade. Transaction fee Binance is from 0.05% to 0.1%, which is quite democratic.
Suitable for: average users and daily traders.
Not suitable for: fiat currency trading, beginners.
Bitfinex is another large exchange with a daily trading volume of over $300 million. Here you don’t have to worry about finding a counterparty. And the interface is simple and user-friendly.
Here you can trade not only a variety of cryptocurrencies, but also make transactions via bank transfer using fiat currency such as U.S. dollars, euros, pounds and Japanese yen. Bitfinex’s commission is not the lowest, but it is within reasonable limits.
However, Bitfinex’s track record is flawed. In 2016, Bifinex lost 120,000 bitcoins in a hack. The hack was worth $72 million, making it the second-largest hack in history. As a result, the value of bitcoin plummeted 15%.
Bitfinex issued a promissory note in the form of a BFX token issue.
While there is some doubt about this, Bitfinex ended up exchanging 100% of the BFX tokens. Those interested can read the information for themselves to learn more.
Suitable for: average users and daily traders.
Not suitable for: complete beginners.
Bittrex was founded in 2015 and is known for its stability and reliability. The platform uses an interface that is very similar to Bitfinex. This, in turn, makes it understandable for many traders.
The commission for processing all transactions is 0.25%, which is higher than most exchanges, but such a percentage is extinguished against the background of the high level of security and stability of the site.
Suitable for: The average level of users and daily traders.
Not suitable for: absolute beginners.
Coinbase was one of the first websites to allow the use of bank accounts to buy cryptocurrency. Although Coinbase can only be seen as a technical intermediary, their trading subsidiary Coinbase Pro (formerly GDAX) is the platform for processing transactions.
Compared to many other websites, Coinbase’s commissions are high and there are rumors of insider trading, but it is the perfect place for newcomers to buy coins. In addition to trading coins, the site offers local currency exchanges such as USD -EUR.
Coinbase’s interface is easy to use, which allows you to transfer funds between Coinbase and Coinbase Pro without any fees.
Coinbase only works with four types of cryptocurrencies: Bitcoin, Bitcoin Cash, Ethereum and Litecoin. To increase the level of security, you can upgrade to the Pro version, which guarantees up to $250,000 in insurance.
Suitable for: complete beginners.
Not suitable for: daily traders, people working with altcoins.
The last of the online exchange outlets under consideration is LocalBitcoins. LocalBitcoins is a p2p bitcoin exchange. Users connect with a buyer or seller on the desired price and payment method.
LocalBitcoin providers accept a number of amazing transaction methods, including gift card coupon codes, PayPal, altcoins, bank transfers, etc.
The combination of sales and payment methods and vendors operating in «248 countries» makes LocalBitcoins one of the most popular bitcoin exchanges.
Additionally, LocalBitcoins is an instant trading platform. Depending on the payment method, a transaction can be completed within minutes. Finally, the interface of LocalBitcoins is one of the easiest to use, allowing you to sort suppliers by country, payment type, currency type, etc. Д.
Bitcoin ATM is a standard ATB, which allows you to sell and buy bitcoins with your local currency or card. In Russia, you can only make a purchase.
To make a purchase, you need to have a bitcoin wallet, but some of these ATMs allow you to create accounts right on the spot.
The purchase process is not much different from paying an account at any other ATM, but some types of these ATMs require you to enter an SMS code from your phone or your fingerprint (if you have enabled this data protection option beforehand).
As in the case of a regular ATM, a bitcoin ATM can issue a receipt for the transaction.
Each such ATM has a different, but, high level of commission. It usually ranges from 5.5% to 8.5%. Such a high percentage is due to the fact that the number and distribution of ATMs is in its initial stage of development.
As you can see from the article above, there are many places to sell and buy cryptocurrencies, which vary in terms of the complexity of use, the degree of protection and the level of commission. We hope that now you have got the answer to the question where to buy and sell cryptocurrency.