Cryptocurrencies have taken off, and it could be a matter of time before they find their way into the mainstream industry given their vast applications. Even as the evolution continues, some people have become millionaires just for buying and selling these emerging class of assets. In this guide, we are going to explain in plain English How To Buy Cryptocurrencies?
Bitcoins is one of the most sought-after cryptocurrencies given its value and the fact that it is among the few that are well established. Buying bitcoin can be confusing especially for those that are just finding their way around digital currencies. However, that should not be the case given that there are many ways that one can use to own a piece of any cryptocurrency.
To be able to buy cryptocurrencies, you must first have an idea on where to buy them and the people who offer such services.
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Where to Buy Cryptocurrencies?
Just a few years ago there were an only a few places where one could buy and sell cryptocurrencies. However, with the evolution of the industry, more places have emerged most of which are a click of a button away.
Cryptocurrency exchanges have emerged as a preferred marketplace for buying and selling various types of cryptocurrencies. Such exchanges operate the same way as stock marketplaces allowing people to use multiple fiat currencies to buy the digital currency of choice.
Most cryptocurrency exchanges accept payment by bank transfer or credit cards as a means of finalizing transactions depending on the type, and the amount of cryptocurrency one wishes to buy. There are cryptocurrency exchanges that do accept PayPal as a mode of payment.
Coinbase and Bitfinex are some of the best cryptocurrency exchanges for buying digital currencies as they accept a variety of payment options.
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How to Buy Bitcoin with Cash?
Buying Through Exchanges
By simply opening an account with one of the major cryptocurrency exchange such as Coinbase, you should be able to buy bitcoin. Such transactions provide a way of adding various payment methods such as debit or credit cards or wire transfers, from where one can transfer cash to use to purchase cryptocurrency of choice. Other exchanges that accept U.S dollars as a means of buying cryptocurrencies include Kraken and Gemini in the U.S.
Peer-to-peer sites that provide a platform where people can buy and sell bitcoin are sprouting by the day. In these sites, one only needs to hand over cash to a friend in exchange for the agreed amount of BTC coins.
LocalBitcoins is one of the best, as it operates worldwide and allows users to agree on a price beforehand before finalizing a transaction.
Bitcoin ATMs are becoming popular in developed worlds whereby one only needs to show up with fiat currency to make a payment and have bitcoins sent to a bitcoin wallet. The ATMs also make it possible to sell BTC in a wallet in exchange for fiat currencies.
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How to Buy Bitcoin Anonymously?
For those who cherish their privacy, it is possible to buy bitcoin anonymously.
Local Bitcoin Option
If you don’t wish to use a credit card or any form of identification, then you would have to find a person in your location who is willing to sell bitcoin in exchange for cash.
Bitcoin ATMs can also be used for anonymous bitcoin purchases, as they only require one to show up with cash and a bitcoin wallet where the tokens are to be sent.
Prepaid Cards with P2P Exchanges
If you have cash, you can try getting a prepaid debit card and then use it to buy bitcoins in peer-to-peer exchanges like LocalBitcoins and other exchanges. Disposable cards don’t require an Id for one to carry out a transaction.
CoinMama is also a top destination for anonymous bitcoin purchases as it allows people to get their first $150 worth of BTC with a debit or credit card without the need of an identity card.
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Unlike in the past where cryptocurrencies were a domain of a small group of people, the emergence of cryptocurrency exchanges has made it possible to buy and sell cryptocurrencies. There are also peer-to-peer sites that allow people to interact and do business involving cryptocurrencies. Bitcoin ATMs could soon take over making it possible for people to deal in cryptocurrencies anonymously.
Once you learned how to buy cryptocurrencies, the next guide is where to spend cryptocurrencies.
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*Disclaimer: The article should not be taken as, and is not intended to provide any investment advice. Claims made in this article do not constitute investment advice and should not be taken as such. 101 Blockchains shall not be responsible for any loss sustained by any person who relies on this article. Do your own research!