How to buy cryptocurrency: six ways are available today

How to buy cryptocurrency: six ways are available today

Recently, the topic of cryptocurrency is gaining increasing popularity. It is actively discussed in the media and some experts even predict that will be a time when crypto-money will completely replace the usual ones. It’s still too early to judge whether it’s so or not, but now it’s more important than ever to learn how to buy cryptocurrency. Moreover, this is not as difficult as it may seem at first glance. In this article we will talk about six proven ways to buy bitcoins and more. Let’s go!

Today, everyone knows about Bitcoins and many consider them to be synonymous of the  word “cryptocurrency” in general. However, Bitcoin is only one of the many types of cryptocurrencies (there are about 900 in total). Yes, it is the most popular and the most promising, its appearance was the base for the emergence of all the other cryptocurrencies, and its market capitalization today is almost of 40 billion dollars. However, there are other top cryptocurrencies – in particular, ethereum, ripl, lightcoin, dash, which show good growth rates. No one can say for sure which currency will shoot tomorrow, so if you are just starting to deal with the subject of cryptocurrency, you do not have to do well on the relatively expensive bitcoin alone.

In any case, to buy a cryptocurrency, you need to get your own cryptocurrency wallet. A crypto wallet program is a special program that stores the keys of the transactions performed. The fact is that by acquiring a cryptocurrency, you buy the right to use it, because neither Bitcoins, nor ethereums, and others like them physically exist, and all operations for buying and selling cryptocurrencies are transaction records that are stored in a set chains of blocks (blockchain). That is, when managing your cryptocurrency account, you manage records and keys and they need to be stored somewhere. Neither a card, nor an e-wallet, nor bank accounts are suitable for this – only a crypto wallet.

Crypto wallets are different – these are computer software, applications for a smartphone and an online platform. Wallets that are installed directly on your PC are the most reliable – only you have access to your data (unless you have taken care of at least the minimum necessary security features). Mobile phone applications are less reliable, but more convenient for those who are used to controlling their finances through a smartphone. Online wallets are the most unreliable in terms of protecting information, but they provide more opportunities to buy cryptocurrency, so they are popular among users.

In addition, crypto wallets are mono and multicurrency. There are separate sites for storing purely Bitcoins – for example, BitGo. However, based on what was said earlier, it makes sense to open a wallet in which you can store not only bitcoins, but also other cryptocurrencies. Such functionality is offered by the services Jaxx, HolyTransaction, Coinomi, Cryptonator, etc. We smoothly proceed to the first method of buying cryptocurrency – directly through an online wallet.

Method 1. Buy through
crypto wallet

Any crypto wallet has a currency exchange function. In other words, through it you can exchange ordinary money for bitcoins or another cryptocurrency (if the wallet is multi-currency). You have to select the “Exchange” section in your crypto wallet, enter the currency to be changed (hryvnias, rubles, dollars), the payment method (e-wallet, bank card, payment through the terminal) and the amount of the transaction. A few seconds and you will have your own cryptocurrency on your account.

Please note that the fee for the exchange in different services is noticeably different. For example, in the above-mentioned Cryptonator it is about 8%, while in HolyTransaction, Exodus, Keepkey – it is several times less.

Method 2. Buy on the stock exchange cryptocurrency

Due to the popularity of cryptocurrency a huge number of exchanges specializing in their sale and purchase appeared. Cryptocurrency exchanges are web sites where users can exchange one cryptocurrency for another (for example, bitcoins for ethereums) or for a common currency (euro, dollars, yuan, rubles).

The operation of these sites is approximately the same. You register on the site, deposit money into the created account (transfer them from a bank card, via a terminal or from an electronic wallet), select the desired cryptocurrency and its amount, send a purchase request (order) and wait for confirmation of the transaction. If everything went well, the funds will be credited to your stock exchange account.

It is worth noting that the stock exchange is not too suitable for long-term storage of cryptocurrency. The exchange may face technical interruptions in work or even collapse at any time and in this case, you simply can not withdraw your money from it. Yes, and in terms of their security, the exchanges are mostly inferior to crypto wallets, so after the transaction, it makes sense to immediately withdraw funds to your main wallet.

The easiest way to buy a cryptocurrency on the exchange is to enter the necessary amount (for example, 5 bitcoins) and click “Search”. The system itself will find for you suitable offers for the current course. This is quick and convenient, but in this case you are completely dependent on the current exchange rate.

The second method is more complicated and time consuming, but it is potentially much more profitable. You do not buy a cryptocurrency at the proposed rate, and choose the appropriate offer from the current list of trades. You send your application for the transaction by choosing the appropriate option of the transaction and … wait. The fact is that orders at the proposed exchange rate are executed instantly and all the others fall into the so-called quotation glass and are executed only when the current price reaches the value you selected. However, playing this way on the course, you can not only buy, but even earn a cryptocurrency.

Method 3. Buy through the exchanger

Surely you have repeatedly exchanged electronic money for the usual through a special online service for the exchange. Cryptocurrency exchangers work on the same principle in one field, you enter the original currency for exchange (for example, rubles or hryvnia), and in the other – the desired cryptocurrency (for example, Bitcoins) and its amount. The system calculates and shows the amount you need to pay for the exchange. If you are satisfied with the offer, click “Exchange” and withdraw money from your card, e-wallet or bank account. There is another option that indicates the amount you are willing to spend on a transaction (for example, 10,000 hryvnias), and the system will calculate how much bitcoins or other available cryptocurrency you can purchase.

Method 4. Buy through the mobile application

This is Ideal option for the most lazy. You install a special application on your smartphone, launch it, enter the necessary amount for the purchase and pay for it via Internet banking. After confirming the operation, the crypto money goes straight to your mobile wallet. By installing the application, you automatically get such a wallet, but some services allow you to display currency on your main crypto wallet.

Method 5. Buy from other people

You need to register on one of the exchanges to use this method that operate according to the “man-person” scheme. This is something like Avito or OLX, but only for bitcoins. Some users place ads for the sale of cryptocurrencies, while others buy it from them.

When you register on the site, you automatically receive a free wallet, to which the acquired currency will flow (later you will still withdraw funds to your main crypto-purse). Enter what you are looking for (for example, 10 bitcoins) in the search box, and view current offers.

If you like the offer, you send a transaction request to the seller. In response, he sends you his payment details and, after payment, transfers the agreed amount of bitcoins to your wallet.

The most popular exchange of this kind is the Swedish platform LocalBitcoins, founded in 2012. It is designed primarily for European users, but you can also find a lot of offers for Ukraine, Russia, Belarus on the site. Pay attention to the region of service and available payment methods (via bank transfer, Webmoney, cash, etc.).

Method 6. Buy for cash

You will need the usual iBox payment terminal in Ukraine. Find the “Electronic Money” section, select the service, log in to the system (to do this, enter your mobile number) and deposit money into your virtual account (it will be tied to the phone number). After payment you will receive a check with a code that will need to be entered on the provider’s website You can exchange money from your virtual account for bitcoins on the same site. However, you still have to get a traditional crypto wallet – only you can transfer the acquired currency to it.

Bitcoin rooms, special terminals designed for the purchase of cryptocurrency for cash, offer more opportunities. You can buy not only bitcoins, but also lightcoins, ethereum and zetkash. The widespread installation of bitcoins is a common practice for Europe, but it is very difficult to find them in the post-Soviet space. For example, there are only 2 such terminals in Russia and in Kazakhstan has only one in general.

As you can see, there are a few working ways to buy cryptocurrency, but none of them are ideal and universally suitable for all. Everywhere there are drawbacks and pitfalls.

If you are just starting to get acquainted with the cryptocurrency market, try to get your hands on trading operations on exchangers and exchanges first (in the mode of the best choice offered). Learn more about services for buying currency from other users. When you succeed in getting a good understanding of this area with all its nuances, you can try to play with orders on the stock exchanges – compare prices, look for the best offers and make deals.