Where And How To Buy A Cryptocurrency

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How To Buy A Cryptocurrency
Photo by Alesia Kozik

Did you know that investing in cryptocurrencies can be very profitable? Although the buying process is simple, it is not always easy to find reliable information on the Internet.

So, in his article, I’ll show you how to buy a cryptocurrency from a secure platform and guide you through the steps to follow in order to invest with peace of mind.

A few points about cryptocurrency

  • Even if some cryptos are better known than others, we think in particular of Bitcoin, Ethereum, or even Dogecoin, you should know that there are currently more than 15,000 active cryptos!
  • Beyond the anonymous and secure transactions they allow, some cryptocurrencies can have a completely different use. To name a few, Ethereum offers many other features and services.
  • According to Statista, approximately 221 million people worldwide invested in cryptocurrency as of June 2021. If you thought you were late to buy cryptocurrency, it’s totally the opposite.

Related: Build your own computer


Best sites to buy cryptocurrency

Platform Purchase costs Advantage #1 Visit Site
Capital.com 0% Low transaction fees www.capital.com
Crypto.com 0,40% Wide choice of features www.crypto.com
eToro 0,75% Ideal for beginners www.etoro.com
Binance 1,8% Educational content www.binance.com/fr
Libertex 0,9% Spreads relativement bas www.libertex.com/fr

 

Capital.com

In our opinion, Capital.com is one of the trading platforms to consider if you want to buy cryptocurrencies. Specialized in stocks and CFDs, the broker allows you to buy cryptos in CFDs. Thus, CFDs are products whose main advantage is the leverage effect, thus ensuring a good return on your investments.

Of course, it’s not without risk, but since Capital.com has a good reputation in the field, whether in terms of risk management or security, you can go there with your eyes closed.

Moreover, as the interface is quite intuitive and its use is rather simple, it is relatively accessible to all trader profiles, from beginners to the most experienced.

  • The platform supports over 400 cryptocurrencies including Ethereum and over 3,000 financial assets.
  • Ultra competitive spreads and no additional costs.
  • Capital.com offers a wide selection of tools suitable for both beginners and more experienced traders.

Good to know: the minimum deposit required is $25. It is currently one of the lowest rates on the market and is accessible to everyone.

Advantages

  • Intuitive platform suitable for all trader profiles
  • 0 additional costs and 0 hidden costs
  • Ultra-competitive spreads
  • More than 3,000 financial assets

Disadvantages

  • Fairly high overnight fees

 

How to Buy Cryptocurrency on Capital.com – Guide

If you don’t know where to buy cryptocurrency, we recommend Capital.com. Here are the steps to follow to buy cryptos on this platform:

  1. First, create an account by going to www.capital.com.
  2. Once the account is created, you can validate your registration and submit your verification documents.
  3. Make the first deposit of a minimum amount of $25, choose the amount and the method of payment then validate the operation.
  4. All you have to do is choose the cryptocurrency in which you want to invest.
  5. Then click on “Buy” to confirm the transaction.

 

Crypto.com

Crypto.com is definitely one of the reference platforms when it comes to cryptocurrencies. It offers an extensive ecosystem with features and tools as diverse as they are varied, which is perfect to start with.

The platform has a catalog comprising more than 250 different assets, from the most popular to the least known, including Bitcoin, Litecoin, and Ethereum. The list is updated regularly with the addition of new coins and tokens.

Crypto.com also has several services and trading tools allowing you to diversify your investments, but above all, to reduce the risks and exchange your crypto-assets in the best conditions:

  • Crypto.com Exchange notably allows you to trade cryptocurrencies and large liquidities at relatively low fees.
  • Access to the Defi, allows you to manage your wallet and control your accounts in a secure way.
  • 5 different Visa cards allowing you to buy goods and services, but also gift cards from certain brands.
  • A staking service with 14.5% interest, which remains advantageous compared to competitive offers.
  • An NFT marketplace where you can buy virtual works of art with your own cryptocurrencies.

As for fees, they are limited to 0.40%. Holding Crypto.com’s native token, CRO provides even more benefits. In short, this platform deserves its place in the ranking of the best platforms to buy cryptocurrency.

Good to know: The Crypto.com mobile app is a must-have for anyone who wants to trade or make withdrawals online anytime. As it offers access to all of the site’s functionalities and offers fluid and intuitive navigation, it is suitable for all trader profiles.

Advantages

  • 30-day free offer for new subscribers
  • 14.5% interest rate for staking
  • Mobile application allowing you to manage your accounts at any time
  • Possibility to access the Defi

Disadvantages

  • Few risk management tools
  • Average customer service

 

eToro

The eToro trading platform is certainly one of the best known in the industry. Indeed, eToro is especially appreciated for the fact that it does not charge commissions on transactions. This allows you to buy and sell your cryptocurrencies without worrying about high fees.

eToro also allows you to buy cryptocurrencies in CFDs giving you the opportunity to benefit from a good leverage effect. By investing in this way, the trader ensures easy earnings and an ultra-secure portfolio of assets.

  • Large catalog of cryptocurrencies.
  • Spreads and spawning are accessible on CFDs compared to competitors on the web.
  • The ergonomic platform is fully adapted for beginners.
  • Various tools, including copy-trading for more experienced traders.

Good to know: eToro offers educational resources, which are perfect for beginners. This will allow them to acquire the right basics before embarking on cryptocurrency trading.

Advantages

  • Completely free crypto trading
  • Ability to follow strategies and advice from other traders
  • Low minimum deposit
  • Secure and well-structured platform

Disadvantages

  • Quite limited choice of cryptocurrencies
  • Slow withdrawal process

 

Binance

Among the essentials, there is also Binance. With an offer of cryptocurrencies as diverse as it is varied and fairly low fees, the online platform quickly won over users. On the services side, Binance offers several tools and different wallets, which gives you the choice for your transactions.

Finally, in terms of fees, you have to reckon with a percentage of 1.5% on deposits via a bank card, but this is completely free for deposits in cryptocurrencies.

Points to remember include:

  • Over 150 cryptocurrencies and 400 asset pairs to trade.
  • Relatively low transaction fees for Maker and Taker orders.
  • Leverage of x 125 for futures.
  • Spreads between 0.25 and 7.95%.

Good to know: the fees charged by Binance are paid into the SAFU (Secure Asset Fund for Users), a compensation system in the event of losses.

Advantages

  • Wallet integrated into the platform
  • Available in both web and mobile version
  • Low trading fees
  • Good choice of cryptocurrencies

Disadvantages

  • Platform not regulated
  • High fees for payments via bank cards

 

Libertex

Finally, Libertex for its part is a trading platform at first glance. However, unlike stockbrokers, it does not offer securities accounts, but online CFD accounts.

Its main advantage is that it offers a wide variety of cryptocurrencies with fairly easy use and tools accessible to all trader levels. Libertex has naturally imposed itself in the landscape as a reference. As for fees, spreads are at 0.3200% and overnight fees at 0.1200%.

What to remember from Libertex:

  • More than 50 cryptocurrencies in its online catalog.
  • Ability to trade cryptocurrencies with a multiplier effect
  • Transparency on transaction costs, but also on commissions and spreads, which is very appreciable.
  • Ability to modulate the leverage effect, which is an advantage over its competitors.

Good to know: Libertex has an application compatible with smartphones running iOS and Android. It was also voted the best trading application by Fx Report and EUROPEAN CEO in 2020.

Advantages

  • Very competitive spreads
  • Several trading tools are available
  • Ultra-convenient mobile app
  • Reliable and easy to use platform

Disadvantages

  • The conversion fee of 0.006%
  • $10 inactivity fee

 

In which cryptocurrencies to invest?

Now that you know where and how to buy cryptocurrencies using the best cryptocurrency sites and platforms, let’s see which digital currencies you could consider buying to invest in the stock market.

Bitcoin – Most Popular Cryptocurrency

Launched in 2009, Bitcoin is the mother of all cryptocurrencies and today it is the largest cryptocurrency by market capitalization.

Bitcoin also introduced the technology underlying many cryptocurrencies: the blockchain.

Beginners who want to buy cryptocurrency often decide to buy Bitcoins. However, it is important to follow the course and evolution of cryptocurrencies.

For more information you can read our guide: Buy Bitcoin

💡 Why buy Bitcoin?

  • The first cryptocurrency to be launched
  • Many BTC-based investment products are available
  • It is the only cryptocurrency that is accepted everywhere digital currencies can be used as a means of payment.

67% of retail investor accounts lose money when trading CFDs with this provider. You should ask yourself if you can afford to take the high risk of losing your money.

 

Ethereum

In 2015, Ethereum took the use of the blockchain even further by proposing to use it to set up smart contracts and decentralized applications (dApps). It is now the second most important cryptocurrency.

Ether is often seen as a cryptocurrency investment add-on for investors who want to buy multiple cryptocurrencies.

You will discover all the details on this page: Buy Ethereum

💡 Why Buy Ethereum?

  • Blockchain is favored in the rise of popular decentralized finance (DeFi)
  • Network supported by many major international institutions
  • Value proposition with the possibility of implementing smart contracts

 

Tezos – Serious Ethereum Competitor

Tezos holds the record for the largest cryptocurrency fundraising (ICO) ever until 2017 ($232 million). This smart contract network uses an on-chain governance process to be the first self-scaling blockchain.

💡 Why buy Tezos?

  • Promising French project that offers a stronger and more secure platform than Ethereum
  • Self-regulated governance that allows you to take advantage of a self-evolving blockchain and better decentralization
  • Many staking options offered to get passive income

 

Dash – Digital Cash par excellence

In 2014, Dash was launched to become the equivalent of cash. Thus, the blockchain is ideal for everyday payments because it offers ultra-fast transactions.

It is also possible to protect the information of its transactions by doing them anonymously.

Dash is therefore an investment alternative or a diversification option with the purchase of various cryptocurrencies.

To understand how to do it, do not hesitate to consult our guide: Buy Dash

💡 Why buy Dash?

  • Dash would be 3,600 times faster than the Bitcoin network and 12 times faster than PayPal
  • InstantSend functionality allows transactions to be sent instantly
  • The privateSend option allows transactions to be sent privately which competes with other privacy-focused cryptocurrencies like Monero or ZCash

 

Stellar – Financial network for everyone

Similar to the Ripple network, Stellar focuses more on developing an open global financial network for everyone since its launch in 2014. The main purpose of this platform is to facilitate instant international transfers.

Stellar can be a good choice to buy cryptocurrency linked to financial networks globally.

The complete guide can be found on this page: Buy Stellar

💡 Why buy Stellar?

  • A project led by a Ripple alum who has experience running crypto projects
  • Blockchain is ideal for cheap and near-instantaneous micro-payments
  • Important partnership with some big companies like IBM

 

How to buy cryptocurrency with PayPal, credit card, and Dollars?

Buying cryptocurrencies in Dollars via credit card or PayPal is the best-known process for bailing out your crypto wallet.

The use of the bank card is strongly recommended insofar as the delivery of cryptos is done instantly. You will therefore benefit from using the bank card on the following crypto platforms eToro, Binance, Coinhouse, and Coinbase…

 

How to choose the platform and where to buy cryptocurrency?

Attention should therefore be paid to the following points:

✓ Fees for buying cryptocurrencies

The calculation of the costs of buying cryptocurrencies is based on the volume of transactions.  In reality, these commissions are between 0.01 and 0.5%. As an illustration, charges $5 on all withdrawals while Coinbase does not charge them. In addition, the costs relating to the purchase of cryptocurrencies by bank card are very high (sometimes 10%).

✓ Crypto platform security and regulation

In order to thwart the financing of illegal activities, each cryptocurrency platform requires its customer to enter their personal data to make purchases. In other words, verifying your identity is a parameter that should not be overlooked. Verification times vary from platform to platform. If they are short for Coinbase, these delays last longer at Kraken.

✓ Cryptocurrencies available for purchase

The choice of a cryptocurrency platform also depends on the number of assets traded. The Binance platform stands out from the others by the long list of cryptocurrencies available on its site. However, other cryptocurrency sites have a few top-listed assets.

✓ Liquidity and trading volume

The higher the trading volume, the more liquidity there is on a cryptocurrency platform. Either way, trading speed will prevent price volatility.

 

Other Ways to Buy Cryptocurrencies

Individual to Individual Exchange

The trusted third party does not exist in cryptocurrency exchanges unless it is a peer-to-peer exchange.

This is why two individuals can agree to buy cryptocurrencies. This operation is similar to a product exchange on an online store.

In the past, peer-to-peer exchange on platforms like LocalBitcoins made the heyday of the cryptocurrency market and more specifically Bitcoin.

Currently, the method is at half-mast in developed countries. This is clearly justified by the fact that we do not know who we trust. In other words, the security seems to be questionable in such an exchange so we don’t recommend it.


Is it possible to buy cryptos anonymously?

If there is one question that plagues investors, it is whether one can buy cryptocurrency without verification or anonymously.

However, acquiring digital currencies on a regulated site should be a rule of thumb. However, anonymous transactions are possible on sites approved by financial organizations.

Indeed, there are crypto-asset trading platforms that accept the opening of an account without any verification. So you can mention any name you like. However, it is not conceivable to invest in cybercurrencies with fiat currency on these sites.

By what alchemy can one invest in cryptographic currency without verification? You have several options to achieve this goal:

  • Transfer cryptos purchased by a loved one to your wallet.
  • recover digital assets from people met on the web through peer-to-peer exchange platforms.
  • Use sites that accept anonymous payment methods like prepaid cards.

Such a practice to obtain crypto-assets is discouraged. Because it can open the door to scams.


Where and How to Buy Cryptocurrency?  Beginner Guide

The latest news to consider before buying cryptocurrencies

Last Updated: 08/05/2022 – Cryptocurrencies are a relatively new asset class. They have attracted the interest of investors around the world.

Both ordinary people and professional investors are integrating cryptocurrencies into their portfolios with increasing frequency. But beware: these intangible assets are volatile, and unpredictable and the sector is not regulated.

However, this technology is about to revolutionize the world of finance. The potential is enormous for potential investors. The press massively affects the cryptocurrency markets. Let’s take a look at some recent headlines and the impact they may have:

  • Crypto stocks underperform cryptocurrencies: If you are an investor in cryptocurrencies or stocks of crypto companies, this is important information to know. The Wall Street Journal reports that crypto stocks are currently underperforming real cryptocurrencies. If you’ve invested disproportionately in crypto stocks, it might be time to adjust your portfolio.
  • Leaked ‘Influencer Price List’ Reveals the Scary World of Marketing in the Cryptosphere: An independent crypto researcher uncovering crypto hacks and scams recently released a list of influencers and their prices for the promotion of crypto projects. Although not specific to crypto, this information shows that some projects put forward by influencers ultimately have no value…
  • Bitcoin ‘tribalism’ is holding back the cryptocurrency industry: Ripple’s CEO suggests that ‘BTC tribalism’ – which is a description of how some investors favor BTC over other coins, despite the quality of the projects – holds back the industry. If you share this sentiment, you might consider supporting other projects.
  • SEC is under fire as it tries to redefine the term “exchange”: If the SEC succeeds in this move to legally redefine the word “exchange”, it could be bad news for the crypto industry. This would require companies to register with the foreign exchange commission and could hamper progress with a heavy administrative burden.
  • Indian minister wants global crypto rules to curb money laundering: As many global government figures seek to impose tougher crypto rules, investors are feeling uncertain. Some fear that regulatory stability will turn into regulatory control. Stay tuned for developments in this news.

Conclusion: how to buy cryptocurrency in 2022?

While there are plenty of ways to buy crypto these days, by far the easiest and fastest is through an online broker. As you will have understood, it is essential to use a reliable and secure. As such, we recommend Capital.com for the purchase of CFDs and Crypto.com for the direct purchase of cryptos.

In addition, you should also do your own research in order to invest your money. We would like to remind you that crypto-assets are volatile and by investing your money, you take the risk of losing it.