Buying digital currencies like Bitcoin, Dogecoin, and Cardano is now a simple and burden-free process.
All you need to do is open an account with a trusted cryptocurrency broker that offers low fees – make a deposit, and decide how many tokens you wish to buy.
In this beginner’s guide, we explain how to buy cryptocurrency in great detail – covering the step-by-step investment process alongside an overview of the best exchanges to consider.
How to Buy Cryptocurrency – Quick Guide
Step 1: Open an eToro account
eToro is the best place to buy cryptocurrency in terms of fees, SEC regulation, and low minimums. Open a free account on eToro.com to get the process started.
Step 2: Deposit Funds
When you deposit USD at eToro – no fees apply using debit/credit cards, e-wallets, or bank transfers. The minimum deposit is just $10.
Step 3: Search for Cryptocurrency
eToro supports 70+ cryptocurrency assets. You can use the search bar at the top of the page to find the cryptocurrency you want to buy.
Step 4: Buy Cryptocurrency
Finally – in the ‘Amount’ box, you need to specify the size of your cryptocurrency investment, before clicking on ‘Open Trade’.
Where to Buy Cryptocurrency
It goes without saying that in order to buy cryptocurrency online, you need to have an account with a broker or exchange.
When deciding where to buy cryptocurrency – your chosen platform should offer low fees, your preferred payment method, small account minimums, and of course – a strong regulatory framework. So, whether you’re looking to buy the Graph, XRP, or Ethereum, you’ll need to choose an exchange or broker that matches your trading needs and financial goals.
Below, we review a selection of top-rated platforms that allow you to buy cryptocurrency safely and cost-effectively.
1. eToro – Overall Best Platform to Buy Cryptocurrency in 2022
You won’t find a better online broker or top-rated investing app to buy cryptocurrency than eToro – which offers a safe, low-cost, and budget-friendly way to invest. First, this innovative social trading platform is regulated by several tier-one licensing bodies – which include the SEC in addition to the FCA, ASIC, and CySEC. Moreover, eToro is a member of FINRA.
You only need to deposit $10 to open an account at this broker – which is ideal for those wishing to invest small amounts of money. Similarly, the minimum cryptocurrency purchase permitted at eToro is also $10. Supported cryptocurrencies are plentiful at eToro, with more than 70+ digital assets available to buy. Therefore you can buy
Dogecoin on eToro as well as other popular altcoins with low fees.
This covers large-cap tokens as well as several DeFi coins. For instance, you could buy Solana or you could buy Axie Infinity with a tight transaction fee of just 1% on eToro.
2. Coinbase – Good Place to Buy Cryptocurrency for Beginners
Launched in 2012, Coinbase is a large cryptocurrency exchange and broker based in the US. With millions of customers using Coinbase to buy and sell cryptocurrency – the platform is often the preferred provider for beginners. This is because Coinbase is simple to use and it supports small investments.
On the other hand, Coinbase is expensive – especially when it comes to debit/credit card payments. That is, by using your Visa or MasterCard to buy cryptocurrency instantly,
Coinbase will charge you almost 4%. Standard commissions at this platform are also pricey at 1.49% per slide.
On the flip side, you can deposit US dollars via ACH without paying any fees. Moreover, Coinbase offers a relatively broad selection of cryptocurrencies to choose from – you can diversify well here. We also like that Coinbase is regulated – and that it keeps 98% of client digital funds in cold storage.
3. Binance – Popular Place to Buy Bitcoin for Asset Diversity
Binance is larger than Coinbase – with a global user base of over 100 million clients. The platform is also the biggest in terms of daily trading volume. As such, Binance is popular with those seeking high levels of liquidity and a wide selection of digital currency markets.
If you’re based in the US, you will have access to a dedicated US version of Binance. This gives you access to over 50+ currencies – all of which you can buy with a debit/credit card. Much like Coinbase, the fees here are expensive – with Binance charging 4.5% to use Visa or MasterCard, in addition to a buy commission of 0.5%. This means you could buy Polkadot with a small commission of 0.5%.
4. Webull – Buy Cryptocurrency From Just $1
Webull is one of the most popular brokerage sites in the US, with the platform offering thousands of stocks, ETFs, and even options. However, Webull is also known for offering low-cost cryptocurrency services. In fact, you can buy cryptocurrency here at a minimum of just $1 – which is ideal for casual traders.
When it comes to fees, Webull does not charge any commissions when you buy or sell cryptocurrency. You do, however, need to be aware that cryptocurrency spreads here start from 1%. You can trade a variety of digital currencies here – including but not limited to Bitcoin, Chainlink, Uniswap, Zcash, Bitcoin Cash,
Litecoin , Ethereum, and more.
Benefits of Buying Cryptocurrency
The most important thing to consider when learning how to buy cryptocurrency is whether or not this volatile and speculative asset class is right for your financial goals.
If you’re still undecided, below we discuss some of the main benefits of buying cryptocurrency in 2022.
Monumental Price Increases
Before we give some examples of just how successful some
cryptocurrencies have been since they were launched – it is important to note that not all digital assets have performed well. On the contrary, many tokens have seen huge losses in terms of their token value.
Nevertheless, it goes without saying that the overwhelming majority of people will look to buy cryptocurrency because of the huge returns that have been generated in recent years.
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