Even 10 years after its creation, the majority of people in the world still have no idea how to buy Bitcoin. For that matter, most people have yet to even ask the question: “What is Bitcoin and how does it work?”.
In fact, the first thing you should do before you buy Bitcoin is to understand what it is. In 2017, when the BTC price skyrocketed to US $20k, many people figured out how to purchase Bitcoin because they had FOMO (fear of missing out) — not because they actually understand Bitcoin’s value proposition. As a result, those same investors were the first to panic and sell for losses when the market crashed.
Successful Bitcoin investing is built on knowledge and understanding. So if you’re asking “how can I buy Bitcoin?” but you can’t give a good reason for why you want to, then we suggest you spend some more time learning about cryptocurrency with us.
For those of you who have done your research, the next step is finding an exchange where you can make the purchase. How easy it is to buy Bitcoin varies from one country to another.
A step-by-step guide
However, the basic steps that you’ll take are the same no matter where you’re located.
#1: Search for a cryptocurrency exchange that operates in your country and accepts purchases with fiat. Just google: “fiat-cryptocurrency exchange in [country]” or “buy and sell Bitcoin in [country]” and you should get some good results.
#2: Before setting up an account, you should check that the exchange(s) you found have a good reputation. For example, you can start by researching the exchange on forums like Reddit or BitcoinTalk. A few bad reviews are nothing to worry about, but major security problems in the past and/or a majority of bad reviews are cause for concern.
#3: Choose the best exchange you’ve found through research and create an account.
#4: Verify your identity if necessary (i.e. if the exchange you’re using follows Know Your Customer (KYC) or Anti-Money Laundering (AML) regulations).
#5: Once your account is verified, go to the market and buy Bitcoin.
The most popular cryptocurrency exchanges by region
In North America and Europe, leading crypto exchanges like Coinbase and Binance enable you to buy Bitcoin and other cryptocurrencies by connecting a bank account or even paying with a credit card. Another easy way to do it is with the Cash App, which has built a solid reputation in the past few years.
Asia also has a vibrant crypto exchange scene, with a few of the top fiat-crypto exchanges being Bithumb (Korean), bitFlyer (Japanese), and Coincheck (Japanese) — but there are plenty of other choices out there like Coinone (Indonesia).
As for Australia, CoinSpot is one of the few trustworthy crypto exchanges that accept Australian Dollars for Bitcoin.
Africa is the most difficult place to buy Bitcoin of any continent, although it’s more complicated in some regions than others. For our African Coins2Learners, we recommend you take a look at bitcoinafrica.io’s article on how to purchase Bitcoin in Africa.
Last but not least, you can always head over to Buy Bitcoin Worldwide and search your country there to find some more options.
Anyone can buy Bitcoin
And just in case you’re worried about not being able to afford to purchase Bitcoin, let’s dispel that common myth. A single Bitcoin is actually divisible into 100 million sub-units, which means that you can get as little as 0.00000001 Bitcoin at a time. These fractions of a bitcoin are called satoshis, named after Bitcoin’s pseudonymous founder, Satoshi Nakamoto.
Of course, once you have some Bitcoin it’s only the beginning. Whether you want to be long-term bitcoin investor (aka HODLer) or you have aspirations of day trading cryptocurrency, the safest and most fun place to start is our free Bitcoin trading game. If you are not confident enough to buy Bitcoin yet, you can use our Copy My Mentor feature to replicate the trading signals of a successful BTC trader in a real exchange.