eToro
By eToro
1071 views

Want to buy Bitcoin with credit card? Here’s what you need to know

Bitcoin is everywhere. In recent years, it went from being an esoteric, mysterious digital currency to the hottest financial instrument on the market. Today, people all over the world are asking “where can I buy Bitcoin?” as this cryptocurrency took center stage in mainstream media and the Bitcoin price skyrocketed. If you are interested in buying Bitcoins, there are a few ways to do so.

Before jumping in, it is important to explain (in short) what Bitcoin is. Launched in 2009, Bitcoin is a decentralized, blockchain-based cryptocurrency. This means that, unlike mainstream currencies, there’s no central regulatory authority, such as a central bank, regulating its price. While initially it was created to be a payment method with lower transaction costs and faster processing times, the BTC token has developed to be a financial instrument, appealing to many traders and investors around the world.

2017 proved to be an exceptionally impressive year for the cryptocurrency. Starting the year at a price of just under $1,000, BTC prices rose meteorically over the year, breaking record after record and reaching $12,000 in December, essentially multiplying by 12 over 12 months.

How to buy Bitcoin

There are quite a few ways to acquire, buy, trade and invest in Bitcoin. Some require sophisticated technical skills, while others are quite simple. Here are the main ways to get BTC:

  1. Bitcoin Mining: The Bitcoin blockchain network consists of numerous computers which process each transaction. Since every transaction is based on solving complex mathematical problems, they require significant computing power. Miners are people who allocate their computing power to process these transactions, while earning a small commission. In today’s world, professional miners use powerful computers that are dedicated solely for that purpose. Therefore, mining is less relevant for those who lack the resources to buy or build a dedicated computer.
  2. Bitcoin exchange: There are dozens of different cryptocurrency exchanges around the world, which enable their clients to buy Bitcoin using other currencies, such as USD, or with other cryptocurrencies. While this is a pretty straightforward way to buy Bitcoin with a credit card or PayPal, exchanges require their clients to undergo rigorous verification processes and often have limitations such as a daily withdrawal limit.
  3. Investing in Bitcoin on eToro: Since Bitcoin has established itself as a viable investment option, it was only natural that it was made available for trading and investing on the eToro social trading platform. eToro clients can buy and sell BTC, enjoying advantages that aren’t available on some exchanges, such as immediate execution of market orders. In addition, using eToro doesn’t require using a digital wallet.

Highly volatile investment product. Your capital is at risk.

On eToro, users can buy Bitcoin with a credit card or PayPal, with no added commissions. Clients can also deposit funds using other methods, such as wire transfer. Compared to other forms of buying Bitcoin, eToro offers a relatively easy Bitcoin purchasing experience.

Conclusion: Buying Bitcoin will get easier over time

As the popularity of the cryptocurrency market grows, there will be more and more ways to buy Bitcoin. Today, it is already possible to buy Bitcoin with a credit card instantly on platforms such as eToro. Moreover, mainstream financial firms, such as futures exchanges, are gradually entering the cryptocurrency space, adding investment products such as Bitcoin futures to their offerings.

All in all, Bitcoin is now more accessible than it ever was. Its constant growth in value and increasingly dominant role in the global financial discourse could push the demand for it even further, potentially making buying, investing and trading BTC as common as any other currency – or perhaps even more widespread.

Cryptocurrencies can fluctuate widely in prices and are therefore not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. Past performance is not an indication of future results. Your capital is at risk.

1071 views