How and where to buy Bitcoin is one of the most common questions beginners ask. There is more than one answer to this question, and in this article I would like to introduce them to you. It is nothing complicated. We will not get into any technical computer details, so you have nothing to worry about. Anyone can manage it!
1. Exchange offices
The most popular way to buy Bitcoin is certainly through online exchange offices. It is a simple and very fast process. You connect your credit or debit card, send money from it to the exchange office, it converts the money into Bitcoin or other cryptocurrencies of your choice, and sends it to your wallet.
You pay an absolute minimum of fees and for beginners this is definitely the easiest solution. At the same time, you do not give the exchange office any personal details apart from your name and your card details. This gives you a fairly high level of anonymity.
Examples: Coinbase, Simplecoin
2. Cryptocurrency exchanges
This method is used mainly by regular users of online currencies. People who go on to trade these currencies and swap them for others often buy here. An exchange offers the most trading pairs (ways to swap different cryptocurrencies for each other. For example: BTC/ETH, BTC/USDT and so on).
One of the big advantages is again very fast dealing with low fees, and unlike exchange offices, it offers to hold your cryptocurrencies in its own wallet. You will have access to them at any time and will be able to carry out any trades with them, but you do not need your own wallet for these special coins.
To open an account on an exchange, you will have to verify yourself with a bank statement and an ID card. This means you lose your anonymity towards the exchange, not towards the whole world of cryptocurrencies. Even so, I would call this a minor downside.
Example: Binance, FTX
3. Bitcoin ATMs
So called “BTC machines” are another option for buying your Bitcoin. The biggest plus of these machines is a cash deposit, which guarantees you a very high level of anonymity that neither an exchange nor an exchange office can offer you.
The machine guides you through the whole process itself, so you do not need to worry about getting anything wrong. Everything is very simple and you will have plenty of time for it all, since there is not such great interest in these “BTC machines”. So you should definitely not run into a queue.
The first disadvantage is more expensive exchange rates and fees. It is nothing terrible, but both options mentioned above work out cheaper.
And the second disadvantage is the availability of the machines. Most of them are found in Prague. You can check which machine is closest to you at: coinatmradar.com
4. Hand to hand
This is a simple exchange. You agree with someone that you will swap money for Bitcoin. It is a completely legal exchange, you do not need to worry about buying at all. (If you were selling and the deal was profitable for you, you should correctly tax the profit with 15% income tax. These transactions are currently untraceable, so in this case nobody will be able to prove a small evasion unless they have direct evidence.)
You need to be careful who you trade with. There are plenty of people with dishonest intentions hanging around these exchanges, looking to take your money. You should therefore approach this option with caution and choose carefully who you trade with. Ideally it should be someone you know, or you should carry out the exchange at a personal meeting.
5. Newsstands
This service is offered by the company BitStock in cooperation with GECO newsstands, which have branches across the whole country. You place your Bitcoin order online and at the newsstand you simply pay for it in cash using Bit.Plus.
Summary
The methods of buying Bitcoin listed above offer plenty of options. It is entirely up to you which route suits you best. Each one brings its own advantages and disadvantages. Be careful when buying, do not be fooled by fake links, bad exchange rates and the like. If you are sending BTC to one of your wallets, check the address thoroughly (I recommend copying it rather than retyping it, transactions are irreversible and even a small typo can come at a high price). Good luck in the world of cryptocurrencies!
