Where can you buy Bitcoin?
You’ve made the decision. Getting started with Bitcoin. You have done research and now understand the differences between Bitcoin and other cryptocurrencies. “But now?”, you ask yourself? Where can I buy Bitcoin safely? and how do I do this?
You buy a car from a dealer or garage. A bicycle at a bicycle shop. And how do you buy Bitcoin? You do this with a broker or an exchange. “A what?”, you might think. Correct. We will give you an answer to that. Directly compare providers on price and reliability or read on for our manual.
Tips before you buy Bitcoin
Always start with a predetermined plan. Include the following in your plan:
What is the purpose of your purchase?
Do you want to buy Bitcoin as a longer-term investment? Or do you want to make a profit in the short term? It could also be that you are just curious about the technology behind Bitcoin. You can read that here.
How much money do you want to invest?
Always set a limit for yourself and remember the golden rule: never invest more than you can lose.
Which party do you want to buy from?
It is important that you pay attention to things such as: the transaction costs, the speed with which you receive your Bitcoins, the presence of customer support and the reputation of the platform. We have listed the best crypto brokers for you. The best crypto exchanges can be found here.
How will you store your Bitcoins?
There are different ways to store your purchased Bitcoins. Here we explain how this keeps your Bitcoins safe.
What are your expectations?
It is always good to realize that past performance is no guarantee of future performance. This also applies to the price development of Bitcoin and other cryptocurrencies. Although Bitcoin is easily the best performing financial asset of the 21st century, this market always has winners and losers.
When is the right time to buy Bitcoin?
Naturally, you prefer to make an investment at the right time. However, this depends on the goal you have in mind and what you believe in. This way you can buy Bitcoin from an investment perspective, where you plan to hold your Bitcoins for a long time. In this case, the entry point is less relevant. History shows us that Bitcoin can be extremely volatile, but has been very profitable over the longer term.
You can also buy Bitcoin with the aim of making a profit in the short term. In this case, you would do well to choose your entry point carefully. This is best done based on price charts and trading volume developments. We will tell you more about that here.
Where can you buy Bitcoin?
You can buy crypto in different ways and from numerous online platforms. These platforms can be roughly divided into brokers and exchanges. Bitvavo is currently the most popular party to buy and trade crypto.
What is a crypto broker?
The easiest way to explain a broker is to use an example. A broker can best be explained on the basis of an exchange office. A currency exchange office helps you exchange your euros for dollars. This means you don’t have to look for someone who offers dollars. This makes it easy to exchange currencies. A broker does this too. Think of brokers as the exchange house for cryptocurrencies.
Do you want to buy bitcoin? Then you can easily exchange your euros for Bitcoin via a broker. And if you want to sell Bitcoins? Then a broker can help you get your euros back. The broker determines the exchange rate. After exchanging, the value in euros is neatly transferred to your bank account.
If you simply want to buy your first Bitcoin, a broker is very suitable. You create an account via a clear platform and choose how you want to pay. Just like in an online shop. The different payment options sometimes result in large price differences. If you buy Bitcoin with a credit card, you often pay a percentage of the total transaction. But if you buy Bitcoin with iDEAL, you usually pay a fixed fee for your transaction.
How can I buy Bitcoin through a broker?
Buying through a broker makes it easy to get started with Bitcoin. There are many brokers in the world. Unfortunately, not all of them have an equally good reputation. It is therefore important that you compare brokers with each other. This way you can be sure that you are not paying too much for your Bitcoins and that a broker has a reliable reputation.
Difference between a crypto broker and an exchange
Buying Bitcoin through a broker means that the broker determines the price. That price includes a fee for the broker. That is a small percentage (0.5 – 2%) of what you buy or sell.
At an exchange you determine the price you want to pay or ask for Bitcoins. You also pay a fee to the exchange, but because you trade yourself this fee is lower. Where and how you buy Bitcoin therefore determines the price you pay. Just like the type of platform you use.
Buying Bitcoins is easier through a broker. You will be taken care of with your purchase of Bitcoin and your purchase will be handled by the broker. You buy your Bitcoin with iDEAL and the broker takes care of the rest.
With an exchange you do this yourself. An exchange offers more options. It is also possible to trade in crypto at an exchange. Furthermore, the big advantage of an exchange is that the fee is generally lower than with a broker.
Ultimately, you decide how you buy Bitcoin. Do you want to make a one-time investment and not have to worry about it again? Then choose a broker. Do you plan to trade Bitcoin and other crypto on a regular basis? Then we advise you to opt for an exchange. Once you are ready to buy Bitcoin, you can compare Bitcoin providers in our comparator.
How do I buy Bitcoin at Bitvavo?
Bitvavo is currently the largest crypto exchange in the Netherlands. At Bitvavo you can easily buy Bitcoin via iDEAL, SEPA, Giropay or Bancontact. Buying Bitcoin via iDEAL is by far the easiest way. There are also no additional costs involved. See the example below of buying Bitcoin at Bitvavo via iDEAL.
Also check out our Bitvavo review.
How do I buy Bitcoin at Binance?
Binance is one of the largest crypto exchanges in existence. Buying Bitcoin at Binance is easy via credit cart or bank transfer. Until recently it was also possible to easily buy Bitcoin via iDEAL, but that is temporarily not possible due to legal restrictions. Below is an example of a bank transfer
Also check out our Binance review.
What does it cost to buy Bitcoin?
The cost of buying Bitcoin depends on two things. On the one hand, the current price of a Bitcoin. And on the other hand, the transaction costs that you pay. The price of a Bitcoin can be seen in the current Bitcoin price.
The transaction costs of buying Bitcoin differ per provider. That is why it is wise to compare different Bitcoin providers.