Thinking of buying Bitcoin but not sure how to pay for it? Can you purchase Bitcoin with Prepaid Card? Or can you use a Debit Card, Credit Card or even Cash? There are actually plenty of ways to buy Bitcoin, to start your cryptocurrency journey.
How to Purchase Bitcoin with Prepaid Card
Buying Bitcoin with a Prepaid card is actually pretty easy, as just like any other card transaction you can make the purchase online via a cryptocurrency broker. Brokers use a payment platform such as Simplex to take your card details and complete the transaction. All you need is a cryptocurrency wallet which will allow you to make an online purchase via a prepaid card, debit card or credit card. Just like any other online purchase it should take just a couple of minutes.
Concerns About Security with Card Payments Online
You may have concerns about the security of online payments through trading platforms but most are very secure, and of course your credit or prepaid card provider provide you with a purchase guarantee or payment protection as well to give you peace of mind.
In terms of storing your Bitcoin you can purchase a hardware wallet such as a Trezor which offer some of the safest ways to secure your cryptocurrency. They are highly secure because the private keys stored in your wallet are immune to computer viruses, preventing you from being phished or hacked to access your cryptocurrency.
Can I Also Buy With Cash?
A further option of buying Bitcoin is to buy with cash. That might seem like it would be a very complicated process but in fact with some cryptocurrency brokers that can be very simple as they have dedicated ATMs in locations throughout the country where you can deposit large amounts of cash which is then transacted into a cryptocurrency of your choice including Bitcoin, Binance Coin, Lite Coin, Ethereum or many others.
How is My Purchase Verified?
For many purchases of Bitcoin identification is required such as a valid state ID. Purchases up to around $900 don’t requite any ID, while between $901 and $3,000 one form of ID is necessary, and between $3001 and $8000 a more in depth identification process is carried out.
What Fees to Expect When Purchasing Bitcoin?
If you are buying Bitcoin through a broker, which is the primary way to purchase cryptocurrencies, you should expect to pay a fee of between 2% and 5% to the broker. If paying with a credit or debit card through a payment processor as well you may pay a further 5% to them. Just like any investment you should expect a transaction fee of up to 10% of your investment. Some have a set fee amount which can be much better for you if you are making a larger investment because the cap will be much lower than the percentage fee structure.
So you can purchase Bitcoin in many ways, credit card, debit card, prepaid card or cash.