It provides other services like earning crypto through educational programs; however, its fees are pretty high on average compared to other exchanges. It’s often been criticized for its poor customer service and downtime during high usage traffic.
3. Kraken is one of the prominent cryptocurrency exchanges. It offers a versatile platform for individual investors and large trading firms.
Its advanced trading system and tools, including several types of stop-losses, leverage, and margin-based trading, place Kraken among the leaders in cryptocurrency exchanges.
The US-based exchange offers relatively low BTC withdrawal fees and a wide range of educational content.
4. Bitstamp is one of the oldest cryptocurrency exchange platforms, established in 2011 in Luxembourg. It allows trading and exchange between major cryptocurrencies and fiat currencies, and it targets more experienced traders in contrast with Coinbase, which is more geared toward beginners. It offers competitive fees ranging from 0.00% to 0.40% and is especially appreciated for its dedicated in-app customer support.
5. Gemini is a web- and mobile-based cryptocurrency exchange founded in 2014 by brothers Cameron and Tyler Winklevoss. It allows its customers to buy, sell, trade, and securely store Bitcoin and other cryptocurrencies. Its native stablecoin, the Gemini dollar, is tied to the US dollar.
Gemini has an easy-to-use tiered service with different interfaces and fee structures dedicated to beginner retail investors and more experienced traders.
Brokers
Brokers are intermediaries between the crypto markets and investors and facilitate buying and selling of cryptocurrencies like Bitcoin. Many brokers specializing in traditional investments like stocks, bonds, and mutual funds now also offer cryptocurrency trading through their platforms.
These can be desktop-based, app-based, or both. They offer services like copy-trading and a wide range of derivatives like futures, options, and swaps. Investors should always consider factors like broker location, withdrawal and deposit limits, trading fees, and security before choosing a suitable service.
Some cryptocurrency exchanges act as brokers too, by offering services like derivatives and leveraged trading. Here are some of the most popular Bitcoin brokers:
1. FTX is a centralized cryptocurrency exchange (CEX) specializing in derivatives and leveraged products. It is based in the Bahamas and supports the most commonly traded cryptocurrencies. US residents have to use FTX US to buy and sell Bitcoin.
While FTX and FTX US share the same management teams, they have separate capital structures, and the US division has fewer coin and token offerings.
2. eToro offers commission-free cryptocurrency trading; however, it charges a spread markup based on the cryptocurrency being traded.
One of the most popular features offered by eToro is its social trading platform with its CopyTrader service, which allows you to copy the trades of the platform’s top traders.
eToro allows users to also trade traditional investments like stocks and ETFs making it a versatile platform.
3. TradeStation is a US stockbroker founded in 1982 that started offering cryptocurrency services in May 2019 with the launch of the TradeStation Crypto platform. It provides commission-based pricing based on the trader’s account balance and whether the order is marketable. Pricing ranges between 0.05 and 0.03 percent of the trader’s order. Traders can also buy and sell Bitcoin futures through the crypto platform.
4. Webull is a commission-free trading app that includes trading cryptocurrencies other than stocks and ETFs. It requires no deposits, but, like many other brokers, it will charge a spread markup on either side of a trade. The platform provides a great all-around option to diversify a trader’s portfolio easily.
Payment Apps
1. Robinhood is a web- and mobile-based fintech platform that offers no-fee trading.
It is another versatile company that allows users to invest in and trade stocks, ETFs, options, and American depositary receipts (ADRs) other than specific cryptocurrencies based on users’ geographic location. It is very user-friendly; however, it doesn’t allow to transfer crypto assets off the platform, which means investors don’t own their Bitcoin private keys.
2. CashApp is a peer-to-peer payment system that allows users to purchase and sell Bitcoin and stocks. Unlike Robinhood, the platform enables investors to transfer their Bitcoin to their wallet, although withdrawals are limited to $2,000 daily or $5,000 within any seven days. Cash App sets a fee depending on price volatility and market trading volume, which is disclosed at the time of purchase.
3. Paypal launched its crypto service in late 2020, offering customers the ability to buy, hold, and sell Bitcoin and other cryptocurrencies. As of July 2022, the company started allowing users to move their cryptocurrencies to other wallets, as the feature was the most demanded since they began offering crypto services. Users can buy up to $20,000 weekly but no more than $50,000 during any one-year period.
Fees include an estimated 0.5% trading fee that varies depending on market conditions and a tiered transaction fee depending on the amount of Bitcoin purchased, ranging from 0.5% for purchases below $25 and 2.3% for amounts between $25 and $100.
4. Peach is a peer-to-peer mobile app that allows customers to buy and sell Bitcoin. The service is still in beta mode, and there’s a waiting list to join it; however, it is one of the few Bitcoin p2p marketplaces on a mobile application for the European market.
5. Revolut was one of the first European fintech apps to offer cryptocurrency trading, although with a temporary license. In 2022 it won full authorization to provide its cryptocurrency services across Europe and the UK. The app is straightforward to use and supports the trading of cryptocurrencies at competitive exchange rates, having access to the largest liquidity pool in Europe. Its premium customers can also transfer their Bitcoin to their wallets.
6. Venmo is an American peer-to-peer mobile payment service owned by Paypal since 2012. The platform allowed the buying and selling of Bitcoin and other few cryptocurrencies in April 2021 and has a similar fee structure to Paypal, with an estimated 0.5% trading price and a tiered transaction fee ranging from 0.5% for purchases below $25 to 2.3% for trades between $25 and $100.
ATMs
There are currently over 39,000 Bitcoin automated teller machines (ATMs) worldwide, and their number has increased fast since 2017, when only 1,000 were recorded globally.
The largest ATM producer is San Diego (CA) based Genesis Coin, with 15,364 machines installed globally.
ATMs have become an easy, fast and efficient way of buying Bitcoin with a credit/debit card and cash. Most ATMs don’t store users’ KYC information, bank details, or private keys, making it a good choice for those who want to preserve their privacy.
Their major drawback is the high transaction fees which can be as high as 20% (or more), depending on the ATM and the type of transaction being processed. The pricey transactions are mainly due to the high cost of running and maintaining the physical machine.
Read our comprehensive guide to understand how to use a Bitcoin ATM
Source: Coinatmradar.com
Summary
With increasing popularity, Bitcoin is expected to grow its user base and technological potential in the next few years. You might want to be part of this innovative monetary system, and acquiring some of it would be the first step to encouraging and expanding its network.
The key takeaways to getting involved and having a smooth buying experience are the following:
Plan how much you want to purchase Bitcoin and how regularly you want to buy it;
Pick a service that is suitable for your geographical location, level of technological skills, transaction fees, security, and privacy;
Register and place your order with a credit/debit card or a bank transfer;
Secure your asset in a non-custodial wallet that only gives you access to the private key.
