If you are new to bitcoin and wish to buy more, you might wonder whether you can buy them with credit or debit cards or not? The good news is you can use both your cards to but bitcoin; however, the procedure is not so simple as just providing all your card information on the site. You need to rely on an exchange where your money will be exchanged for the number of bitcoin that you want.
Can you buy bitcoin with a credit card, and how should you do it correctly?
When it comes to the question as can you buy bitcoin with a credit card and how can you do it correctly, note you need to choose the right exchange to conduct the transaction effectively. This exchange is the platform where your currency will be exchanged for the number of bitcoin that you want. However, when you are choosing the exchange, make sure that it is a genuine one as there are many exchanges out there that are nothing but scams. You should ensure that you research the exchange you use first and check its credentials before you use it.
What are the steps involved?
When you are using the above exchanges for buying bitcoin with your credit card, you first need to make a virtual wallet and get a bitcoin address.
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The procedure is very much the same as acquiring a PayPal account. The bitcoin will be sent to your wallet after the transaction with your credit card is completed. The following are the simple steps that you should follow when you are buying bitcoin with your credit card-
- Visit the exchange that you have chosen for the transaction
- Select the amount you wish to spend or the number of bitcoin that you wish to buy
- Submit your ID for your verification
- Create a virtual wallet
- Wait for a few moments for the bitcoin to be transferred to your wallet.
What are the advantages of buying bitcoin with your credit card?
The following are some of the key advantages of buying bitcoin with your credit card-
- The procedure is simple and very straightforward
- You can buy bitcoin when you do not have cash
- You do not need to go through sites owned by third-parties
- You enjoy the benefits and rewards that accompany credit card transactions. The credit card companies often have a reward scheme that gives a series of benefits to customers when they use their credit cards.
Are there any disadvantages of buying bitcoin with credit cards?
The following are some of the disadvantages that you can get when you buy bitcoin with credit cards-
- There are huge risks of you overspending
- There are threats of your information getting stolen if you bank on an unreliable exchange for the transaction
- You might go into debt for the purchase of bitcoin that have random fluctuating values
- You need to pay high transaction fees for the procedure
Therefore, when it comes to the question- can you buy bitcoin with a credit card, keep the above factors in mind.
Research on the exchange well and ensure that you never overspend in such a way to incur debts and other monetary issues.