This page assumes you have already gone through the articles regarding how to use bitcoin, and how to be safe.
Nowadays, deciding how to buy bitcoin is completely up to you and what you are comfortable with.
Whenever you “buy bitcoin” you are actually exchanging your fiat cash (ex. US Dollars, Euros) for it’s current equivalent amount of bitcoin.
You do not need money in a bank account to do this, but it makes it easier if you do.
Credit cards are a rare and dangerous way to buy bitcoin. Most companies will not offer such services, and some of the few that do, don’t for long due to regulation and charge-backs.
Currently, you can buy and sell bitcoin using one of these 3 methods:
- Bank Transfers with online reputable companies
- Bitcoin ATMs in your local area
- Finding and using cash with someone in your local area
There is one exception to the above services, a site out there that will sell you bitcoin using paypal. VirWox.com. Below, I will go through each type of way to buy bitcoin.
VirWox – use paypal, expensive but fast
The home page for VirWox is as seen below.
When you first sign up, you have to start small (at level 0), and build up your account’s authorization levels. There is a limit per 24 hours, and a limit per 30 days on top of that. The exact break down is as seen below.
|Limits in EUR||Level 0||Level 1||Level 2||Level 3||Level 4|
|immediately||after 10 days||after 60 days||after 90 days||on request|
|per 24 hours||80||120||200||300||1,000|
|per 30 days||240||600||2,000||3,000||10,000|
You can deposit money, USD, into your VirWox account. Once you have money in your account, you will want to exchange it first for a videogame currency is called SLL (Second Life Lindens). You then use the SLL to purchase Bitcoin. You can then withdraw the bitcoin to whatever wallet you wish.
There are no limits on selling in VirWox.
Coinbase – use your bank, with some specific VISA cards, cheap-er but slow
Coinbase is a powerhouse of bitcoin exchanges. It takes 5 business days, but will work with your bank account and you can rest assured that they are not going to scam you. You can increase your purchasing limits by authenticating your identity using various methods available within your account page.
You need to sign up to create and account, and you will need to then authenticate your account by supplying a copy of your ID and utility bill in order to verify your identity.
Once you do that you can connect your bank account and schedule your purchase. If you have a VISA credit card, you could try and connect it as well for faster purchases (within 24 hours).
You can also at that time deposit bitcoin sell it, and have the cash deposited directly to your bank account.
LocalBitcoins.com – price varies, timeliness varies, you must research the people you trade with
LocalBitcoins is where you can contact local folks in your area who are willing to trade bitcoin for other forms of money, including cash.
You can also find people online who are comfortable using alternative payment methods such as money orders, and cash deposits at specific banks.
You must create an account, and use the tabs along the top of the website to buy or sell bitcoin.
Bitcoin ATMs – price varies, identity intrusion varies, safe and fast
The best website currently to use to find unbiased and collected bitcoin ATM information is: CoinATMRadar.com
You will need to find the machine and see what it requires for buying and selling.
Each machine is typically produced by one company, and managed by another company. This is something to keep in mind if you ever find yourself needing to call support regarding your business at the machines