7 Most Popular Ways to Buy Bitcoin in 2024
News Publisher Oct 24, 2024 15:20
Explore and find the best approach to buy Bitcoin in 2024: from crypto debit cards to peer-to-peer platforms.
The crypto market has gone a long way since its early days, and it was never easier to trade on it. If it’s your first time acquiring it, you can buy Bitcoin with a debit card in a few clicks. And that’s not the only method since there are many other ways of getting BTC.
Our experts have selected the seven main ways of acquiring BTC and reviewed them below. Check out the methods and pick your favorite to add assets to your crypto wallet today.
- Debit and Credit Cards
The easiest and most popular way of purchasing Bitcoin in 2024 is to use credit or debit cards. Depending on your location, the supported issuers might include Visa, MasterCard, American Express, and others.
Centralized exchanges and specialized platforms that offer to buy crypto are the best places to buy Bitcoin with credit or debit cards. These platforms act as an intermediary and charge their services.
The process is simple and begins by visiting the chosen website. If it’s necessary, you register an account, which takes only a minute and is usually free. Typically, you also have to go through the verification process as part of the Know Your Customer (KYC) procedure.
You then pick the option to buy Bitcoin and the desired fiat currency. If you are okay with the rate offered, initiate the purchase process and enter your card and crypto wallet details. Once the platform confirms the transaction, you will have BTC assets in your portfolio.
- Peer-to-Peer (P2P) Platforms
A peer-to-peer trading platform is a method that supports direct trades between two parties. The process begins by visiting a specialized crypto P2P trading platform. Those who sell crypto will create listings, while potential purchasers browse them.
Once you find a suitable offer to acquire BTC, you act on it. The trade process begins, and you follow the instructions to complete it. The advantage of P2P platforms is that they are quite safe since both parties agree on specific terms. On the other hand, it can take a while until you find a suitable offer.
- Decentralized Exchanges (DEXs)
Decentralized exchanges act in a non-custodial manner. That means the platform never gets ahold of your funds. Instead, it only acts as an intermediary providing the service. Some examples of DEX platforms include Godex, Uniswap, and Pancakeswap.
The main advantage of decentralized exchanges is increased anonymity and privacy. Most of them won’t require registration or any personal details from their visitors. Apart from purchasing Bitcoin and other crypto, you can also trade hundreds of digital currencies.
Decentralized exchanges usually don’t impose limits on single trades or the number of transfers per day, which makes them attractive for both casual and advanced investors.
- Bitcoin ATMs
In today’s digital times, most people have used their ATMs with fiat cards at least once. Considering that these machines have become popular, it’s natural that market demand for specialized crypto ATMs has appeared.
The first crypto automated teller machine was launched in Canada in 2013. It didn’t take long for large companies to place a network of ATMs across the United States and other countries. At one point, the USA had over 28,000 locations. Some of them closed, but there’s no worry about the future trajectories of Bitcoin ATMs. The crypto industry bounced back, and that’s what will happen with these machines, too.
Not all BTC ATMs support purchasing cryptocurrency. It’s important to pick a location with this option. After coming to the machine, follow the instructions on the screen to buy assets with a debit or credit card and add them to your crypto wallet.
- Brokerage Accounts
As the crypto market expanded, it was expected that they would also attract traditional investors and investment platforms. Brokerage companies offering trading accounts started offering BTC and other trading opportunities. However, due to regulations, these rarely offer direct investment into Bitcoin. Instead, their investment range is limited to Bitcoin futures.
BTC futures are contracts where two parties agree to exchange the asset itself or its value equivalent in fiat currencies on a future date. With traditional investors, you usually settle in USD. For BTC’s value reference, the contract usually specifies at what point during the day the worth will be considered. For example, the reference could be the value at the moment when the stock exchanges closed the previous day or when they opened on that date.
- Exchange Traded Funds (ETFs)
Exchange-traded funds are another way to gain investment exposure to BTC without entering the crypto market. If you choose spot Bitcoin ETFs, it uses BTC as the underlying asset. That means the share value traded on the stock exchange looks to mimic the coin’s worth in the crypto industry.
Spot ETF managers do this by acquiring actual BTC coins, which is the main difference compared to futures ETFs. Investors should pay brokerage and management charges according to the rules of the fund. Bitcoin spot ETFs are a relatively new market addition. The Securities and Exchange Commission only approved them in the US in January 2024.
- Over-the-Counter (OTC) Trading
Over-the-counter trading primarily serves to trade large sums between the two parties. The method is direct, so there’s no intermediary. The trade occurs between the two parties, which can be individuals who own a large crypto amount, businesses, or institutional investors.
The hardest part of the trade is to find an interested party. Specialized OTC platforms help with this. Many major exchanges like Binance have a separate OTC service to contact if you’d like to acquire significant BTC sums.
Key Takeaways
Bitcoin fluctuates, and its value in the past month has been between $50K and $60K. It had a successful year overall, reaching a new $73K all-time high in March 2024. Most experts agree it’s only a matter of time before BTC sets a new record value, making this an excellent moment to add the asset to your wallet.
You have multiple methods of acquiring Bitcoin, with most people using centralized exchanges and debit and credit cards. Thanks to BTC ETFs, traders can enter the crypto market without actually acquiring digital assets. With so many options, each trader can easily find the perfect way of investing in Bitcoin and pursuing potential profit.
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