Coming soon to the USA! While our services may not be available yet, sign up now to stay in the loop as we bring our innovative crypto solutions to America.

How to Buy Crypto: A Beginner’s Guide

Here is a guide to show you just how easy it is to buy cryptocurrency using CoinJar.
how to buy crypto Westpac how to spend crypto, buy bitcoin, fca approved exchanges

How to buy crypto: So, you’ve decided to dive face-first into the exciting world of cryptocurrencies! Go you! Whether you’re looking to invest, trade, or simply explore this digital frontier, understanding how to buy crypto is essential.

In this guide, we’ll walk you through the process step by step, ensuring you’re well-equipped to embark on your crypto journey.

Choose a reliable cryptocurrency exchange

The first step in buying crypto is selecting a trustworthy exchange or trading platform. Here are some key factors to consider:

Company authenticity and platform security

Research the exchange’s reputation, security protocols, and history of handling user funds. CoinJar has great reviews from independent platforms like Trustpilot.

Ease of Use

Opt for an exchange with a user-friendly interface that suits your level of experience.

Fees and Charges

Compare fees, spreads, and any hidden costs associated with transactions. CoinJar fees are some of the most competitive around.

Customer Support

Look for exchanges that offer responsive customer service. CoinJar's customer support has an excellent reputation.

Number of Supported Coins

Consider the variety of cryptocurrencies available on the platform. CoinJar offers a seamless experience for buying, selling, and storing crypto. And it has over 50 cryptocurrencies to choose from.

Create an account and verify your identity

Once you’ve chosen an exchange, sign up for an account. You’ll need to provide personal information and undergo a verification process. This typically involves verifying your identity and linking your bank account.

Fund your account

To buy crypto, you’ll need to deposit funds into your exchange account. You can use various payment methods.

Bank transfer

Transfer fiat currency (such as US dollars) from your bank account to the exchange.

Debit or credit card

Some exchanges allow direct purchases using cards. CoinJar has an Instant Buy facility where you can purchase crypto instantly with a card. There are also other methods available on CoinJar so choose the method that suits you best.

Purchase with crypto

Once you buy some crypto, you can then buy other cryptocurrencies using the original crypto you bought with everyday money.

Choose a cryptocurrency

Now comes the exciting part: Choosing which cryptocurrency to buy. Consider factors like your investment goals, risk tolerance, and market research.

Popular options include Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP).

Execute your purchase

Once you’ve selected a coin, place your order. You can choose between market orders (executed at the current market price) or limit orders (set a specific price at which you want to buy).

how to buy cryptocurrency

Secure your investment

After purchasing crypto, you can keep it on the exchange. Or you can transfer it to an external digital wallet. If you keep it on the exchange, it makes the crypto readily accessible if you want to exchange it for other crypto or sell it.

But, if the crypto exchange goes bankrupt (like FTX) or if the exchange gets hacked, your crypto could be at risk. CoinJar is one of the longest-running platforms in the world, and it has had no crazy dramas like FTX.

If you buy crypto on the CoinJar app, then the crypto you purchase will simply go into your wallet on the app, you don't need to set a separate wallet up. You don't have to do anything, it will just appear when you press "accounts". In this way it is a great app for beginners. It's not complicated at all.

After you build some confidence, you can create an external online wallet independent of CoinJar (hot wallet), or download your crypto to a cold wallet / hardware wallet (which means it's not connected to the internet so the risk of hacking is very low).

You can read up on wallets here.

As a newbie on CoinJar, you don't have to know about wallets yet, all you need to know is that your crypto can be kept on the CoinJar app.

Conclusion: How to buy crypto

Buying crypto doesn’t have to be daunting. With the right knowledge and a reliable exchange like CoinJar, you’re well on your way to becoming a crypto enthusiast.

how to buy crypto

Frequently asked Questions

What are crypto exchanges?

Crypto exchanges are online platforms where you can buy, sell, and trade various cryptocurrencies. They facilitate transactions between buyers and sellers, providing liquidity to the crypto market.

How do I trade crypto?

To trade crypto, follow these steps:

Choose a reliable exchange.

Create an account and verify your identity.

Deposit funds.

Select a cryptocurrency.

Execute your trade by placing a buy or sell order.

How can I buy cryptocurrency?

Buying cryptocurrency involves:

Selecting an exchange.

Creating an account.

Depositing funds.

Choosing a coin to purchase.

Where can I buy Bitcoin?

You can buy Bitcoin on most major exchanges, including CoinJar. Follow the steps mentioned earlier to get started.

What is the minimum amount of cryptocurrency I can buy?

The minimum amount varies by exchange. On CoinJar you only need $20 to start buying.

How do I sell cryptocurrency?

To sell crypto:

Log in to your exchange account.

Choose the coin you want to sell.

Place a sell order at the desired price.

Which cryptocurrency should I purchase?

Consider your investment goals, risk tolerance, and market research. Popular options include Bitcoin, Ethereum, and Ripple.

What factors affect the amount of cryptocurrency I can buy?

Several factors influence the amount:

Budget: The more funds you have, the more crypto you can purchase.

Coin Price: If a coin’s price is high, you’ll get fewer units for the same amount.

Exchange Fees: Consider transaction fees when calculating your purchase.

What is crypto trading?

Crypto trading is the buying and selling of cryptocurrencies through an exchange or trading platform. Similar to traditional stock trading, crypto traders aim to profit from price fluctuations in the market by buying low and selling high.

Trading typically involves using technical analysis tools and market research to identify potential opportunities and make informed decisions.

What are altcoins, and how do they differ from Bitcoin?

Altcoins (alternative coins) refer to all cryptocurrencies other than Bitcoin. They vary in technology, use cases, and features.

While Bitcoin is the pioneer and primarily a store of value, altcoins serve diverse purposes (e.g., Ethereum for smart contracts, Ripple for cross-border payments).

What security measures matter?

Check if the exchange uses secure cold wallets, has a responsive support team, and follows best practices.

Is crypto investing risky?

Crypto investing can be volatile. Be aware of price fluctuations and invest only what you can afford to lose.

App storeApp store

Your information is handled in accordance with CoinJar’s Privacy Policy.

Copyright © 2023 CoinJar, Inc. All rights reserved. The products and features displayed on this website are representative of our Australian and UK services and certain features may not be offered to customers residing in the United States, depending on applicable state and federal regulations.

Google Pay is a trademark of Google LLC. Apple Pay and Apple Watch are trademarks of Apple Inc.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

CoinJar logo
CoinJarGet the app.