Cryptocurrency exchange

However, I recommend moving it into a buy bitcoin in the uk more secure hardware wallet. In a nutshell, the easiest way to buy Bitcoin in the UK is to buy it online from a crypto exchange like eToro, Best Wallet, or Coinbase. Exchanges make it easy to invest in Bitcoin directly from your smartphone, tablet, or computer.

Deposit GBP into your newly created account

So, publicly, no one can see your personal transactions, however the exchange will know. The safest wallet to get is a hardware wallet, which is a real device that you need to use to make transactions. It’s perfectly safe to buy bitcoin if you use any of our recommended bitcoin exchanges. We don’t suggest using one you haven’t been recommended – not all exchanges are safe. Bitcoin stays online and processes transactions thanks to a large network of miners. A miner is someone who uses a computer, specifically for the Bitcoin network, and their computer simply connects to the internet and processes transactions.

Hardware

• EToro is a social trading platform that allows users to buy Bitcoin and other cryptocurrencies while also enabling them to follow and copy the trades of successful investors.
• Trading in Forex/ CFDs and Other Derivatives is highly speculative andcarries a high level of risk.
• Luno claims that the majority of customer Bitcoin funds are kept in what we call “deep freeze” storage.
• For example, Tom Lee at research firm Fundstrat has said that Bitcoin could potentially hit $250,000 in 2025.
• Deposits can be made quickly via bank transfer, SEPA, NETELLER, and more.
• This method is considered a form of cold storage because it is not connected to the internet.

However, this new launch means that everyone can invest in cryptocurrency with IG. One note though, as IG is regulated by the FCA, when you open a new cryptocurrency account, (as I did when testing it), you’ll have to wait 24 hours before being able to buy your first Bitcoin. In terms of fees, eToro charges 1% for buying and selling crypto. So if you were to buy $1,000 worth of Bitcoin, the fee would be $10.

Buying bitcoin through an investment fund

However, investment funds can get round this by tracking the price of bitcoin instead – although there’s not many out there. If you just want bitcoin, it’s often better to buy it yourself, as it should work out cheaper and you have control over your own assets. Bear in mind, with your own bitcoin wallet, you’ll be responsible for the security of it. You will be given a private key, instead of a username and password, and this is the only way to recover your wallet if you need to.

• It’s all simple to do, the hardest bit is picking the crypto exchange (but that’s easy too).
• With the help of top-rated crypto tax software like CoinTracking and Accointing, you can effortlessly manage your crypto transactions.
• Other examples of alternative assets include investing in real estate, farmland, gold, silver and other commodities, to name a few.
• The first known bitcoin commercial transaction occurred when a Florida software engineer traded two Papa John’s pizzas (worth about $41 at the time) for 10,000 bitcoins on May 22, 2010.

It’s worth pointing out that in the past, it has been possible to buy Bitcoin in the UK through PayPal. Keep in mind too though that the cryptocurrency scammers make clone websites of real brokerages to scam you. When using CFDs or placing spread bets, it is possible to lose more than your initial stake. Don’t risk more money than you can afford to lose when you take a position. Placing stop loss orders, which automatically close down your position when Bitcoin hits a particular value, are an essential way to limit the risk that you face.

Can you buy Bitcoin with a credit card?

Bitcoin is a natural asset for investors and traders due to its history of rapid gains and fluctuations in value. The cryptocurrency exchange gained the licence through buying a Cypriot investment firm which had recently received the licence from the Cyprus Securities and Exchange Commission (CySEC). A more beginner-focused broker in the UK that offers access to Bitcoin is eToro. It’s a popular trading and investment company that currently has over 35 million registered users worldwide (you can find our full review of eToro here). Interactive Brokers (U.K.) Limited is registered with the Financial Conduct Authority as a crypto assets firm under the relevant regulations. However, it’s important to note that cryptocurrencies are unregulated in the UK, and are therefore not covered by the Financial Services Compensation Scheme (FSCS).

Coinbase also offers a mobile app, enabling traders to conveniently manage their Bitcoin investments on the go. Traders can feel confident in using Coinbase due to its commitment to security. The platform has implemented robust security measures to safeguard users’ funds and personal information. Coinbase utilises industry-standard practices such as two-factor authentication (2FA) and cold storage of digital assets to minimise the risk of hacking and unauthorised access. This focus on security has contributed to Coinbase’s track record of successfully protecting user assets.

Best Platforms to Buy Bitcoin in the UK

Bank account transfers usually incur lower fees than credit cards. So, try to avoid buying crypto and Bitcoin with your credit card if possible. Most Bitcoin exchanges are required by law for you to prove your identity (to ensure your pay your taxes and don’t launder money!).

Start buying Bitcoin with eToro now

Moreover, Binance boasts its own native cryptocurrency, Binance Coin (BNB), which users can utilize for transaction fee discounts and participation in token sales. When buying Bitcoin in the UK, several key factors should guide your decision. Security is essential, so choose platforms with robust features like Two-Factor Authentication (2FA), Cold Storage, and insurance coverage for your funds. Fees can vary, so look for transparent structures, factoring in trading, deposit, and withdrawal fees, along with any hidden charges. Payment methods, such as bank transfers, credit/debit cards, or e-wallets, influence both cost and convenience, so ensure the platform supports your preferred option.

The marketplace is developing quickly with new players set to enter the scene. This should lead to lower and more competitive fees for UK citizens. While there are many advantages to Bitcoin it must also be noted that its price can be very volatile.

You’re not stressing about whether now is the right time to buy Bitcoin or if you should wait for a better price. I’ve put together a guide to the best sites to purchase Bitcoin in the UK. We may receive compensation from our partners for placement of their products or services, which helps to maintain our site. We may also receive compensation if you click on certain links posted on our site. While compensation arrangements may affect the order, position or placement of product information, it doesn’t influence our assessment of those products.