Buying your first Bitcoin can be an intimidating but highly rewarding process for new users. Therefore BeInCrypto has created a helpful step-by-step walkthrough for those looking to get their feet wet and become active members of the cryptocurrency community. This guide is definitely geared for beginners but should give you everything you need to make your first instant Bitcoin purchase with a credit card.
In this Guide:
- Choose a Cryptocurrency Exchange
- Sign Up
- Choosing What to Buy
- Verifying Your Identity
- Further Reading
Choose a Cryptocurrency Exchange
- Generally, the easiest place to get your first cryptocurrency is going to be an exchange. An exchange allows you to literally trade between different assets, in this case, currencies. There are many different cryptocurrency exchanges available, but for today’s walk-through we’re going to use XCOEX. The platform is nice and straightforward and works basically just like any exchange you may choose to sign up for.
- Know that you should always do your homework when choosing an exchange, but if you stick to trusted names with good reputations you should be fine. To get started on XCOEX, all you really have to do is go to the website and click on “Sign In” which will take you to the website’s primary interface.
- Notice on the right where you are given the option to “Log In” or “Sign Up.” You’ll want to click on “Sign Up,” which will then take you to the account creation screen.
- Enter your basic info and set a strong password, then click “create account.” At this point, we should note that US customers will have to use a different exchange, but the steps outlined here will be very similar to what you encounter at Coinbase, Bittrex or other US exchanges.
Choosing What to Buy
- Now that you’re logged in, you’ll want to go to the main section under “Buy Crypto With USD.” Here you can choose between Bitcoin, Bitcoin Cash, Ethereum, XRP and Litecoin.
- For our demonstration, we will choose Bitcoin and use the $100 “Buy Now” button. See that below you can enter a custom amount for your purchase, but you will need to purchase a minimum of $100.
- Other exchanges will have different limits, but a minimum purchase amount is not uncommon when buying with a credit card.
- Next, you should be taken to the order confirmation screen. Just make sure the amount that it says matches what you want to be buying, and then hit confirm.
- Following this, you will come to the payment screen. This step will be pretty much familiar to anyone who has ever purchased anything with a card online. Simply fill out all of your information, and click on deposit. At this stage, you are able to set the payment amount in Euros, if so desired.
Verifying Your Identity
- Before confirming your purchase, you will need to provide some basic “Know Your Customer” (KYC) information, such as an ID. This is because you currently have a Level 1 account. If you click on your profile and choose the “Limits” button, you will see a screen that displays the 3 levels of membership, what is permitted on each and how to apply for them. Level 1 allows for basic cryptocurrency deposits, but level 2 is required for fiat purchases.
In order to finish your transaction, simply provide what is asked and you should be verified in no time, and your first Bitcoin will be deposited into your wallet. You can see your wallet balances on the right-hand side of the main interface.
- At this point, you are free to use your Bitcoin as you please! You can exchange it for one of the other supported cryptocurrencies at any time, you can send it to another account or wallet, or you can just keep it in your XCOEX wallet.
- It is very important to secure your account using two-factor authentication (2FA) if you plan to actually store your cryptocurrency there. Some exchanges will make you do this as part of the signup process, but if not, it is critical that you activate it as soon as possible.
How 2FA works is that it requires a form of confirmation from your personal mobile device, meaning an attempted hacker couldn’t access your account without both your password and your cellphone. There are two options to choose from. SMS means that you’ll receive a code via text every time you log in that will need to be entered to gain access. While this is better than nothing, it can be susceptible to SIM swapping techniques that allow for the attacker to basically steal your cellphone account without touching your phone, hence making you vulnerable.
The other and preferred option will be Google Authenticator.
simply download the app to your phone and sync it with your account. The app updates a code every 30 seconds that is cryptographically linked to your account, so it will be unique every time you log in.
- What’s better is that even if a hacker did hijack your account, their device still wouldn’t be synced to the correct code, meaning they would be out of luck unless they had physical access to your phone.
Congratulations! You just bought your first Bitcoin! However, this is just the beginning. Depending on what interests you about cryptocurrency, there are many avenues for more education. If you want to explore trading, there are many, many more options out there for buying and selling digital assets. Perhaps you want to help develop, well there’s no shortage of information or projects out there to jump in on. On the other hand, if you just want to be part of the conversation, there’s plenty of people talking about Bitcoin on social media. Whatever you do, welcome to the wild and exciting world of cryptocurrency!