Nowadays, more and more people want to get their hands on Bitcoin. But with all the options out there, it’s essential to know how to buy it safely. That’s why lots of folks are turning to cash instead of using their credit or debit cards.
In this article, CoinMinutes will provide detailed guidance on buying Bitcoin with cash easily and securely.
Quick Steps to Buy Bitcoins with Cash
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How to Buy Bitcoins with Cash?
Step 1: Choose a Method to Buy Bitcoin with Cash
There are three primary ways for you to purchase Bitcoin with cash:
Using Bitcoin ATM to Buy Bitcoin with Cash
Most Bitcoin ATMs allow users to purchase Bitcoin by inserting cash. Users link their cryptocurrency wallet, pick the desired amount to transfer, and receive a printed receipt or digital transaction confirmation.
Buy Bitcoins from P2P Platforms
Peer-to-peer (P2P) trading is the direct buying and selling of cryptocurrency between users without an intermediary. P2P exchanges connect buyers and sellers, providing an added layer of security through escrow services to ensure safe transactions.
Buying in Person
Another way to buy Bitcoin with cash is by purchasing it directly from a seller. This can happen through online platforms or face-to-face meetings. In this method, you hand over cash to the seller in exchange for the agreed-upon amount of Bitcoin.
Step 2: Find the Bitcoin ATMs or Services
After you’ve figured out how you want to buy Bitcoin, it’s time to find the nearest Bitcoin ATM or service.
Here are some easiest ways to find Bitcoin ATMs near you:
- Use a Bitcoin ATM map: Websites like CoinATMRadar.com or CoinFlip.tech offers user-friendly maps allowing you to search Bitcoin ATM locations based on your area.
- Use a Bitcoin ATM locator app: Apps such as CoinATMRadar and Bitcoin ATM Map supply real-time information on Bitcoin ATM places and features.
- Check Bitcoin ATM operator websites: Some Bitcoin ATM operators have websites where you can search for nearby machines.
If you opt for purchasing Bitcoin through P2P exchanges, we suggest considering the top three platforms: LocalCoinSwap, Paxful, and Bisq.
LocalCoinSwap
- Transaction Fees: 1% for seller
Paxful
- Transaction Fees: The buyer fee is none
Bisq
- Transaction Fees: 0.075% to 1.15%
Step 3: Prepare a Bitcoin Wallet
A Bitcoin wallet is an application or device used to store and manage Bitcoin. It allows users to control and conduct transactions related to Bitcoin.
In the cryptocurrency market, various types of wallets enable users to store and manage Bitcoin differently, such as hot wallets, cold wallets, and non-custodial wallets. Each type has its advantages and disadvantages depending on the user’s purpose and demands.
Creating a Bitcoin wallet is also quite simple. Below is how to create a wallet on a mobile phone (Mobile App):
- Step 1: Download and install a Bitcoin storage wallet on your phone.
- Step 2: Register an account by entering the user’s email or phone number.
- Step 3: Initialize the account with information such as password, display name, etc.
- Step 4: After successful registration, select “Add Wallet” and choose the “Bitcoin” icon to create a Bitcoin wallet. Alternatively, users can choose to create a “Multi-chain” wallet to own multiple wallets.
- Step 5: Enter the wallet name, then backup the wallet address, private key, and passphrase.
- Step 6: Copy and paste the private key into the “Confirm” field.
Step 4: Verify Your Identity (If Required)
Most Bitcoin ATMs and P2P trading platforms require customers to comply with Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations about the transfer of money. These regulations require the collection and storage of customer information, including identity documents and sometimes proof of address that remain valid for at least one month beyond the current date.
The primary aim of KYC is to authenticate user identities and bolster security measures, safeguarding account integrity and mitigating potential losses from hacker breaches.
Step 5: Purchase Bitcoin
Once your KYC profile is approved, you can proceed to buy Bitcoin either through a Bitcoin ATM or P2P Platforms. Upon completing the transaction, the purchased Bitcoin will be transferred to your wallet.
Safety Tips to Buy Bitcoin with Cash
Avoid Storing Bitcoin on P2P platforms
Storing Bitcoin on exchanges might seem convenient, but it comes with significant risks. It puts the owner’s assets at risk and vulnerable to external threats. Because P2P platforms can be hacked, seized, or for any reason, lose all the Bitcoin you hold.
Securing Your Account with 2FA
Securing your account with 2FA is crucial for keeping your assets and personal data safe from cyber threats.
Utilize apps like Authy or Google Authentication to add an extra layer of security. These authentication codes change every 30 seconds, making it tough for hackers to do anything even if they steal your password. Combined with SMS authentication, hackers are practically left empty-handed.
Never Reveal Private Key, Seed Phrase, or Password
Keeping your private key, seed phrase, and password confidential is essential for safeguarding your Bitcoin holdings. Protect your assets by keeping this information secure and private.
Choose a Reputable Bitcoin ATM/ P2P Platform
To protect your privacy when buying Bitcoin with cash, it is advised to use secure and reputable Bitcoin ATMs or P2P platforms and avoid sharing personal information or conducting transactions in private settings.
The Bottom Line
To sum up, CoinMinutes has shown you detailed guidance on how to buy Bitcoin with cash easily and securely. Through this article, we hope that you choose the way to buy bitcoins with cash that suits your needs
