5 Tips to Buying Bitcoin in Canada
With over a million dollars’ worth of volume bought and sold every day, Bitcoin remains one of the hottest digital assets traded by millions of speculators from all over the world. Backed by the power of blockchain technology, cryptocurrencies are considered by many people as the future of finances. But even with its popularity and great potential, buying and selling Bitcoin can still be tricky for those who are just starting to learn about cryptocurrencies.
Canada is regarded as one of the most progressive and open countries when it comes to regulating cryptocurrencies and supporting innovations for blockchain systems. With this favorable acceptance towards these digital assets, Canada has the potential to become the next global hub for cryptocurrencies and blockchain technology. If you are planning to get into cryptocurrencies today, make sure to take note of these important tips when you buy Bitcoin in Canada.
Find the best local exchange that will suit your needs.
There are currently two local cryptocurrency exchanges based in Canada. QuadrigaCX is the biggest and the oldest exchange which has been in operation since 2013. It has one of the best security features, a user-friendly interface, and very reasonable buying and selling fees. There is also Coinsquare, a cryptocurrency exchange which features different cryptocurrencies and lower trading fees compared to QuadrigaCX. Learn more about these two exchanges and know which one matches your needs.
You can also use foreign exchanges in Canada too.
There are also many different foreign exchanges that accept Canadian dollar for Bitcoin and other cryptocurrencies of your choice. Some of these include Coinbase, CEX.io, Coinmama, and Kraken. The main advantage of using these exchanges over local ones is the higher daily volume which you can capitalize on if you are planning to trade.
There are different ways to fund your account.
There are many ways in which you can deposit Canadian dollars and other top global currencies if you are planning to buy Bitcoin in Canada. One of the fastest and easiest ways is using a bank transfer. You may also consider buying Bitcoin with a credit card, debit card, or through wire transfer.
You may also try Bitcoin ATMs and online marketplaces.
Visiting online cryptocurrency marketplaces is also a great option. Depending on the seller, Bitcoin transfers are usually made instantly once your payment has been received. There are minimal to no fees when you choose this method. You may also transact with people from other countries without having to reveal your identity unlike in registered exchanges. There are also more than 300 Bitcoin ATMs in Canada in which you can buy and sell Bitcoin directly.
Identity verification is a security standard in Canada.
As part of the Canadian government’s efforts to minimize the risk of fraud and money laundering in the country, verifying your identity is a standard procedure among Bitcoin exchanges in the country. If it is your first time to buy Bitcoin through exchanges, make sure that you have the required documents ready. Depending on the exchange, higher buying and selling limits are usually offered to those who have successfully completed the verification process.