How to Buy Bitcoin Cash: The Beginner’s Step by Step Guide

Date:

June 12, 2018

How to buy Bitcoin cash

Bitcoin Cash (BCH or BCC) reached its top price in November 2017 when it hit the new best price of $2,000. Keep in mind that the new version of the most popular coin is not yet widespread which means that not all platforms offer it for sale for fiat money. In this guide, you will find several proven ways to get Bitcoin Cash. You will be surprised that this is a very straightforward process that takes only a few minutes.

So you want to participate in trading or investing since mining isn’t for you? There are several options.

The first way is to buy Bitcoin Cash directly using your bank account. The second way is to acquire Ethereum tokens (Ether) and convert these for an equivalent amount of Bitcoin Cash.

There are several options to buy Bitcoin Cash online securely. Make sure to read reviews about any exchange thoroughly as many fake exchanges are only trying to steal valuable financial information from you.

Before you go to the exchange of your choice make sure you have BCH digital wallet ready.

EASY: BITCOIN WEBSITE

The most obvious way is to start at the original coin’s website and in just a few clicks you can become a happy owner of brand-new digital cash. Here are step-by-step instructions:

  1. Choose Buy Bitcoin link at the top right corner of the screen.
  2. At the next screen, you can choose the type of currency Bitcoin Cash.
  3. Go ahead and click on Buy page link where you can choose from two options:
    • Indicate how much BCH you want to buy.
    • Enter the amount of fiat currency, and the calculator will show how much BCH you are going to receive.
  4. After choosing the method of purchase, you enter the address of your Bitcoin Cash wallet where you want your coins to arrive.

If you don’t yet have opened a wallet for this new currency, you can easily do this before entering into a transaction.

When you open a BCH wallet, make sure to opt-in for the automatic backup. This is the most efficient way to control your crypto coins if you cannot if your device gets stolen or not working.

Store the passphrase from the wallet on paper which you should lock up in a secure space. This string of numbers and letters is similar to a master key. Do not save the passphrase as a note in your computer, as malicious bots can be built into seemingly non-harmful applications that scour devices for passphrases. Even websites can contain malicious codes that can steal your passwords. A more sophisticated alternative is a hardware wallet than plugs via USB. You can try one made by Trezor or Ledger.

After you complete these steps you will be forwarded to the checkout page where you enter your payment details. Normally all payments are verified in less than one hour, but in some cases, the transaction approval can take up to a business day. The company will confirm this by email. Make sure to check your spam folder if the transaction is delayed because verification emails often land there.

On some occasions, the transaction is delayed because verification checks are taking longer than usual. Cryptocurrency regulation is becoming more stringent, and many trading platforms introduce additional checks of customers’ ID and their residence status. For example, this service is not available for US residents as well as residents of several other jurisdictions.

A BIT LONGER: COINBASE

One of the most reliable trading platforms now helps you buy Bitcoin Cash and pay in fiat currencies. Soon after the coin has been introduced the world’s largest exchange started offering the opportunity to buy BCC for dollars and euros. Residents in the United States, Canada, European Union, the UK and Australia now have access to this option.

The flat 3.99% fee charged by Coinbase is reasonably low. No matter if you use credit or debit card the fee you pay for the purchase is the same, regardless of the amount of cryptocurrency purchased. Once you have set up your account, you get access to instant purchases of coins using your card. But if you opt for wire transfer as a method of payment, the entire purchasing process can take up to five or more days.

To make your purchase on Coinbase follow these steps:

  1. Create your trading account
  2. Verify your credit card information to activate the account.
  3. Add information about your residence and ID when prompted.
  4. When the system sends you an email that they could successfully verify your data, you can proceed to buy the crypto coins.

As you can see, this is the most straightforward option buy BCC even for the least tech-savvy newcomer to cryptocurrencies.

This method of going to exchange and buying Bitcoin Cash works with the most significant exchanges such as CEO.IX and Kraken which accept both deposits and withdrawals of BCH. This is a good sign since the acceptance of the new coin is growing, so the demand is growing, too.

COMPLICATED: BUYING ETHEREUM AND TRADING FOR BITCOIN CASH

Another option, although a bit more intricate, is to buy a certain amount of the Ethereum and then to trade it for BCH. This way you can also ensure better rate for this new coin. This method works with other exchanges, such as Bittrex, where you can only get BCH in exchange for other cryptocurrencies.

To trade successfully you must examine trading pairs, for example, ETH/BCH or any other that are supported by the platform.

Make sure to have your government-issued ID ready because all crypto exchanges require to confirm your identity, and some are even tracking where you are going to spend digital coins that you purchase with them. The end of anonymity principle is near?

So if you plan to trade another cryptocurrency for BCH on a trading platform be prepared for a delay anywhere from 1 day to a week so that the company can perform all the necessary checks opt your ID and your bank account. After everything has been completed, you are ready to start buying your Bitcoin Cash.

The choice of payment options is limited. While on most occasions the trading platform would allow a variety of deposit methods only if you are buying Bitcoin but for other crypto coins users have to settle with a wire transfer. But to make it up for the limitation, the speed of transactions involving BCH is almost instant.

Other good options include services like Changelly to quickly conduct trades between cryptocurrencies. These services allow buying their listed cryptocurrencies with US dollars using Visa or MasterCard.

RISKY: USING A BROKER

On this broker monitoring website, you can access the list of approved cryptocurrency exchangers sorted by their rate of converting USD funds on Visa or MasterCard to Bitcoin Cash. Depending on the exchange rate you can decide on the broker from the top (best rate) to bottom (worst rate). Then you can navigate to their website and complete the trade. Sometimes the rate offered by the monitoring website is better than that on the exchanger’s regular website. As always, it’s important to conduct due diligence and check the broker to make sure that it is not a scammer. Lists of fraudster brokers can be easily found online.

Bitcoin Cash is still on its way to win the popularity among the cryptocurrency users and supporters. Compared to its “parent” Bitcoin BCH still has a long way to go in terms of acceptance and stability, or it follows the destiny of Bitcoin Gold which hasn’t reached the full potential after its launch in 2017. As BCH is not implementing SegWit, it would be interesting to watch whether this coin has an even better potential than the original.

So after you have secured your amount of Bitcoin cash, you can either stash it in hopes that it grows in value even more, or you can trade just any other altcoin. Security experts explain that your BTC and BCH wallet addresses are the same. When you give another person address, for example of BCH, you automatically reveal the address of your Bitcoin wallet which is nearly always more valuable. Even by revealing your public key means that you are sacrificing a certain degree of security that is core to the entire cryptocurrency industry. Keep this in mind before you begin to use Bitcoin Cash wallet. A viable solution to deal with this problem is to move Bitcoin to a completely new wallet so that your more expensive coin stays intact.