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Bitcoin, a crypto asset that once cost less than $1 per coin, is now worth tens of thousands of pounds. Today, to buy one Bitcoin, you must be willing to spend around $50,000. According to expert predictions, the price of one BTC will rise to nearly $100,000 by 2030.
Since Bitcoin’s price is never constant and can fluctuate wildly within a few days, you can trade this asset and earn handsomely. This activity has already made many savvy investors millionaires. You just need to buy this crypto and sell it once the price spikes to a certain level. To help you trade Bitcoin seamlessly, we’ve broken down how to buy and sell Bitcoin UK below.
In This Guide
Step 1: Choose a Crypto Exchange
To buy and sell crypto, you need marketplaces known as crypto exchanges. In a nutshell, a crypto exchange is a platform that allows individual traders and institutions to buy and sell digital assets to other parties. You can use FIAT to buy Bitcoin or swap other cryptos for this digital asset on most reputable exchanges.
Speaking of reputable exchanges, you shouldn’t use the first exchange you find online to sell or buy BTC UK. We insist on that since some service providers don’t implement essential security protocols. By failing to do so, they make their clients’ accounts more vulnerable to issues like hacking. Furthermore, some exchanges have super-high fees, limited coin availability, laughable customer support, and many other shortcomings.
To ensure you always have seamless experiences buying and selling BTC, dedicate sufficient time to researching and evaluating each crypto exchange before signing up. Also, compare different service providers based on the following:
- Regulation: The most reliable and trustworthy crypto exchanges are regulated by the FCA in the UK. Choose FCA-regulated exchanges that operate within the confines of strict financial standards and data protection laws.
- Reputation: Source insights into a BTC exchange’s reliability and credibility from user reviews and feedback on platforms like Trustpilot and Google Play.
- Supported crypto: To buy and sell Bitcoin, you must have access to an exchange that supports this crypto. Also, if you are keen on diversification, look for a platform that offers the assets you’d like to use to reduce risk exposure.
- Fees: Review each exchange’s trading and non-trading fees. Look for hidden charges that can add up over time and erode potential returns.
Step 2: Create a New Account
After identifying a good Bitcoin trading UK platform, visit the company’s official site. If you’d like to buy and sell this crypto using your mobile device, download the right app from the official store using the links provided on the official site. You should always get trading apps from official platforms like Google Play, the App Store, and the Microsoft Store because many third-party sites have malware-infected apps.
Use the app or official site to open a new Bitcoin trading account. Click the signup or register button and submit the requested information. The details you’ll have to share will depend on the exchange you choose. However, in most cases, you’ll be required to submit a working email address and your name, then secure your account with a strong password.
Complete the initial registration process then verify your account. Reputable FCA-regulated providers that offer the best way to buy Bitcoin have comprehensive KYC procedures. In other words, they require you to provide essential personal information and verify everything with valid documents.
Step 3: Fund Your Account
Wait for your service provider’s team to verify your account. They will notify you if everything is in order or if you need to fix pertinent issues. After successfully verifying your account, determine the safest and most convenient way to top it up. While doing so, keep in mind the funding methods that your chosen service provider supports.
Common funding methods most Bitcoin trading platforms support include bank transfers, e-wallets, and credit/debit cards. Since most bank transfers expose you to low fees, they are ideal for people looking for the cheapest way to buy Bitcoin. The other alternatives are for crypto traders who prioritize instant deposits and quick withdrawals.
After choosing and setting up your preferred funding method, go to the deposit section and top up your account. Pay close attention to the service provider’s minimum deposit requirements to avoid unnecessary complications. Give the funds sufficient time to reflect in your account. Contact support immediately if the transfer fails or you notice any other discrepancies.
You can also top up your wallet with another crypto asset and swap it for Bitcoin. If you choose this method, pay close attention to the address you use and double-check it because the slightest error can lead to costly losses.
Step 4: Buy and Sell Bitcoin
After funding your account or loading it with crypto, you can now buy Bitcoin. Just click the designated button for buying crypto or find the right trading pair. Choose a pair that matches your account’s primary currency if you go with the latter. The right pair should be BTC/GBP if your primary denomination is GBP. The same applies if your preferred method is crypto. Just look for the right crypto pair, like BTC/ETH, depending on the asset in your wallet.
Keep your Bitcoin in a secure wallet for as long as necessary. If your primary objective is to profit from this digital currency, wait for its price to rise to your preferred level, then sell it. To ensure you gain maximum returns from this golden asset, establish the best prices to buy and sell BTC beforehand and stick to your strategies.
Besides buying and selling the actual BTC, you also speculate on this asset’s price changes through Bitcoin CFDs. These instruments allow you to trade without owning the underlying asset, i.e., Bitcoin.
Where to Buy Bitcoin?
Let’s discuss where to buy Bitcoin UK. As mentioned, we highly recommend using reputable exchanges that are regulated by the FCA in the UK. Also, for optimum safety and hassle-free experiences, you should buy and sell BTC on exchanges that offer unparalleled security, outstanding customer support service, and a splendid collection of digital assets.
With hundreds of UK crypto exchanges available today, finding the most suitable service provider can be an uphill task. But this task is indispensable since you might commit to a lousy provider or join a platform run by criminals if you are not careful. That said, you don’t have to spend too much of your valuable time and effort vetting and assessing all of the crypto exchanges; we’ve done that on your behalf.
The InvestingGuide team spent countless days researching, assessing, and testing the crypto exchanges that Brits have access to. Numerous factors guided us on this vital task, from regulatory status and security to assets and fees. These helped us pick the best Bitcoin trading platforms in the UK, which we’ve reviewed on our site. Pick one of our recommended brands to make your life easier and avoid traps set by questionable companies.
How to Store Bitcoin
Bitcoin is the most valuable cryptocurrency today. Presently, 1BTC costs over $52,000. Owing to its priceless nature, Bitcoin is often targeted by savvy cybercriminals. To avoid losing your BTC to theft, you must learn how to store your assets securely.
Keeping your Bitcoin secure requires using one of the best Bitcoin wallets UK. Our experts have vetted countless products, compared them against each other, and recommended the best solutions on our platforms, so finding a secure BTC wallet should be easy.
Before concluding this important topic, here’s something you should know. There are different types of Bitcoin wallets. For starters, you can either go with hot wallets, which are based on the internet, or cold wallets, which allow you to keep your assets and private keys offline. If you don’t want a software-based wallet, you can acquire a hardware wallet, which is a physical device that helps you optimize the safety of your BTC. Hardware wallets are ideal for people with large amounts of crypto.
If you choose to work with a software wallet, you can either go with a custodial or non-custodial product. With a custodial wallet, a third party, like a crypto exchange company, is responsible for keeping your assets and private keys safe. Conversely, a non-custodial wallet gives you full control over your BTC and private keys.
FAQs
Can I buy Bitcoin with cash?
Yes, you can Bitcoin with cash. You can use cash to purchase BTC from one of the hundreds of Bitcoin ATMs in the UK. You can also visit a reputable ATM and find a seller who’s willing to meet and exchange cash for BTC.
Is Bitcoin legal in the UK?
Yes, Bitcoin is legal in the UK. Britons can buy and sell this crypto asset without incurring any negative legal consequences.
How much does it cost to buy 1 Bitcoin UK?
Buying 1 Bitcoin in the UK today will cost you approximately $51,600. However, since cryptocurrencies are volatile, this number can either increase or decrease dramatically in the future.
Can I buy Bitcoin from my bank?
You can’t buy Bitcoin directly from conventional UK banks. However, you can use funds in your bank account to buy BTC using a reputable centralized exchange or peer-to-peer platform.
Conclusion
We’ve introduced you to essential hacks that will help you trade BTC seamlessly, from a step-by-step guide to buying this crypto to the best Bitcoin trading UK platforms. Now, it’s time to head out and try your luck at Bitcoin trading. But before you do that, we urge you to research and learn the risks associated with this venture. Also, you should familiarise yourself with tips for avoiding costly mistakes that inexperienced crypto traders and investors often make.
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