How To Buy And Sell Bitcoin In The United States
The global crypto market has experienced exponential growth in recent years. Despite a bullish 2019, crypto enthusiasts are hopeful owing to survey reports that suggest an expected growth of CAGR 11.9 percent by 2024. The investors are well aware of these market conditions and trends, which reflects the growing interest surrounding cryptocurrencies. The other factors that have contributed to this spike in demand are:
- Higher remittance rates in developed nations
- Growing venture capital investments, and
- Variability of monetary regulations
As far as crypto investments go, Bitcoin remains at the top owing to a high trading volume. Despite significant valuation decline in 2019, the crypto has hardly lost any credibility. As per early market evaluation and predictions of 2020, the upcoming BTC halving in May and the present geopolitical situations are expected to boost the cryptocurrency, making up for the valuation loss last year. In case you are keen to trade Bitcoin in the United States, here’s everything that you need to know on the subject.
What is Bitcoin?
Bitcoin is the world’s first digital currency or cryptocurrency. Launched in 2009 by Satoshi Nakamoto (a pseudonymous person or entity whose identity is still a mystery) the decentralized nature of the digital asset keeps it out of the control of any central authority like governments and banks. Bitcoin is backed by Blockchain technology and is the first-ever successful application of the same.
The process of creating Bitcoin is known as mining. It is a highly competitive and decentralized procedure that requires the miners (in charge of mining) to be rewarded for their services. Every Bitcoin transaction gets recorded in the shared public Blockchain network. The transaction verification process is independent and with each verification, the accepted transactions get recorded in the Blockchain as new blocks. These blocks carry information about the processed transaction.
Over the years Bitcoin has become a very important asset for investment with a growing number of Bitcoin exchanges, crypto ATMs and instances of direct transactions stands proof to Bitcoin being a major investment asset at present. The crypto exchanges in function allow buying and selling of Bitcoin in exchange for other cryptocurrencies, fiat currencies, and even services and products.
How can you buy Bitcoin in the US?
There are several ways using which you can buy Bitcoin in United States. However, the most popular and easiest method of Bitcoin trading is via a trusted Bitcoin exchange in United States. The majority of these exchanges have mobile apps that make for a simple and instant crypto buying and selling experience.
Before commencing trading, you have to get yourself a digital wallet to store the cryptocurrencies and interact with other traders as well through Blockchain technology. One of the most trusted and leading US-based crypto & Bitcoin exchanges is PayBito. It boasts of a high trading volume and has a low transaction fee.
PayBito is available in both web and app versions, so you can use either your Smartphone or computer for trading. Here we will give you a detailed run-through of what the exchange has to offer to the traders.
Open Account: After downloading the app, you need to create an account with PayBito to get on with the Bitcoin buying process. You will be taken to the dashboard with all the essential details of cryptocurrencies,
Buy Bitcoin: To buy Bitcoin click the drop-down under BUY and select Market instead of Limit. Insert the Buying Amount in the box under and the price and total value will reflect in the dashboard automatically. Select Buy to proceed.
Identity Verification (KYC): Every user is required to submit their ID verification details such as Profile Photo, Address Proof and both front and back of the ID proof, to send and receive Bitcoin.
Bank Details: Enter your specific bank account details which you wish to use for Bitcoin trading which becomes functional once approved by the admin.
Wallet: Once you start trading, all details regarding the type of asset, balance, and action of each and wallet transaction history will reflect on this page.
Deposit and Withdraw Funds: Your PayBito account allows you to deposit and withdraw the fiat with ease and in seconds.
Where can one use Bitcoin in United States?:
The use of Bitcoin for buying products and services in the United States is quite popular. More businesses including real estate agents are gradually accepting Bitcoin as a mode of payment. There are various platforms online that helps you by pinpointing all businesses along with their locations where you can pay using the digital currencies.
What are Bitcoin ATMs?
Bitcoin ATMs are like the crypto version of the ones that traditional banks offer. The difference is that it allows people to buy and sell Bitcoins. While normal bank ATMs are connected to the centralized system of respective banks, Bitcoin ATMs go by the decentralized protocol and are connected to just the internet. It also comes with the provision of anonymity for the buyers and sellers, unlike bank systems.
The main problem with a Bitcoin ATM is that trading with anonymity makes transaction fees considerably higher than crypto exchanges which require further information when the buying price crosses small investment amounts.
However, not all ATMs allow you to sell Bitcoins. The majority of them just allow you to buy, with only a handful enabling the sale of the crypto. The make and model of the ATMs may differ from one another due to being manufactured by different companies. Nevertheless, their function and operations remain the same.
Bitcoin ATM transactions require the verification process and the crypto address details which are followed by releasing the Bitcoin to the buyer’s wallet.
The fees are considerably higher than crypto exchanges and the limits are on the downside as well. Globally, the average buying fee is 8.54 percent (based on data collected from 1,126 ATMs that allow buying of Bitcoins). The average redemption fee, on the other hand, is 7.03 percent (based on data collected from 410 ATMs that allow selling of Bitcoins). In the USA, the average Bitcoin purchase fees come up to 6 percent which is quite reasonable compared to the global average.
How many Bitcoin ATMs are there in USA?
The USA has 1,172 Bitcoin ATMs in total. California leads as the place with the most number of ATMs which is 205. It is closely followed by 122 in Florida, 105 in Georgia and 118 in New York.
The birth and evolution of cryptocurrency have introduced us to an entirely new kind of asset for investment with the promise of lucrative returns. Though people were skeptical of it in the past, the changing market trends have gradually shifted in favor of digital currencies.