The price of Bitcoin soared in 2017. Since then, the world has become more crypto-friendly. Many banks have allowed crypto-minded folks to buy bitcoin with a credit card. As a result, some businesses have seen an opportunity to cash out – to become a middleman between cardholders and bitcoin. Currently, only a few numbers of services accepting cards to buy bitcoin are present on the market. If you are at the crossroads whether to use intermediary or not, let's find out how they work.
How does bitcoin rocket go to your pocket?
Buying BTC with a credit or debit card crashes into one of the main clamps of crypto – anonymity. Being a ghost is not allowed, so it would not be possible to buy bitcoins with no verification. A user gives the platform photos, id, e-mail, number of bank account to get started. It usually takes from 1,5 hour to 1 day for a platform to review your account.
Safety is a must have of platforms working with BTC. A reliable platform has 2-stage verification, good user rate, and encryption. Don't forget about the advanced security features, akin exchange rate, and interest rate.
Pro tip: use a complex password. Simple measures pay off. Protect yourself from hackers and you will buy bitcoin with credit or debit card instantly.
Credit or Debit card?
If you want our honest opinion, buy bitcoin with a prepaid card if you have it.
However, If you are located in Europe, buying BTC with both types of cards – no problems! In the US and Canada, some financial institutions may block BTC transactions from a credit card. Crypto is an irreversible creature, it has no regulator, it has high volatility. So, crypto works best with debit cards.
Fees and limits
How much is the charge decides the platform. The common fee rate is 5%.
To question like how much and how often you can buy crypto with a payment card, platforms answer differently. The usual limit is 7000 $ monthly and 500$ every day without verification.
It takes some time to review your profile and make transactions. Processing deals with payment often take high stakes: from a few to fifteen minutes.
The first thing to mention comes last. Why? We would like you to get familiar with everything before taking an important step.
Trust. We are talking about user trust. Trust is equal to security, thus it has completed many transactions. Period.
The next thing may confuse you is choosing an appropriate type of platform.
The platform supports credits and debit cards. The currency rate is set by the central bank.
Everything goes there according to the market realm. The currency rate is set by the traders and it is correlated with their demand.
Both types of platforms can have many modules. Best practices include buy/sell feature. A platform that allows buying and selling crypto is sexier than the service supporting only one of those features.
To conclude, use the only trusted service provider, supporting multiple payment features. Choose a platform that has a big interest and exchange rate. If you're the business owner, you may be interested to read our article "how to accept bitcoin" where we listed the full guide on how to integrate BTC to your service.
Speaking of services, our product Coinspaid.com offers top-notch cryptocurrency exchange software. Customized and adjusted to your business needs. Let's start cooperating!