Buy Crypto & Bitcoin in the USA
Discover the best way to buy Bitcoin in America. This article provides an overview of purchasing Bitcoin and answers the most commonly asked questions about buying cryptocurrency.
Coinbase is our recommended option for those who want to buy cryptocurrency in the United States. Coinbase has been around for several years and consistently ranks as one of the best and safest exchanges to buy Bitcoin.
Best Crypto Exchanges in The United States
Summary of Best Crypto Exchanges in America
Best Social Platform
Buy Bitcoin in the United States
If you live in the United States, there is no better time to buy Bitcoin. The cryptocurrency has hit new heights this year and will continue its upward trend as more governments worldwide accept it as a legal currency.
The last few months have seen an influx of cryptocurrency investors. This influx has inevitably led to increased demand for the U.S. Dollar, thus pushing its value up against other fiat currencies.
The United States has not yet adopted a uniform approach to regulating bitcoin. Some states have implemented their regulatory framework. Others have chosen to open up investigations on how to control cryptocurrency, if at all.
The state repealed the unclaimed property legislation in Indiana, and they replaced it with a revised unclaimed property act that includes virtual money. Elsewhere, Kentucky enacted KRS 139, which specifies terms related to commercial bitcoin mining using blockchain technology.
However, what is certain is that the U.S. Government does not want to remain idle as Bitcoin continues its rise in popularity. Not to mention, many major corporations are now accepting BTC as a valid payment method.
Best Crypto Exchanges in the USA
U.S. crypto exchanges are an excellent medium for you to buy your Bitcoin safely and securely from a website or app. Many of these platforms offer high-security standards, proof of reserve, high liquidity, low fees and more.
Coinbase - Best Overall
Coinbase is the #1 crypto exchange and platform where you can buy, sell, and exchange digital currencies such as Bitcoin, Ethereum, and Litecoin. Coinbase fees vary based on your payment method. Coinbase offers U.S. customers bank, credit card, and debit cards.
Bank Account transfer fees are relatively low at about 1.5%, but it takes five days to get your coins. Credit/Debit Card purchases will cost you about 4%. The advantage to this is that you get your crypto instantly.
You can trade over 100 cryptocurrencies in Coinbase with over 9,400 digital assets listed.
eToro - Best Social Platform
eToro is a global investment platform that allows users to invest in Stock & ETFs, Cryptocurrencies, and C.F.D. Trading. Fees vary depending on if you're funding your account with fiat or cryptocurrencies.
Customers in the United States pay a spread of 0.75 percent to 5.0 percent on assets. Conversions from fiat to crypto will cost a 5% fee. There are zero fees charged on withdrawals, but the drawback is you have to withdraw at least $30.
eToro supports the trading of more than 40 crypto assets.
Binance - Largest Exchange
Binance is my favorite cryptocurrency exchange with a focus on crypto-to-crypto trading. The platform has a token called BNB to pay fees at a discounted rate.
You can also participate in their quarterly BNB token burn to generate additional value for all the coin holders. Binance can process fast orders, has multi-language support, and has over 60 crypto pairs available for trading.
Binance charges a 0.1% fee for spot trading and a 0.5% fee for quick buy/sell trades. You can also buy crypto via a free A.C.H. transfer or a credit/debit card transfer at 4.5%.
A wire transfer has a fixed $15 fee for buying tokens.
Gemini - Best Security
Gemini is probably the most secure regulated Bitcoin and Ether exchange, operating in the US, Canada, UK, Hong Kong, Japan, Singapore, and South Korea.
It also operates a dark ether pool, which enables investors to trade large blocks without revealing the underlying trade until they are ready. Gemini's fee schedule stipulates free deposits via wire transfers, but credit/debit cards get a 3.49% fee.
Best Crypto IRA Company in the United States
Bitcoin IRA - Best Crypto IRA Company
Bitcoin IRA is one of the world's first companies that allow investors to purchase Bitcoins and gold for their IRA or 401(k).
You need a minimum of $3000 to open an account. Bitcoin IRA charges a one-time setup fee of 5.99%. You pay a 2% fee for each cryptocurrency investment. In addition, there's a 0.08% maintenance fee charged monthly on the account.
Best Crypto Wallets in the United States
Crypto wallets are like bank accounts, except they don't hold your currency. They store your private key, giving you access to the blockchain corresponding with the wallet.
Ledger Nano X
The Ledger Nano X is a multi-currency, Bluetooth-enabled hardware wallet that allows you to store Bitcoin securely, Ethereum, and many other supported coins. The device also supports Lightning Network payments for instant transactions between devices or friends without miner confirmation.
The Ledger Nano X costs $149 before tax, and you can buy it directly from the official website here. Supported Currencies: BTC, ETH, ETC, Dash DOGE, Zcash (ZEC), Ripple (XRP), and more.
Trezor Model T
The Trezor Wallet is a hardware cryptocurrency wallet designed to keep your currencies safe. The device also supports the technology of smart contracts, which allows you to create transactions on the Ethereum blockchain that are self-executing, self-enforcing, and impossible to rescind.
You can buy the Trezor Wallet for $215 directly from here. Supported Currencies: BTC, ETH, Litecoin (L.T.C.), E.T.C., B.C.H. (and all ERC20 tokens).
The Coinbase Wallet is a user-friendly online wallet that allows you to store over 4,000 assets. The app also provides access to Dapp's decentralized exchanges and offers the ability to create your token within seconds.
Coinbase has two versions of their wallet, one for mobile devices (Android & IOS) and one for computers (Browser Extension), which are all free. You can find the mobile wallet guide here and the browser extension guide here.
Supported Currencies: BTC, ETH, LTC, and all ERC20 tokens.
Crypto Laws & Rules in the U.S.
The Commodity Futures Trading Commission regulates the sale of crypto in the U.S.A. under the Commodity Exchange Act to combat money laundering, terrorist financing, and other financial crimes.
Exchanging cryptocurrencies would not be considered money service businesses under law, and therefore, businesses trading in crypto would not have to register as such.
Crypto Tax Laws in the U.S.
Every US citizen who receives cryptocurrency as income (through investments or freelance work) must declare the fair market value of their crypto earnings. If you bought cryptocurrency, you are entitled to a capital gains tax for any profits made on that purchase.
The U.S. Internal Revenue Service (IRS) requires citizens to submit their annual tax forms, including information about any income received from cryptocurrency wallets.
If you haven't declared your cryptocurrency earnings before - now is the time to do so!
Should You Invest in Bitcoin or Crypto in America?
As the interest and prices of Bitcoin continue to soar, people are wondering how to get in on the action. Transactions are verified and paid out from a central wallet at no cost to the user, so the barrier to entry is shallow compared to traditional banking.
Bitcoin wallets are free and easy to set up. However, you should use a different one for each transaction, making it harder for someone else to gain access to your bitcoins.
Things to Consider Before Investing in Bitcoin
Bitcoin is an exciting new thing, but it's still a developing technology, so it's hard to tell where it will go or what might happen in the future. It's essential to understand the risks before you invest any money.
Here are a few things you might want to consider before investing in Bitcoin:
- Bitcoin is a highly volatile currency and, therefore, not an ideal source of long-term income due to its high volatility and lack of dividends or interest payment.
- You can trade Bitcoin fast; however, cryptocurrencies are more challenging to liquidate, which might be an obstacle if you want to withdraw your funds fast.
- Companies may not accept Bitcoins, so you must be aware that you may not purchase the goods and services you desire.
- Bitcoin is a high-value target for hackers; therefore, you should take security measures to ensure your funds are protected. Storing your wallet in a cloud service or using a third-party service can be risky because there have been cases of fraud and hacking.
There are many ways to make money online. However, trading cryptocurrencies is one of the most accessible and high-risk/high-reward opportunities. Although investing in bitcoin is easier said than done, you can dramatically increase your chances of success if you follow some simple steps.
Just remember to do your research and always carefully consider the risks involved.
USA Crypto FAQ's
Yes. After the crypto exchange verifies your identity, you can fund your account with fiat currency.
Yes, Coinbase is one of the largest cryptocurrency exchanges in the world today and has secured its platform to ensure that users do not lose funds due to hacking threats.
There are no states in America that ban cryptocurrency for citizens to own and trade, but some states, including New York, have strict regulations.
Yes - there are many options available if you want to buy BTC anonymously in the U.S. LocalBitcoins is one of those options. It allows you to buy cryptocurrency with cash, gift cards, and even PayPal.
Selling cryptocurrency is possible via peer-to-peer exchanges like LocalBitcoins and Paxful.
It is possible to buy BTC or ETH in an IRA. However, you will have to pay taxes on any profits made from your investment.