How to Buy Bitcoin With a Credit Card

Various factors continue to drive mainstream and institutional interest in Bitcoin, propelling the pioneering cryptocurrency’s value to unprecedented levels. For those seeking to invest, there are many options for buying crypto, including centralized exchanges, credit cards, and peer-to-peer (P2P) marketplaces. However, the complexity of purchasing crypto varies by method, including transaction fees, security considerations and credit card issuer policies. This article explores the process of buying Bitcoin with a credit card, identifying the steps required and important considerations to keep in mind.

How to Buy Bitcoin with a Credit Card in the UK

The first step is to identify an exchange or investment app that accepts credit cards as a payment method. Most exchanges require identity verification to comply with know-your-customer (KYC) requirements. Buy Bitcoin with a credit card involves submitting a government-issued ID and may include a selfie for facial recognition. Once verified, navigate to the payment or wallet section and add your credit card information. Some services send the crypto directly to an on-chain address, while others hold it in custody until you withdraw it.

Select the quantity and price of Bitcoin you want to purchase. Then, review the purchase details and associated fees before confirming your purchase. Be aware that credit card purchases often incur a cash-advance fee of 3-5% and accrue interest immediately. Furthermore, some card issuers prohibit cryptocurrency transactions entirely or impose strict limits on their use. If you are concerned about these limitations, consider alternative methods.