How to buy cryptocurrency in Canada

How to buy cryptocurrency in Canada

Of course, you’ve heard about cryptocurrencies. About Bitcoin in particularly, but, probably about the Ether, Monero and other coins too. Cryptocurrency is definitely one of the main trends of recent times. Canada currently is in the lead of world cryptocurrency acceptance, but there are still some Canadians, that don’t know, how to get digital money.

Warning

Investing in cryptocurrency is justified only if you have “expandable” funds that you can lose without serious consequences. Cryptocurrencies can bring profits measured in hundreds of percent, but it’s equally possible that you will lose all your invested money.

What can go wrong?

Pretty much anything. For example:

  1. Exchanges can suddenly “disappear”, taking your savings with them.
  2. Exchanges can be hacked.
  3. Your wallet password (especially that of exchange wallet) can be stolen.
  4. You can lose your hardware or paper wallet.
  5. Banks can stop cooperating with any cryptoexchange and accept money from it or transfer funds to the exchange.
  6. And many many other things.

You have to be extremely careful!

Fortunately, in Canada, buying cryptocurrency is easier than in most countries of the world. Canada has adopted cryptocurrency laws (in particular – Bitcoin is quite popular) and the authorities do not crack down on crypto. So, at the moment, cryptocurrency future in Canada looks quite good.

So how to buy cryptocurrency in Canada?

Basically, cryptocurrency is bought either on exchanges (including instant–buy exchanges) or in Bitcoin-ATMs on Canadian cities streets. In addition, you can find someone who agrees, in exchange for money, to transfer you his crypto.

Cryptoexchanges

The purchase of cryptocurrency on exchanges is relatively simple: you just need to create an account, choose the most convenient way of payment and replenish the balance of your wallet on the exchange. After that, you can already deal with the purchase of coins you are interested in.

But is there a cryptocurrency exchange in Canada in particular? Yes, and there are several. The most famous of them is Coinsquare. Fortunately, contrary to many other “regional” sites Canadian ones are rather good – there are only a few scam-exchanges here.

Fees of most exchanges for the deposit replenishment usually ranges from 1% to 4%. At the same time, there are a number of problems besides the risk of fraud and security problems.

So, the withdrawal of funds from exchanges (including to your personal wallet on the blockchain) is not always the case.

In addition, the funds withdrawal often takes several days (even in case of cryptocurrency withdrawal to the blockchain wallet), and the cheapest method of payment – bank transfer – also requires up to 5 days.

But how to sell bitcoin in Canada? The answer is the same – exchanges. But beware – not all exchanges, that allow you to buy BTC for CAD, allow you to buy CAD back.

Instant exchange services

Sites providing instant purchase of cryptocurrency services are even easier to use. Here you only need to choose a method of payment (such services usually accept both credit cards and electronic payment systems), specify the address of your wallet and enter the number of coins to be purchased.

However, the exchange rate on such services is usually less profitable than on “conventional” exchanges, and service fees start from 4% and reach extortionate 8-10%.

In this case, the use of well-known services (say, Coinbase or BitPanda) becomes extremely important – cases of fraud on instant-buy sites happen regularly.

Bitcoin-ATMs

You can buy cryptocurrency in Canada with the help of Bitcoin-ATMs. Today there are more than 300 of them. The city with most Bitcoin-ATM is Toronto but also they can be encountered in Montreal and Vancouver. They differ from “ordinary” ATMs, in that they do not have a connection with the banking network. Instead, they are connected to the Internet and use the so-called “lightweight” Bitcoin client.

To use the ATM, you just need to specify the address of your wallet and “feed it” cash or a credit card.

However, for simplicity and convenience you have to pay – ATMs fees are quite high – usually around 7 or 8%.

You can find the closest terminal using the Coin ATM Radar site.

“Over the counter” purchase

Using such services as LocalBitcoin you can find people and companies ready to sell you their coins, and make a deal with them directly. Or you can find them on your own – on the internet or even in your town.

But it is worth to remember – there is no unified exchange rate on such services – each seller establishes it himself. And there are no guarantees that you will not be deceived. Therefore, it is necessary to be cautious about too advantageous offers – there is a great chance that after transferring money to the seller you will not get anything.

Summary

Canada is one of the most liberal countries in the field of acquisition and use of cryptocurrency. There are no excessively severe restrictions or, especially, persecution of cryptousers, since the country adopted crypto and uses bitcoin a lot. Also, you can buy cryptocurrency in Canada pretty cheap. Services fees in most cases are comparable with other countries, and anonymous services fees are one of the lowest in the world.