Cryptocurrency Exchange Which Accepts Credit Card Deposit
The term “cryptocurrency” has been doing the rounds in various financial sectors around the world, due to the meteoric rise of Bitcoin and other cryptocurrencies. Ethereum, Ethereum Classic Dogecoin, Litecoin, Nem, Dash and Stellar are just a few of the cryptocurrencies that have exploded in terms of influence and acceptance.
Among the different ways, one can acquire cryptocurrencies, digital currency exchanges are probably the most well-known and accessible to all. Cryptocurrency exchanges as they are known allow customers to directly trade such cryptocurrencies for other assets, such as conventional fiat money. They earn their profitability by either charging trading fees as a matching platform or can work as market makers by taking the bid/ask spreads as transaction commissions from its members.
As mentioned earlier, there are many types of crypto exchanges, some dealing exclusively In cryptocurrencies, while others allowing members to transact using fiat currencies. It is the latter that we are going to concentrate on in this article. If you want to buy crypto coins with fiat you need to use a cryptocurrency exchange which accepts credit card deposit.
Cryptocurrency Exchanges History
Cryptocurrency exchanges weren’t a reality till the beginning of February 2010, when Bitcointalk user “dwdollar” established the first-ever cryptocurrency exchange which accepts credit card deposit. It used to accept Paypal as a payment option until its subsequent removal, after which it got lost in obscurity.
Tokyo-based MtGox was the first exchange to really influence the cryptocurrency market. Established by Jed McCaleb in July 2010, it was later sold to another party in 2011. The exchange primarily aimed at handling transactions for playing the “Magic: The Gathering” game. As Bitcoin was a very popular mode of payment in that game, the exchange at its peak used to handle about 70% of the total volume of Bitcoin transactions on the network. Things turned sour when the company suspended all trading activities in February 2014 while 850,000 Bitcoins evaporated from their database. This was valued at US$450 million at the time, with the CEO being persecuted by the Japanese police.
Over time, with the exponential rise of Bitcoin’s value, the overall adaptation of cryptocurrencies around the world and the decentralized nature of cryptocurrencies, in general, have aided the emergence of various other exchanges. Examples include Coinbase, Bitstamp, Kraken, Gdax, Gemini and xBTCe all of which allow users to buy BTC in exchange for fiat money.
It should be noted that there are various scam sites or phishing sites which swindle traders out of their money. This is generally done by imitating a well-known exchange such as Bittrex or Binance. Many exchanges are prone to hacks as well as data breaches that can seriously harm the credibility of these cryptocurrency exchange which accepts credit card deposit.
Understanding The Process
Cryptocurrency exchange which accepts credit card deposit have a much larger reach than other types of exchanges. They work just like a typical stock exchange would, dealing with digital currency trading instead of normal stocks. After a user has finished all of the registration formalities and verification procedures, s/he is ready to fund their trading account and begin trading. Contrary to exchanges that only deal with cryptocurrencies, these exchanges allow traders the option to directly trade with fiat currencies such as Dollar (USD) or Euro (EUR), which are usually paired up with a Bitcoin valuation such as BTC/USD and BTC/EUR. Users who want to buy other altcoins like Ethereum, Ripple or Dash can simply convert their currencies directly to Bitcoin and trade from it. Recently, the introduction of Credit card acceptance in many of these exchanges has further helped traders to make timely and profitable trades.
Exchanges Which Accepts Credit Card/Debit Card As Mode Of Payment
Over the last few years, crypto exchanges that allow traders direct trading facilities such as Credit card usage have grown in popularity. Be advised that not all exchanges are trustworthy and it is necessary to conduct adequate market and background research before committing. Below is a list of four of the most reliable and reputed cryptocurrency exchanges, which have a proven customer base.
Coinbase is at the moment, the largest cryptocurrency exchange which accepts credit card deposit in the world. It allows traders to purchase a maximum of $150/ €150 directly, using their credit/debit card. They charge a flat rate of 3.99% on all purchases if you use a credit or debit card. They offer one of the lowest rates among all the U.S. and European exchanges. Of course, Coinbase grants these advantages to customers in Canada, Australia, Singapore, the United Kingdom and the United States.
Why should you choose Coinbase?
- Easy procedure for novice traders
- Instant Buy option for credit/debit card purchases
- $10 free Bitcoin if a trader buys or sells $100 worth of Bitcoin.
- High liquidity and favourable buying limits
CoinMama prides itself in being a cryptocurrency exchange which accepts credit card deposit. To eliminate risks and processing fees, they charge users a fixed 6% fee on each transaction. They allow traders to buy Bitcoins worth of $5000 each day and up to $20,000 per month.
Why should you choose CoinMama?
- Has a wide reach, accessible in many countries throughout the world
- Has a very good track record and proven reliability
- Offers one of the highest limits for Bitcoin purchase through credit cards
BitPanda is an Austria-based cryptocurrency exchange which accepts credit card deposit, dealing exclusively with European users. They provide credit/debit card purchase options with about 3-4% fees. Novice traders find it pretty simple to operate, with fast transaction speeds and high limit withdrawal, making it attractive for cryptocurrency investors.
Why should you choose BitPanda?
- Very low fees for Buying Bitcoins
- Reliable and trusted brokerage with a proven track record
- Very fast transaction speed
CEX.IO is an exclusive Bitcoin cryptocurrency exchange which accepts credit card deposit. Established in 2013 as one of the first mining providers, it has expanded to a large scale, multifunctional crypto exchange. With over 550,000 users, it operates mainly in the United States, some countries of Europe and South America.
Why should you choose CEX.IO?
- Offers instant withdrawal options for EUR, ESD and RUB to payment cards
- Reputable company
- Buying limits are high when compared to others
Advantages Of Using A Cryptocurrency Exchange Which Accepts Credit Card Deposit
Using a cryptocurrency exchange which accepts credit card deposit and direct USD trading have a lot of advantages compared to normal exchanges. Most of these exchanges are regulated by financial regulators in their respective countries and have stringent security protocols in place. The advantages can be summed up below:
- Account Verification is fast and concrete
- Easy signing up procedure
- Eliminates the time taken for trading with altcoins
- Most exchanges have Price Lock features on Orders. This provides traders more time to buy at a certain price.
- Funds and tokens are transferred to wallets at a fast pace
- The aforementioned exchanges have proven track records and are backed by several big investors.
- Most of them accept Visa and Mastercard
The acceptance of crypto exchanges is growing at an exponential rate parallel to the interest generated in cryptocurrency. The main reason why Credit card acceptability in exchanges is important is the fast and streamlined trading process. Developers are working day and night on improving current security protocols in the exchanges. It is predicted that crypto exchanges which are already an essential part of the growing cryptocurrency ecosystem will help in worldwide cryptocurrency acceptability and use. After you have chosen your cryptocurrency exchange which accepts credit card deposit you may want to give Binance Exchange a try.