If you buy cryptocurrency and its value falls, you may lose money when you come to sell it. As they aren’t linked to any physical goods or services, their price is simply determined by market sentiment. If you want to know more about where you can use your cryptocurrency to purchase goods and services, the Retail Gazette recently quantum ai published a helpful article on the topic. As cryptocurrencies become more mainstream, more and more shops will let you purchase their goods using this form of payment.

Freetrade vs Trading 212: Which is best for low-cost trading?

• When deciding which exchange to use you might want to consider how quickly you can transfer funds over so you don’t miss out on a dramatic price rise.
• In this article, we provide an updated list of crypto-friendly banks in the UK.
• Finally, it’s worth considering whether to invest a lump sum or invest a regular amount every month.
• We may receive compensation from our partners for placement of their products or services.

While spreads will give you a pretty good indication of what you will end up paying for your order execution, there are also other surcharges you need to consider whenever you decide to trade cryptocurrencies. Whether you choose to trade with a broker or a crypto exchange, you need to fund your trading account before you can place any type of order. In most cases, deposits via payment methods like credit/debit cards, e-wallets, wire transfers, and instant banking services will incur no fees. Trading cryptocurrencies has become a popular investment option for millions of traders across the globe. Estimates suggest the number of people using cryptocurrencies is anticipated to hit 861 million users worldwide by 2025.

Comparing UK Cryptocurrency Exchanges

At each stage of the transaction, detailed instructions will allow beginners to master the basics of cryptocurrency operations. Experienced traders can use advanced tools and functionality and a vast range of coins to purchase, sell and exchange. Upon completion of the rebranding in early 2022, OKX (previously called OKEx) quickly began to gain user trust and rise in the ratings of crypto exchanges. With many educational materials and a massive list of trading options, OKX is a reliable solution for any investor, regardless of their experience.

Alternative ways of buying cryptocurrency

In addition to catering to retail investors, Kraken has a strong institutional presence, offering dedicated services to professional traders. You can purchase Electroneum using your British debit/credit card (or bank transfer) using BC Bitcoin. While BC Bitcoin is the simplest method, you may prefer to use a cryptocurrency exchange. To do so, you will first need to acquire Bitcoin (BTC) and then trade it for ETN on an exchange. If you want to start investing from a computer, laptop or smartphone, you’ll need to open a trading account with an online brokerage. These providers, sometimes called investing platforms, allow would-be investors to buy, hold and sell a range of assets online.

FCA’s proposals

Bitstamp offers a range of major cryptocurrencies, including, among many others, Bitcoin, Ethereum and Litecoin. Known for its strong security infrastructure, including two-factor authentication and cold storage for assets, Bitstamp also supports both retail and institutional trading. In order to take part in an ICO, the investor will often need to purchase a digital currency, to have access to a cryptocurrency exchange and have a full account or cryptocurrency digital wallet. The latest one, that of January 2021, took the price of one bitcoin to almost $70,000.

Long-term investors often believe in the potential of blockchain technology and the growth of specific cryptocurrencies over time. Diversifying your investment portfolio is a key principle in managing risk. Before settling on a specific crypto trading platform, check out what other people have to say. Select a cryptocurrency exchange that operates in the UK and supports the cryptocurrency you’re interested in. When it comes to mobile BTC wallets, coins are not stored on your actual phone.