Getting started with Bitcoin can seem daunting if you’ve never done it before. But let’s get straight to the point: if you’re just dipping your toes for the first time into the phenomenon known as Bitcoin, you should head over Coinbase.
Now, it’s important to know that Coinbase doesn’t have the lowest Bitcoin fees out there. It is not the platform for active currency exchange traders. However, for beginners, there is no easier solution for buying and using your first Bitcoins securely than Coinbase.
Coinbase is especially good for people looking to buy and hold Bitcoin in the hopes that its value will increase as a currency over time as more and more people start using Bitcoin. In the past week, a major nation adopted Bitcoin as a reserve currency which is a huge signal in the stability and longevity of the leader in the cryptocurrency market.
Why Would You Buy Bitcoin
There are many reasons to buy Bitcoin and other cryptocurrencies. Here are some of the main reasons you should consider:
– Bitcoin holds the promise of freeing up money from the middleman
– Bitcoin keeps going up in value as more and more people and services adopt it
– You can use Bitcoin to buy things at online retailers like Overstock.com
– Bitcoin offers some financial diversification that’s independent from both Gold and the US Dollar
Why would you choose Coinbase to buy Bitcoin
Below we’ve listed some of the reasons you’d use Coinbase to get started with Bitcoin
– Coinbase is the simplest solution for bitcoin
– Coinbase has the nicest user experience for cryptocurrency exchanges
– Coinbase has a great app for both Android and iPhone
– Coinbase makes it easy to track the performance of your bitcoin investment
– Coinbase is very secure
– Coinbase is the leadeing exchange in the cryptocurrency market
Why wouldn’t you choose Coinbase to buy Bitcoin
– Coinbase has higher fees than some other services
– If you plan to do a lot of buying and selling find the lowest cost per transaction service
– If you plan to invest large sums of money in Coinbase, reconsider and seek a lower fee service.
– With Coinbase you are basically paying a premium for security, simplicity and ease of use. That’s why it is the best for just getting started.
What’s involved in signing up for Bitcoin with Coinbase
Coinbase offers the easiest way to buy bitcoin. The signup process is straightforward although it does require a few layers of verification (photo ID and bank account). Admittedly, I was intimidated by the idea of submitting my photo the first time I went to sign up and actually didn’t follow through. Six months later, I was regretting as Bitcoin continued to go up in value. So I took the plunge and I’m glad I did.
Verification doesn’t happen immediately, so those looking for instant gratification aren’t going to get it. However, after a few days, you’re in. When you place your first purchase it takes a few days to get into your account because CoinBase has to pull funds from your bank account. One way to speed this process up for the future is to pull money into your USD wallet.
What are the Bitcoin fees on Coinbase?
As of today, there is a minimum $2.99 fee per transaction. Alternatively, the fee is about 1.49% – Here is are example fees for purchasing Bitcoin at different prices:
$1 Purchase -> $2.99 fee
$100 Purchase -> $2.99 fee
$200 Purchase -> $2.99 fee
$300 Purchase -> $4.47 fee
$500 Purchase -> $7.45 fee
$1000 Purchase -> $14.90 fee
As you see the fees start equaling 1.49% right around the $200 mark. Before the $200 mark, the fees are going to be a higher percentage. For that reason, we recommend making minimum Bitcoin purchases around $210.