How long does it take to buy bitcoin?

The actual process of buying Bitcoin does not take very long at all. Once a user is registered onto an exchange, it is simply a matter of inputting the correct amounts desired and hitting the “Buy” button. The amount of time it takes to actually have the Bitcoin in your possession is determined by the type of exchange you used.

For example: A centralized exchange does offer instant buys, but centralized exchanges are often used by traders to time the market for the best price possible. If you attempt to put a lower purchase price, you will inevitably wait until the price reaches that price level. Conversely, if you purchase at market price on a centralized exchange, you will purchase immediately (though a lower price may come even seconds to minutes later).

Decentralized exchanges take a matter of minutes, after inputting the correct amounts and waiting on transaction confirmations. As mentioned previously, the confirmation time on ATMs can reach up to 10 minutes. Often, it takes longer to sign up for an exchange than it does to actually purchase Bitcoin.

How can I tell what the exchange rate is?

After looking at different exchanges, you may notice that the going-rate price of Bitcoin will likely be different across the gamut of exchanges.

Why is this? The short answer is that there is no official price of Bitcoin at any moment. Every exchange has a different amount of liquidity and volume. Some exchanges will base their prices off of an aggregate of different exchanges.

The way to ensure that you are getting the best price (or a price you are comfortable paying) is by going to a resource such as CoinMarketCap or CoinGecko. These resources will allow you to compare prices across a list of different exchanges.

In general, it is best to try not to “time” the market, as the price changes every second. Many people use dollar-cost-averaging, which is essentially buying small amounts at a time to average out the total cost, instead of buying as much as you can all at once.

Different payment methods for buying bitcoin

Purchasing Bitcoin can be done with a variety of different payment methods including cash, credit/debit cards, and bank transfers. The most common way for purchasing Bitcoin on the internet is using a credit/debit card, as this tends to be the most familiar for anyone that has made a purchase on the internet.

Usually, the transactions are instantaneous, but are high in transaction fees. Bank transfers are also very easy, but will require you to link your bank account. Bank transfers also offer lower transaction fees, but take longer to process than credit/debit cards.

Credit/Debit and Bank transfers are also not very private, as your personal information will be required to complete the transaction. Cash is also a common way to buy Bitcoin, offering more privacy than the previous options, though usually with a 5-15% fee above the market price.

How to buy a partial bitcoin

Looking at the price of Bitcoin, one may wonder how they will ever afford to buy a Bitcoin. Here’s the good news: You don’t have to buy a whole Bitcoin at once. In fact, you can buy as much or as little as you want.

One (1) whole Bitcoin is equivalent to 100,000,000 satoshis (a unit named after the infamous creator of Bitcoin, Satoshi Nakamoto). Taking this into account, you should theoretically be able to buy .00000001 of a Bitcoin (or 1 Satoshi), though at the current prices, 1 Satoshi is worth less than even 1/2 of 1 cent ($0.01) USD.

To buy a partial Bitcoin, either enter the amount you are willing to buy, or the amount of money you are willing to spend, and the exchange will convert the number for you. After confirming that the numbers on your buy order look correct, hit the “Buy” button, and you have successfully bought a partial Bitcoin.

If you have any concerns or fear about not acquiring enough Bitcoin (due to the inherent limited supply of 21,000,000 Bitcoins to ever be in existence), but are worried about the fact that you do not have enough funds for one whole Bitcoin, realize that the every-day average user of the internet will generally buy a little at a time. Never invest more than you are willing to lose.

Conclusion

While the world of Bitcoin can be a little overwhelming, the truth is that it is fairly easy to buy and acquire Bitcoin. Whether you want to buy on the internet or go to a physical location, there are methods available that will facilitate an easy process. Since the purchase of Bitcoin has inherent risk (possible loss of money, scams, hacks, etc.), please make sure to always do your due diligence in researching any exchange that you may use to verify the exchange’s reputation.

We are still early in the cryptocurrency scene, and at times it may seem like the Wild West of the Internet. With the proper precautions, patience, and a willingness to learn, any user can take advantage of this wonderful asset, and acquire some Bitcoin for themselves.