Bitcoin is becoming more popular and is headed for mainstream acceptance. It was started mainly as a means to facilitate easier cross-border payments. However, it has now become a prominent instrument in the payment industry. The reason that Bitcoin has become such a crucial instrument is that more people are venturing into buying and selling digital currency. They look at it as a vehicle to help them make huge gains fast.
However, one question that remains in many people’s minds is just how to buy bitcoin using a credit card. If you are wondering if you can buy bitcoin with a credit card, we wish to confirm that it is possible. But it is not as easy as purchasing something from a store with a credit card. There is some risk attached and it is more costly.
Exchanges where you can use debit and credit cards to buy bitcoins
“Where can I buy bitcoin with a credit card?”, you may be asking yourself. Some sites or exchanges allow users to buy Bitcoin with a credit card. These include Coinmama, Cex.io, Bitpanda, and Binance. Luckily, with some of the exchanges, such as Binance, besides allowing credit cards, they also accept debit cards. As such, you can also buy BTC with a debit card instantly on those exchanges.
In addition to these websites, you can buy Bitcoin with a credit card at Nakitcoins. The exchange is a leading crypto platform in Turkey with a ton of benefits. You can purchase bitcoins instantly on Nakitcoins.com at competitive rates using your credit card and debit card. One significant advantage of buying on the platform is that you can buy anonymously and without an account. However, you may have to undergo KYC at the checkout page, which Nakitcoins’ partner company, Simplex, requires.
The benefits when you buy bitcoin with a credit card
The most significant advantage that an investor enjoys when they buy Bitcoin with a credit card is that the entire process will be so fast. The method is one of the ways to buy Bitcoin fast. And speed is a crucial factor in the highly volatile bitcoin market. The trader needs fast funding of their account at the exchange. Also, the withdrawal needs to be fast and to happen quickly and seamlessly. That way, they can optimize the Bitcoin price movements, which credit cards facilitate.
Barriers when you want to buy bitcoin with a credit card
Some exchanges do allow traders and other Bitcoin enthusiasts to buy Bitcoin with a credit card. The main reasons the exchanges do not allow the use of the cards are:
Competition: Various payment options like PayPal and Visa consider Bitcoin a serious rival, and if it succeeds, it could ruin many conventional financial institutions. The organizations erect barriers to using credit cards to buy bitcoins, and it is all about their companies’ interests, not necessarily the consumer.
Chargeback: Users of payment platforms like Visa credit card and PayPal can request a chargeback after paying and reverse the payment. Since bitcoins are stored in the blockchain, which does not keep bitcoin holder’s names, it may not be easy after selling bitcoin for the seller to prove they sent them. Therefore, buyers can reverse the payment and still keep the received bitcoins. Due to the possibility of a chargeback, most exchanges are hesitant to allow traders to use credit cards to purchase bitcoins instantly.
Security threats: Although credit card fraud protection protects card users, you could be victims of identity theft and other scams.
Now you know some of the crucial things relating to how to buy BTC with a credit card. You need to check if your card provider allows credit cards to buy Bitcoin and other digital currencies and if the exchange accepts the use of credit cards. Besides, as you buy Bitcoin with a credit card, check the exchange’s security to avoid being scammed.