How to Buy Cryptocurrency UK

Cryptocurrency is quickly growing in popularity both among investors and among everyday people. There’s a lot to love - you can use crypto for everyday purchases, to hold as a long-term investment, or to trade for a quick profit.

In this guide, we’ll explain everything you need to know to buy cryptocurrency in the UK. Keep reading to get started!

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3 Steps to Buy Cryptocurrency in the UK

Want to buy cryptocurrency in the UK as quickly as possible? Follow these 3 steps to buy your first crypto in minutes.

Step 1: Sign Up for eToro. eToro is our #1 recommended UK crypto exchange in 2022 because it offers low fees, a free crypto wallet, and excellent trading tools.

Step 2: Fund Your Account. Deposit at least £140 into your eToro account with a credit card, debit card, PayPal, or bank transfer.

Step 3: Buy Cryptocurrency. Search for the crypto you want to buy and click ‘Trade.’ Enter the amount you want to purchase and click ‘Open Trade.’

That’s all it takes to buy cryptocurrency in the UK!

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How to Buy Cryptocurrency in the UK

There are two main ways to buy cryptocurrency in the UK: using a cryptocurrency exchange or using a Bitcoin ATM. We’ll explain the pros and cons of each method.

Cryptocurrency Exchanges

The easiest and cheapest way to buy cryptocurrency in the UK is through an online cryptocurrency exchange. Exchanges work a lot like stock brokers. You simply deposit pounds and choose which cryptocurrency you want to buy from a wide selection.

Cryptocurrency exchanges can vary when it comes to what cryptocurrencies they offer and how much it costs to buy and sell crypto. So, it’s important to get the right exchange for you.

Bitcoin ATMs

Bitcoin ATMs are automated machines in which you can insert cash and get out Bitcoin. Typically, Bitcoin ATMs only offer Bitcoin, not a wide range of cryptocurrencies - although there are a handful of Ethereum ATMs in the UK as well. To use a Bitcoin ATM, you must have a cryptocurrency wallet where you can store your coins (more on that later).

Bitcoin ATMs typically aren’t as convenient as crypto exchanges unless you live right next door to one. In addition, you’ll pay much higher transaction fees at a Bitcoin ATM than you will at an online exchange.

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The Best UK Cryptocurrency Exchange in 2022: eToro

If you want to buy crypto in the UK today, we recommend using eToro. The eToro cryptocurrency exchange offers more than 40 of the most popular cryptocurrencies, including Bitcoin, Ethereum, Litecoin, Ripple, Dogecoin, Shiba Inu, and more.

eToro also has some of the lowest fees of any crypto exchange in the UK. To buy Bitcoin, you’ll pay just 0.75% of your total purchase and there’s no fee when you sell. That’s less than half of what other popular exchanges charge. For most other cryptocurrencies, the fee is 1.9% of your purchase.

Another thing we love about eToro is that it offers plenty of tools for active crypto trading and investing. You’ll find detailed technical charts to track price changes, plus a news feed and expert analysis of where the price of popular cryptocurrencies may be headed next. eToro even has a built-in social network, so you can connect with other crypto traders to share trading tips and strategies.

eToro makes it easy to buy cryptocurrency in the UK. You can open a new account with as little as £140 and the exchange accepts deposits by credit card, debit card, PayPal, or bank transfer. You can store your cryptocurrency safely inside your exchange account with no fees, or eToro also offers a mobile crypto wallet for iOS and Android.

Pros:

  • Buy and sell 40+ cryptocurrencies instantly
  • Some of the lowest fees of any UK exchange
  • Technical charts and analysis for crypto trading
  • Free crypto wallet for iOS and Android
  • Accepts credit, debit, PayPal, and bank transfers

Cons:

  • £5 withdrawal fee
  • 0.1% transfer fee for sending crypto to a wallet

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What Cryptocurrencies Should You Buy?

Wondering what cryptocurrencies you should buy in the UK? While we can’t give investment advice, we can tell you a little about the most popular cryptocurrencies today and what makes them stand out.

Bitcoin

Bitcoin is the most popular cryptocurrency in the world, with a market cap nearing £600 billion. It’s been hailed by many analysts as the future of currency since it’s already widely accepted for payments around the world. 

One major advantage to Bitcoin is that its price is more stable than that of any other cryptocurrency. Most first-time crypto users buy Bitcoin before exploring other cryptocurrencies.

Ethereum

Ethereum is the second-largest cryptocurrency in the world by market cap. It’s commonly used for payments, similar to Bitcoin. But Ethereum also stands out for its pioneering of smart contracts, which have enabled a field of decentralized finance. Many up-and-coming coins rely on blockchain technology pioneered by Ethereum.

Altcoins

‘Altcoins’ is a catch-all term for any cryptocurrencies other than Bitcoin. It includes Ethereum as well as thousands of other cryptocurrencies big and small. Here are just some of the altcoins available to buy and sell at UK cryptocurrency exchanges like eToro:

  • Bitcoin Cash
  • Ripple
  • Dash
  • Litecoin
  • Cadano
  • Stellar
  • Dogecoin
  • Shiba Inu
  • Chainlink
  • Maker
  • Aave

Altcoins tend to be very volatile, meaning the price can swing wildly up or down. Litecoin and Bitcoin Cash are commonly accepted for payments, but many others aren’t. So, altcoins are best suited for active crypto traders.

The Best Crypto Wallet: eToro Money

If you’re looking for a crypto wallet, we recommend the eToro Money app. With eToro Money, you can use eToro’s low-cost exchange to swap one type of crypto for another. You can also monitor your non-crypto investments, like stocks, forex, and commodities, right alongside your crypto.

The eToro Money crypto wallet is completely free to use and it’s available for iOS and Android devices.

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How Much Does It Cost to Buy Cryptocurrency in the UK?

Buying cryptocurrency in the UK can be quite inexpensive. If you’re purchasing crypto through an exchange, there are typically 2 types of fees: commissions and spreads.

Commissions are flat fees that you pay every time you buy and sell cryptocurrency in the UK. They’re typically a few pounds. That isn’t much if you’re buying a lot of crypto, but it can be costly if you only want to invest £10 or £20 into a cryptocurrency. eToro never charges commissions for buying or selling cryptocurrency.

Spreads are variable fees that charge a percentage of your total transaction. Most exchanges in the UK charge spreads around 1.5% for buying and selling Bitcoin, but eToro only charges 0.75%. Watch out for exchanges that charge both spreads and commissions on the same trade, as these fees can add up to a lot of money.

Buy Cryptocurrency in the UK Today

Ready to buy cryptocurrency in the UK? You can get started today with our top-rated exchange, eToro. eToro offers more than 40 cryptocurrencies with low spreads, outstanding trading tools, and straightforward payment methods.

You can store your crypto right inside your eToro account or download the eToro Money app to get a free crypto wallet.

🏷️ Invest using eToro today!

FAQs

Is it legal to buy cryptocurrency in the UK?

Yes, it’s completely legal to buy crypto in the UK. You can buy crypto through dozens of online crypto exchanges.

What is the best platform to buy cryptocurrency in the UK?

We think eToro is the best platform to buy crypto in the UK today. This exchange offers exceptionally low fees for trading more than 40 popular cryptocurrencies.

How does a crypto exchange work?

Crypto exchanges work by matching orders to buy a particular cryptocurrency with orders to sell that cryptocurrency. The exchange makes sure that transactions go through and that money and crypto transfers are secure. They typically charge a fee for facilitating these transactions.

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