Bitcoin Cash is a cryptocurrency that serves as a “store of value.” Its objective is to allow people to make payments to one another. In 2017, a ‘fork’ of Bitcoin was created to provide faster and cheaper transactions than Bitcoin itself. Bitcoin Cash has a market capitalization of over $7 billion, and about $5 billion worth of BCH is transacted every day.
Steps on buying a Bitcoin Cash
On a cryptocurrency exchange, Bitcoin Cash (BCH) can be acquired. These are specialized marketplaces that act similarly to stock trading platforms and allow you to purchase and sell cryptocurrencies. Here’s what you need to know.
Compare cryptocurrency exchanges
Cryptocurrency exchanges provide similar services, but they differ in a few significant aspects, namely in terms of costs, the number of cryptocurrencies offered, and payment methods.
Customer service, user evaluations, the convenience of use, and whether or not the exchange is registered locally are all things to think about.
Choose an exchange to buy BCH and create an account
An email address is required to open an account on any cryptocurrency exchange. It’s a good idea to have your phone number and photo ID handy in case you’re asked for them.
Verify your identity with the exchange
Before you can deposit funds and start trading Bitcoin Cash, an increasing number of cryptocurrency exchanges will require you to authenticate your identity.
The Know Your Customer (KYC) procedure necessitates photo identification and the use of a camera or smartphone. To verify your address, you may need to produce a current bank statement or utility bill.
While some exchanges will let you deposit and trade cryptocurrencies without having to go through KYC, they will not let you transfer local cash from your bank account. So, if you want to buy BCH with your local currency, you’ll have to go through KYC.
Once your identity has been verified, you must enable two-factor authentication (2FA). This will help to protect your assets while also enhancing account security.
Deposit funds
After you’ve created your account, you’ll need to fund it to purchase BCH. You can deposit local cash via a bank account or credit card, or you can transfer bitcoin from another exchange or wallet.
Bank account
Transfers from local bank accounts are usually free but check with your chosen exchange.
Credit or Debit card
Linking a card to your account is another simple way to top up your account, but keep in mind that it normally comes with a cost. One advantage is that you may make fast purchases or set up regular transactions using a credit card.
Cryptocurrency
BCH is commonly purchased by exchanging it for another cryptocurrency, such as Bitcoin or a stablecoin. However, because this fluctuates per exchange, you’ll need to look for BCH on the spot market to see what cryptocurrencies it can be exchanged for.
Buy Bitcoin Cash
You’re all set to buy BCH now. The simplest way to do this is to use the ‘quick buy’ tool to acquire it at a predetermined price (if the exchange offers this feature).
You can also open a deal in the spot market, which allows you to select your price – this is the most common method of buying bitcoin. Instant buy is easy to operate, but frequently more expensive than the spot market.
You should evaluate the market conditions before making your buy. This will assist you in determining whether now is the ideal time to buy and how it has performed recently.
Storing your BCH
You have the option of keeping your BCH on the exchange where you bought it or moving it to a personal wallet:
Some users prefer to utilize their wallets to ensure complete ownership of their assets, or to use them in conjunction with other apps such as Defi services.
