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Could be strongly believe everyone should had heard of Bitcoin, the most popular and very first cryptocurrency in the world. Since the surge of the use of cryptocurrency, everyone shows interest to Bitcoin. We’re not discussing about what is Bitcoin, why use Bitcoin and any topic related to this since you could read and know more about Bitcoin just by performing a search on Google.
However, Bitcoin is not the only cryptocurrency nowadays, there’s more such as Bitcoin Cash, Litecoin and they’re still increasing in amount but we’d be targeting Bitcoin as main here.
Okay so now you found us because of you maybe wondering is it possible to buy Bitcoins anonymously with credit card, before buying Bitcoin with credit card there are things you need to know so let’s get into the topic now.
(Don’t waste time on purchasing fake cryptocurrencies!)
Buying Bitcoin as if currency conversion
Although we’re telling buying Bitcoin is like currency conversion but we’re not gonna to explain what is currency conversion into details here as you do not need to thoroughly understand currency conversion, we’re not digging into it any deeper either. But why this as if?
When you’re buying Bitcoin you’re exchanging from Your Currency to Bitcoin (BTC) at an exchange rate and of course with fees from a few parties, most peoples tend to use the credit card for purchasing something online so this behavior could come into play here.
After all buying something online using credit or debit card is handy, right?
Obtaining Bitcoin in “Anonymous” mode
According to our subtle research, if a merchant allowing you to buy Bitcoin anonymously especially with credit or debit card then it is much worth your time to pay attention and be aware on it.
We have to say this as we couldn’t found any merchant that do not need customers to pass Know Your Customer (KYC) verification thus now for buying Bitcoin with credit card, do you think if this is good news? Well maybe there is for limit purchase without the need of KYC.
Most merchants need you to verify your identity so that they would know who is making this purchase specifically, this is to protect both themselves and buyers from frauds and chargebacks. This is a standard rule and natural law to follow in this industry.
Although we couldn’t found any “Anonymous Bitcoin Purchase with credit card” merchant online, it doesn’t mean that there has no and it is impossible, even though there has and it is possible also doesn’t mean it is legal.
Kindly reminder!
Do not simply enter your credit card details online even someone seems true and legal, potential scammers could steal your entered information and conduct unauthorized transactions on your credit card. This leads too many troubles and messes.
You need a modern Bitcoin wallet, before purchase
We believe that you have a Bitcoin wallet ready, do you? There’s countless Bitcoin wallet that you could choose from for your own use. Bitcoin wallet stores your Bitcoin, let you send and receive Bitcoin simultaneously.
As per our suggestion, we recommend Bitcoin wallet that with buying cryptocurrencies feature. Some Bitcoin wallets allow you to buy Bitcoin straight in the wallet, payment options from bank transfer to credit card which are much more convenient than traditional Bitcoin wallet.
Fees on credit card purchases for Bitcoin
If you’re financial free then you probably won’t care so much about fees when spending with your credit card, do share your success story if so and you could save lives.
As the title says, there are fees when you buy Bitcoin with your credit card depends on the service provider. As a consumer, you should know the fees structure involved in credit card purchases for Bitcoin. You might be confusing by this, what to take note on this?
Normally you compare the fees on nutshell, but adding the fees onto the exchange rate is something that you need to know. You would hardly found merchant that using mid-market rate for Bitcoin purchases. There’s different fees structure, let’s make some comparison examples below for reference and also let’s see how and what is it. The direction we would be using below is Bitcoin (BTC) to US Dollar (USD).
Merchant 1
Claiming zero processing fees, you only pay Bitcoin Network Fees. Let’s find out below.
The mid-market rate of Bitcoin (BTC) to US Dollar (USD) is $19568. Merchant 1 set own exchange rate from $19568 to $20358, so merchant 1 actually have the “fees” added onto the exchange rate.
Example/Calculation
If you buy 1 BTC using mid-market rate, you pay $19568 + Bitcoin Network Fees
If you buy 1 BTC using merchant 1’s rate, you pay $20358 + Bitcoin Network Fees
You ended up paying $790 as fees on 1 BTC’s purchase, fees charged from merchant 1.
Merchant 2
Claiming lowest processing fees, you would pay Processing Fees + Bitcoin Network Fees.
Let’s find out below.
The mid-market rate of Bitcoin (BTC) to US Dollar (USD) is $19568. Merchant 2 set own exchange rate from $19568 to $20051, so merchant 2 also have the “fees” added onto the exchange rate plus an extra 2% processing fees.
Example/Calculation
If you buy 1 BTC using mid-market rate, you pay $19568 + Bitcoin Network Fees
If you buy 1 BTC using merchant 2’s rate, you pay $20051 + 2% Processing Fees + Bitcoin Network Fees
You ended up paying $884 as fees on 1 BTC’s purchase, fees charged from merchant 2.
Is Bitcoin your choice to use
As a human being, you’re easily get enticing to something widely spread and not to mention you’re seeing peoples are all around it to discuss. Bitcoin is Bruce Lee in the cryptocurrency world and community as it created uproar so others could follow and bring more cryptocurrencies.
You take time to read what is it about and try to get to know it, so do you think that you should use Bitcoin in your daily routines? Bitcoin is fluctuating very much in value, it’s fees could be high depends on network congestion, although Bitcoin might not suitable for everyone while it is still gaining large popularity in use.
So what do you think, do you still wanna to use Bitcoin?
Conclusion
Almost every consumer is looking to pay with credit card to buy something online as credit card is widely used payment option and it is very useful, not to mention that buy Bitcoin with credit card is now no doubt possible.
Nevertheless, there’s no best, payment option depends on situation. Why pay using credit card when you could pay with cheaper local transfer, right? Be a smarter consumer with wiser decision, make your own research to decision and save yourself from doom.
If you have a thought, please feel free to leave your comment below.
