How To Buy Bitcoin and Other Digital Assets in Australia?

Even if you casually follow financial news, you've likely heard that cryptocurrencies are revolutionizing the way people send and receive money. While the media often focuses on market buzz and price shifts, they rarely delve into the history and technical details of these digital assets. That’s why it’s important to understand a little bit of the history behind crypto and how it works, before putting your money on the line.

So before we get into the specifics of how to buy crypto using an exchange, let’s brush up on our crypto knowledge with a brief sidebar on the origins of the ecosystem.

What Is a Cryptocurrency?

To grasp the concept of cryptocurrencies, it's essential to start with the basics. And nothing is more fundamental to crypto than Bitcoin, and its revolutionary augmentation of blockchain technology. Bitcoin, introduced in a 2008 white paper titled “Bitcoin: A Peer-to-Peer Electronic Cash System” by the anonymous Satoshi Nakamoto, was the first cryptocurrency. This groundbreaking technology, built on a blockchain, marked the advent of decentralized finance.

A cryptocurrency, or crypto for short, is a digital asset that is rendered as a line of code, and stored on a digital ledger called a blockchain. Bitcoin's introduction led to a surge of new cryptos, with developers finding innovative applications for blockchain technology. Today, hundreds of cryptocurrencies are available on exchanges like CEX.IO, though availability can vary due to regional regulations.

Unlike traditional currencies issued by governments, cryptocurrencies derive their value from market demand. This lack of intrinsic value leads to significant price volatility, sometimes resulting in scams masked as innovation. In that regard, cryptocurrencies are more akin to stocks or precious metals in how their prices respond to the demands of the market.

While cryptocurrencies may not have intrinsic value in a financial sense, many cryptos perform specific functions to uphold the networks on which they are built. Some crypto is governance tokens, meaning whoever owns them has voting rights and a partial say in how that blockchain network’s protocol operates. Other examples include utility tokens, which help facilitate data transfers on a network, and unique non-fungible tokens, or NFTs, that can manifest as one-of-a-kind works of art, digital land in virtual, online worlds. Despite the speculative focus, developers continue to explore diverse use cases for crypto.

What Is a Cryptocurrency Exchange?

Cryptocurrencies operate on individual blockchains, but exchanges serve as central hubs where different cryptos can be bought and sold. Think of a crypto exchange as a major train station where various train lines converge. CEX.IO acts as the central station of crypto, enabling you to trade multiple assets in one place.

What you should know about Australian crypto regulations

Laws around trading cryptocurrency in Australia have historically been favorable to the industry, with the state opting to let the markets regulate themselves. However, recent market instabilities and bad actors have prompted the government to consider formal regulations by 2025. Audits and assessments are underway to identify structural weaknesses and implement market safety measures. 

All that notwithstanding, Australia remains enthusiastic about the potential future crypto could hold for individuals and institutions alike. Currently, Australian users can access CEX.IO’s full suite of services. With over 15 million global users, CEX.IO is one of the biggest, most trusted bitcoin trading platforms in the world. CEX.IO continues to receive accolades and positive cryptocurrency exchange reviews from individuals and businesses alike maintaining its status as a respected platform recognized by the FinTech Breakthrough Awards and CCData.

Why To Choose the CEX.IO Crypto Exchange Platform

Online communities, such as Reddit, recommend CEX.IO for learning bitcoin trading. The platform offers numerous tools for buying crypto with credit/debit cards, bank accounts, or other trusted payment methods. Trusted partners like Apple Pay, Google Pay, and PayPal are fully integrated, along with Visa and Mastercard.

Beyond buying and selling, you can engage in live bitcoin trading on the CEX.IO Spot Trading platform or focus on long-term growth with CEX.IO Earn through Savings and Staking programs. Staking can potentially present a lower-risk alternative to traditional trading. By earning crypto rewards through savings or staking, you can grow your portfolio in the background by making your assets work for you. 

How To Buy and Sell Cryptocurrency on CEX.IO: A Step-by-Step Guide

Now that you understand a little bit more about the history of crypto, how blockchain works, and the best techniques for spotting an above-board exchange, it’s time to move on to the actual business of buying and selling crypto. But before we jump ahead, let’s set up the payment method you’ll use to buy your crypto. 

You can connect credit/debit cards and bank routing numbers directly to your CEX.IO accounts to easily purchase crypto from a web browser or mobile device. This same principle applies to Apple Pay and Google Pay: having your payment instruments ready allows the platform to suggest them as valid forms of payment, streamlining your crypto purchasing process.

How Do I Buy Crypto on CEX.IO?

After you have your payment methods registered to complete transactions, here’s how to buy crypto from a desktop web browser:

1. Login to your CEX.IO account.
2. Click the dropdown menu on the upper left, and choose Instant Buy from the center column.
3. Click on BTC to open the list of available digital assets. Scroll through the list to choose the currency you wish to purchase.
4. Select the amount of the crypto you wish to purchase or enter the custom amount in the last box.
5. Once you’re satisfied with the amount, click Buy to proceed with the transaction.
6. Double check the pricing, then enter your CVV/CVC code, and click the box to confirm you understand the terms and conditions of the transaction.
7. When you’re all set, click Proceed to confirm the transaction.

Now you know how to buy crypto using the CEX.IO Instant Buy feature. Please note that you can follow these steps to buy any other digital asset currently listed on the platform. Additionally, CEX.IO offers some of the cheapest commission rates around.

How Do I Sell Crypto on CEX.IO?

Now that you have some crypto in your possession, let’s learn how to sell crypto from a desktop browser quickly and easily:

1. Login to your CEX.IO account. Click on the Wallet in the upper left drop-down menu. 
2. On the Wallet Dashboard, scroll down to the asset you wish to sell, then click Withdraw in that same row.
3. Enter the amount of the crypto you wish to sell, and select where to send funds — a card or bank account.
4. Once you’re satisfied with the amount and deposit location, click Proceed to continue with the transaction.
5. Double check the pricing, and click the box to confirm you understand the terms and conditions of the transaction.
6. When you’re ready, confirm the transaction.

Now you know how to buy and sell crypto on CEX.IO. Please note that to sell crypto on the exchange, you must first have this crypto in your account. 

How To Buy and Sell Bitcoin (BTC) in Australia Using the CEX.IO App

Similar to the example above, it’s important to have your payment methods registered in the CEX.IO App before attempting any transactions. You can connect credit/debit cards and bank accounts, as well as choose from Apple Pay and Google Pay to buy crypto on your iOS or Android device.

How Do I Buy Bitcoin (BTC) With the CEX.IO Wallet App?

Now that you have your payment methods registered and ready to purchase crypto, let’s buy bitcoin using the CEX.IO App:

1. Open the CEX.IO App, log into your account, and complete the 2-factor authentication.
2. Click Buy on the home screen.
3. Select the purchase amount or type in the amount of BTC you wish to buy.
4. Choose the payment method by tapping on the Pay With field, then click Buy at the bottom of the screen.
5. On the next screen, confirm the transaction by clicking the side button of your device.

Now you know how to purchase bitcoin (BTC) on both CEX.IO desktop wallet services and the CEX.IO App. Please note that if you wish to buy any other digital asset, you can repeat the above steps and simply select a different crypto. 

How Do I Sell Bitcoin (BTC) With the CEX.IO App?

Let’s outline how to sell bitcoin (BTC) using the CEX.IO App.

1. Open the CEX.IO App, log into your account, and complete the 2-factor authentication.
2. Click Send on the Wallet tab.
3. Select the asset (BTC) you wish to sell from the menu. Note: you must already have BTC in your wallet for it to be available to sell.
4. Type in the amount of BTC you wish to sell.
5. Select where you would like the money deposited from the sale, then click Proceed at the bottom of the screen.
6. On the next screen, confirm the transaction by clicking the side button of your device.

Now you know how to sell bitcoin (BTC) using the CEX.IO App on both desktop and mobile devices. Please note that if you wish to sell any other digital asset, you can repeat the above steps for any crypto you currently own.

How People Can Benefit From the Crypto Ecosystem

Cryptocurrencies like Bitcoin offer many ways to engage with the ecosystem beyond just sending funds and trading assets. Here are some general facts about how people interact with the crypto market:

Long-Term Holding: One common strategy is to hold onto digital assets for an extended period. This approach is based on the belief that the value of these assets will appreciate over time.

Spot Trading: Spot trading involves buying and selling cryptocurrencies quickly to take advantage of market fluctuations. While exciting, it can also be exhausting due to the 24/7 nature of crypto markets.

Staking and Saving: Platforms like CEX.IO offer staking and saving services where users can earn rewards by holding or locking up their assets. These services provide a way to grow crypto holdings passively regardless of the exchange rates.

Market Research: Before engaging in any crypto transaction, thorough research is essential. Understanding a digital asset's fundamentals, market trends, and potential risks helps in making informed decisions.

Risk Management: Assessing your financial situation, checking current exchange rates, and understanding potential losses are crucial steps. It's vital to set a realistic threshold for losses you can comfortably absorb.

While engaging with cryptocurrencies can be thrilling and offer numerous possibilities, it's essential to stay informed and cautious. Crypto markets are volatile, and understanding the risks involved is important for anyone entering this space.

How To Exchange Bitcoin for Cash

One of the benefits of using cryptocurrency like Bitcoin is its liquidity and ability to be traded for numerous fiat currencies. With the Convert feature in CEX.IO's Wallet services, you can exchange your Bitcoin or other digital assets for the currency of your choice.

By selling your crypto, you can withdraw funds to a credit/debit card, bank account, or another payment method. Follow the steps below to transfer your Bitcoin to your preferred destination.

1. Click Sell on the home screen of the app.
2. Pick the asset you want to transfer.
3. Then, click To (Select the payment method), and choose where you’d like the balance to be credited.

Additionally, CEX.IO Wallet app users can manage their digital assets by performing the following actions:

1. Clicking on the Wallet icon in the bottom left corner of the home screen.
2. Then, select from the Buy, Receive, Send, and Convert features.

To learn more about what other types of crypto-to-crypto or crypto-to-fiat transactions are available for your digital assets, visit the CEX.IO platform to explore the possibilities.