How To Buy Bitcoin in Australia

With over 4.7 million Australians already owning cryptocurrency, one can safely conclude that the "Land Down Under" is embracing the crypto wave. This enthusiasm is further fueled by the Australian government's decision to legalize cryptocurrencies, although it’s good to mention that these regulations are still in the evolving phase. 

In the vast sea of crypto opportunities, Bitcoin remains the number one choice for countless Aussie crypto aficionados. Many Australians choose the largest cryptocurrency by market cap over Ethereum (ETH), Cardano (ADA), Dogecoin (DOGE), and Binance Coin (BNB) — all readily available on CEX.IO. 

For those looking to tap into the Bitcoin market, we offer this comprehensive guide. In the lines that follow, we outline the process of buying Bitcoin in Australia using CEX.IO and explore various payment methods to ensure a smooth experience. 

What is Bitcoin (BTC)?

It's nearly impossible to have missed all the buzz around Bitcoin, even for those who lived under the rock for the last 10-15 years. This cryptocurrency has become all the rage after an anonymous individual, or group of individuals, hiding behind the name Satoshi Nakamoto, presented the groundbreaking document outlining a revolutionary concept. 

This concept encompassed a revolutionary digital currency that is able to operate independently of any central authority, a departure from the centralized nature of fiat currencies we are all accustomed to. 

How Bitcoin works?

Bitcoin was built on top of a distributed ledger called the blockchain. Here, each transaction is recorded on this public ledger, which helps create a secure and transparent system. To mine Bitcoin (create new coins), participants have to use powerful computers to solve complex mathematical problems. 

As a result, the first miner to successfully solve the problem is rewarded with a newly created Bitcoin. However, keep in mind that the number of Bitcoins created and those that can be mined is limited to 21 million units, which decreases over time. 

So, one key factor driving Bitcoin's value is its scarcity. As mentioned, there's a finite number of Bitcoins that can be mined, which creates a sense of scarcity that can drive up (and often it does) demand and prices, which, again, influences its value.

But despite its volatility, many people often choose Bitcoin over other cryptocurrencies for several reasons. Some see it as a hedge against inflation, believing that Bitcoin's value will appreciate over time. Others are attracted to the decentralized nature of Bitcoin, viewing it as a way to potentially escape the control of traditional financial institutions. Additionally, some people simply believe in the long-term potential of Bitcoin and its underlying technology.

Is it legal to buy Bitcoin in Australia?

Notwithstanding the hype around Bitcoin, this cryptocurrency is either forbidden or considered illegal in many countries. However, to the delight of Aussie crypto lovers, Bitcoin is legal in Australia and is treated as property. This means that buying, selling, receiving, and storing Bitcoin, as well as other cryptocurrencies, is permitted within the Australian borders.

What is the best way to buy Bitcoin?

Considering the legality of Bitcoin in Australia, the most obvious question is, how can one acquire it most effectively? Although there's no one-size-fits-all answer, following these guidelines can make your Bitcoin acquisition process smoother: 

• Choosing a licensed and reputable exchange like CEX.IO. 
• Verifying the availability of desired payment methods. 
• Understanding risk tolerance and financial appetites.
• Comparing transaction fees.
• Researching the platform's security measures. 

With these factors in mind, individuals may proceed with purchasing Bitcoin on the selected exchange. 

What is the best app to buy Bitcoin in Australia?

There are numerous platforms available for obtaining Bitcoin in Australia, each differing in various aspects. The ultimate decision rests with individuals and their personal preferences, which may be influenced by a variety of factors. 

One way to find the best app is by considering user experiences. For instance, the CEX.IO Mobile app has a 4,5 out of 5 rating on Google Play, which could indicate a generally positive experience among participants. 

While this shouldn't be the sole factor in choosing one app over another, ratings on reputable sources could be a good indicator of how well a particular app functions. 

It's also worth noting that CEX.IO offers mobile apps for both iOS and Android devices, easily accessible through respective app stores. However, for those who prefer using computers, CEX.IO also provides a user-friendly web platform compatible with Windows, Mac, and Linux operating systems. 

Step-by-Step Guide: How to Buy BTC in Australia

CEX.IO offers numerous pathways for Aussie enthusiasts to acquire Bitcoin in Australia. Crypto-savvy participants can obtain BTC through Spot Trading by trading Bitcoin against other fiat and crypto assets. On the other hand, those looking to acquire BTC beyond trading can utilize Instant Buy. 

This functionality is available across our web and mobile platforms and allows both beginners and experienced enthusiasts to buy Bitcoin with their favorite payment method at the current market price. Below, we outline the steps for buying BTC through Instant Buy: 

1. Register and verify your account with CEX.IO. 
2. Log in using your credentials. 
3. From the dashboard, navigate to Instant Buy. 
4. Choose BTC as your preferred cryptocurrency from the list of available assets. 
5. Select the fiat currency you want to use for your BTC purchase. Currently, our platform supports USD, EUR, and GBP currencies. Keep in mind your AUD will be exchanged for the chosen fiat currency prior to buying Bitcoin.
6. Specify the amount of fiat you want to spend acquiring BTC. 
7. Choose your preferred payment method from the list of available funding gateways. 
8. Follow the on-screen instructions to complete the transaction. 

Payment methods

When it comes to funding methods, Aussie participants can choose among a variety of payment gateways, including their favorite—debit and credit cards. Besides the cards issued by all major banks in Australia, this functionality also supports debit cards issued by Revolut and Wise as an added convenience. 

In addition to bank cards, our platform supports alternative payment methods, such as: 

• Bank transfers
• Skrill
• Neteller
• MoneyGram
• Google Pay
• Apple Pay
• Other cryptocurrencies (for those already holding other assets)

However, Australian customers should also bear in mind that these funding methods are subject to local and regional regulations. This means some payment gateways may be unavailable in their respective jurisdictions due to varying regulatory requirements. 

For example, CEX.IO also offers PayPal as a funding method. However, this way of funding one's account is only available for U.S.-based residents. For this reason, we advise all Ausse participants to conduct their own research and verify the availability of their desired payment methods prior to purchasing Bitcoin on CEX.IO. 

FAQs

How long does it take to buy Bitcoin?

The time it takes to obtain BTC can vary depending on several factors, including the verification process and payment method. Creating an account and verifying one's identity, which is a common practice among licenced and regulated exchanges like CEX.IO, can take anywhere from 4 (four) to 6 (six) minutes. Having one's ID and passport readily available can expedite the process. 

Also, depositing funds into an exchange account can take a few minutes to a few days, depending on the selected payment method. For example, bank transfers may take longer (2-7 business days) than credit or debit card deposits (typically up to one hour). 

But, when it comes to CEX.IO, once user funds are available (reflected on the customer's account), purchasing BTC can usually be completed within a few minutes. 

What are the fees for buying BTC?

The fees for buying BTC can vary between exchanges and payment methods. For example, CEX.IO has its own fee schedule based on the user's 30-day trade volume for all pairs, including those involving BTC. On top of that, customers should take into account the limits and commissions associated with specific payment methods. For example, deposit commissions on bank transfers are typically lower than credit and debit card transactions. 

Do I need a BTC wallet?

Yes, having a BTC wallet is mandatory for all participants looking to obtain, sell, or trade Bitcoin. When it comes to our platform, eligible participants from Australia receive a free CEX.IO Wallet upon registering. It's also worth noting our custodial wallet supports not only BTC, but also 200+ other vetted assets.