Cheapest provider to buy bitcoins (and other cryptos)

bitcoin growth late 2017
bitcoin growth late 2017

Bitcoin value is almost back at $10,000 at the time of writing. Lower the peak in January, but still 10 times the value of 1 year ago. In financial terms, that’s a return on investment (ROI) of much more than the 1000%. Not bad compared to an average 3-7% average on traditional investments. Definitely more volatile but lots of people consider buying some cryptocurrencies, and hold them.

Will the increase continue ?

The nature of the cryptocurrencies are spikes and collapses, but overall a great increase. Nobody can tell what will happen in the next years coming, but more than one noteworthy authoritative people said it should keep growing (read here and here), reaching even $1M by 2020. That would mean 90 times the value now. $1000 (less than a Starbucks coffee a day for one year) bought now would become 90,000$ in 3 years.

If you don’t believe in bitcoin or you don’t want to put all your eggs in the same basket, but you believe that cryptocurrencies overall will grow in value (read some interest insights on reddit and  quora), then you can distribute your purchases among the main cryptocurrencies, in a “index-fund” way (basically investing a certain amount spread amont those currencies, in proportion with the market share of each one). Use this site to see all the cryptocurrencies ordered by market capitalisation (the total money invested in each).

If you are scared of fluctuations and bubbles, you can use the dollar costing average simple strategy:  buy a bit every week, so that in the long run you’ll pay the average price and limit the risk of buying at high prices.

 

Where to buy (using Dollars, Euros, British pounds or any other currency)

Coinbase is regarded as one of the most famous exchange. I’ve also recently discovered Bitpanda, that is equally secure, lets you buy DASH (in addition to big ones: Bitcoin, Etherum and Litecoin) and it’s also cheaper. At the time of writing (BTC at ~11k) one bitcoin on bitpanda costs around $400 less than coinbase (see screenshot below, in euros).
Once you have your bitcoins, then you can easily move them for free (or with commission close to zero) from one exchange to another (coinbase, bitrex, poloniex etc..) with just the bitcoin address, and – of course –  without bank transaction fees.

Join Coinbase with this link, and you’ll get 10$ of free bitcoin.

Note: I’m not a financial advisor, I’m not responsible for your investments and losses, nor I suggest you should buy. Buy at your own risk and only invest the money you are prepared to lose. Suggested reading here before buying.

Coinbase price for 0.01 BTC
Coinbase price for 0.01 BTC: 100.25 EUROS

Bitpanda price for 0.01 BTC:  96.67 EUROS

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