Skip to content
How2BuyCrypto

Buying · Guide

How to Buy Crypto: A Step-by-Step Guide for Beginners

Learn how to buy crypto: check a platform is registered in your country, verify your ID, add money, place a small first order and check every fee.

Author
How2BuyCrypto Editorial
Last updated
Updated
Reading time
10 min read

Written with AISources checked How our guides are made

At a glance

  • Before you confirm an order, find the fee, the total you pay and the crypto you get. If one is missing, ask support first.
  • Compare what a bank transfer and a card cost and how long each is held, then choose between a market order and a limit order.
  • As of October 2026, some platforms hold deposited money, and the crypto bought with it, for days before you can withdraw. Check the hold first.
  • On a platform, crypto is usually not covered by deposit insurance such as the US FDIC, and sends typically cannot be undone.
On this page11 sections
  1. What you need before you start
  2. How to buy crypto for beginners, step by step
  3. Example with made-up numbers
  4. Check registration before you deposit
  5. Fees to expect
  6. Payment methods compared
  7. How to store crypto safely
  8. Crypto taxes by country
  9. Risks to understand
  10. Frequently asked questions
  11. Sources

To buy cryptocurrency for the first time, you choose a platform, open and verify an account, add money and place an order. Check a platform's registration in your country before you send it any money (see the registration check).

What you need before you start

  • Identity details for verification.
  • A payment method, such as a bank account or a debit card in your name.
  • A phone for two-factor authentication, pen and paper for backup codes, an email address and a small budget.

If you are not sure what you are buying, read what cryptocurrency is first.

How to buy crypto for beginners, step by step

  1. Choose a crypto exchange or a broker app

    A crypto exchange is a marketplace where you trade money or other crypto for coins. A broker app is an investing app that also sells crypto.

    Before you sign up, read the fee page and help center. Check four things (more in how to choose a crypto exchange):

    • It is registered or licensed where you live (registration check) and serves your country (how to check that an exchange serves your country).
    • Cost. The fee page lists rates, but the order screen shows the total for your order.
    • It accepts your payment method.
    • Withdrawals: whether you can send crypto to your own wallet, and at what cost.

  2. Create and secure your account

    Sign up with your email and a password you use nowhere else. Then turn on two-factor authentication (2FA), a second check besides your password, and choose the strongest option the platform offers.

    If it offers a security key, a small device that connects through a port or Bluetooth, CISA says (opens in a new tab) phishing scams don't work against it, because only the key owner has physical access.

    Write any backup codes on paper. Log out and back in to confirm your 2FA works, and fix any problem with the help center before you deposit. For more on locking down the account, read how to secure your crypto exchange account.

  3. Verify your identity

    Enter your personal details and any documents the platform asks for. Platforms call this check KYC (know your customer): as of October 2026, Crypto.com says (opens in a new tab) you need to prove your identity and perform KYC to use its custodial app. Read what crypto KYC verification involves before you start. Do this only inside the platform's own app or website. If verification is rejected or stalls, ask support from inside the app which item is missing.

  4. Add money to your account

    Open the deposit screen and choose a payment method. Before you confirm a deposit, find the fee on the deposit screen and any wait before the money or the crypto bought with it can be withdrawn. When the money arrives, compare it with the amount and fee the screen showed. If they do not match, ask support before you deposit again.

  5. Place your first order

    Open the buy screen, choose the coin and enter the amount you want to spend. A market order (opens in a new tab) gives the most certainty that your order will be filled, though you might not get the price you saw. It is usually simpler when getting the order filled matters more than the exact price.

    A limit order sets the highest price you will pay, so it may not fill at all. Robinhood in the US says (opens in a new tab) it adjusts crypto market buys to limit orders buffered up to 1%, so they will not execute if the price rises more than 1% after you place them.

    Before you confirm, check:

    • the right coin is selected;
    • the payment method;
    • the minimum purchase;
    • every fee shown;
    • the total you will pay;
    • how much crypto you will get;
    • whether the money or the coin is held before you can move it.

    If a fee is higher than the fee page says, or one of these numbers is missing, do not confirm. Ask support first.

    After you confirm, find the order status and receipt in the app's order history. If the order does not show up, check there again before you reorder, so you do not buy twice. Save for your records (which crypto records to keep):

    • the date, the time and the coin;
    • the amount of crypto;
    • the total paid and each fee;
    • the receipt or a screenshot.

  6. Decide where to keep your crypto

    Once the order fills, the crypto stays in your account unless you move it to a wallet you control. Before you move anything, read the storage section.

Example with made-up numbers

The amounts and fees below are invented.

  • You deposit 100 by card. A 1 deposit fee is taken, so 99 arrives.
  • You place a 99 order for Coin X. A 1 trading fee is taken from it, leaving 98 to spend.
  • The price per coin shown on the buy screen is 2.00, so 98 buys 49 Coin X.
  • You paid 100 in total for 49 Coin X, which is about 2.04 per coin, against the 2.00 price shown.

Your order receipt shows both figures for a real purchase.

Check registration before you deposit

Look for the legal name of the company that provides the crypto service in the platform's footer or terms, then search that name in the register for your country.

As of October 2026, the registers to use are:

Search the register yourself. Some bad actors might falsely claim to be registered (opens in a new tab) and even show doctored information.

Fees to expect

The spread (opens in a new tab) is the difference between the bid, the highest current offer to buy, and the ask, the lowest current offer to sell. Market makers make their money on the spread (opens in a new tab), so it is a cost built into the price even when no fee is listed. For how each fee works, read how crypto exchange fees work. For how fees weigh on a first order, read the costs of a small Bitcoin purchase.

FeeApplies toWhen you pay itWhere to check
Trading feeBuyingOn an order, if the platform charges oneFee page, order screen
SpreadBuyingMarket makers earn it; it is built into the priceBuy and sell prices, if the order screen shows both
Deposit or card feeBuyingWhen you add moneyFee page, deposit screen
Currency conversionBuyingIf you pay in another currencyOrder screen, fee page
Withdrawal feeSending outWhen you send crypto off the platformWithdrawal screen, fee page
Network feeSending outOn each send, paid to the blockchain networkWithdrawal screen

If the withdrawal screen shows one fee, check whether it includes the network fee.

Payment methods compared

Payment methods, rates and holds differ by country and platform. Before you deposit, compare the fee or rate for each method, any hold before you can withdraw the money or the crypto bought with it, and any fees your card issuer may add. Look on the deposit screen and the fee page.

As of October 2026, here is a local bank-transfer method in each core market, with one platform that takes it:

For the steps, read how to buy crypto with a bank transfer. For a side-by-side look at two of the usual choices, read debit card vs bank transfer.

How to store crypto safely

When a platform holds your crypto, it is custodial: the platform, not you, controls the private keys that control the coins. With self-custody you hold the keys yourself, in a wallet app or device.

As of October 2026, deposit insurance does not usually cover crypto in the US or UK. In the US, FDIC insurance does not apply (opens in a new tab) to crypto assets. In the UK, the FCA says (opens in a new tab) crypto is largely unregulated, so it is highly unlikely you will be covered by the Financial Services Compensation Scheme.

Before you move crypto to a wallet of your own, read how to store crypto safely and how to send crypto to your own wallet.

Crypto taxes by country

As of October 2026: tax rules differ by country. Keep the records from your purchase wherever you live, and read how to sell crypto and cash out before you sell.

United States

The IRS treats (opens in a new tab) digital assets as property, not currency. Selling, swapping one coin for another or spending crypto means answering Yes to the digital asset question on Form 1040, and selling or disposing of crypto can create a capital gain or loss. The answer is No if you only bought with dollars and did not sell.

You report digital asset transactions on your own return whether or not they result in a taxable gain or loss. A broker's Form 1099-DA is information reporting for transactions on or after January 1, 2025, and the IRS says it helps you file your return.

United Kingdom

HMRC says (opens in a new tab) you may need to pay Capital Gains Tax on a gain when you dispose of crypto, including by selling it, swapping it for another cryptoasset or spending it. If your total gain for the tax year (6 April to 5 April) is above the tax-free allowance, you must report the gain and pay.

EU and EEA

Tax rules are set nationally. Check your country's tax authority.

Canada

The CRA says (opens in a new tab) a disposition of crypto may occur when you trade or exchange it for currency or another crypto-asset, or use it to buy goods or services. The result may be business income or a capital gain. In Canada, transfers between wallets you own are not a taxable disposition.

Elsewhere, check your country's tax authority.

Risks to understand

  • Price swings. The UK's FCA warns (opens in a new tab) you should be prepared to lose all your money, for reasons including sudden market moves, the failure of a firm, poor segregation of client funds or cyberattacks.

Before you buy, read the guide for your coin, or Bitcoin vs Ethereum if you are still choosing between those two:

If you plan to move crypto to a wallet of your own, first read what a seed phrase is and how to keep it safe. Some wallets call it a recovery phrase.

Frequently asked questions

How much money do I need to buy crypto for the first time?

As little as the platform's minimum purchase allows, and you do not need to buy a whole coin. Find the minimum on the order screen or in the help pages. As US examples in October 2026, Robinhood lists $0.01 and Binance.US lists $1 on select assets. Crypto.com sets a $10 minimum per card top-up, which is a deposit minimum, not a purchase minimum. Start small, because you could lose all the money you put in.

Can I buy crypto without verifying my identity?

Expect to verify your identity. If a platform offers to skip verification, repeat the registration check before you deposit anything. The rules differ by country, and the guide to crypto KYC verification has a table by country.

Do I need a wallet before I buy crypto?

No. You can place an order and leave the crypto in your platform account. A wallet you control matters only if you later move crypto out, and you set it up before you send anything.

Sources

  1. Fact Sheet: What the Public Needs to Know About FDIC Deposit Insurance and Crypto Companies, Federal Deposit Insurance Corporation. Accessed .
  2. What To Know About Cryptocurrency and Scams, Federal Trade Commission. Accessed .
  3. Digital assets, Internal Revenue Service. Accessed .
  4. Questions & Answers - General Information about the MSB Registrant Search Web page, FinCEN (US Treasury). Accessed .
  5. Scam alert: Scammers luring investors onto fake crypto-asset trading platforms, Australian Securities and Investments Commission (ASIC). Accessed .
  6. Order Types, FINRA. Accessed .
  7. Exchange-Traded Funds and Products, FINRA. Accessed .
  8. Check Registration: Sellers and Investments, FINRA. Accessed .
  9. Phishing Resistant MFA is Key to Peace of Mind, Cybersecurity and Infrastructure Security Agency (CISA). Accessed .
  10. How to check a firm or individual is authorised, Financial Conduct Authority. Accessed .
  11. Crypto: The basics, Financial Conduct Authority. Accessed .
  12. Markets in Crypto-Assets Regulation (MiCA), European Securities and Markets Authority (ESMA). Accessed .
  13. Checking Registration, British Columbia Securities Commission. Accessed .
  14. Check if you need to pay tax when you sell cryptoassets, HM Revenue & Customs (GOV.UK). Accessed .
  15. Reporting income from crypto-asset transactions, Canada Revenue Agency. Accessed .
  16. What are the differences between the Crypto.com App and Crypto.com Onchain?, Crypto.com. Accessed .
  17. Spread, U.S. Securities and Exchange Commission. Accessed .
  18. Buying and selling crypto, Robinhood. Accessed .
  19. How to Buy Cryptocurrency, Binance.US (BAM Trading Services Inc.). Accessed .
  20. Top up to USD Account via Debit Card, Apple Pay and Google Pay, Crypto.com. Accessed .
  21. GBP Deposit by Bank Transfer, Crypto.com. Accessed .
  22. Retail Users | EUR Fiat Deposit and Withdrawal via SEPA (Exchange App), Crypto.com. Accessed .
  23. CAD Deposit via Interac Standard Transfer, Crypto.com. Accessed .
  24. AUD Deposit via PayID, Crypto.com. Accessed .

This guide was researched and written with AI using the sources above. It is general information, not financial advice. Cryptoassets are volatile and you could lose the money you invest. Check the rules in your country before you buy. Some links on this site may be affiliate links; they never change what we write. Spotted an error? Email contact@how2buycrypto.org.

More guides