How to Replenish a Bitcoin Wallet. Methods of Replenishment

Interest in Bitcoin has been steadily growing since 2017, and over the last five years, the ways to buy this leading cryptocurrency are actively developing. Nowadays, there are four main methods that a crypto investor can observe:

• Cryptocurrency exchanges.

• Crypto exchangers.

• P2P exchange.

• Bitcoin ATMs..

All these methods have their pros and cons, and the choice is individual. Finally, we will tell you how to buy Bitcoin from your phone or computer and what ways are available.

Speaking about how to buy bitcoin, you first need to talk about the cryptocurrency exchange. Cryptocurrency exchange acts as an intermediary between the buyer and the seller. The buyer purchases Bitcoin from the seller at a certain price, and the exchange charges a fee for intermediary activities. If you want to buy Bitcoin, you must register on the trading platform, go through the verification procedure, fund your account, and open an order in the trading terminal. In this case, you must specify how much cryptocurrency you want to buy.

After the execution of the order, the funds will be credited to your wallet on the crypto exchange. Then you can continue trading on the exchange by exchanging Bitcoin for another cryptocurrency or fiat funds, or withdraw funds to the cryptocurrency wallet.

The advantages of trading through a crypto exchange are as follows:

• The most profitable rate. The exchange gives the market rate, and the commission is deducted as a percentage of the amount of the transaction.

• High liquidity. There is always Bitcoin on the cryptocurrency exchange. If you create an order, you can be guaranteed to buy the world's leading cryptocurrency.

• Ability to trade small amounts. This benefit applies to crypto exchanges with low commissions, where transactions with minimal volumes still allow you to keep most of the profits.

However, crypto exchanges are not the ideal way to buy BTC. This method also has certain disadvantages.

• Need for verification. Most modern crypto exchanges comply with the AML / KYC policy, so before buying this or that cryptocurrency, you need to upload scanned copies or photos of documents.

• Difficulties may arise. It can be challenging for beginners to understand the interface of a cryptocurrency exchange, so it often takes time to get used to.

The cryptocurrency exchange is generally suitable for experienced traders who have already worked with cryptocurrencies.

An exchanger is a service that replenishes a bitcoin wallet through a direct exchange for fiat currencies or another cryptocurrency. The exchanger can be a separate service or built into a bitcoin wallet or crypto exchange. The essence of this type of service is similar to the physical exchange of fiat currencies but is carried out online. To start exchanging, you must register on the platform or go to the appropriate section in the wallet. Next, you need to indicate which cryptocurrency you want to buy and how much, and specify the details. After that, the required amount will be debited from your card or another wallet. Finally, after processing the transaction in the blockchain, your crypto wallet will be replenished.

Exchangers have several significant advantages:

• High speed. The exchanger is the fastest way to buy cryptocurrency. As a rule, the exchange is made in just a few minutes. The transaction may be delayed due to the long processing time on the network and can be up to 30-40 minutes, but it is still faster than other methods.

• Ability to process any amount. The exchanger allows you to buy bitcoin in any amount. Transactions can be both very small (for a couple of dollars) and very large (but still limited by the reserve of the exchanger).

• The ability to buy bitcoin in any way. For example, you can use a bank card or an electronic wallet.

However, the exchanger also has its drawbacks:

• Limited reserve. Each exchanger has a certain reserve for each cryptocurrency. If demand is very high, the reserve may run out, and Bitcoin may become unavailable for transactions.

• Different exchange rates. Each exchanger's rate can vary, so it is essential to carefully monitor the services to find the best deal.

• The presence of commissions. As well as the exchange rate, the commissions for all exchangers are different and can be pretty big for large amounts.

Exchangers are the easiest way for those who want to replenish a bitcoin wallet from a card or an electronic wallet.

P2P exchange is an option for those who want to buy cryptocurrency bypassing cryptocurrency exchanges or exchangers and intermediaries, but to have some guarantee. The peculiarity of such services is that here the coins are transferred directly. There is a buyer, and there is a seller; they communicate with each other, transfer, and pay. At the same time, P2P exchanges have the opportunity to submit different applications. For example, the seller can post an order with an offer to sell a certain amount of bitcoins, and the buyer can place an order with an offer to buy a certain amount of coins accordingly. The platform where the exchange takes place is a guarantor of the honesty of the transaction.

P2P sharing has several significant benefits, including:

• Direct exchange. This is a straightforward way in which there are only two parties without intermediaries.

• Opportunity to choose the right course. In the case of a P2P exchange, buyers and sellers determine at what rate to conduct a transaction.

However, P2P exchange also has some drawbacks.

• Waiting time. Often it takes some time until the second party confirms the transaction.

• Not always a user-friendly interface. It is individual for each service and user, but when performing an exchange on a P2P platform, people may encounter difficulties.

In general, P2P exchange is suitable for both beginner crypto enthusiasts and more experienced investors. The most important thing here is to choose a P2P site with good reviews and strictly follow its rules.

This method is only gaining popularity. It works on the principle of a typical ATM or terminal. Cryptomat or Bitcoin ATM is a special device with which you can buy or cash out cryptocurrency. It doesn't matter what you use: cash from your wallet or a bank card; you can purchase bitcoin.

The main advantages of a cryptomat are as follows:

• The ability to buy digital assets for cash. If you are unable to transfer money online, you can use cash.

• Fast transfers. By default, funds are credited within 10 minutes. However, the transfer may be delayed if the load on the blockchain increases.

• Convenient method. Topping up your bitcoin wallet is easy. Follow the instructions on the screen of the cryptomat, and there will be no problems.

However, cryptomats also have disadvantages.

• High commission. It can reach 6%. This is much higher than exchanges, exchangers, or P2P platforms.

• Cryptomats are not very popular. So far, very few of them exist in the world, and you will hardly find such a machine in a small town.

Thus, you have four main options if you want to replenish your wallet. You can choose any that suits you in this situation. If you prefer to buy bitcoin on an exchange or via an exchanger, do not forget to check the current exchange rate and offers on the platform because the cost of bitcoin is constantly changing.