After this Guide, you will know and understand how to Buy Bitcoin on Coinbase. I will also give you a little tip on how to avoid Coinbase fees.
If you’re reading this, most likely, you already know this, so skip ahead, but for those who haven’t been paying attention to one of the biggest trends in the financial tech industry, Coinbase is a platform where you can Purchase Bitcoins, Etherums and Litecoins (More to come in future).
If you want to trade, buy, sell digital currencies, you are going to need a platform on which to trade them, and an intermediary to communicate with the network. Most of us do not have the technological wherewithal to communicate with the blockchain, or to store our digital currency. That’s where Coinbase comes in. Coinbase is a global digital asset exchange company (GDAX), providing a venue to buy and sell digital currencies, as well as send information about those transactions out to the blockchain network in order to verify those transactions.
TLDR: You can buy Bitcoin, Ethereum, Litecoin on Coinbase and use Coinbase as your Cryptocurrency Wallet, But if you want to trade your crypto’s for profits, you will have to transfer them to some of the exchanges platforms or GDAX(which is owned by Coinbase).
First of all, if you use this link – Coinbase you will gain extra $10 if you but cryptocurrency worth of $100.
Things that will be required from you to purchase Crypto:
- Verification – Passport or ID
- Link your Bank Account to your Coinbase Account
- Link your Credit Card to your Coinbase Account
Credit Card transfers are almost instant. Wire Transfers may take up to 5 business days. In my experience, it usually happens in 1-2business days. Credit Card has lower limits – $200 per day. Wire transfers have higher limits. I usually use Wire Transfer, because you can avoid Coinbase Fees using this method. I will explain it later on.
Step 1 – Create an Account
It’s pretty straightforward. Go to – Coinbase and press the huge Sign Up button and fill out your Details – Name, Last Name, Email and create your password. Afterward, Coinbase will send you out a confirmation link to your email.
Step 2 – Setup Payment Method
When you have created your account – go to setting, linked account. Add your bank account and add your credit card. Coinbase might ask you to transfer ~$0.01 just to verify your bank account.
Step 3 – But Crypto: Bitcoin, Ethereum, Litecoin, Bitcoin Cash (more options will be available soon, according to Coinbase)
When your bank and credit card is approved, it’s time to actually buy some coins.
Credit/Debit Card Way:
Simple as that – go to Buy/Sell, pick the coin you want to buy. Bitcoin, Ethereum, Litecoin or Bitcoin Cash, add the amount you want to buy and proceed. It will transfer to your banks’ page to confirm the transaction, although that might depend on your bank.
Wire Transfer(How to Avoid Coinbase Fees):
Go to Account Pick your EUR/USD Wallet and Press Deposit.
It will ask you to enter your Full Name and Banks name and the amount and currency you wish to deposit. After that’s done Coinbase will give you a unique code, a reference code that you need to copy and paste it into your notepad.
It might give you a different bank depending on your bank and location. So don’t worry about that.
Next step: Go to your bank (internet bank) and transfer the money to the bank that’s stated in your popup from coinbase. Don’t forget to paste the reference number into your transfer, otherwise, you can lose your money.
Wait 1-5 business days till the money transfers to your Coinbase account.
Avoid Coinbase Fees with Gdax
Now that you have money in your EUR/USD/GBP wallet you can go to GDAX (You don’t have to create an account if you have an account on Coinbase it automatically creates an account in GDAX exchange.)
Now that you’re logged in, pick the coin you want to buy. Press Deposit. Choose Coinbase Account, Source = EUR/USD/GBP Wallet and put in the amount you want to trade for coins. Simple as that. It was a little bit more of a hustle but you saved a couple of dollars/euros.
If you don’t like GDAX or Coinbase for that matter, you can always pick other cryptocurrency exchanges. Most of the traders choose different Crypto exchange, so don’t sweat it. Coinbase is practically gateway to your exchange. At least that’s how I see it.
How to Transfer your Coins to Different Cryptocurrency Exchanges or Wallets
How to Withdraw from GDAX:
Press Withdraw, Pick your Address (Wether it is Ethereum, Bitcoin, Litecoin or Bitcoin Cash) Add the amount you wish to transfer and paste in the address. (Double Check that, always) Press Get Code and GDAX(Coinbase) will send you and text message to your phone with a code, you need to enter that code and than you can withdraw your coins. Or send them to different crypto exchange or wallet. Easy Peasy.
How to Withdraw from Coinbase:
Go to your Coinbase>Account>Pick the coin you want to withdraw and press send and you will receive this pop up at the bottom.
Enter Ethereum, Bitcoin, Bitcoin Cash or Litecoin address you wish to transfer your money to. Remember if you will send Ethereum to Bitcoin address you will lose your coins. You have to send Ethereum to Ethereum address and Bitcoin to Bitcoin address. The same with other coins.
That’s pretty much it, that’s how you use Coinbase to Buy and Sell Cryptocurrencies.
I would like to point out that I’m not giving you any financial advice, just stating the best crypto exchanges best on personal, subjective opinion.
Donations are not necessary, but always welcomed:
Bitcoin Wallet: 15xmdwuLcVhroaVowxkQuivAWCMBm1mJry
Etherum Wallet: 0x7a6af4b87c5e480cce10fd4ff3ae21ea7baa8155
Litcoin Wallet: LPb8ne79Q1p5dPLMHTP2cMDicTfHcD4Ftz
Thanks for reading How to use Coinbase to Buy and Sell Crypto/Bitcoin. You can also make suggestions about a blog post you would like to read below in the comments.