Do you know the reason why people prefer to buy Bitcoins with cash? To start with, when you use cash, you can maintain your privacy because you will not be required to submit your KYC documents. Moreover, cash works faster and you can start trading instantly. Cash is also more convenient and one of the simplest ways to buy cryptos. Conversion of cash into BTC hardly takes much time. The only consideration for buying Bitcoin with cash is that you should have a wallet as some exchanges demand that as a prerequisite.
Ways to buy Bitcoins with cash:
- Local Bitcoins: Buying Bitcoins using cash is easy through LocalBitcoins. You simply have to find sellers in your area that are keen to accept cash. You can then choose an amount of Bitcoins to place an order. You will need the seller’s account number to deposit the cash. Once you have done so, you can upload your receipt that will prove that the transfer has been made. Soon afterwards, you will receive Bitcoins in your wallet. The best part about LocalBitcoins is it is private and does not need personal ID details. You simply have to ensure that the seller you select has a good reputation, a positive trade history, and feedback. The only downside is that you cannot buy very large amount of BTC that you could have through other cryptoexchanges. You are also required to pay premium rates to get higher privacy. Any cash transfer has its risks and you must be cautious when carrying large amounts of cash. This is something you must remember when buying Bitcoins through cash.
- BitQuick: This platform will also match buyers and sellers; however, its functions are similar to an exchange. The seller will place Bitcoins into escrow while buyers deposit money to buy Bitcoins in the seller’s bank account. Once transaction is done, the buyer must provide a receipt as evidence. Here, the parties do not directly meet one another and money transfers happen at the bank; this explains why this method is probably safer. But this site demands ID verification and is only available to US residents.
- WallofCoins: It also connects buyers with sellers and acts like a middleman. There is a list of sellers just like in LocalBitcoins but cash deposits are made like BitQuick. It charges fees which is why it may be hard to compare its rates with other platforms. But users can avail of a live chat option and round-the-clock customer service; so, it is a viable alternative for first-timers.
- LibertyX: This exchange will direct you to affiliated retail locations depending on the zip code. If you are on-the-go, you can use an app to find such locations. All transfers and payment happen at this location and therefore, it is far more secure. But, users have to submit ID proof and this service is accessible only in the US. Besides charges imposed by LibertyX, the participating locations will also include their charges.
- Bitcoin ATMs: You can find Bitcoin ATMs in your area to make cash deposits for buying BTC. An average ATM will charge you between 5% and 10%, but in return, you can be assured of complete privacy and no need for verifications. Since there are different ATM manufacturers, all ATMs are not the same and some may need verification.