Buying Bitcoins with cash makes sense since it is a simple method to get Bitcoins, and it is also quick and private. You can seek cryptocurrency exchanges for buying Bitcoins with cash. Many do not even require you to prove your identity or submit sensitive information. When you buy Bitcoins with cash, the risks are low. If you wish to make a buy from a person face-to-face it is advisable to meet the seller at a public place so that there is no risk of theft or scam.
The advantages of buying with cash are as follows:
- You can buy small amounts when you use cash to buy the Bitcoin.
- When you get it from an ATM or trade in-person, you do not need to offer any private information.
- Since verifications are not required, transactions are quicker.
But buying with cash means that you cannot get very large amounts of Bitcoin. Bitcoin ATMs will also have limits and many of these may need verification when you try to purchase more than a specific amount. Automated trading applications like Bitcoin Trader help in easy and secure trading of bitcoin.
How to buy Bitcoins with cash:
- LocalBitcoins lets individuals buy or sell Bitcoins directly with others. It will match users based on their locations and provides quotes from different sellers. You are free to make your own meeting arrangements and this eliminates all risks. BitQuick also allows matching sellers with buyers and works like an exchange. Sellers will place Bitcoins into escrow and the buyers deposit funds to buy in the seller’s bank account. This is safer as the money transfers happen at a bank; there is no meeting of parties. WallofCoins also connects sellers with buyers and acts as middleman. It lists the sellers and works off the bank. Its prices include fees and this is why comparing its prices with that of other platforms is hard. LibertyX is a site that will direct you to a related location depending on one’s zip code. Payments and transfers happen at the location and this makes it safer. But you need ID proof and this is only available in the US. You can use Mycelium Wallet, available through Google Play for buying Bitcoins.
- Bitcoin ATMs is another safe method for buying Bitcoins with cash and you do not have to meet any seller here. They work like kiosks connected to the web and they accept cash as payments. These ATMs are not with any bank; they are simply machines which take in currency and convert to Bitcoin. You will find these even at gas stations and grocery stores in the US now.
- When you have people you can trust who own Bitcoins, you can buy from them if they are keen to sell these. It is advisable to attend Bitcoin conferences to find such friends.
- You can also buy the Bitcoin using cash by mail. Paxful allows you to find sellers keen to accept cash through mail. Like in-person trades, you must find establishers users having a solid reputation. If you have a reliable seller, you are protected against fraud. It is advisable to use registered mail and have your seller sign it after receiving it. This is not a suitable method and best for cash buyers that reside in places where other purchase methods are not available.