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

Step-by-step instructions for beginners. The main ways to buy crypto. Let’s dive into the most exciting question for everyone interested in crypto.

Our previous article explored the world of stablecoins, a particular type of crypto created to maintain a stable value. Now, it’s time to figure out how to buy crypto.

Many newcomers to the crypto world ask themselves, «Where do I start?» The answer might be simpler than it seems at first glance. Stablecoins, which we discussed earlier, can be an ideal starting point. Why? They combine the advantages of crypto (fast transactions, low fees) with the relative stability of traditional currencies.

Imagine you’re planning a trip to an unfamiliar country. It would be convenient to have a universal currency that works everywhere but doesn’t lose value due to sharp exchange rate fluctuations. That’s precisely the role stablecoins play in the world of crypto. They allow you to «dip your toe in the water» without fear of being immediately hit by a wave of volatility.

So, if you’re already interested in crypto and want to take the first step — buying stablecoins can be an excellent start. But how do you do it? Where to buy? Which platforms to use? We’ll answer these and many other questions in this article — showing you the entire process from choosing a platform to making your first trade.

Main Ways to Buy Crypto

There are two main ways to buy crypto: through exchanges and brokers. Each has its features and is designed for different purposes.

Online and offline exchanges offer a more complex way of buying crypto. They’re ideal for those who value anonymity. However, exchange rates might be less favorable, and the choice of crypto might be limited.

Crypto exchanges, in turn, offer better prices and a wide selection of crypto assets. Exchanges also provide additional tools for trading and market analysis. This option suits those who plan to buy crypto and actively trade it. However, using exchanges requires going through a KYC (Know Your Customer) verification process. This principle of financial institutions requires identifying a person before they can conduct operations.

The choice between a broker and an exchange depends on your goals, preferences, and willingness to provide your personal data. If you want more convenience — use the exchange option. If you’re ready to dive deep into the crypto world, set up a crypto wallet, and sacrifice some savings for anonymity, choose the broker option.

Let’s look at each approach to buying crypto in detail.

Buying Crypto Through Brokers

When using brokers to buy crypto, it’s important to consider the size of your transaction. Online brokers are the most convenient option for small amounts not exceeding $1,000. They allow you to conduct the operation quickly without unnecessary formalities. However, if you plan to exchange a significantly larger amount, you should turn to offline brokers, who usually offer more favorable rates and additional security measures for large transactions.

Regardless of the type of exchanger you choose, the best solution is to use trusted platforms presented on broker aggregators that have earned a reputation as a reliable intermediary in the world of digital currencies.

When choosing a broker, it is recommended to focus less on the best price and more on the broker with the best reputation based on reviews. This approach will help minimize risks and ensure a safer exchange, even if the rate is slightly less favorable.

For newcomers to the crypto world, the optimal choice would be to buy stablecoins in inexpensive networks. For example, USDT BEP20 (in the Binance Smart Chain network) or USDT TRX (in the TRON network) are excellent options. They provide stability of value and low transaction fees. However, it’s important to remember that for further operations with these tokens, you’ll need a small amount of the native coin of the corresponding blockchain. Therefore, it’s also recommended that a small amount of BinanceCoin (BNB) be purchased for the BEP20 network or TRON (TRX) for the TRON network. These coins will be necessary to pay commissions for transfers and other operations in the chosen network.

Buying Crypto Through a Crypto Exchange

Buying crypto through exchanges is the most popular option for beginners, as it’s convenient, safe, and allows for a wide selection of assets. We recommend using the largest platforms with the highest trading volumes for beginning traders, such as Binance, OKX, and Bybit. These exchanges provide high liquidity and reliability of operations.

Here’s a step-by-step guide for buying crypto for rubles on Bybit:

  1. Register on the Bybit platform and go through the first level KYC account verification procedure (provide a photo of documents and pass a face check). For passing such verifications, we recommend using a driver’s license if you have one;
  2. In the main menu, select the «Buy Crypto» section and inside the «P2P Trading» item;
  3. Choose the crypto you want to buy (for example, USDT), and specify rubles (RUB) as the payment method. Also, select the process you want to pay with, for example, a bank transfer;
  4. Enter the desired purchase amount and look at seller offers. Pay attention to the number of completed orders under the seller’s name and their completion percentage;
  5. Choose a suitable offer and click «Buy»;
  6. Specify the amount you want to spend. Or the amount of crypto you wish to purchase;
  7. Carefully read the terms of the deal and confirm the purchase;
  8. Transfer the specified amount to the seller using the chosen payment method;
  9. After the seller confirms receipt of payment, the crypto will be transferred to your Bybit account.

What If You’re Not Buying Stablecoins?

After you’ve purchased stablecoins, the next step is to buy the crypto you’re interested in, such as Bitcoin.

The process will differ depending on how you acquired the stablecoins.

If you used a broker:

In this case, you must use a decentralized exchange to buy the desired crypto. The optimal option is the platform, aggregating offers from various decentralized exchanges to find the best rate.

However, it’s important to remember that tokens exist in certain blockchain networks. For example, if you bought USDT on the BNB Chain or Tron network, you won’t be able to buy real Bitcoin there; it is only an unreliable wrapper. You’ll need to use crypto bridges to transfer assets between networks and buy the token you want. The following article will tell you more about working with crypto bridges.

If you used a centralized exchange (for example, Bybit):

In this case, the process is much simpler:

  1. You need to transfer the purchased USDT to your trading balance in your profile on the exchange.
  2. Go to the «Trade» section in the top menu. Here, you have two options: spot trading or the conversion function.
  3. Spot trading provides wider opportunities and better rates but requires some skills in working with the trading interface.
  4. The conversion function is easier to use and ideal for beginners. It allows you to quickly exchange one type of crypto for another at the current market rate.

Regardless of the chosen method, always carefully check the transaction details before confirming it. Remember the importance of storing crypto in a safe place after purchase. We’ll tell you about this in one of the following articles.

Congratulations, You Have Learned How to Buy Crypto!

We’ve looked at two ways to buy crypto: brokers and crypto exchanges. Each method has its advantages and disadvantages. Brokers offer greater anonymity, but may have less favorable rates and impose on you the obligation to dive deep into the world of crypto and technology. Exchanges, in turn, provide better prices, a wide selection of crypto, and additional trading tools but require verification.

Regardless of the chosen method, security is essential. Always check the broker’s or exchange’s reputation, use reliable methods of storing crypto, and remember possible risks. Start with small amounts to get comfortable with crypto and gradually expand your knowledge and experience.

Remember that the crypto market can be volatile, so invest only the funds you can afford to lose.

Of course, stay with Banana Education because we discuss crypto in simple language and with maximum benefit!