How to buy Bitcoin Cash safely and with profit

What do you know about Bitcoin Cash, the first fork of Bitcoin? Read about its price in our article "Bitcoin Cash versus US dollar chart"

In this article, we explain where and how to buy BCH, what to pay attention to, and what wallets are best to choose.

Content:

• Asset
• How to buy BCH
• What to keep in mind
• Fiat currencies and crypto
• Wallets
• Conclusion

About Bitcoin Cash

Some 10 years ago, many considered cryptocurrencies a short-lived trend and compared them to a financial bubble.

Today the attitude towards crypto has changed drastically. The crypto industry is gaining popularity with more and more users every day.

Bitcoin Cash that was launched in 2017 is one of those rapidly developing digital projects. This is a fork of Bitcoin that is sometimes called its clone.

But it is not really true.

Bitcoin Cash is better in many ways: it has lower transaction fees and a larger transaction block size, which makes this blockchain faster.

While BTC can only process 7 transactions per second, BCH can handle over 100 transactions. Besides, Bitcoin’s transaction fee has gone as high as $60 per transaction, while with BCH, it is usually less than $1. At the moment of writing, Bitcoin Cash is trading at $359.9. It has gained 19.6% over the past month. Bitcoin Cash reached its all-time high in December 2017, that is, four months after its launch. Back then, BCH hit its peak of $3,800. The record low of $76.9 per token was reached in December 2018.

Just like Bitcoin, Bitcoin Cash has a hard cap of 21 million coins. As of today, around 19 million coins, or more than 90%, have been mined and put in circulation.

As Bitcoin Cash has no central issuer, miners act as the one and create new blocks.

How to buy BCH

As we can see on the altcoin’s chart, BCH is highly volatile, just like other crypto assets. This is the main difference between digital and fiat currencies.

At the same time, high volatility is what makes crypto so attractive to traders as rapid price swings create great opportunities for high returns.

Before profiting from Bitcoin Cash, you first need to buy it. There are several ways to do this.

You can buy BCH on a crypto exchange such as IFXBIT, EXMO, Coinbase, Binance, Kraken, and others. When the altcoin has just appeared, many crypto platforms were cautious about it. But today, more than 50 platforms offer Bitcoin Cash for trading. To start trading on a crypto exchange, you need to go through several stages. They may differ from platform to platform, but in general, it all comes down to the following steps:

• Registration and verification (the latter is not mandatory everywhere);
• Depositing funds to your account;
• Placing an order. Choose a currency, amount, and price. You can use the current rate or offer yours;
• Confirming transaction;
• Getting tokens.

After buying altcoins, you can transfer them to your wallet. We will describe this process below.

If you are going to trade regularly, leave some of the tokens on the exchange.

You can also purchase BCH through an online exchanger. They operate similarly to fiat currency exchange offices but only online.

This can be, for example, BaksMan, Prostocash, and others. The BestChange online service makes it easier to find a suitable exchanger if you have no time to search for one. To use an online exchanger, you need to register there and choose the source and target currencies. Then state the amount and confirm the transaction.

Before exchanging BCH, you need to create a wallet and enter its address to receive coins.

Finally, you should have enough funds on your account to buy altcoins. Depending on the exchanger, you can transfer funds via a bank card or wire transfer.

P2P platforms such as Bitzlato and LocalCryptos operate in a similar way. They bring sellers and buyers together so that they can trade directly with each other.

The purpose of a P2P platform is to ensure transparency and safety of transactions.

To buy an asset on a P2P platform, you need to create an account, open a trade, and exchange assets.

It is also possible to buy Bitcoin Cash through payment systems such as WebMoney, AdvCash, and Payeer.

You will also need to create an account and deposit funds to buy BCH.

An alternative option is to buy altcoins from private holders. You may get to know them on social media and crypto-related forums.

Pros and cons

Whenever we deal with finances, top priority should always be given to security when wedecide to buy tokens. BCH is no exception. Sadly, the rapidly developing cryptoindustry is exploited by crooks as a bonanza.

For this reason, buying coins from private holders is the least secure option, especially from a complete stranger.

The safest way is a crypto exchange. They operate on lawful terms obeying the appropriate legislation.

P2P platforms and online exchangers also pose minor risks. Importantly, we should find a reliable time-proven service and avoid unknown websites which have just popped up.

Another matter to consider is the token’s price. Crypto exchanges offer the most attractive ask price.

At the time of writing this article, the ask price for BCH at the IFXBIT crypto platform is $360.11 whereas the token may be bought at least for $371.36 at online exchangers.

The third issue to take notice of is commissions or fees.

For instance, commissions on crypto exchanges range from 0.1% to 5%. Online exchangers charge a commission of about 4%. In the second case, a commission is commonly included in the token’s price. Therefore, if you have found an online exchanger with a very low commission or without it, be alert to their ask price. On P2P platforms, commissions are roughly the same as on crypto exchanges. Moreover, some crypto platforms operate without any commissions at all. The WebMoney payment system charges at least 0.8% per transaction. Last but not least, pay attention to a range of features available with all the above-said ways of buying BTC. Crypto exchanges certainly offer the most varied features. First, a wide list of trading instruments is a resounding plus. A trader can speculate several assets on the same platform to suit any needs. Second, a platform is complemented by a wallet designed to store coins. In case of sharp price fluctuations, a trader is able to instantly execute a buy/sell transaction. Third, large trading platforms provide traders and investors with a mine of helpful information such as forecasts of cryptocurrencies, analytics, charts, etc. Besides, at some trading platforms, traders may have interests accrued for storing assets and may use leverage for margin trading.

Bitcoin Cash: buy by bank card or in exchange for crypto

Above, we have told you how to get Bitcoin Cash for fiat money. Importantly, a trader may pay not only in US dollars but also in euros, rubles, and other national currencies.

Everything depends on currency pairs available on an exchange platform, in an online exchanger, or on a P2P platform.

Every platform offers its own ways of depositing an account to buy BCH. The most popular options are well-known payment systems, bank wire, and e-wallets.

Having a bank card of the payment system supported by the exchange platform or online exchanger, you can easily buy Bitcoin Cash. Your bank card may be either debit or credit. For instance, credit cards are accepted by such large crypto exchanges as Binance, Coinbase, and Cex.io. You should be aware that crypto platforms frequently update their policies on credit cards and impose restrictions for particular regions. Apart from fiat money, Bitcoin Cash can be bought for crypto, for example, for Litecoin, Bitcoin, Ether, and others. For such operations, traders flock to crypto platforms and online exchangers. If an online exchanger is time-tested and has earned a fine reputation, both variants have roughly the same level of security. Still, traders find the most attractive prices on crypto exchange platforms. As we have told you earlier, commissions should be allowed for when comparing prices at various places.

Where to store

If you decided to buy BCH, the first thing to do is to arrange an e-wallet. Without it, you will not be able either to buy or sell or store BCH and other cryptocurrencies.

You are certainly aware that if you buy coins at a crypto exchange, you can also store them at the same place. Experts warn that you can do it in case you make regular transactions on that platform or possess just few tokens.

As we deal with digital coins, a digital wallet is designed for this purpose. It has nothing in common with a conventional wallet, only a name.

A digital wallet has two keys: public and private. They enable access to assets stored.

The first one is an address which specifies a digital location of your wallet which can be shared with other users of the network to enable a transaction. The second one must be kept secret. Otherwise, your coins are at stake.

Nowadays, there are 24 systems providing you with an opportunity to create a digital wallet for Bitcoin Cash.

For example, Ledger and Trezor are hardware wallets looking like a flash card. They are called cold storage and engineered entirely for holding coins.

Software wallets are also widely used to make transactions with crypto. This type of wallet runs online and is called hot storage.

Exodus and Jaxx are software wallets. They are installed on a PC or laptop or mobile device. This software is developed to store your tokens.

Besides, Coinomi, Bitcoin Cash Wallet Coinomi, and Bitcoin Cash Wallet are tailor-made for smartphones and tablets. They are lighter than desktop versions and simple to use.

Cashadress and WalletGenerator are paper wallets with keys printed on them. You should choose a wallet based on your needs. For example, hardware wallets are the safest solution for storing large amounts of coins. If you want to make a lot of transactions with cryptocurrencies and on different platforms, you could consider mobile solutions.

Conclusion

Bitcoin Cash developers and many analysts are confident that the BCH network still has room for development. Today, Bitcoin Cash is considered a reliable tool that can provide you with a buffer against inflation.

In addition, it also allows users to make quick and cheap transactions anywhere in the world. They are confidential and completely safe.

If you want to own Bitcoin Cash, you can get it on IFXBIT crypto exchange. Read also: Bitcoin Cash: How to earn and get BCH Bitcoin Cash pool: Best pools for BCH mining Bitcoin Cash faucets: TOP most profitable faucets with fastest withdrawals