Why buy Bitcoin with cash anyway? It is private, quick, and one of the easiest ways to obtain them. If you are interested in buying and selling Bitcoin for real cash, this walkthrough will help out.
How Exactly Can I Use Cash To Buy Bitcoin?
There are a variety of ways to buy bitcoin with cash:
- Peer-to-peer (P2P) exchanges
- ATM’s for Bitcoins
- In-person purchase of bitcoin with cash
- Cash deposit service
1. Buy bitcoin with cash using P2P exchanges
P2P exchanges offer a simple and safe way to buy bitcoins using money, as they serve as an escrow service. Just sign up, find a trustworthy buyer in the local area (or seller, depending on what you need) of the BTC who wants to deal in cash, and arrange the further details of your business, such as meeting time and location.
The most common P2P exchanges with Bitcoin include:
- Wall Of Coins
- Local Lightning
- Mycellium Local Trader
The platforms Bisq, Paxful, LocalCryptos, and other P2P options give way to using cash to get your hands on bitcoin. Meanwhile, using the ever-growing Lightning Network, the LocalLightning platform lets you buy and sell bitcoins in cash. MyCellium Local Trader is a feature of the popular Mycellium Bitcoin wallet, which allows you to discover local Bitcoin traders who want to manage cash and serve as an escrow service.
2. Buy BTC with cash using Bitcoin ATM
Another convenient way of obtaining the coveted cryptocurrency is through one of the Bitcoin ATM’s.
There are many Bitcoin ATMs worldwide, and you can use CoinATMradar.com or a similar online map to locate the nearest one.
Here’s a standard bitcoin buying process with cash through a Bitcoin ATM:
- Get a wallet for Bitcoin. Any Bitcoin wallet would do, but the most convenient way is to have a mobile wallet, such as Samourai, Blockchain.info, Jaxx, Mycellium, or even a paper wallet. If you want to be sure of your crypto properties’ security, a hardware wallet such as Trezor or Ledger will do.
- Using a tool such as CointATMradar or any similar Bitcoin ATM map to locate the nearest Bitcoin ATM.
- Place an order. Follow its instructions. Choose Bitcoin as your choice of cryptocurrency, and confirm the order. Keep in mind that some ATM’s may ask you to give out your ID or phone number.
- Scan the QR code, and finish the order. Use ATM’s camera to scan your public key found in your BTC wallet. Insert cash into the computer and make the order.
- Get bitcoins into your wallet. When your transaction is confirmed, you will receive BTC into your wallet.
Be mindful of the high transaction fees for Bitcoin ATM. In certain instances, transaction charges can be as high as 5-10%.
3. Buy BTC with cash in person
When you don’t want to depend on third-party providers, then the only way to do this is to find someone to work with you. Place ads on local advertising boards, web pages, social media, forums, or connect with friends.
You may participate in your local Bitcoin meetups (check places such as meetup.com) and find similar people there. All of them may want to buy or sell bitcoin using money.
Remember, though – safety first! Never show your real name or where you live in those ads as it is increasingly risky to be recognized for owning bitcoin.
Maintain a low profile, and plan to meet in a secure public space with many people, such as a nearby store, coffee shop, mall, or other locations.
4. Buy BTC with cash using cash deposit service
Many Bitcoin-trading platforms offer an alternative for cash depositing right into the seller’s bank account or service. Such services are, among others:
- Wall of Coins
Compared to centralized cryptocurrency exchanges, buying Bitcoins with cash provides more privacy and confidentiality, but you should also be more vigilant regarding scams. Before meeting a seller, always evaluate their past customer reviews and feedback.