Are you looking for a way to buy Bitcoin with a prepaid card? You are in the right place. This article provides every detail and information you need. Before now, buying Bitcoin was a bit tricky. In fact, there were only a few exchanges in the crypto industry a few years ago.
However, the narrative has changed today with seamless exchanges like Bybit that have caused a positive disruption in the industry. Although not all of these exchanges accept prepaid cards, some popular exchanges like Coinbase and Coinmama do. You will learn more about this as you read further.
Steps to Follow When Buying Bitcoin with Prepaid Card
While a few exchanges may have different procedures to buy Bitcoin with prepaid cards, there is a procedure common with several exchanges that accept prepaid card. Therefore, the steps are highlighted as follows.
Install a Bitcoin Wallet
This is the first thing common with most of the exchanges, you need to download and install a wallet. That wallet should support Bitcoin.
Choose a preferred exchange; one that accepts prepaid card
Not all exchanges accept prepaid cards. As a result, you need to make sure the exchange you select supports the prepaid card option. Also, you may want to make sure that the exchange suits other requirements you have like price range, speed, card fee, etc. This article will give you proper guidance in section 3.
Sign Up for an account
After selecting an exchange, the next thing is to sign up for an account. For most exchanges, the information you need to sign up includes your name and email address.
Select your preferred payment method
Depending on the exchange, you may need to locate the settings section under the payment method. Here, you are required to select the option of paying with a prepaid card.
Verify your account
Many exchanges seek that you verify your account. This is in order as it allows exchanges to provide adequate security for your money as well as prevent fraud and illicit transactions. Therefore, submit any documents requested like your ID. After your account has been duly verified, you can start buying Bitcoin with a prepaid card.
Buy Bitcoins with Prepaid Card
Having completed the steps stated above, you have positioned your account well to buy Bitcoin with a prepaid card. Locate the option of buying Bitcoin in the exchange you have selected. Then, provide the details of the prepaid card to buy the Bitcoin. Congratulations, withdraw your Bitcoins to your wallet.
Exchanges that accept Prepaid Card
No doubt, Coinbase is a popular digital currency platform with headquarters in San Francisco, California. The exchange is available in more than 100 countries with over 30 million clients around the globe. It’s one of the few exchanges that allow you to buy Bitcoin with prepaid cards. The platform charges a card fee of 3.9%. Coinbase requires that you prove your identity by providing an official ID before allowing you to buy the coins. In fact, the exchange uses 2-factor authentication and multi-signature options that help it to prevent illicit transactions. The following instruction provides the specific steps you need to follow to buy Bitcoin with a prepaid card on Coinbase.
- Create a Coinbase account
- Click Settings Deposit Strategies and Click Include Deposit Technique
- Provide your prepaid card details
- Confirm your prepaid card
- Go to Purchase/Sell and choose the amount of Bitcoins you want to buy
In order to raise your point of confinement, you need to do the following:
- Provide and check your phone number
- Also, provide and check your personal data
- Then, provide and check your picture ID
Coinbase is indeed an amazing choice for many customers since the exchange has made name for itself in the crypto world. The exchange does not only offer Bitcoin but also offer cryptocurrencies like Ethereum and Litecoin. Below are some of the advantages and disadvantages of using Coinbase.
- Coinbase is user-friendly for beginners
- It accepts customers from more than 100 countries
- Online mobile wallet services
- It has instant Buy feature and instant transfers between Coinbase users.
- Generally reliable and trusted.
- 2-factor authentication and multi-signature options for security
- The fee is reasonable; the card fee is 3.9%.
- It is FDIC insured
- Deposits and withdrawals are delayed for 3 days.
- Customer support on Coinbase is slow.
- Coinbase accounts are always monitored. As a result, you can’t stay anonymous.
Coinswitch was founded in India in 2017. It allows you to trade over 300 cryptocurrencies across more than 45,000 currency pairs and integrates several other exchanges into its platform. It provides an easy way for you to buy Bitcoin with prepaid cards supported by MasterCard or Visa. On Coinswitch, you have an opportunity to compare the current Bitcoin rates across almost all the major exchanges. You can buy bitcoin anonymously from major fiat currencies like USD (US Dollar), JPY (Japanese Yen), AUD (Australian Dollar), Euro etc.
There are only a few steps to take for you to buy Bitcoin with a prepaid card on Coinswitch. Find the steps below:
- Create an account on Coinswitch
- Enter the amount you want to buy and select the exchange with the best price.
- Provide your Bitcoin address
- Make the payment with your prepaid card.
Some of the merits and demerits of using Coinswitch are stated below.
- Fast and Simple
- It has an intuitive interface that is easy to use for both beginners and advanced users.
- Coinswitch offers over 300 cryptocurrencies across more than 45,000 currency pairs.
- There is no specific transaction limit except for those imposed by individual exchanges
- Ability to evaluate the best exchange rate from the best exchanges
Only prepaid cards issued by Visa/Mastercard are accepted by Coinswitch
There is no adequate regulation
CEX.io is a European crypto exchange platform with financial capital in London. The exchange has been in operation since 2013. CEX is known as one of the cheapest platforms to buy bitcoin with a prepaid card. Aside from bitcoin, you can also buy cryptocurrencies like Dash, Ripple, Ethereum, Stellar, and Zcash. On this platform, you can buy bitcoin with any money in the world. Your bank will only need to change the sum to dollars thereby financing your CEX account with fiat cash.
To buy bitcoin with a prepaid card on CEX, you need to provide some important data about yourself and the card. After selecting the type of card you are using, the platform will request you to provide information like card number, cardholder’s name, CVV or CVC code, and expiry date. At this point, it is worthy to note that CEX only accepts cards that are 3D secured.
As of today, CEX has won the trust of millions of customers around the world. The reason for its success is simple, the platform is reliable, protected and dependable.
To buy bitcoin with a prepaid card on CEX.io, follow the procedure provided below:
- Visit CEX and sign up for an account
- Go to Finance and make a deposit. Here, you will be required to provide the details of the prepaid card. Ensure that you select your own specific currency like EUR.
- Then, go to purchase or sell to buy your bitcoin.
Some of the advantages and disadvantages of using CEX are provided as follows.
- The platform is friendly for new users
- It has a cheap card fee (3.5%)
- The customer support is highly responsive
- US clients are not accepted
- The help center can be confusing to users
Coinmama was established in Isreal in 2013. It’s one of the first exchanges to accept debit or credit cards option for crypto payment. The platform also accepts prepaid cards as long as such cards are supported by MasterCard/Visa. Coinmama provides trading for all the major coins like Bitcoin, Ripple, and Ethereum. Recently, the exchange made a significant improvement in its customer support and it now provides a fast turnaround for purchasing Bitcoins just like other exchanges, such as Bybit.
For Beginners, Coinmama is a great choice for buying your first bitcoin with prepaid card. Also, experienced customers can utilize the platform to save money on exchange costs. The least amount of bitcoin you can purchase on Coinmama is 60 USD. In addition, the card fees on card transactions is 5%; that’s quite expensive though. On Coinmama, there are three identity checks which you must pass through to be allowed to buy bitcoin. First, the exchange requires one government-issued ID and a selfie of you holding the ID. Second, you need to provide an auxiliary ID. Third, you will be required to provide a utility or service bill.
- Coinmama is user-friendly for new users
- It provides excellent customer support with a fast turnaround.
- Multi-language support
- Coinmama is available in more than 200 countries; that’s huge, isn’t it?
- Only prepaid cards issued by Visa/Mastercard are accepted by Coinmama.
- It charges a card fee of 5% which is expensive.
Buying bitcoin with prepaid card comes with some benefits and rewards. You can also get financial leverage. For example, if your bitcoin is treated as a purchase, using a prepared card will allow you to leverage large credit lines and this can be profitable during price swings. However, you should remember not to overspend as there can be losses too.
It should be worthy of note that using a prepaid card is not the only option to pay for Bitcoin. In fact, it is not the cheapest option. There are some amazing crypto exchanges that do not accept prepaid cards but supports other seamless and cheap payment options.
An example of such exchanges is Bybit which was established in 2018. Bybit offers up to 100x leverage, flexible Bitcoin purchase process and multi-language support. The exchange provides effective security and insurance funds for traders who get liquidated below bankruptcy price. It’s not a surprise that it already has more than 100,000 active users in less than 2 years of existence. Bybit serves customers from all parts of the world except the United States and Singapore. With your email, phone number and password, you can sign up to get started on Bybit here.