In this article, we have listed the 3 cheapest ways to buy Bitcoin in UK, USA, Europe, and Australia with cash and fiat online to avoid costly fees, especially if you are going to invest a larger amount of money.
In this guide, our professional crypto testing team consisting of Jamie, Sven, and Helena has compared the 3 cheapest places to buy Bitcoin with credit card in USA, UK, Europe, and Australia. They have also researched how to buy cheap Bitcoin with cryptocurrencies and without KYC.
Cheapest way to buy Bitcoin list
- Coinbase - Cheapest way to buy Bitcoin with credit card in USA, UK, Europe, Australia (Highest Security)
- Binance - Cheapest place to buy Bitcoin with cryptocurrency
- BYDFi - Cheapest way to buy crypto without KYC
(This article is not financial advice. Research before investing. Some links are affiliate links, earning us a commission without extra cost for you. Our content remains unbiased regardless of affiliates.)
- Coinbase: Offers a user-friendly interface with competitive credit card fees, low bank transfer fees, and reliability.
- Binance: Best for buying Bitcoin with cryptocurrency, providing competitive fees and a wide range of cryptocurrencies.
- BYDFi: The cheapest way to buy Bitcoin without extensive KYC. Affordable credit card and bank transfer fees.
What is the cheapest way to buy Bitcoin?
Nowadays there are a lot of different payment methods available when it comes to buying BTC and other cryptocurrencies and each method has its own fees. Some more some less, but in the end they add up to a larger amount if you don’t choose a low fee Bitcoin platform wisely.
During the review period of each platform, our team has looked specifically at these fees:
- Credit card fees
- Debit card fees
- Bank transfer fees
- Trading fees for buyers
1. Coinbase - Cheapest way to buy Bitcoin overall
Coinbase rating 4.9/5
Coinbase stands out as the cheapest way to buy Bitcoin with cash or fiat while being the most cost-effective and reliable platform to buy Bitcoin with a credit card is paramount. Coinbase, launched in 2012 and headquartered in San Francisco, has consistently stood out as one of the best choices for crypto enthusiasts.
- Credit Card Fees: Coinbase charges a flat fee of 3.99% for credit card transactions, which is competitive within the industry.
- Debit Card Fees: The exact fee for debit card transactions mirrors the credit card fee, standing at 3.99%.
- Bank Transfer Fees: Bank transfers through Coinbase are highly cost-effective, with fees ranging from $0.15 to $10, depending on your location and transaction size.
- Trading Fees for Buyers: Coinbase offers a tiered fee structure based on the 30-day trade volume. For transactions under $10,000, the fee is 0.50%.
- User-Friendly Interface: Coinbase's user interface is intuitive, making it ideal for beginners.
- Strong Security Measures: Coinbase employs top-notch security features, including insurance for digital assets stored on its platform.
- Wide Range of Cryptos: In addition to Bitcoin, Coinbase offers a variety of other cryptocurrencies for trading.
- Mobile App: Coinbase offers a user-friendly mobile app for on-the-go trading.
- Educational Resources: Coinbase provides educational resources to help users understand cryptocurrencies better.
- Limited Privacy: Due to KYC requirements, Coinbase isn't the best option for those seeking complete anonymity.
- Occasional Outages: Coinbase has experienced downtime during periods of high demand, which can be frustrating for active traders.
Jamie reviewed the fees of Coinbase and made a real experiment.
- Credit Card Fees: Jamie decided to start with a credit card. He deposited $100 into his Coinbase account and purchased Bitcoin. After the transaction, Jamie noticed that he received slightly less Bitcoin than expected. The reason? Coinbase charged an additional fee of 3.99%. So, for his $100 investment, Jamie got a little less than $96 worth of Bitcoin.
- Debit Card Fees: Not stopping there, Jamie also wanted to see if using a debit card resulted in similar fees. He deposited $100 again and purchased Bitcoin with his debit card. The outcome was almost identical. Jamie received a bit less than $96 worth of Bitcoin, thanks to the 3.99% fee.
- Bank Transfer Fees: Curious to find a cheaper way, Jamie tried a bank transfer this time. He deposited $100 and bought Bitcoin with a bank transfer. The result pleasantly surprised him. Coinbase charged a much smaller fee—only 15 cents! So, Jamie ended up with nearly $99.85 worth of Bitcoin, a significant improvement compared to the credit and debit card fees.
Why we like it
Coinbase is without a doubt the most secure platform that offers low fees for buying Bitcoin. Its low trading fees and competitive credit card rates make it the top choice for budget-conscious cryptocurrency buyers.
How to buy Bitcoin with Coinbase
- Sign up for a Coinbase account.
- Complete the KYC verification.
- Link your credit card or bank account.
- Go to the "Buy/Sell" tab.
- Choose "Bitcoin" as your cryptocurrency.
- Enter the amount you want to purchase.
- Select your payment method (credit card or bank transfer).
- Review and confirm your transaction.
- Your Bitcoin will be deposited into your Coinbase wallet.
2. Binance - Cheapest place to buy Bitcoin
Binance rating 4.8/5
Binance is by far the cheapest place to buy Bitcoin with other crypto such as altcoins including Ethereum, XRP, and Litecoin. Binance was founded in 2017 by Changpeng Zhao and quickly gained popularity due to its robust features and user-friendly interface. It is headquartered in Malta, a crypto-friendly jurisdiction, which adds to its credibility.
Here's why Binance stands out as the cheapest and best place to buy Bitcoin with other cryptocurrencies.
- Credit Card Fees: Binance offers competitive credit card fees, typically ranging from 1.5% to 3.5% for purchases, depending on your region.
- Debit Card Fees: Debit card fees on Binance are in the same range as credit cards, usually between 1.5% and 3.5%.
- Bank Transfer Fees: Bank transfer fees can vary depending on your bank and location but are generally lower than card fees. Binance often provides free SEPA deposits, while international wire transfers may have nominal fees.
- Trading Fees with Crypto: Binance boasts one of the lowest trading fee structures in the industry. The fees are based on your 30-day trading volume and range from 0.1% to 0.02%, making it exceptionally cost-effective for frequent traders.
- Low Fees: Binance offers competitive fees for credit card, debit card, and bank transfers.
- Wide Selection: Binance supports a vast array of cryptocurrencies and altcoins, allowing you to diversify your portfolio easily.
- Liquidity: With its high trading volumes, Binance ensures you can execute trades quickly and efficiently.
- Security: Binance has a strong track record of security, implementing industry-leading measures to protect user funds.
- User-Friendly: The platform's intuitive interface is suitable for both beginners and experienced traders.
- Regulatory Concerns: Binance's regulatory status can vary by region, leading to potential limitations on services.
- Complexity: Despite its user-friendliness, the platform's extensive features can be overwhelming for newcomers.
- Customer Support: Binance's customer support response times can sometimes be slow during periods of high demand.
To find out exactly how much you are going to pay for buying Bitcoin on Binance, Sven analyzed the different fees they charge and here is the test result:
Credit Card Fees: Sven initiated his investigation by trying out credit card transactions. He decided to deposit $100 into his Binance account and purchase Bitcoin. After the transaction, he noted that he received slightly less Bitcoin than expected. Binance added a fee of approximately 2% to his purchase. So, instead of getting a full $100 worth of Bitcoin, Sven ended up with about $98 worth.
Bank Transfer Fees: Sven was keen to see if bank transfers offered a better deal. He repeated the process, depositing $100 and purchasing Bitcoin using a bank transfer. The results were eye-opening. Binance imposed a significantly lower fee compared to credit cards—only $0.50! This meant that Sven obtained nearly $99.50 worth of Bitcoin, a more favorable outcome compared to the credit card transaction.
Crypto-to-Crypto Transfers: Lastly, Sven explored crypto-to-crypto transfers as an alternative. He deposited an equivalent of $100 in another cryptocurrency, like Ethereum, and exchanged it for Bitcoin on Binance. Surprisingly, the fee for this transaction was even lower than the bank transfer—only 0.1%. Consequently, Sven received nearly $99.90 worth of Bitcoin, making it one of the most cost-effective methods.
Why we like it
Binance is a huge crypto platform with an outstanding reputation for being cheap and reliable. Most traders come here to trade altcoins but also due to the low fees they charge for Bitcoin payments. Both beginners and experienced traders use Binance to buy and sell Bitcoin cheaply.
How to buy Bitcoin with Binance
- Sign up for a Binance account and complete the KYC process.
- Deposit funds via credit card, debit card, or bank transfer.
- Navigate to the "Trade" section and select "Buy Crypto."
- Choose Bitcoin as the asset you want to purchase.
- Select your preferred payment method and enter the amount you wish to buy.
- Click buy Bitcoin!
- Your Bitcoin will be credited to your Binance wallet.
3. BYDFi - Cheapest way to buy Bitcoin without KYC
BYDFi rating 4.8/5
BYDFi stands out as the cheapest way to buy Bitcoin without KYC requirements. BYDFi is one of the fastest runner-ups and is currently taking place after FTX for being one of the most popular perpetual contract exchanges for crypto. The fact that you can trade Bitcoin without filing KYC documents is a big plus for those who want to stay anonymous.
Here's why BYDFi stands out in the crowd:
- Credit Card Fees: BYDFi charges a credit card fee of approximately 3.5% for Bitcoin purchases.
- Debit Card Fees: When using a debit card, BYDFi charges around 3.5% as well for Bitcoin transactions.
- Bank Transfer Fees: BYDFi offers bank transfers as a payment option with minimal fees, typically ranging from 0.5% to 1%, depending on your location and the bank you use.
- Trading Fees for Buyers with Crypto: BYDFi boasts competitive trading fees, with a maker fee of 0.05% and a taker fee of 0.1% for Bitcoin trading pairs.
- Affordability: BYDFi offers competitive fees, including low credit card and debit card transaction costs, making it an economical choice for Bitcoin buyers.
- Swift Verification: The KYC process on BYDFi is streamlined, enabling users to get verified quickly and start trading without unnecessary delays.
- Privacy Protection: BYDFi's minimal KYC requirements help protect user privacy by collecting only essential information, and reducing the exposure of sensitive data.
- Global Access: BYDFi is accessible to users from a wide range of countries, increasing its availability to a global audience.
- User Support: BYDFi provides responsive customer support, ensuring that users have assistance when needed, whether it's for account-related queries or trading assistance.
- Centralized Exchange: Being a centralized platform, BYDFi is susceptible to the inherent risks associated with centralized exchanges, such as security vulnerabilities and regulatory changes.
- Withdrawal Limitations: Depending on your KYC level, BYDFi may impose withdrawal limits, potentially affecting the ability to conduct larger transactions.
Helena conducted the review of BYDFi and examined three key payment methods: credit card, bank transfer, and crypto-to-crypto transfers.
Credit Card Fees: Helena started by depositing $100 via her credit card and purchasing Bitcoin. The results were promising—BYDFi charged only around 3.5% in fees. This meant that Helena received approximately $96.50 worth of Bitcoin for her $100 investment. The absence of extensive KYC verification made this a quick and hassle-free process.
Bank Transfer Fees: Helena's next experiment involved a bank transfer of $100 to buy Bitcoin. The outcome was equally impressive, with BYDFi charging only about 0.5% to 1% in fees, depending on her location and the bank used. Helena ended up with approximately $99 to $99.50 worth of Bitcoin, a significantly better deal compared to many other platforms.
Crypto-to-Crypto Transfers: Helena decided to explore crypto-to-crypto transfers, which offered the lowest fees. She used another cryptocurrency she already had to purchase Bitcoin. The results were remarkable—BYDFi's fees were minimal, typically around 0.05% to 0.1%. This meant Helena received almost the full value of her $100 investment in Bitcoin, making it the most cost-effective option.
Why we like it
BYDFi is the cheapest way to buy Bitcoin without KYC. The fact that you can buy bitcoin cheap while staying anonymous and also trade it for other altcoins with high leverage makes it a great platform for active traders.
How to buy Bitcoin with BYDFi
- Visit the BYDFi website.
- Register an account by supplying your email and creating a password.
- Complete basic identity verification.
- Deposit funds via your preferred method (credit card, debit card, or bank transfer).
- Navigate to the trading platform and select your desired Bitcoin trading pair.
- Place your order, and voila! You're now a proud owner of Bitcoin without filing KYC documents.
What is the cheapest place to buy Bitcoin?
When it comes to finding the cheapest place to buy Bitcoin, you have a few popular options to consider: Coinbase, Binance, and BYDFi. Let's take a closer look at each of these platforms and their affordability in straightforward terms for beginners.
Coinbase is popular among beginners thanks to its user-friendly interface. However, when it comes to fees, it's essential to be aware that Coinbase can be on the pricier side. When you buy Bitcoin with a debit card, the fees can be higher compared to some other platforms. Also, Coinbase often has a limited selection of cryptocurrencies available for purchase.
Binance is a popular cryptocurrency exchange with competitive trading fees. However, for beginners, Binance's user interface can be a bit overwhelming. Additionally, it has limited options for buying Bitcoin directly with fiat currency, and certain features may require KYC verification.
BYDFi is gaining attention for its cost-effective options. BYDFi also prides itself on a quick and simple KYC process, respecting user privacy by collecting only essential information. It’s a global platform with users from all around the world and the support team speaks many different languages.
In terms of affordability, BYDFi tends to offer more competitive fees for buying Bitcoin directly with a credit or debit card.
How do you buy Bitcoin without fees?
Buying Bitcoin without any fees is challenging but not impossible. Here are some ways to minimize or eliminate fees:
- Peer-to-Peer (P2P) Exchanges: Use platforms like LocalBitcoins or Paxful to find sellers with lower or no fees.
- Promotions: Look for exchanges offering fee waivers for specific promotions or payment methods.
- Cash Purchases: Buy Bitcoin in person or from a Bitcoin ATM to avoid online transaction fees.
- Earn Bitcoin: Some apps offer ways to earn small amounts of Bitcoin through activities like surveys or cashback rewards.
- Mining: If you have the equipment and knowledge, you can mine Bitcoin, but be aware of associated costs.
- Crypto-to-Crypto Exchanges: Trade other cryptocurrencies for Bitcoin on exchanges with lower fees.
- No-Fee Trading Apps: Some platforms like Robinhood offer commission-free trading of cryptocurrencies, but with limitations.
Remember that while you can reduce transaction fees, there may still be network fees for processing transactions on the Bitcoin blockchain.
What are the different costs when buying Bitcoin?
When buying Bitcoin, consider these key costs:
- Exchange Fees: Charges for trading, depositing, and withdrawing on the exchange.
- Payment Method Fees: Fees associated with your chosen payment method, like credit card or bank transfer fees.
- Exchange Rate Spread: The difference between buying and selling prices on the exchange.
- Network Transaction Fees: Fees to process Bitcoin transactions on the blockchain.
- Currency Conversion Fees: Costs for converting between different fiat currencies.
- Storage Costs: Expenses for secure Bitcoin storage, like hardware wallets.
- Taxes: Be aware of potential capital gains taxes when selling or using Bitcoin.
Comparing these costs across different platforms can help you make cost-effective Bitcoin purchases.
Why is Bitcoin cheaper on some platforms?
Bitcoin prices can differ between platforms due to various factors. One key factor is supply and demand—when more people buy Bitcoin on a particular platform, its price can be slightly higher due to increased demand. Exchange liquidity matters too; platforms with higher liquidity generally have prices that align closely with the broader market.
Geographic variations also play a role, as different regions may have varying demand for Bitcoin based on local factors and regulations. Arbitrage, where traders buy on a cheaper platform and sell on a more expensive one, helps balance prices across exchanges. Time lags in price updates can create brief differences that traders may exploit.
While price variations exist, they are generally small and tend to equalize quickly due to market forces. When buying Bitcoin, comparing prices on multiple reputable exchanges is a good practice to ensure you get a competitive rate.
What payment methods can you use to buy Bitcoin?
You can buy Bitcoin using various payment methods, including:
- Credit and Debit Cards: Quick but may have higher fees.
- Bank Transfers: Lower fees but slower processing.
- PayPal: Accepted on some platforms for convenience.
- Cash: Possible through P2P exchanges or Bitcoin ATMs.
- Wire Transfers: Suitable for larger purchases but may have higher fees.
- Cryptocurrency-to-Cryptocurrency: Trade other cryptocurrencies for Bitcoin.
- Gift Cards: Some P2P exchanges accept gift cards.
- Mobile Payment Apps: Accepted where popular.
- Prepaid Cards: Purchase and use virtual prepaid cards.
Choose a method based on your preferences, fees, and location, while staying cautious about potential scams.
Is it safe to buy Bitcoin?
Buying Bitcoin is absolutely safe if you take precautions. Use reputable platforms, research their security measures, and choose secure wallets for storage. Keep an eye out for phishing and scam attempts which are getting more popular each year. Embrace KYC and AML compliance for added security.
Keep private keys secure to retain control over your Bitcoin. Stay informed about market changes and regulations.
Only invest what you can afford to lose and seek advice from trusted sources or professionals when in doubt.
Which payment method is cheaper to buy Bitcoin?
Here is a list of the cheapest payment methods for buying Bitcoin:
- Bank Transfers: Usually have lower fees but may take longer to process.
- Cryptocurrency-to-Cryptocurrency Trading: This avoids fiat currency fees and can be cost-effective if you already own cryptocurrencies.
- Credit and Debit Cards: Convenient but often come with higher fees.
- PayPal and Online Payment Systems: Convenient but can have higher fees and currency conversion costs.
- Cash and Gift Cards: May involve higher costs and potential scams.
- Mobile Payment Apps: Fees can vary depending on the platform.
What is the least expensive way to buy Bitcoin?
The least expensive way to buy Bitcoin is often through bank transfers or cryptocurrency-to-cryptocurrency trading.
What is the cheapest way to buy Bitcoin with a debit card?
The cheapest way to buy Bitcoin with a debit card Is through Coinbase where fees are typically lower than other competitors.
Where is the cheapest place to buy crypto with a credit card?
The cheapest place to buy crypto with a credit card depends on Coinbase and Binance which are two popular options.
How much does it cost to buy 1 Bitcoin?
The cost to buy 1 Bitcoin fluctuates with market prices; check a cryptocurrency exchange for the current rate.
How much does Coinbase charge to buy Bitcoin?
Coinbase charges a fee of 3.99% for buying Bitcoin with a credit card but the other fees vary depending on your region and transaction method; check their website for the latest fee structure.
How much is a $1000 Bitcoin transaction fee?
The cost of a $1000 Bitcoin transaction fee depends on network congestion but is typically a percentage of the transaction amount. Check the current network fees for accurate pricing.
How do beginners buy Bitcoins?
Beginners can buy Bitcoins by signing up on a reputable exchange, completing KYC verification, and using their preferred payment method to make a purchase.
What is the safest way to buy Bitcoin?
Use Coinbase, it is currently the exchange with highest security globally.
In this article, we've looked at the cheapest way to buy Bitcoin with fiat online and with other cryptocurrencies. We’ve covered the biggest GEO’s in the world including USA, UK, Europe, and Australia. The platforms we have compared are Coinbase, Binance, and BYDFi, three exchanges that are accessible from all over the world.
Coinbase is user-friendly but can have higher fees, especially for debit and credit card transactions. Its KYC process adds security but may lengthen onboarding.
Binance suits experienced users with competitive fees and a wide range of cryptocurrencies. However, it might be complex for beginners, and fiat purchase options vary.
BYDFi offers cost-effective Bitcoin purchases with minimal KYC requirements, making it suitable for privacy-conscious buyers.
About the authors
This article was written by our professional crypto testing team, including Jamie, Sven, and Helena. They’ve used their brainpower to find the cheapest way to buy Bitcoin online so you don’t have to do the work yourself.
Disclaimer: The above is a sponsored post, the views expressed are those of the sponsor/author and do not represent the stand and views of Outlook Editorial.