In this article, you’re going to learn how to buy Bitcoin on Coinbase.
Coinbase is currently one of the most popular exchanges where you can purchase and trade cryptocurrencies.
It even lets you track real-time prices and trends and manage your portfolio.
Most importantly, its user-friendly design makes it a great option if you’re just getting into cryptocurrency trading.
So, if you are ready to buy Bitcoin on Coinbase, let’s begin!
Getting Started on Coinbase
First things first, you need a Coinbase account to begin your crypto journey.
Signing up is simple - just start by going to the Coinbase website (www.coinbase.com)
At the top right corner, you will see a “Get started” button.
If you are completely new to the platform, click on it.
Alternatively, if you already have a Coinbase account, you only have to click on the “Sign In” button.
Clicking the “Get started” icon takes you to a page where you get to all your details.
Once you finish filling out the form, you must check the age verification box before creating your account.
Finally, click on the “Create free account” button.
On the following, you need to set your password.
Remember to use a robust and unique password to keep your account secure.
Following this, you will need to verify your email address.
Coinbase will send you an email prompting you to verify your account.
Open it and click on the “Verify Email Address” icon.
Doing so will take you to the sign-in page.
Use the email address you used to set up your account to sign in.
Next, enter the password you chose.
Now that you have signed in - great job on your first steps!
From this point on, you’ll need to verify who you are.
How does Coinbase Identity Verification work?
Once you sign in, Coinbase will need you to verify your identity, which is crucial for compliance and security reasons.
It’s part of something called (KYC) guidelines - which means Know Your Customer.
To start the process, you need to setup something called two-step verification.
First, you’ll need to input your cell phone number.
Coinbase will then send you a verification code via SMS.
Enter the code you received.
Next, you will need to fill in some more personal details such as your citizenship, country, industry and a valid means of identification.
This is typically in the form of an ID card, driver’s license or passport.
Well done! You have now successfully set up your Coinbase account!
Now, you can’t buy anything without money, right?
The next step is to add a funding method to your account - so you can start actually buying Bitcoin.
How do you Add a Funding Method to Coinbase?
First, you will need to connect a suitable payment method.
After linking it up, you can make a deposit into your Coinbase account.
There are several options for making these deposits.
You can use bank accounts, direct deposits, PayPal, wire transfers, and debit cards as payment methods; it’s really up to you. Choose your preferred payment method. Follow the provided instructions for the payment option you choose.
First, I need to enter my debit card details. You will get charged for two small and temporary transactions. You need to find out the amount of these transactions. This information is very useful for finalizing the process of adding payment method. When you find out the amount, you will input the amount on Coinbase.
Once it is successful, you will see it on your dashboard.
Alright, now we’ve got the funds ready and waiting...
Let’s Buy some Bitcoin on Coinbase
First of all, head over to the Coinbase Buy/Sell page.
From your dashboard simply select the option on the top menu.
Coinbase offers a wide range of cryptocurrencies they can choose to purchase.
For this article, the focus is Bitcoin, so select Bitcoin (BTC) as your desired cryptocurrency.
Next up, you need to input the amount you want to buy.
Now don’t worry - you don’t need thousands of dollars - as you can purchase fractions of a Bitcoin.
Coinbase makes it simple to adjust the quantity, whether you want to purchase a whole Bitcoin or only a portion.
Before completing your purchase, make sure to double-check what you entered.
Verify the payment method and amount once again.
Also, remember that Coinbase will charge you a fee for your transaction.
Check the fee to be sure that it is something you are happy with.
You will see a summary of your order like this.
The summary includes information about the current market price and any associated costs.
To continue with your purchase, click the “Buy Now” button.
Congratulations! You’ve bought your first Bitcoin through Coinbase!
Now, although you have some shiny Bitcoin in your possession, it’s being held over at Coinbase HQ on your behalf.
If you want to take full control of your wealth, it might be a good idea to store it in a personal wallet.
What do I mean by a wallet, anyway?
What are some Bitcoin Storage Options?
Your Bitcoin, like other cryptos, resides in a digital "wallet," and choosing the right one is crucial.
The default option is to use Coinbase's integrated wallet.
It’s built with robust security measures like multi-factor authentication and cold storage, providing reasonable safety.
However, it's important to understand that it is a custodial service.
This means that Coinbase holds the keys to your Bitcoin, and while they have great security, no online platform is 100% secure from hacking.
Your next option is Coinbase's standalone wallet app, offering a non-custodial solution.
Unlike the integrated wallet, you actually hold the keys yourself.
This direct access means greater control and less risk from platform-specific threats.
This might be your pick if you want to balance between convenience and security.
For the best security, though, crypto enthusiasts turn to hardware wallets.
These devices, which look like USB keys, store your Bitcoin cryptographic keys offline.
This "cold storage" approach makes them nearly invulnerable to online hacking attempts.
Even better, these wallets come with built-in security protocols.
Too many incorrect password attempts? The device locks down.
Lose or damage it? A unique seed phrase ensures you can recover your assets on a new device.
The world of cryptocurrency storage is always changing, with new approaches balancing security and convenience.
Which route you choose depends on your appetite for risk.
Conclusion
Well, that’s it for this article!
You've learned the ins and outs of purchasing Bitcoin on Coinbase, a platform that stands out for its user-friendly interface, especially for those new to the crypto world.
You saw how to set up an account efficiently, from identity verification all the way to your initial purchase.
I also showed you a few storage solutions to help keep your assets secure, with varying levels of risk.
Always remember that the crypto realm changes constantly, so keep your guard up when making moves. I’m sure you’ll be just fine!
See you next time!
