Now that Circle Internet Financial has stopped servicing cryptocurrency buys and sells, Americans have one less option than before. However, there are still various ways U.S. citizens can purchase and sell bitcoins. Here’s a look at a few options U.S. residents can use to acquire bitcoin.
Also read: Bitcoin 2016: the Year of a Different Rise
Three Readily Available Outlets to Purchase & Sell Bitcoins in the U.S.
The Circle platform served the UK and other areas, but the lion’s share of its customers were from the U.S. Since the company’s departure from bitcoin brokerage services, many U.S. residents asked about other options available to purchase and sell across the United States.
During Circle’s business pivot away from bitcoin purchases and sales the company recommended its partner Coinbase. The San Francisco-based startup, founded in 2012 by Brian Armstrong and Fred Ehrsam, is probably the most well-known bitcoin broker. Cryptocurrency users can purchase and sell digital assets such as bitcoin and ether with the Coinbase platform through credit card or bank transfer.
Registrants who initially sign up for Coinbase have to verify their identity with documents like a license. They will also need to validate a phone number and tether the account to the two-factor application Authy. After a customer is verified on the first tier buying and selling options becomes available for the client. Limits can be raised after some time and a touch more identity verification is processed.
Coinbase has various fees for purchasing and selling digital assets that consumers need to research before using the platform. Furthermore, the company does enable users to obtain private keys, works as a general wallet, and also features a vault service. The vault is a wallet that creates a second layer of security for bitcoins held on the Coinbase platform. Coinbase is one of the first brokerage services that continues to remain a leader in the bitcoin industry.
Localbitcoins volumes over the past year have skyrocketed across the globe. The platform is another method U.S. citizens can utilize to purchase and sell bitcoins. A lot of people think that you have to meet people in person to use Localbitcoins, but trades can be done online as well. Localbitcoins also probably has the most payment options available to purchase and sell your digital assets. This included bank cash deposits, Paypal, gift cards, Vanilla, credit cards and many more payment options to choose from.
Users of Localbitcoins can opt to trade online or in person depending on how comfortable they are with the process. Localbitcoins trader prices are typically higher than global exchange rates for purchasing and lower for selling. Registrants use a positive feedback reputation system, and optional identity verification is available. Users also use LocalBitcoins wallet as a form of escrow to conduct official trades.
Bitquick is a cryptocurrency exchange that operates similarly to LocalBitcoins but has only one payment method bank cash deposits. Bitquick was founded by Jad Mubaslat in 2013, but was recently acquired by the bitcoin atm company Athena Bitcoin. There really isn’t a verification process unless a user is trading large amounts of bitcoins, and it’s up to BitQuicks discretion.
Like Localbitcoins, users deposit funds into Bitquick’s escrow wallet and then either puts a deal on hold or creates a trade. Consumers conducting a trade to purchase bitcoins deposit cash into one of the membership banks and the seller’s release the funds when paid. There is a few hour window of availability when trading and cancels if the trade isn’t finalized at the end of the time limit. Bitquick prices seem much lower in comparison to Localbitcoins, but there isn’t as many trades available or different payment methods.
Other Ways Americans Can Purchase Bitcoin
There is an assortment of smaller platforms that offer purchasing and selling bitcoins not mentioned above. Some of them are very new, and some have very limited customer service or options. In addition to the services noted above, U.S. crypto-enthusiasts can acquire BTC by using an exchange such as Bitstamp, Gemini, and GDAX. If a Coinbase user has been validated to obtain a USD wallet, they also are verified to register for the GDAX exchange. Furthermore, Bitsquare.io is a decentralized exchange that offers purchasing and selling bitcoins as well.
Bitcoin.com has a wide variety of exchanges to choose from within our recommended exchange section. Many available exchanges that cater to U.S. citizens are listed such as Coinsbank, BitX, Bitfinex, Simplex, Itbit and more. Additionally, we have a platform that enables bitcoin purchase with a valid credit card. Visitors can use their credit card to buy bitcoins, safely and quickly in a very short period of time.
Moreover, investors can also purchase bitcoins across the U.S. utilizing cryptocurrency ATMs located in many states. Coinatmradar is a website to find out where these bitcoin ATMs reside and info on each one. The website explains what kind of ATM is being used, the address, and whether or not they are two-way or one-way machines. Bitcoin ATMs depending on the device typically requires no identification.
With Circle leaving the industry, there are still many choices for Americans to obtain bitcoin. Each option has differences that are appealing such as convenience, payment methods, identity validation or services that don’t require an ID. In time, new companies will arise that offer the selling and buying of bitcoin in many ways.
Are there any U.S. buying and selling services you’d like to mention? Let us know about them in the comments below.
Images courtesy of Shutterstock, Coinbase, Bitquick, and Localbitcoins websites.
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