There has been a lot of hype about Bitcoin and other cryptocurrencies over the last 12 months, as the market capitalisation has hit never-before-seen highs.
It’s not too late to get involved, but if you haven’t bought cryptocurrency before, it can be difficult to know how to get started.
We like Binance because it’s easy to sign up, you can use ZAR, and they have 11 coins available for you to purchase. Buying bitcoin using Binance is easy – just follow these steps:
- Register for an account with Binance
- Change currency to ZAR
- Set up additional security
- Verify your account
- Choose how you want to buy your BTC
- Enter the amount ZAR you want to trade for BTC, or how much BTC you want to buy.
- Finalise your bitcoin purchase
Buying bitcoin (BTC) with Binance in South Africa
1) Register for an account with Binance
First up, you’ll need to register for an account with Binance. This is a quick and easy process, requiring only your email address.
You’ll need to complete a quick puzzle to prove you’re human and then enter a 6 digit code which is sent to your email address, to confirm you are who you say you are.
2) Select ZAR as your currency of choice
By default Binance selects US$ as the trading currency. It’s easy to switch this to ZAR – just click in the top right corner, find ZAR and select.
3) Set up additional security
Your bitcoin holding on a cryptocurrency exchanges is only as secure as you make it, so it’s a good idea to add additional security using two factor authentication.
When you first log in, you will be offered the opportunity to add 2FA either using your phone or Google’s authenticator:
We heavily recommend you set up this additional layer of security to keep your bitcoin holdings safe.
4) Verify your account
Before you can trade any cruptocurrencies, you need to confirm that you are who you say you are.
All cryptocurrency exchanges include this ‘Know Your Customer’ process to ensure that they are not being used to launder money. With Binance, it also means that you can increase the amount of ZAR that you can deposit. Without verifying your identity, the highest amount of ZAR that you can deposit with Binance is R130,000:
Verifying your identity involves entering your name and address, taking a picture of your ID and then taking a picture of yourself then submitting.
All going well, you should receive confirmation that you are approved within 1 hour, which means that you’re then ready to trade.
5) Choose how you want to buy your BTC
Click buy crypto on the top left corner to see the different ways that you can buy bitcoin:
The easiest way to do so is using a debit card, if you have one.
6) Select how much you want to spend
By default, Bitcoin is selected, although other cryptocurrencies can be chosen using the dropdown menu on the right hand side.
Enter the value in ZAR that you want to spend and it will show you how many Bitcoin you will be able to buy. It’s important to understand that you don’t have to buy a whole bitcoin – you can buy a smaller part of one (known as a ‘fractional share’) if this makes more sense for you.
7) Finalise your bitcoin purchase
Once you are happy with everything, click ‘Buy BTC’ to complete the transaction.
If you haven’t already verified your ID, you will be asked to do so before you can complete the purchase.
If you have followed these steps, you are now the proud owner of some bitcoin! It’s a good idea to move your bitcoin holdings to a wallet, rather than leaving them sitting in the exchange to ensure they are extra secure and you don’t fall victim to a hack of the exchange or a scam.