How to Buy Bitcoin in the UK

coindesk.com /information/buy-bitcoin-uk/

11/7/2014

Last updated: 5th January 2016

So, you've heard all about the advantages of this amazing new financial technology called bitcoin, but how
do you go about buying it in the British Isles?

While bitcoin makes sending payments between countries or even continents quick, cheap and easy,
traditional banking systems have yet catch up. As a result, users buying bitcoin through a bank
account report frustration with complex procedures, delays while funds arrive and high fees for international
transfers.

Credit and debit cards will often incur charges too, and not all companies will accept them due to the risk of
fraudulent chargebacks.

As a result, if you're not paying with cash at a bitcoin ATM or from an individual at a meetup, buying bitcoin is
best done by fast and free domestic bank transfer if you can find a bitcoin business offering that option, that is.

The banking issue

The problem is, British banks are reluctant to service bitcoin companies so many exchanges are having to bank
elsewhere in the EU. In these cases, you'll have to put up with charges on international transfers like SEPA and
often wait 25 days for your funds to arrive.

The British government has made some noises about turning the country into a cryptocurrency-friendly
environment. However, as it stands, a UK exchange providing SEPA bank transfers offers few advantages over
any exchange in the EU apart from being able to deposit in GBP, perhaps.

However, new banking partnerships are being forged that allow bitcoin exchanges add local deposit options for
UK customers.

A note on price
Bitcoin is notoriously volatile that is, the value can climb and drop significantly over short timeframes.

As a result, bitcoin buyers would do well to keep an eye on the price charts in order to make, hopefully, a timely
purchase when the value is low. Indeed, many people earn money trading bitcoin, making the most of
its volatility.

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CoinDesk's guide to understanding price charts can be found here.

All that aside, for would-be owners of the digital currency, where can you buy bitcoin in the UK?

Bitcoin exchanges
Cryptocurrency exchanges offer a way to buy (and sell) bitcoin and sometimes other digital currencies such
as litecoin and dogecoin.

First things first, you'll need to register and provide proof of residency (a copy of recent utility bill) and identity (a
photo ID scan) for anti-money laundering (AML)/know-your-customer (KYC) compliance procedures before you
can use the platform's services.

Once that's done, you'll need to set up a bank payment using the details provided by the exchange, at which
point you can fund your account and buy some bitcoin.

Note that it's worth avoiding using the word 'bitcoin' in the payment reference too. While this may sound odd,
jittery banks have been known to balk at anything to do with the digital currency, even closing some accounts in
the past.

Bitcoin exchanges serving the British Isles:

Bitstamp

A Slovenia-based exchange that allows cash deposits via SEPA and eCheck. It announced that it will also accept
Visa and Mastercard credit and debit cards for UK customers in January 2016.

Coinfloor

A London-based bitcoin exchange with an emphasis on security, claiming 100% multi-signature cold (offline)
storage for all its bitcoin holdings. Notably, Coinfloor is an HMRC-approved bureau de change. Currently,
sterling deposits can be made only via SEPA bank transfer. Charges 5 to deposit GBP and 10 to withdraw.
Fees for other currencies can be found here.

CoinCorner
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An Isle of Man-based exchange that is something between a full exchange and a peer-to-peer
(p2p) marketplace. Users deposit funds in a CoinCorner account and then buy and sell bitcoin, litecoin and
dogecoin with other users. The exchange started accepting 3D Secure-enabled Visa and MasterCard credit and
debit cards on 23rd October. Otherwise, fiat currency deposits are made via SEPA bank transfer. No fees are
charged on deposits, but there is a 10 fee for GBP withdrawals.

The exchange recently introduced a mobile wallet app for iOS and Android devices.

Coinbase

Popular exchange and wallet provider Coinbase, now has a facility for UK users to purchase bitcoin using 3D
secure-enabled credit and debit cards.

Other exchanges to consider:

Although based in the US, Kraken recently partnered with a bank in Luxembourg to bring customers the option
to deposit in pounds sterling, while dollars and euros are also accepted. Deposits are made via SEPA or wire
transfer.

Safello is a European bitcoin exchange that offers multiple payment options in a variety of currencies including
GBP.

Circle is also US-based and currently only offers bank transfers from that country. However, the company caters
to the global bitcoin market by allowing users to pay with debit or credit cards.

Another option is the Australian based Coinjar, which allows UK customers to buy bitcoin with a credit or debit
card.

For other options, see our general guide to buying bitcoin.

Bitcoin brokerages

Quickbitcoin

A London-based bitcoin brokerage enabling you to buy or sell bitcoins in any amount. Deposits can be made by
UK Faster Payments or cash deposit at a bank. Also provides a bitcoin ATM at The Vape Lab, 232 Shoreditch
High Street. For larger volumes (2,000+), Quickbitcoin also runs an OTC marketplace. Accepts EUR and USD,
as well as GBP, for larger amounts.

P2P marketplaces
These are peer-to-peer platforms that match individuals who wish to buy, sell or trade bitcoin and altcoins. They
do not buy, sell or necessarily even hold cryptocurrencies themselves, unless as part of an escrow service.

Bittylicious

Provides a peer-to-peer platform for individuals to buy, sell or trade bitcoin and 11 altcoins, such as dogecoin,
litecoin and feathercoin. Payments can be made via instant UK bank transfer, mobile payments such as PayM,
PingIt and PYC, Visa/Mastercard, cash at UK corner stores or SEPA bank transfers.

BitBargain

Facilitates purchases of bitcoin and litecoin between individuals. A number of domestic banking transfer options
are available, including: standard UK bank transfers, Barclays Pingit mobile payments, RBS Pay Your Contact,
and Paym mobile payments (this is possible because transactions are between individuals and do not involve a
bitcoin company). Fees are only charged on 'extras' like SMS messages.
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LocalBitcoins

Matches bitcoin buyers and sellers to facilitate over-the-counter deals, offering an escrow service to protect the
buyer. Users are charged small fees for wallet use and bitcoin transfers only.

Coinfloor Market

UK bitcoin exchange Coinfloor released a P2P marketplace in July 2015, which only features pre-approved
bitcoin brokers. If you have an approved Coinfloor account, it can be fairly quick to get the coins you need, as the
market utilises the UK Faster Payments system.

CryptoMate

Cyptomate allows users in the UK to buy bitcoin, litecoin, ripple, dogecoin and many other cryptocurrencies. The
service works using UK bank transfers (Faster Payments) and coins are sent once the order has been
processed. The service aims to send currencies within 1 hour of purchase. Non-verified users are limited to 250
in purchases per day and once verified this is increased to a 1,000 daily limit.

Price Comparison

BittyBot

A price comparison website that is updated every five minutes to show online traders from UK bitcoin merchants
and marketplaces. Displays information such as the rating of the buyers and sellers, and the payment types
accepted.

Bitcoin ATMs
Over the last year a number of bitcoin ATMs have appeared in the UK, mostly in London, with others popping up
in Bristol, Brighton, Glasgow and the Isle of Man.

All

Bitcoin ATMs in London. See the interactive map here

these machines allow you to insert cash and receive bitcoin in your digital wallet (buying BTC). Some
models also let you send bitcoin and take out cash (selling BTC).

Visit CoinDesk's up-to-date map of the world's bitcoin ATMs here to find the installation nearest you.

Vouchers
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Azteco

If you're in London, New Goulston Street to be precise, Azteco offers a unique service selling bitcoin vouchers
over the counter.

The customer decides how much bitcoin they want to buy and hand the attendant cash. The attendant then prints
out a voucher containing a code that can be redeemed at the Azteco website. A 3% commission is charged on
each transaction.

Where to Buy and Sell Bitcoin in the UK

Exchange About Based

Coinbase operates one of the most popular wallets and now has a simple USA BUY
way to buy bitcoin with UK credit and debit cards which have 3D secure. $5 BITCOIN
bonus on sign up.

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 Exchange About Based

Bitbargain has a vast range of different payment options for UK buyers. UK BUY
BITCOIN

A peer-to-peer platform for individuals to buy, sell or trade bitcoin and UK BUY
altcoins BITCOIN

CoinCorner allow purchases with credit and debit cards for verified users. Isle of BUY
Man BITCOIN

Localbitcoins matches buyers and sellers online and in-person, locally Finland BUY
worldwide. BITCOIN

Hardware Wallets to Store Your Bitcoin

Product Review Price

Ledger Nano Ledger Review 34.80 BUY ONLINE

SatoshiLabs Trezor Trezor Review $99 BUY ONLNE

KeepKey KeepKey Launch $239 BUY ONLNE

For more options, please see our guide to storing bitcoin.

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