How to buy Bitcoin with a prepaid card

How to buy Bitcoin with a prepaid card

Robert McDougall 

January 9, 2024

Cryptocurrency

Key Takeaways

  • eToro is a top choice for buying Bitcoin with a prepaid card, offering a user-friendly platform and support for over 75 different coins.
  • Crypto.com allows easy purchase of crypto via prepaid card and offers a high annual percentage yield (APY) for Bitcoin, but lacks educational resources.
  • Coinmama is beginner-friendly and available in over 200 countries, but charges higher fees and has limited features.
  • Coinbase, the second-largest crypto exchange, supports over 160 coins and offers a secure platform, but has slightly higher fees and a complex fee structure.
  • Buying BTC with prepaid cards offers advantages such as instant purchases, easy acquisition of prepaid cards, and enhanced security against hacking.

The fastest way to buy BTC is by using a credit or a debit card, but it is not always the most secure. Using a prepaid card is a more secure alternative when buying BTC, and comes with additional benefits. In this article, we will review the best crypto exchanges to buy BTC via prepaid card, and discuss the benefits that prepaid cards provide.

1. eToro

Overview

eToro USA LCC does not offer CFDs, only real Crypto assets available

eToro is definitely our TOP choice for buying Bitcoin via prepaid card. The exchange is very beginner-friendly and allows you to buy crypto in a matter of minutes, with a couple of simple steps.

Opening an account on eToro is also very simple. You just need to enter your personal information and upload a photo of a valid ID, and that’s it. Soon after, you will be able to buy not only BTC but over 75 different coins.

To buy crypto, you will need to load your wallet with funds. You can do it by simply entering the amount on the deposit page. You will receive a message of confirmation if the wallet is successfully loaded.

Pros and Cons

eToro supports over 75 different coins, and is very easy to use. The platform has relatively low and competitive fees. eToro also accepts a wide range of deposit methods, and in case any issue happens, you can always contact the live support team.

However, the support team provides limited customer service. Also, eToro is unavailable in New York, Hawaii, Nevada, and Minnesota.

Features

eToro is a multi-asset platform that offers over 2,000 different financial assets besides crypto. The platform also offers ready-made investment portfolios and Smart Portfolios, which focus on innovative markets, including 5G and Cloud. Via its Copy Trader feature, you can easily copy the trades of talented and experienced traders to ensure the best results.

App

Android and iOS eToro apps are available to download for free. Although both apps have millions of downloads, the Android version has more positive reviews saying it works more smoothly.

Supported Currencies

The platform supports over 75 coins, including Bitcoin, Ethereum, and Stellar.

Fees

For buying and selling crypto, you will need to pay a fee of 1%. Commission on stocks is 0% and there are no management fees.

2. Crypto.com

Overview

Thanks to its simple and intuitive interface, Crypto.com makes buying crypto via prepaid card effortless. You just need to add a prepaid card as a payment option and enter the card details on the following page. Since most prepaid cards require 2-factor authentication, you will also need to enter your PIN.

Apart from trading BTC, this platform also allows you to earn interest. The APY (annual percentage yield) for BTC can go up to 6%. However, note that you will have to wait at least three months before you can withdraw the money. There are also more flexible terms but with a lower reward percentage.

Pros and Cons

The main advantage of Crypto.com is that it supports over 250 different coins. The exchange also allows you to earn interest at a high APY, and has a very simple and easy-to-use interface.

One of the things that we don’t like about this platform is that educational resources are hard to find. Also, the live support can be slow at times.

Features

Crypto.com offers trading, earning interest in crypto, NFT marketplace, daily missions (to earn crypto), and more. The platform even has its own debit card, a metal card that you can load with fiat currency and spend at any store that accepts Visa. With each purchase you earn CRO coin as a cashback.

App

You can download the Crypto.com app for both Android and iOS. The app has received good ratings, and according to hundreds of thousands of votes, works well and is easy to use.

Supported Currencies

The platform supports over 250 different coins including popular assets such as Bitcoin, Ethereum, and Dogecoin. The company has its own coin, CRO, which can earn you different rewards for staking. If you have a significant amount of CRO on your account, you will get lower trading fees, higher staking interest rates, and other perks.

Fees

To purchase crypto on the app using a prepaid card will come with a small fee based on your geographical location - it will usually be around 3%.

3. Coinmama

Overview

Launched in 2013, Coinmama is currently present in over 200 countries worldwide and has over 3 million customers. Due to its wide reach, the exchange also supports multiple languages.

When it comes to buying crypto using a prepaid card, Coinmama charges a 5% transaction fee. Also, it only supports VISA and MasterCard for purchases with prepaid cards.

Pros and Cons

The primary upside of Coinmama is that it’s very easy to buy crypto and the verification is fast. The platform is beginner-friendly, so everyone can trade crypto effortlessly.

On the other hand, the fees are higher than on most platforms and you will need to set up your own crypto wallet before you start using Coinmama.

Features

Coinmama has very limited features. You can only buy certain coins and sell only Bitcoin. It doesn’t support crypto-to-crypto trading, and there is no way to earn interest on crypto.

App

Coinmama has an application only for Android devices. There aren’t many reviews, and the app’s overall score is not that high. It might be better to use the website instead.

Supported Currencies

The exchange supports only 9 currencies, including Bitcoin, Ethereum, Ripple, among others.

Fees

The fees on Coinmama are based on your loyalty level. Therefore, you will need to pay 3.9% if you are in the Curious tier, 3.41% if you are Enthusiast, and 2.93% if you are a Believer.

4. Coinbase

Overview

With 89 million users around the globe, Coinbase is currently the second-largest crypto exchange in the world by trading volume. It allows you to easily buy crypto via a prepaid card, but you can also buy it with other banks’ cards and via bank wire.

Coinbase is designed to be a beginner-friendly platform, but there is also a more complex version for experienced traders called Coinbase Pro.

To buy BTC, you will need to complete a KYC verification. After that, you can easily buy crypto in less than 10 minutes. Coinbase is also a very secure platform and keeps 98% of assets in offline storage. In case the platform gets hacked, Coinbase is insured for 100% of its USD assets and has AES-256 encryption for digital assets.

Pros and Cons

Coinbase supports a wide selection of over 160 different coins. The overall user experience is convenient, and the transactions are very fast.

On the other hand, its fees are slightly higher than those of other platforms, and the fee structure is difficult to understand.

Features

Coinbase offers a variety of useful features, including financial reporting, performance metrics, stock and transaction management, transaction history, among others.

App

The Coinbase app supports both Android and iOS, and both versions have millions of downloads and very positive reviews.

Supported Currencies

Coinbase supports over 160 different tokens, including Bitcoin, Ethereum, Tether, Cardano, Polygon, and Solana.

Fees

The fees on Coinbase are difficult to understand. They are based on numerous factors, including which coin you trade, whether you trade or stake, and many more. You will need to take a certain action to see what fees the platform will charge.

5. CEX

Overview

Another great platform that you might find suitable for you is CEX. It is a popular crypto exchange platform present in 200 countries and 48 US states. The company was launched in 2013 and currently supports over 100 different cryptocurrencies.

The platform has a great reputation for customer service, unlike most other platforms. Buying BTC is similar to the process in most platforms and the fee to deposit funds is 2.99%. The company also stores most of its assets in cold wallets to maximize safety.

Pros and Cons

One of the advantages of the CEX platform is that it has very strong security. It also has many useful features, and its fees for spot trading are relatively low.

However, the identity verification process can be frustrating, and the number of features is limited for US customers.

Features

One of the nice features of this platform is that it supports crypto staking, which gives you a chance to earn interest on your holdings. CEX also offers crypto-collateralized loans, which allow you to take out fiat currency by issuing the crypto from your wallet as collateral. It can be useful in case you need cash but don’t want to sell your crypto.

App

You can download the app either from the CEX website or from the Android or iOS store. Both applications have tens of thousands of downloads and positive user reviews.

Supported Currencies

CEX currently supports around 150 different coins, including Bitcoin, Ethereum, Tether, Binance Coin, among others.

Fees

Fees for trading less than $10,000 are 0.25% for takers and 0.15% for makers. For trades between $10,000 and $100,000, fees are 0.23% for takers and 0.13% for makers. For trades over $10 million, takers pay 0.11% while makers pay only 0.1%.

What are the Advantages of Buying BTC with Prepaid Cards?

You might be wondering why you should choose a prepaid card when there are so many payment options available. A good reason is paying with a prepaid card also has certain advantages.

Instant Purchases

The crypto market is very volatile. To cite just one recent example, consider how Dogecoin reacted quickly to Elon Musk’s tweets. You need to constantly think and analyze the market, and be able to instantly purchase crypto at the right time. Prepaid cards allow you to make instant purchases, which is a big advantage over other payment methods.

Prepaid Cards are Easily Acquired

Using a credit card is the most popular way to buy crypto. However, it is not always easy to get a credit card because it depends on your credit history. In contrast, you can get a prepaid card instantly. You just need to fill out the form and make the necessary payment.

Very Secure

There is always a possibility that someone steals your credit card info and withdraws money from your credit. However, it is different with prepaid cards, since hacking one requires passing two-step authentication. As long as you don’t share your card details, there is literally no possibility of your prepaid card being hacked.

Another layer of protection is the use of biometrics since it is almost impossible for hackers to get access to these. The only way that someone can withdraw money from your card is if they actually stole it. Even if that happens, you won’t lose more than the balance you have deposited.

Conclusion

Buying Bitcoin using a prepaid card is effortless. It also gives you certain advantages over other payment methods.

The platforms listed above are currently the best ones you can use to buy Bitcoin with a prepaid card. You won’t go wrong no matter which platform you choose, but make sure to read everything that we mentioned to make the right decision.


Tags


You may also like

>