Buying Digital Currencies

Step 2

Verify Your Identity

All legitimate exchanges require identity verification (KYC) to prevent fraud. You'll need to provide:

• Government-issued ID
• Proof of address
• Phone number

Step 3

Add Funds

Most Australian exchanges accept:

• Bank transfers (PayID/Osko)
• Debit/Credit cards
• POLi payments

Step 4

Place Your Order

There are three main ways to buy:

• Market Order: Buy immediately at current price
• Limit Order: Set your own buy price
• Dollar Cost Averaging (DCA): Regular, automated purchases regardless of price

Dollar Cost Averaging is particularly recommended for beginners. By buying a fixed amount regularly (e.g., $100 every week), you reduce the impact of market volatility and avoid the stress of timing the market.

Step 5

Storage Strategy: Exchange vs Cold Storage

A general rule of thumb for cryptocurrency storage:

• Keep 5-10% on exchanges for active trading
• Store 90-95% in cold storage (hardware wallet)

This balance helps protect your investment while maintaining flexibility for trading opportunities.Note: While these percentages are optimal for security, many beginners feel more comfortable leaving a higher percentage on trusted exchanges initially. This can be a good starting point while learning about cold storage and key management. As you become more confident with self-custody, gradually move more funds to cold storage.

Step 6

Generate More Income

Here are several ways to increase your bitcoin buying power:

• Skill Monetization: Freelancing, online tutoring, digital content creation
• Asset Optimization: Rent out unused space, sell unnecessary items, share economy participation
• Budget Optimization: Review subscriptions, meal planning, energy efficiency

Important Safety Tips:

• Never share your password or private keys
• Use two-factor authentication (2FA)
• Start with small amounts while learning
• Keep records of your transactions for tax purposes

Top Australian Exchanges

Independent Reserve

AUSTRAC-registered with strong security features and excellent customer service

CoinJar

One of Australia's oldest crypto platforms with a user-friendly interface

Swyftx

Feature-rich platform with competitive fees and great mobile app

CoinSpot

Australia's largest exchange with over 450 cryptocurrencies

BTC Markets

One of Australia's oldest and most trusted crypto exchanges