How to use debit card to buy bitcoin on blockchain

If you’re looking for a safe and simple way to buy cryptocurrency with a prepaid debit card, you’re in luck. There are a number of flexible and convenient options for adding to your crypto holdings using a prepaid Visa or Mastercard through BitPay. Read on to learn more.

How to buy crypto with a prepaid debit card

Buying crypto with a prepaid debit card with BitPay is easy, and takes just a few minutes.

Step 1: Get the app

Download the BitPay app from your preferred app store, or scan the QR code below.

Step 2: Tap “Buy Crypto”

Tap the “Buy Crypto” button on the app’s home screen to buy crypto with a prepaid debit card. Your options are plentiful: BitPay supports more than a dozen of the most popular cryptocurrencies and stablecoins.

Step 3: Choose your amount and the cryptocurrency you wish to purchase

Enter the amount you’d like to convert to crypto, and the coin you want to convert.

Step 4: Choose Debit Card as your payment method

Make sure to check that  the remaining card balance is enough to cover the purchase price + any fees.

Step 5: Review and chose your offers

BitPay partners with Simplex and Wyre to ensure you’ll always get the best possible rates, with no hidden fees or excessive markups. Choose the best offer available for you, and you’ll be automatically taken to one of our partner sites to enter your prepaid card details and complete the transaction.

Note: Simplex accepts some prepaid or virtual debit cards, but Wyre does not. If you receive an error during your transaction, your prepaid debit card may not be accepted.

Which cryptocurrencies can I buy with a prepaid debit card via BitPay?

Through the BitPay app, you can buy more than a dozen top cryptocurrencies and stablecoins with prepaid Mastercard or Visa debit cards.

Benefits of buying with BitPay

Using BitPay, you can trust that your transactions will be completed securely and with as few fees as possible.

Fast transactions

BitPay does away with long wait times to get your purchased crypto.

Excellent rates, with no hidden fees

BitPay’s partnerships allow us to offer users the best possible exchange rates, and never any hidden fees, annual costs or additional mark-up. The price you’re quoted is the price you’ll pay, every time.

Safe and secure

The BitPay Wallet is non-custodial, meaning you’ll never have to entrust any third party with your crypto keys.

Convenient asset management

After purchasing crypto with a prepaid debit card, you’ll be able to store, swap and spend right from the BitPay app. View and control your holdings all from one easy-to-use interface.

What to do with your crypto after buying with a debit card

Once you’ve obtained your Bitcoin or other cryptocurrency, you’re free to hold, swap or spend as you see fit. The BitPay app gives you total control over all of your assets, making it easy to:

Hold and store securely

Keep your crypto assets safe and secure in an easy-to-use, non-custodial crypto wallet. You can even import additional wallets from top exchanges and manage them all from one place.

Swap coins

Easily exchange one digital asset for another in the BitPay app. Swap Bitcoin for Ethereum, Dogecoin, Bitcoin Cash and many other top cryptocurrencies.

Spend your crypto

You can also spend your holdings right from the app, either by connecting your wallet to a merchant that accepts crypto payments or buying gift cards with crypto from some of your favorite brands. Check out our Merchant Directory for a searchable list of businesses that accept crypto payments through BitPay.

The best wallet app to buy and spend crypto

Get the App to Buy, Store Swap and Spend

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Can you Buy Less than One Bitcoin?

Yes, it is possible to buy less than one bitcoin.

Each bitcoin is divisible to the 8th decimal place, meaning each bitcoin can be split into 100,000,000 pieces. Each unit of bitcoin, or 0.00000001 bitcoin, is called a satoshi.

how to buy bitcoin with paypal

When buying Bitcoin, you don’t have to buy a full bitcoin and can easily buy less than one.

Most Bitcoin exchanges will let you specify the amount of fiat currency you want to spend and in exchange sell you the equivalent amount of Bitcoin. For example, if one bitcoin is worth $250, and you want to buy $125 worth of bitcoin, you’ll receive 0.50 bitcoin–assuming there are no fees.

Vice-versa, most Bitcoin brokers also let you specify the amount of bitcoin you want and will charge you the equivalent in fiat. For example, if you want to buy 0.25 bitcoin and 1 bitcoin is $300, you’ll be charged $75.

So, yes, it’s 100% possible to buy less than one bitcoin. Companies like Coinbase will let you buy as little as $1 worth of bitcoin.

Should I leave my bitcoins on the exchange after I buy?

We strongly recommend storing any bitcoins you want to keep safe in a wallet you own. Many Bitcoin exchanges have been hacked and lost customer funds. If you don’t want to fall victim to these hacks then the easiest way is to store your coins in a wallet you control.

Can you sell bitcoins?

Out of the exchanges we listed, is the only one that allows you to sell bitcoins to your debit card.

Will the fees for buying bitcoins with debit card or credit card ever get lower?

Probably not. Payment processors like Visa, Mastercard and American Express charge their merchants very high transaction fees.

Card Average Fee Charged to Merchant Mastercard 1.55% – 2.6% Visa 1.43% – 2.4% Discover 1.56% – 2.3% American Express 2.5% – 3.5%

Exchanges get charged EVEN higher rates than these since buyers are so likely to make chargebacks. After all, if someone steals your credit card, buying Bitcoin is about the best place to charge money to your card.

Credit card companies have to eat those fraudulent charges when you report the fraud. So they pass that cost to the exchanges who then pass it on to you – the buyer using the credit card to buy bitcoins. The fees could get lower if some exchange cuts a deal with a credit card processing company to get lower fees.

Can I buy other cryptocurrency using this method?

Depends on the exchange. Coinbase, for example, allows you to buy Litecoin and Ethereum with credit card. Coinmama, on the other hand, supports Bitcoin, Litecoin and Ethereum

Why are Fees so High when I Use Credit Card?

Credit Cards exist to make buying items fast and easy. When you use a credit card, you are actually borrowing money from the card issuer. Because you are not actually spending your money when you use a credit card, it means its very easy to cancel a charge or refuse to pay the balance off. Credit card companies tend to side with their customers over the merchant as well. Card companies also charge the merchant around 3% to process the payment.

For all of these reasons, accepting credit card purchases is quite expensive. Chargebacks, fees, and fraud all must be considered when accepting a credit card and that cost comes out in the form of an increased price for whatever you are buying.

This is especially difficult when the merchant is selling something like Bitcoin, because once you have it, the merchant cannot reverse the transaction to get it back.

Why do I have to buy bitcoins with credit card in order to buy other cryptocurrencies?

This is because most other cryptocurrencies are traded against Bitcoin. The liquidity for altcoins against the US dollar is often very poor. But on the other hand, the liquidity against BTC is usually very good. So it’s easy to get other currencies once you have bitcoins, but not easy to get other currencies without having BTC first.

Did banks ban buying cryptocurrency with credit card?

In the USA, some banks are blocking users from buying cryptocurrency on credit. Some banks may treat crypto purchases with a credit card as cash advances that have additional fees associated with them. This would seem a resaonable practice since crypto is usable instantly and is basically like cash. This may be why debit card purchases appear to still be working. European users still appear to be able to buy crypto with a credit card.

On June 11, 2018 there were reports that Wells Fargo blocked all its customers credit cards from buying BTC.

wells fargo bans bitcoin buys

At that time, most credit cards had already been blocked by Visa and Mastercard from buying bitcoins as well. But, Wells Fargo said they may allow purchases of cryptocurrency again down the line.

Written by Jane