If you're looking for a step-by-step guide to buying Bitcoin in Toronto, you've come to the perfect spot. In Canada, there are currently over 1.2 million people who possess cryptocurrency. It has developed significantly over the years, and most establishments in Toronto accept it as a form of payment. Furthermore, every cryptocurrency exchange must be registered with FinTRAC and is taxed. In Toronto, the most prevalent ways to acquire them are through exchanges and brokers.
Exchanges give the account holder more control than brokers who impose withdrawal, transfer, holding, and storage restrictions in their policies. With the increase in gambling activity, one of the most important aspects for casino operators to examine is how many people in Toronto play Bitcoin casinos in order to provide a means for them to use them in transactions.
Platforms to buy cryptocurrencies in Toronto
Using multiple exchanges is advantageous because it allows you to capitalize on their unique areas of expertise, such as using one for coin selection and another for advanced trading or staking features. Additionally, you should also consider if you are a seasoned trader or a newbie when selecting the platform. The following are some of the platforms available for the purchase of cryptocurrency in Toronto
Crypto.com
This platform is legal to buy crypto in Canada. Finder awards named Crypto.com the best cryptocurrency exchange overall in 2023. This indicates that it is a good platform for both experienced crypto traders and newcomers in Toronto. It provides a good user experience and allows users to make purchases quickly. However, its advanced trading platform comes at an extra cost.
Coinbase
This platform is available for people who want to buy crypto in Toronto. It's a straightforward platform for newcomers to make their first investment in digital assets. Users can purchase digital assets instantly with the simplified version. However, when compared to the advanced version, the trading fees for the simplified version are higher. The coin base IPO started at 380$ on the stock exchange
Steps to Purchase Cryptocurrency
Step 1: Create an account on a cryptocurrency trading platform.
Find a potential trading platform, download the app from its website, and then sign up. Verify your account with your personal email and phone number, and then submit your personal information.
Step 2: Deposit funds into your account.
The majority of brokers provide a number of payment modules such as credit cards, debit cards, wire transfers, PayPal, and gift cards. The transaction fees vary according to the payment method selected.
Step 3: Purchase the cryptocurrency of your choice.
Select the coin you wish to purchase, and place your order. The trading platform will automatically buy your order. However, brokers' basket of currencies is limited hence they do not trade in all of them. Furthermore, because brokers have limited volume and sell orders, it is best to double-check before investing money.
Toronto-based cryptocurrency exchange process
Step 1: Select your exchange.
A cryptocurrency exchange is a digital platform where sellers and buyers trade different tokens. The majority of the exchange permits you to exchange one type of crypto for another or trade the Canadian dollar for them. Coinbase, Binance, Crypto.com, Kraken, KuKoin, Bitbuy, and Coinberry are examples of such digital marketplaces.
Step 2: Open an account.
Upon choosing an exchange, provide a valid phone number and email for account creation. Additionally, verification documents (passport) ought to be uploaded together with a selfie for face match purposes.
Step 3: Make a cash deposit and purchase cryptocurrency.
Deposit funds into your account after it has been verified by linking it to your bank account. Buy available crypto using your funds by placing a crypto buy order
How to store Crypto Currencies
Now that you've learned how to buy cryptocurrency in Toronto, it's time to put it somewhere safe. Tokens are very vulnerable to hackers. Below are some of the best ways to store crypto in Canada as they are not insured by the Canada Deposit Insurance Corporation.
On the exchange
When crypto assets are left on the exchange, they generate passive income through farming and staking. Staking earns interest by locking holdings on the exchange, whereas farming earns more cryptocurrencies by utilizing existing exchange assets. Risks can be reduced by distributing assets across multiple exchanges. However, because centralized exchanges are known to change policies and rules, or cease operations, storing on multiple exchanges may spread the risk of losing all assets in the event of an exchange hack, seizure, or closure.
Crypto wallets
Cryptocurrency owners in Toronto can use crypto wallets to access their digital money on the blockchain. We have cold and hot wallets in Canada. MetaMask, Binance Trust Wallet, Coinbase Wallet, and CoinSmart are examples of hot wallets, while Ledger and Trezor are examples of cold wallets. It is also critical to strike a balance between the two in order to reduce risks.
Conclusion
Cryptocurrencies are becoming increasingly popular in Canada. Furthermore, the Ontario Securities Commission stated in their report that more than 30% of Canadians plan to buy crypto assets in 2023. Even though trading is legal in Canada, it is not yet considered legal tender. All cryptocurrency transactions in Canada are taxed by the Canada Revenue Agency (CRA). Furthermore, the website of the Canadian Securities Administrators provides information on how these assets are regulated in Canada.
