Venezuela has seen some of the greatest economic upheavals during the last five years. Venezuela’s currency has almost lost all value due to hyperinflation, unemployment, and poverty. Locals were obliged to hunt for alternatives because of this problem, including cryptocurrencies. By the middle of the year, Venezuela accounted for about 16% of the global trade volume in Bitcoin, which saw an 84.5% increase in 2018. Venezuelans, meanwhile, are searching for a safe, dependable platform to monitor and conduct their transactions since they have too much to lose. We’ll be showing you how to buy bitcoin in Venezuela. We’ll also cover the best-secured platforms to buy Bitcoin from.
How To Buy Bitcoin In Venezuela
Below we have provided a step by step guide on how to buy Bitcoin in Venezuela.
Step 1. Open An Account With A Reliable Broker
Doing some research to find a trustworthy broker is the first step in signing up with one. Based on factors like their transaction limits, regulatory status, supported currencies, payment options, security precautions, customer support, and overall reputation, you can compare different well-known platforms. The process of signing up only requires a few basic pieces of information, including your name, address, contact number, and working email address.
2. Confirm Your Identity
Before utilizing their services, all licensed brokers will need identification verification from you. This is required by international AML (Anti-Money Laundering) and CFT (Combating the Financing of Terrorism) rules and complies with their KYC (Know Your Customer) protocols. For this reason, you’ll often need to supply a separate proof of address and a government-issued picture ID. Everyone engaged benefits from adhering to the KYC requirements since it keeps undesirable elements at bay.
3. Deposit Money
You will have the ability to deposit money using a payment method of your choosing after identification verification. The regulated brokers accept a wide range of payment methods, including bank transfers, credit/debit cards, and third-party facilitators like Skrill, Neteller, and PayPal. You may choose whichever one best fits you and deposit the necessary cash for the BTC purchase.
4. Create A Position To Short Or Long Bitcoin
Opening long and short positions on cryptocurrency is required when using an internet broker in Venezuela to purchase or trade digital currency. You may either purchase and sell the physical coin, or you can trade it using a derivative like a CFD. A long position is taken when you anticipate a gain in the value of the BTC price, while a short position is taken to profit from a decline in the price.
When you trade with eToro, a reputable online broker, you purchase Bitcoin by creating a long position without using leverage. If the price of Bitcoin increases, you’ll make a profit, and you may cash out your profits by promptly canceling your deal.
A CFD (contract for difference) may be used to take a short position on Bitcoin, in which case you would simply wager that the value of Bitcoin would decline without actually exchanging any BTC. The difference between the values of the Bitcoin CFD at the beginning and end of the short position will be your profit if the price of Bitcoin does decline.
You may manually or automatically enter/exit your trades at the best price points by using several order types, including market orders, limit orders, stop-loss orders, and trailing stop orders.
5. Take A Position
While you may manually terminate transactions whenever you believe the price of bitcoin is suitable, protecting your gains or averting losses as necessary, it is also feasible to automate this activity using a variety of order types, as was covered in the previous paragraph. To further comprehend it, let’s use the example of a long position in Bitcoin.
When setting up the trade, in this case, you may define take-profit and stop-loss points. As soon as Bitcoin’s price crosses the take-profit or stop-loss level, your trade will then be immediately closed, protecting your profit or averting additional losses.
Advice On Purchasing BTC In Venezuela
Here are three crucial pointers that can greatly assist you on how to buy Bitcoin in Venezuela quickly, affordably, and securely.
1. Pick The Appropriate Time And Do Research
You must do extensive study in order to join the market at the ideal moment and purchase BTC for a reasonable price. The previous price movements of BTC may be studied in order to determine the potential effects of numerous technical & fundamental elements on its future price movements.
2. Forecasting Bitcoin Purchase Prices
Any trading platform you use will impose costs for deposits, transactions, withdrawals, and spreads to be compensated for its services. Before joining any certain site, you should evaluate all such expenses. Doing so is essential if you deal in high numbers, and it may eventually help you reduce your total expenses.
3. Security And Safety
Before choosing a certain service provider, it is important to properly research and evaluate the safety and security procedures used by various trading platforms. Choosing a platform that a reputable organization governs often takes care of this issue to a fair extent since it will already have top-notch security standards in place.
Best Crypto Exchanges In Venezuela
The biggest cryptocurrency trading platform in the world at the moment by daily trading volume is Binance, a global cryptocurrency exchange. It commenced operations in 2017 and is presently based in the Cayman Islands.
Despite being established in Hong Kong, Binance eventually relocated its corporate headquarters owing to rising government involvement in the cryptocurrency market. It contains a number of distinguishing features, such as strong charting tools, access to the Binance Earn function, and a Binance Visa Card.
Capital is a safe and secure platform since it has licenses from the Australian Securities and Investments Commission (ASIC) and the UK’s Financial Conduct Authority (FCA). Every user is assigned a personal account manager whom they may contact at any time by phone or email, contributing to the good feedback Capital’s customer service staff consistently gets.
Capital never charges fees for deposits or withdrawals; regardless of whether you use spot orders or limit orders, you’ll never be charged a trading commission. Capital is a very secure platform to deal with since it has earned the ISO 27001 certification for upholding strict information security requirements.
Capital users may trade cryptocurrencies without paying any trading commissions alongside stocks, commodities, currency, market indices, ETFs, and more. Users may trade with 2x leverage on cryptocurrencies, and it supports more than 100 coins (up to 500x leverage on other assets).
As a result of Capital’s tight spreads, which range from 0.1% to 0.3% (depending on the asset), using the platform costs very little overall (0% trading commissions plus 0.1% to 0.3% spreads). It features a PC platform that is completely functioning, a mobile app that is well regarded (4.7/5 on iOS and Android), and a great demo account where you can practice trading with real assets in real time.
The major disadvantage of Capital is that, due to the high volume of new signups at the moment, it may take several days for your account to be validated.
Paybis is a cryptocurrency exchange based in the UK that was established in 2014. You may use it to buy and sell bitcoins, and the Financial Conduct Authority oversees it (FCA).
Customers may use one of 47 different fiat currencies to acquire compatible crypto coins with Paybis. Among the fiat currencies that are now supported on the platform are the Turkish Lira, the Canadian Dollar, the US Dollar, the Euro, and the Pound Sterling.
4. Satoshi Tango
Satoshi Tango is a bitcoin trading platform with its main office in Buenos Aires. One of the first cryptocurrency exchanges in South America to open for business was Satoshi Tango, which was established in 2014. Although it now supports over 100 nations across all continents, the majority of its capabilities are only accessible in a few Latin American nations.
Some of Satoshi Tango’s biggest features are Top-Up Your Phone, which lets you use cryptocurrency to pay your mobile phone bills directly, Margin Trading (with up to 5x leverage), and Pay Bill, which enables simple daily payments straight from the Satoshi Tango dashboard.
In the near future, Satoshi Tango intends to increase the number of cryptocurrencies it supports, which now stands at 17, of which three are stablecoins. Both the Android (4.1/5 rating) and iOS (4.4/5 rating) versions of the Satoshi app have received rave reviews.
In order to maintain a high level of security, Satoshi Tango employs biometric identification and undertakes frequent audits by other parties. Additionally, it abides by all Know Your Customer (KYC) and Anti-Money Laundering (AML) rules and regulations.
One of the first cryptocurrency exchanges was SpectroCoin, which was established in 2013. It supports 49 of the most popular cryptocurrencies, including Polkadot, Polygon, and Bitcoin (BTC) (POL). Additionally, it accepts 14 of the most popular payment options, including Skrill, Neteller, and SEPA.
Makers of SpectroCoin are not charged any fees; they are compensated up to 0.1% for putting their cryptocurrency on the market. Takers, on the other hand, are charged a fixed price of 0.1% for each deal. Cryptocurrency deposits are 100% free, while all withdrawals are subject to network fees (0.0005 BTC for Bitcoin).
Collateralized loans from SpectroCoin are supported with attractive APRs (8.55% for BTC) and up to 75% LTV. You may thus think about making other investments without ever having to give up your long position in crypto assets. A crypto debit card was also made available; it can be loaded up with cash or cryptocurrency and is accepted anywhere Visa is.
Strong linkages to the BNK coin, which must be held to obtain cheaper trading costs and loan APRs, are one drawback of SpectroCoin. Depending on the payment method, their fiat deposit/withdrawal fees might be quite expensive, reaching up to 5.5%.
Frequently Asked Questions
There is just one Bitcoin ATM in Venezuela, and it can be found at the Traki Store on Casanova Avenue in Caracas, the country’s capital.
Yes, it is. LocalBitcoins Wallet is a web wallet.
Yes. The third-highest cryptocurrency adoption rate in the world is in Venezuela, where several businesses, including Pizza Hut, Burger King, and Church’s Chicken, freely accept Bitcoin as payment for goods and services.
No. In Venezuela, independent Bitcoin mining is a punishable offense. To lawfully engage in such activity in the nation, all miners must register with the National Mining Pool (NMP), the Integral Miners Registry (RIM), and SUNACRIP.
Yes. In Venezuela, all licensed trading platforms must confirm the identity of new users.