Many confuse Bitcoin as being synonymous with cryptocurrency, however, this notion comes from the fact that Bitcoin is the first among the many cryptocurrencies ever created as it dates back to 2009 when it introduced blockchain technology to the world. Now, in the present time, Bitcoin promises high returns enough to avail a condo for sale. But here’s the catch: this comes with the risk of major price swings possibly occurring in the span of a single day as the cryptocurrency remains extremely volatile.
As of December 5, the price of a single Bitcoin amounts to around 970,477.32 Philippine pesos. But over the past year, the crypto exchanges for Bitcoin have seen a decrease of around -60%, proof of its high volatility. But this doesn’t discourage Bitcoin buyers as the cryptocurrency peaked just last year, in November 2021, with an all-time-high price of 3,847,877.85 Philippine pesos for a single Bitcoin. If this interests you in taking a deep dive into the world of cryptocurrency, specifically Bitcoin, then you must first understand Bitcoin and how it works in the Philippines.
Bitcoin Philippines
To buy Bitcoin in the Philippines and other cryptocurrencies, the first step to take is registration on a specific platform, app, or exchange, where they will conduct a Know Your Customer or KYC process.
On Bitcoin Wallets
The chosen exchange can be operated on multiple devices, from your desktop to your mobile phone, and will also allow you to withdraw and place your crypto assets on your personal wallet, hardware that’s not specifically required but is highly encouraged.
Having a Bitcoin wallet, cold storage, will ensure that you can secure your digital currency on a personal cold wallet, but almost all cryptocurrency exchanges offer their own built-in wallets.
Requirements to Buy Bitcoin
Before you can buy Bitcoin, you will have to prepare a few requirements before making your bitcoin purchases:
- Valid government ID (Passport, national identity card, driver’s license)
- Private and secure internet connection (Public WiFi is discouraged given it’s prone to security issues)
- Mobile phone for identity verification through Two-Factor Authentication (2FA)
- Bank account or credit card for the bank transfer of fiat currencies to buy Bitcoin safely
- Crypto wallet for your own personal crypto space (only encouraged)
How to Buy Bitcoin in the Philippines
In order to buy Bitcoin, an industry standard process must be duly followed.
Account Creation with an Exchange
First, create an account with an exchange. In the Philippines, Binance is widely accepted as a reputable platform, along with eToro. In total, their combined active users account for 110,000,000.
Both platforms are user-friendly and offer multiple payment options, along with other cryptocurrency exchanges apart from just Bitcoin.
But there are also many exchanges with Binance and eToro only accounting for 2 of the 6 trusted exchanges in the Philippines. Note that you can always switch or sign up for other cryptocurrency exchanges later.
KYC Process Completion
This process is a necessary legal requirement for almost all exchanges in the Philippines and will, at most, take 1-2 days. After signing up for an exchange, verifying your identity and address comes next. You will be needing your photo ID, which you will be taking pictures of.
Fiat Currency Bank Transfer
To buy Bitcoin and other cryptocurrencies, it is necessary to link a bank account or credit card to the exchange you’ve chosen. The mentioned Binance and eToro offers payment method ranging from credit card, debit card, and bank transfers (SEPA), to SWIFT.
Buy Cryptocurrency
After funding your account, you can now buy Bitcoin. Though, of course, you’re not specifically required to buy an entire Bitcoin. Most exchanges can allow you to buy bitcoin worth a certain amount of Philippine Peso.
Send Bitcoin to your Bitcoin Wallet
Afterward, once a bitcoin has been purchased, you may place the crypto assets on a secure personal wallet. Having your coins on the exchange may end up subjecting it to hacking that steals the user’s funds.
A crypto wallet ensures the utmost security for your digital assets.
The Legality of Bitcoin in the Philippines
While the Bangko Sentral ng Pilipinas has put out statements regarding the possible risks of bitcoin trading, the bitcoin network and all other cryptocurrency trading is legal and to sell bitcoin along with holding it for possession is allowed.
Know Where to Buy Crypto
Before you head on buying Bitcoin, you must first find the reputable platform of your choice. From the low trading fees to the trading volume, along with the deposit fees and available bank transfers, you need to know what you’re searching for.
Where is it registered?
By using a locally-registered exchange, you can avoid foreign exchange fees. Additionally, by choosing an exchange registered in the Philippines, you are ensured of its legality given it has to comply with the local laws and it is registered to the Bangko Sentral ng Pilipinas
How secure is it?
Before you buy Bitcoin, see whether the platform is secure. Some common security features include 2-Factor Authentication and PGP-encrypted emails. They serve like private keys to your account, like how you would open a condo for sale once it’s yours.
What are the trading fees?
Check how much the entire transaction will cost you. This would be dependent on the platform you’ve chosen. You can find the trading fees, deposit fees, and withdrawal charges there.
Are there any transaction limits?
Find out whether the platform has restrictions on the number of user funds you can withdraw. Of course, this is along with the limit of digital assets you can purchase.
What’s their reputation like?
Before you buy your first bitcoin and deposit funds with your debit card or any other payment method you’ve chosen, ensure that their reputation can keep your crypto space secure as you buy crypto, even if you’re to place them on your bitcoin ATMs or even on best bitcoin wallets that exist. And if you plan to sell crypto, you may also want to look into ways you can start trading and save money with the platform.
To Buy or Not to Buy Bitcoin
Before you buy bitcoins and add funds to your exchange, make sure that you know all the details of the industry.
Before you can perhaps avail of a condo for sale with the bitcoins you’ve earned through bitcoin trading, understand the risks of bitcoin and other cryptocurrencies given its high volatility.
The risks are there, but there’s also a lot of promise that comes with it.
Related Blog: Keeping Up With Cryptocurrency: Is It a Good Investment?
