According to the Ontario Securities Commission report, Canadians have shown increased interest in owning crypto assets like Bitcoin and Ethereum in recent months. The agency reveals that over 30% of Canada’s adult population plans to purchase cryptocurrencies in 2023.
But how can someone in Canada buy BTC or any other crypto? Well, keep reading this article to find out.
Is it Legal to Purchase Crypto in Canada?
The Canadian government does not consider any cryptocurrency as legal tender. However, it is completely legal to trade crypto in the country. Note that Canada Revenue Agency imposes various taxes on crypto transactions.
Several Canada-based merchants are now accepting crypto payments, making it possible for people to shop without converting their crypto holdings into cash.
Do Canadian Banks Support Crypto?
The increased popularity of crypto has pushed Canadian banks to recognize and support the trading of these assets subject to state and federal regulations. As of April 2023, Canadian-based banks have installed over 2,500 Bitcoin ATMs nationwide. As a result, Canada now has the second-highest number of ATMs, only behind the United States. With these ATMs, people can easily convert cash to cryptocurrencies and vice-versa.
Some of the banks that support crypto trading in Canada include the Canadian Imperial Bank of Commerce, ATB and Coast Capital, Royal Bank of Canada, and the National Bank of Canada. Anyone holding a debit card issued by these banks can use it to purchase cryptocurrencies on exchanges operating in the region.
Ways to Buy Crypto in Canada
The two most popular ways to purchase crypto assets in Canada include through a crypto exchange or a broker. Crypto exchanges have an advantage over crypto brokers in the sense that they give users some level of control over their cryptocurrencies, unlike brokers that impose restrictions on withdrawals, storage, and transfers.
Steps to Purchase Crypto in Canada Through a Crypto Broker
Here is how you can buy cryptocurrencies through brokers:
Step 1: Create an account on the crypto broker’s platform
The first step to buying a cryptocurrency involves setting up an account on your preferred broker’s platform. Some of the brokers operating in Canada include Mogo and Wealthsimple. They usually require you to provide your phone number, valid email, and other personal information to get started.
Step 2: Deposit funds into your account
Many crypto brokers support various payment methods, including credit cards, debit cards, wire transfers, and PayPal. How long it takes for funds to reach your account totally depends on the method used.
Step 3: Purchase crypto asset of your choice
After funding your account, you can then go ahead and place a buy order. It is worth highlighting that crypto brokers do not offer a wide range of cryptocurrencies like exchanges.
Steps to Purchase Crypto in Canada Through Crypto Exchange
Step 1: Select your preferred crypto exchange
A crypto exchange can be described as an online marketplace where willing buyers and sellers trade various types of crypto assets. Some of the exchanges operational in Canada include Binance, Kucoin, Kraken, Coinberry, Bitbuy, and Crypto.com.
Step 2: Create an account
After identifying the ideal exchange, the next step involves creating an account. Along with submitting your phone number and valid email, exchanges require you to provide verification documents such as an identification document.
Step 3: Deposit cash and purchase crypto
You can use debit/credit cards to deposit funds into your account. Moreover, some exchanges support peer-2-peer trading, which is another simple way to add funds to your account.
Once funds reflect in the account, you can place a buy order. Most people prefer buying Bitcoin, but the market is filled with several altcoins such as BNB, Filecoin, and more, allowing you to diversify your investment fund.
How to Store Crypto in Canada
With increasing cases of cyberattacks and hacks, keeping your crypto safe must be a priority. Here are some ways for can safely store your cryptocurrencies in Canada.
On the Exchange
Many centralized exchanges have adopted various security measures to protect their users’ crypto assets. One of the measures is the two-factor authentication that restricts unauthorized access to users’ accounts. That said, you can opt to store your cryptocurrencies on the exchange you bought them.
Crypto Wallets
Storing your crypto assets in a decentralized Web3 wallet gives you total control over them since you hold the private keys, unlike in centralized exchanges where they act as custodians. Some of the crypto wallets you can use include Trust Wallet and MetaMask. However, you must be well-versed in blockchain technology to use such wallets.
SureTradeGroup.com is not responsible for the content, accuracy, quality, advertising, products or any other content posted on the site. Some of the content on this site is paid content that is not written or posted by our writers or editors and the opinions expressed do not reflect the opinions of this website. Any disagreement you may have with brands or companies mentioned in articles will need to be taken care of directly with those specific brands and companies. The responsibility of anyone who may click links in our articles and ultimately sign up for that product or service is their own. Forex, Stocks, Cryptocurrencies, NFTs and Dogital Tokens are all a high-risk asset, investing in them can lead to losses. Readers should do their own research before taking any action.