How to Buy Cryptocurrency in South Africa? A Step by Step Guide
Buying cryptocurrencies in South Africa is quick and easy. Follow our guide below to get started!
Cryptocurrencies have seen a steady growth in interest and adoption in South Africa. While it’s a relatively new asset class, there are many perks that make it an interesting proposition for those wanting to diversify their assets or looking for alternative ways for international remittances.
If you’re interested to learn about crypto and how you can also buy and sell cryptocurrencies in South Africa – you’ve come to the right place! Easy Crypto aims to simplify the crypto experience, making it more easy and accessible for anyone in ZA to get into crypto.
Now before we begin, let’s start with the basics.
What is cryptocurrency?
Similar to South African Rands that are in your bank account, cryptocurrencies can be sent, received and stored on the internet. They can also be used to buy goods and services all over the world.
Cryptocurrency is a new form of money that isn’t controlled by any government or state. This means that cryptocurrencies are run and maintained by computers rather than by people in power. This concept is also known as decentralisation.
Currently, at the time of writing there are over 18000+ cryptocurrencies in circulation. This number is likely to grow as crypto adoption continues to rise and more blockchain projects gain traction.
Bitcoin being the first cryptocurrency that started it all back in 2008 as a way to provide a peer-to-peer transfer of value, soon followed Ethereum which innovated the way blockchain technology was implemented and paved the way for NFTs, DeFi, and much more.
New to cryptocurrencies? Master the basics with our crypto 101 guide.
Key differences between cryptocurrencies and the South African Rand:
- Cryptocurrencies eliminate the need for a bank or third party to hold your funds and verify transactions. You are completely in control of your own money!
- Cryptocurrencies can be sent anywhere in the world, in a matter of seconds and for a low fee.
- Certain cryptocurrencies such as Bitcoin have a set supply, which means that they cannot be manipulated and are not at risk of hyperinflation like traditional fiat currencies, such as the Rand.
- It is estimated that over 11 million people don’t have access to a bank account in South Africa (20% of the population). Cryptocurrency would allow these people to engage in the local and global economy by giving them access to money that is easy to store and move around, as long as you can connect to the internet.
Is cryptocurrency legal in South Africa?
“Is it legal?” is one of the most asked questions in the cryptocurrency space. The answer is yes! It definitely is legal, including here in South Africa. Governments around the world, including ours, have realized that cryptocurrencies are here to stay.
South Africa is starting to catch up with other countries in terms of cryptocurrency regulations. Recently our government came out with new and improved regulations for the cryptocurrency space in South Africa.
At Easy Crypto we do everything we can to ensure that both our customers and ourselves are always on the right side of the law.
Why do people buy cryptocurrency?
People buy cryptocurrency for a number of different reasons. A few of these include using it to purchase goods and services, to use it as a quick and cheap way of sending money abroad or as an investment.
A few characteristics of cryptocurrency that have increased its popularity include its ability to operate without the need of a central authority and its ability to allow anyone with a mobile phone and an internet connection to participate in the global economy. Something that was previously inaccessible to the 1.7 billion people who don’t have access to a bank account.
There are many different approaches that people can take when choosing to invest in cryptocurrency, here are a few of them:
- One of the most popular ways of investing in cryptocurrency is buying and ‘hodling’ it for the long run. This strategy tends to carry the least risk as you are reducing your exposure to the crazy volatility that occurs in the cryptocurrency markets daily.
- Another strategy is day trading cryptocurrency. This is essentially where you try and profit off of the volatility by buying low and selling high. Although this may sound like a profitable idea, it also carries huge amounts of risk. This is due to the unpredictable price action of cryptocurrencies, which could very easily lead to you losing more money than you end up making.
- You must understand that come along with each strategy and choose which one works best for you.
How to get started with cryptocurrency in South Africa?
Getting started with cryptocurrency is easy. All you need is a wallet to store your cryptocurrencies and a credible place to buy crypto from!
It’s worth mentioning that as with any investment endeavors, it is always best to do your own research first from credible sources to make informed financial decisions.
What is a crypto wallet?
Just like how you would store your South African Rand in a bank or wallet, cryptocurrencies are also stored in a crypto wallet. The only difference is that with crypto, you don’t have to go through an intermediary like a bank – you just need to download or buy a crypto wallet!
There are many different types of crypto wallets out there, but they are mainly categorised into either a hot wallet or a cold wallet.
Hot wallets are the most common, they usually take the form of an app or software that can be easily downloaded for free on your mobile phone or computer. They’re called hot wallets because they require an active internet connection to work and access your crypto.
Cold wallets, on the other hand, are the opposite of hot wallets in that they take the form of a small physical device that functions as a way for you to authenticate transactions and store your crypto.
More on crypto wallets: Read our guide on crypto wallets in South Africa.
How to buy cryptocurrency in South Africa?
Time needed: 5 minutes.
Buying cryptocurrency in South Africa is quick and easy. Just follow our step-by-step guide below:
- Sign up or Login
Start off by signing up using your email, Google account, or any of the other options we have available.
If you already have an account with Easy Crypto, welcome! Proceed to login to your account with your credentials.
- Verify your account
To do this you’ll need to submit a picture of your South African ID, passport or drivers license. You’ll be able to start purchasing any cryptocurrency once the documents you submitted have been verified.
For further information, you can visit the Easy Crypto’s account verification guidance.
- Make the order
The next step is deciding which cryptocurrencies you’d like to buy. Once you’ve done your research take a look at the cryptocurrencies we have to offer.
Once you’ve decided which cryptocurrencies you’d like to buy, simply enter the amount you will be buying along with an address and then choose one of our payment methods.
You can currently choose between 3 different payment methods when buying cryptocurrency on Easy Crypto.
These include Stitch, Ozow and manual bank deposits. (Based on testing, we found that Stitch tend to be the faster payment method).
Note: Blockchain transaction times may add up to 1 hour until your coins are delivered (depending on network congestion) – which is beyond our control.
What you can do with Easy Crypto South Africa?
In addition to making crypto easy and accessible in South Africa, Easy Crypto also offers the following platform features for our users to maximise their investments.
Track the growth of the market and your portfolio
We make it easy for our users to track the growth of the market and your assets with our portfolio tracker. Make more informed decisions with detailed overview of your asset’s performance.
Automate your crypto investments
Automate your crypto investments with user-customisable order templates with our Auto-Buy feature. Link your bank account, setup your order templates and let us do the heavy lifting for you!
Want to learn more about the world of crypto? Visit our learning Hub to get started!
Also, don’t forget to subscribe to our monthly newsletter to have the latest crypto insights, news, and updates delivered to our inbox.
Disclaimer: Information is current as at the date of publication. This is general information only and is not intended to be advice. Crypto is volatile, carries risk and the value can go up and down. Past performance is not an indicator of future returns. Please do your own research.
Last updated Sep 8, 2022