5 Steps to Buy and Sell Bitcoins in New Zealand

Bitcoin is a cryptocurrency that isn’t controlled by any authority or central bank but can be used to buy things electronically. It’s the world’s first decentralised digital currency that runs on a global peer-to-peer network without intermediaries or banks.

Bitcoin is not anonymous, as it doesn’t use your name, but privacy is built into its design. Before you look up Bitcoin price NZD, there are some aspects you should be aware of.  

Why New Zealanders are Buying Bitcoins

New Zealanders buy Bitcoin for many reasons, including making international payments without incurring bank fees and as a hedge against inflation by investing in the world’s first decentralised currency. 

Many people know about Bitcoin through news stories about people buying apartments and Lamborghinis with their Bitcoin gains.  It is known as ‘HODLing.

To Buy Bitcoins in New Zealand

1. Sign Up for a Bitcoin Wallet

There are several different types of wallets, including exchanges, hosted wallets, and web wallets.  People who want to buy and sell frequently need an exchange or hosted wallet that they can use to move between fiat currency and bitcoin quickly. In contrast, those who only need to buy, hold, and spend bitcoins will find web wallets that allow them to have greater convenience.

Even though the transactions are recorded on a global ledger, sending and receiving bitcoins works just like sending and receiving email. 

2. Deposit Money into Your Wallet 

You can buy bitcoins using NZD bank transfers, depositing cash at an ANZ branch or an ATM.  There are also several other ways to fund your wallet, including credit cards and vouchers.

3. Find a Bitcoin Exchange that Supports New Zealand Dollars

Bitcoin is traded according to market forces, which means prices fluctuate constantly and can change by more than 100% in a single day. Bitcoin is not regulated, and there are no guarantees on its future price or stability.  Exchanges enable you to buy and sell Bitcoin at the current market price for NZD.

4. Buy Bitcoins

Exchanges allow you to buy bitcoins in set increments and sell at the market rate.  The Bitcoin price in NZD is determined by supply and demand and can vary between exchanges, so it’s important to compare the prices before making a purchase.  

There may also be specialty bitcoin exchanges in New Zealand that support direct trading with other cryptocurrencies like Litecoin and Ethereum. 

5. Pay Your Friends with Bitcoin

To send or receive bitcoin, all that’s needed is a digital wallet, which can be created by downloading the Bitcoin software for free from the Bitcoin website. The software generates a ‘public key’ and a ‘private key’.  

The public key is like your bitcoin address anyone can see it on the blockchain.  The private key, or your password, is secret only you should know it.

To Sell Bitcoins in New Zealand

1. Sign Up for an Exchange 

There are different types of exchanges, including hosted wallets and web wallets. If you want to buy and sell frequently, use an exchange (Coinspot or Cryptopia).  If you only want to buy, hold, and spend bitcoins, use a web wallet.

2. Sell Your Bitcoin for NZD

Exchanges allow you to buy bitcoins in set increments and sell at the market rate.  The price of Bitcoin is determined by supply and demand and can vary between exchanges, so it’s important to compare the prices before making a sale.  There may also be specialty bitcoin exchanges in New Zealand that support direct trading with other cryptocurrencies like Litecoin and Ethereum.

3. Deposit the Money into Your Bank Account

Selling bitcoins is just like receiving a payment from anyone else only you’re getting money instead of sending it to someone.  There may be some delay before the exchange credits the sale to your account.

Buying and selling bitcoins has never been easier.  But before you start trading with Bitcoin, it’s important to make sure your wallet is secure and know the current Bitcoin price and upcoming trends.