How to Buy Bitcoin Easily and Smartly (DCA)

Are you not a trader and want to buy bitcoin without waiting for the famous “right moment”? Are you looking for a reasonably priced platform?

We’ll introduce an easy and smart investment method, along with three exchanges that support this strategy.

This article is not sponsored by the platforms mentioned. It is a bitcoiner’s account of their experience. You are free to support us or not using the platforms’ referral codes.

Buy Bitcoin Easily with DCA

Dollar Cost Averaging (DCA) is a gradual investment method that spreads purchases over time at a fixed frequency, regardless of price. This method lets you accumulate volatile assets such as Bitcoin at an average price, without being subjected to violent fluctuations.

Ideal for avoiding investors’ psychological biases: 

DCA helps avoid investors’ psychological biases such as FOMO (the fear of missing out). It can even create positive biases. When prices fall, the investor is glad to accumulate the asset at an ever-lower price. When prices rise, they are glad to see the value of the assets they have already accumulated increase. While beginners rush into the asset thinking “it can only go up,” the DCA investor sticks to their plan as intended, unfazed.

The best way for individuals to invest:

When individuals invest, they become easy prey. In addition to being guided by their emotions, they have little training and benefit from much less powerful tools than professionals. Large banks and investment funds, for example, use bots and algorithms capable of buying and selling in less than a second.

The information that reaches us has already been anticipated, read, and digested by these major market players.

However, individual investors do have an opportunity. We cannot be the fastest, but we can identify solid assets and accumulate them gradually.

Why is DCA suitable for Bitcoin?

Because Bitcoin is young, relatively small, and unregulated, its price is quite explosive both upwards and downwards, for better and for worse. Its adoption goes through successive phases of euphoria and extreme despair.

Gradual accumulation helps you survive these cycles with a simple plan: buy €10 of bitcoin every Thursday, or buy €100 of bitcoin on the 28th of every month, for example.

Since 1 Bitcoin is divisible into 0.00000001 units, you can split your purchases without difficulty and start with €10. Starting with a small amount lets you become familiar with the technology and the wallet system without taking too much risk

TOP 3 Best platforms for buying Bitcoin with DCA:

Let’s now look at three exchanges that offer recurring investments.

2. Bitstack: Ideal for buying Bitcoin with DCA 

Bitstack is a French exchange specializing in scheduled Bitcoin purchases. Its iPhone and Android app makes it very easy to set up automatic investment plans. 

Bitstack’s key features:

• Round-up investing: Bitstack rounds up your everyday spending and automatically invests the difference in Bitcoin. This works by linking your regular bank account or using its payment card. Round-ups are calculated in real time, grouped together, and converted into Bitcoin every Sunday evening. 
• Recurring investment: Set up an automatic Bitcoin purchase at the frequency of your choice (e.g., €1 per day, €10 per week, or €500 per month).
• Smart recurring investment: Bitstack increases or decreases your recurring investment amount based on Bitcoin price movements. If Bitcoin’s price has fallen over the last 60 days, Bitstack will invest a larger amount at your next debit. Conversely, if the price rises, Bitstack will debit a slightly larger amount. It uses the 60-day moving average as its reference.

Once you’ve bought your Bitcoins, you can choose to keep them in the app or secure them yourself on your Hardware wallet. Bitstack offers free Bitcoin withdrawals. Read our article to learn how to secure your bitcoins. 

Advantages of Bitstack: 

• Very simple platform; set up a DCA plan in 10 minutes.
• Encourages you to secure your Bitcoins yourself.
• Daily, weekly, or monthly scheduled purchases.
• For individuals and businesses.

What are Bitstack’s fees?

• Card and bank transfer transaction fees: Between 0.49 and 1.49%, depending on monthly transaction volume.
• Bitcoin withdrawal fees are waived.
• Invest from as little as €1.

2. Paymium: The oldest operating exchange embraces DCA

Paymium is a Bitcoin buying and selling platform operating since 2011. It is one of our favorite platforms thanks to its simplicity and its fascinating founder, Pierre Noizat. He is a cryptography expert who discovered Bitcoin in 2009, when it was created. In particular, he was one of the recipients of the email in which Satoshi Nakamoto unveiled Bitcoin’s white paper.

Buying Bitcoin on Paymium is relatively straightforward. Simply deposit euros via a SEPA transfer, then schedule the frequency and amount of your recurring purchases.

Paymium also lets you make one-off purchases by placing orders manually. The platform even subsidizes users by applying negative fees of -0.1% on “Maker” orders (when you place an order by choosing your buying or selling price, as opposed to “market” orders).

Advantages of Paymium:

• Easy to make scheduled or one-off purchases.
• Trusted provider: the oldest Bitcoin-buying platform still operating (since 2011!)
• Free bitcoin withdrawals!
• For individuals and businesses.

What are Paymium’s fees?

• Maker transaction fee: -0.1% (the platform subsidizes you for placing an order).
• Taker transaction fee: 0.5% (you pay this fee when you buy “at market” without placing an order).
• Bitcoin withdrawal fees: Free!

3. Coincorner: Buy Bitcoin on the Lightning Network

Coincorner is an exchange based in the USA 

Its main advantage is that it supports buying Bitcoin on the Lightning Network. This is a secondary network optimized for payments, where bitcoins move instantly and without fees.

The Lightning Network has been expanding rapidly across the industry for the past year and could accelerate Bitcoin adoption by the general public. This network lets people in El Salvador pay daily in bitcoin, free of charge and instantly. 

Rather than reinventing the wheel by creating yet another cryptocurrency, Lightning bets on circulating real Bitcoins.

Coincorner lets you send and receive bitcoins via either the main network or the Lightning Network.

Advantages of Coincorner:

• Ideal for trying out the Lightning Network.
• Acts as a bridge between the main network and LN.
• Offers a contactless Lightning payment card called “BoltCard”.
• LNURL compatible.