5 Easy Ways To Buy Bitcoin In Canada 🇨🇦

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• Published: April 8th, 2018
• Updated: September 18th, 2020

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So you’re interested in buying Bitcoin eh!

Well, you came to the right place.

Here in 2020, buying Bitcoin in Canada has never been easier. There are many options to choose from, with each exchange having its own strengths and weaknesses.

The last headache you want is to deposit your money in a fraudulent exchange.

In 2019, the Canadian Bitcoin exchange QuadricaCX was the largest Canadian exchange that went bust and made off with $250 million in customer deposits.

You want to avoid disasters like that, and a guide like ours will help you do just that.

Luckily, Canadian exchanges today are much more trustworthy and easier to use. Creating an account, getting verified, and buying cryptocurrencies can take less than 24 hours.

Yes, within 24 hours you can own cryptocurrencies.

All from the comfort of your own home.

In short, the Best Bitcoin Exchanges in Canada are:

Best Bitcoin Exchanges Canada

Coinbase ReviewCoinbase is probably one of the most popular and well-known exchanges in the world. It allows Canadian residents to buy Bitcoin using their debit card.

Unfortunately, Coinbase does not support Canadian bank transfers (EFT), and most credit card companies do now allow credit card cryptocurrency purchases.

This leaves debit cards as your only option in Canada.

If you are still interested in using Coinbase to buy Bitcoin with your debit card you will be charged 3.99% fees and have a $250 daily limit.

Coinbase is a brokerage that functions slightly different than an exchange.

On a brokerage, you are buying directly from Coinbase, as opposed to an exchange where another user sells their Bitcoin.

If a card is used to purchase Bitcoin on Coinbase, you will have instant delivery!

Visit Coinbase
Read Review

Coinsmart

Coinsmart is a 100% Canadian exchange dedicated to helping cryptocurrency beginners buy their first coins. Featuring instant verification, 24/7 customer support, and a large variety of methods, it’s a great option for beginners.

Coinsmart’s fees include trading fees, withdrawals, and funding fees. When it’s all said and done, expect around a 1.2%-2.7% fee on your cryptocurrency buys and sells. Last but not least, Coinsmart’s assets are secured by BitGo by a 100M insurance policy.

Visit Coinsmart

Coinberry is another Canadian cryptocurrency option that allows you to purchase Bitcoin in minutes. What's great about them, is they have 0 withdrawal and deposit fees as well as purchasing limits of just $50!

Trading fees are .5% which may appear high compared to other traditional exchange options. That being said, they have no other hidden fees or cryptocurrency premiums making them a very realistic option for purchasing Bitcoin in Canada.

Their user interface is also pretty sleek making it simple for beginners to get started with cryptocurrency. For funding methods, Coinberry allows cards, Interac Transfers, and bank transfers. Like many other exchanges and brokerages, they are an extremely secure option featuring industry-standard cryptocurrency cold storage.

Visit Coinberry

 


bitbuy.ca review

Bitbuy.ca is a popular exchange in Canada that has been buying and selling digital currency since 2013. After creating an account on Bitbuy you will need to fill out some basic information. The exchange has automatic verification making it quick and easy to purchase cryptocurrency.

Bitbuy offers competitive low fees for buying (.75%) and selling (.5%). You can buy and sell with market orders, or set your own price with a limit order. If you are doing a larger order, Bitbuy has a dedicated in house OTC desk to facilitate large amounts.

These fees are pretty low compared to other options, but where Bitbuy.ca makes their money is through deposits and withdrawals. Their deposit options include Interac e-Transfer, bank wire, and Flexepin. Bank transfer deposits are typically .5%-2% fees while the fees for withdrawal are 1.75%-3%.

Visit Bitbuy Read Review

Coinsquare calls themselves the home for digital currency, and for good reason. They've been serving Canadian residents since 2014. In 2018, they added supporter for many European countries. In addition to Bitcoin, they also offer many altcoins such as Ethereum, Ripple, and more.

Payment methods on the service include bank deposits, credit & debit cards, Flexepin, and Transfer.

For fees, Coinsquare charges a .1% maker fee (offering liquidity) and a .2% taker fee (taking liquidity). On top of trading fees, some deposit and withdrawal methods have a respective fee attached. Overall, their trading fees are pretty competitive with all other exchanges. However, the deposit and withdrawal fees are certainly something to consider.

In terms of limits, Coinsquare will have different ones depending on the method. The minimum for most methods is $100 while wire transfer limits are unlimited. For the most part, limits shouldn't be too much of an issue.

Visit Coinsquare Read Review

MyBTC.ca is Canadian Bitcoin brokerage site that allows Canadians to buy Bitcoin with both instant and same-day payment methods. These include:

  • Interac e-Transfer
  • Bank Wire
  • Instant Debit
  • Flexepin vouchers
  • Cash & Interac at Canada Post

In terms of buy buying limits, you can purchase anywhere from $50 all the way to $100,000. The exchange requires ID verification that can be submitted online and is usually approved within 1-hour.

If you prefer to complete it yourself in-person you can, thanks to an agreement with Canada Post and their 4,000+ locations nationwide.

For support, the exchange is available through live chat, SMS text, phone or email.

Lastly, in terms of fees, the exchange ranges from 4.75-7.75% depending on the payment method used.

Visit MyBTC.ca

Bitcoin ATM’s are appearing more and more as Bitcoin’s adoption increases.

Bitcoin ATM’s allow you to buy Bitcoin with cash. This is one of the more private options although there are typically 5% fees when used.

Use this map to find Bitcoin ATM’s near you.

Frequently Asked Questions

What is the Best Bitcoin Wallet in Canada?

Unlike exchanges, bitcoin wallets are not tied to specific countries. This means you can use wallets made in other countries.

The most secure option to store your bitcoin is to use a hardware wallet. We recommend the Ledger Nano X. You can learn more about it here.

The best wallet for the iPhone is Breadwallet. You can read our review here.

The best wallet for Android is MyCelium. You can read our review here.

For a comprehensive review of other wallets, visit our comparison review.

What is the Best Exchange in Canada?

There is no exact answer, as depending on the payment method certain exchanges will be better than others.

However, Coinbase and MyBTC.ca are two great options for buying Bitcoin in Canada.

When is the Best Time to Buy Bitcoin?

There isn’t necessarily the best time to purchase Bitcoin, as the price fluctuates often. Typically, it is best to buy when others are scared as you can get a great price.

How do I cash out bitcoin in Canada?

Selling your bitcoin in Canada has never been easier. It’s as simple as a 5 step process:

  • Go to bitbuy.ca and create an account
  • Submit your ID documents and get verified
  • Send your bitcoin from your wallet to the exchange
  • Sell your bitcoin on the exchange
  • Withdraw the funds from the exchange to your bank account via e-transfer

Is Bitcoin legal in Canada?

Yes. Buying or selling bitcoin in Canada is completely legal.

However, Canada does not recognize bitcoin and other cryptocurrencies as legal tender. This means that you cannot use cryptocurrencies to pay taxes.

All Canadians are able to buy or sell cryptocurrencies on exchanges. Canadians are also permitted to use cryptocurrencies to buy or sell goods and services so long as the merchant accepts cryptocurrencies.

Can Bitcoin gains be taxed in Canada?

Yes. Using Bitcoin does not exempt people from Canadian tax obligations.

The Canadian Revenue Agency (CRA) views bitcoin and other cryptocurrencies as commodities and not a government issue currency.

The income you gain from selling bitcoin can be considered business income or a capital gain.

For Canadian Businesses:

If you are a business that has accepted bitcoin as payment, the CRA has classified this as a barter transaction. The value of the goods purchased using digital currency must be included in the seller’s income for tax purposes. The amount to be included would be the value of the goods in Canadian dollars.

The CRA has stated that “GST/HST [Goods and Services Tax/ harmonized sales tax] applies on the fair market value of any goods or services you buy using digital currency.

For Canadian Individuals:

According to the Financial Consumer Agency, gains or losses from selling or buying cryptocurrencies must be declared when filing taxes.

If you personally had purchased bitcoin and later sold it for a profit, you would be subject to a realized taxable gain. Only 50% of the gain is taxable.

To help keep track of your cryptocurrency gains and losses we recommend you read our tax software comparison.

Do Canadian banks accept bitcoin?

No. You cannot convert your bitcoin into cash (or vice versa) directly via a Canadian bank. You can send e-transfers from your bank to a bitcoin exchange to make the conversion.

What Exchanges Allow Interac Transfers?

Nearly every exchange mentioned in this guide will accept Interac transfers as it’s a popular method in Canada.  For more information about buying Bitcoin with Interac, read our full in-depth guide.

What factors determine the best Canadian Crypto Exchange?

When deciding which exchange to buy Bitcoin on, you will have to consider a number of factors such as supported payment methods, trading volume, fees, delivery speed, limits, and community reputation.

Depending on how fast you need your Bitcoin, or what payment methods you have available, certain exchanges will be better than others.

There are many cryptocurrency exchanges to choose from. Depending on if you’re a newcomer to space or a more experienced trader, we have a recommended exchange for you.

Newcomers:

Bitbuy – For those new to space and want to quickly and easily purchase cryptocurrencies.

Advanced Traders:

Kraken – For more experienced traders to want advanced trading tools and more sophisticated trading products.

Mobile:

Coinberry – If you are strictly looking to purchase cryptocurrencies using your phone.

In summary:

– Easiest Exchange To Use – Bitbuy
– Most Secure Exchange – Kraken
– Most Popular Exchange – Coinbase
– Best App Exchange – Coinberry
– Largest Canadian Exchange – Coinsquare
– Bitcoin ATM – Most Anonymous Method

Austin Tuwiner
Austin Tuwiner Administrator
Austin is the owner of Bitpremier, and got involved in Bitcoin in 2012. After working as a cryptocurrency journalist and and at several blockchain startups, he decided to start Bitpremier and educate the world on Bitcoin.
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