How to buy your first bitcoin in the UK

Buying bitcoin in the UK is easier than most people expect. The part that trips people up comes afterwards.

Here is the whole process, start to finish.

1. Choose an exchange registered with the FCA

UK firms that exchange or safeguard cryptoassets must be registered with the Financial Conduct Authority for anti-money-laundering supervision. Kraken and Coinbase are the two most commonly used by UK beginners.

You can check any firm on the FCA's public register before you deposit a penny. It takes thirty seconds and it is worth doing every time.

2. Verify your identity

You will be asked for photo ID and proof of address, exactly as a bank would ask. This is a legal requirement rather than a red flag. Expect it to take anywhere from ten minutes to a couple of days.

3. Deposit pounds

A bank transfer is usually free or very cheap. Debit card deposits are instant but carry a higher fee.

Worth knowing: some UK banks limit or block transfers to crypto exchanges. Check yours before you plan around it.

4. Buy

Use the standard buy screen rather than the advanced trading view. The advanced view is built for active traders and is genuinely easy to get wrong.

Check the total fee before you confirm.

5. Withdraw to a wallet you control

This is the step almost everyone skips, and it is the one that matters most.

Until you move your bitcoin off the exchange, you do not really control it.

When your coins sit on an exchange, the exchange holds the keys and you hold a promise. Mt. Gox, Celsius and FTX all collapsed with customer funds inside. In the UK, cryptoassets are not covered by the Financial Services Compensation Scheme, so there is no safety net if a firm fails.

Moving your coins to your own wallet takes about ten minutes:

• Install a wallet app, or set up a hardware wallet
• Write your recovery phrase on paper, never on a screen
• Send a small test amount first
• Once it arrives, send the rest

What to do next

If you would rather not do all of this alone the first time, that is exactly what our First Bitcoin session is for. We sit with you on a live call while you do every step yourself, with your own money going directly from your bank to your own account.

We never hold your money, your coins, or your keys.

Education only. Nothing here is investment advice. Cryptoassets are high risk and largely unregulated in the UK; you may lose all the money you invest.