buy litecoin uk
How to Buy Litecoin in the UK: A Beginner’s Guide
Litecoin is one of the oldest and most popular cryptocurrencies in the world. It was created in 2011 as a fork of Bitcoin, with the aim of providing faster and cheaper transactions. Litecoin is often referred to as the “silver” to Bitcoin’s “gold”, as it has a larger supply and a shorter block time. Litecoin is also compatible with the Lightning Network, a technology that enables instant and low-cost payments across the globe.
If you are interested in buying Litecoin in the UK, you have several options to choose from. In this article, we will explain how you can buy Litecoin using different methods, such as crypto exchanges, brokers, PayPal, and online banking. We will also cover some of the factors you should consider before buying Litecoin, such as fees, security, and regulation.
Buying Litecoin on Crypto Exchanges
One of the easiest and most common ways to buy Litecoin in the UK is to use a crypto exchange. A crypto exchange is a platform that allows you to buy and sell cryptocurrencies using fiat currencies or other cryptocurrencies. There are many crypto exchanges that support Litecoin and accept GBP deposits, such as CEX.io , Coinmama , and CoinJournal . Here are the steps you need to follow to buy Litecoin on a crypto exchange:
- Create an account on the crypto exchange of your choice and verify your identity. This may require you to provide some personal information and documents, such as your name, address, email, phone number, passport, or driver’s license.
- Deposit GBP to your account using your preferred payment method. This may include bank transfer, credit or debit card, Skrill, PayPal, or Google Pay. Depending on the exchange and the payment method, this may incur some fees and take some time to process.
- Select Litecoin as the cryptocurrency you want to buy and enter the amount of GBP you want to spend. You will see the current exchange rate and the amount of Litecoin you will receive.
- Confirm your order and complete the transaction. The exchange will deduct the GBP from your account and credit the Litecoin to your wallet.
- Withdraw your Litecoin to an external wallet or leave it on the exchange. If you choose to withdraw your Litecoin, you will need to provide your wallet address and pay a network fee. If you choose to leave your Litecoin on the exchange, you should enable two-factor authentication and use a reputable exchange with high security standards.
Buying Litecoin on Crypto Brokers
Another way to buy Litecoin in the UK is to use a crypto broker. A crypto broker is a platform that allows you to trade cryptocurrencies using contracts for difference (CFDs). A CFD is a financial instrument that tracks the price movement of an underlying asset, such as Litecoin. When you trade CFDs, you do not own or store the actual cryptocurrency, but rather speculate on its price change.
Trading CFDs has some advantages over buying cryptocurrencies directly, such as leverage, short selling, and hedging. Leverage allows you to trade with more money than you have in your account, which can amplify your profits or losses. Short selling allows you to profit from falling prices by selling high and buying low. Hedging allows you to reduce your risk by opening opposite positions on the same asset.
However, trading CFDs also has some drawbacks, such as fees, risks, and regulation. Fees include spreads, commissions, overnight charges, and swap rates. Risks include volatility, leverage, margin calls, and liquidation. Regulation means that you have to comply with certain rules and restrictions imposed by the broker or the regulator.
If you want to trade Litecoin CFDs in the UK, you can use a broker such as Monfex . Here are the steps you need to follow to trade Litecoin CFDs on a broker:
- Create an account on the broker of your choice and verify your identity. This may require you to provide some personal information and documents, similar to crypto exchanges.
- Deposit GBP or another fiat currency to