How to buy and invest in cryptocurrency in the US: Step by step beginners' guide

Why are investors interested in cryptocurrencies?

As a general rule, investors considering cryptocurrency are already comfortable with, and invested in, stocks, bonds, real estate, or commodities – whether directly, or indirectly through ETFs and similar vehicles. And for the uninitiated, cryptocurrencies are just another type of investment. 

They offer a new way to store and transfer value, backed by blockchain technology, and may present additional diversification benefits for traditional investors, as their risk and return profiles may be asymmetric to established asset classes. In other words, by adding crypto to their portfolio mix, investors can gain exposure to an asset class which may behave differently from other markets. 

Cryptocurrency also sports an advantage by virtue of its decentralized nature, as most cryptocurrencies aren’t controlled by governments or banks, which means users can manage their assets independently.

This appeals to investors who value privacy, autonomy, and transparency (though this feature also introduces some risk). Transactions are often faster and cheaper, especially across borders, making crypto attractive for global transfers and international commerce. And because most cryptocurrencies operate on a public ledger, the asset class also offers a reasonable level of security and traceability.

Many investors also value crypto as a serviceable tool in day-to-day payments, especially in regions with limited access to banking. In places with high inflation or currency instability, cryptocurrencies like Bitcoin and USDC also offer an alternative store of value. Beyond this, there’s a growing demand for digital-native assets as more aspects of finance and life in general shift online.

Unsurprisingly, the crypto market has grown rapidly over the past few years. According to our January 2025 Market Sizing Report, global crypto owners increased by 13% last year, rising to 659 million investors as of December 2024. Meanwhile, the total market capitalization of all cryptocurrencies has risen to $3.9 trillion as of August 2025, reflecting both increased adoption and the expanding utility of digital assets. 

As innovation continues in promising areas including decentralized finance (DeFi), NFTs, and blockchain gaming – buoyed by significant political backing, particularly in the United States – cryptocurrencies are slowly becoming an integral part of the digital economy. 

For early adopters, this growth represents a potential opportunity to invest in the future of finance – and for younger investors especially, it may echo the high-risk, high-reward dynamics of the early 2000s dot-com boom. While that era saw more than its fair share of failures, it also laid the foundation for today’s ‘Magnificent Seven,’ now among the most valuable companies in the world.

How to buy cryptocurrency in the US in 5 steps

We make it as simple as possible to buy cryptocurrency, including Bitcoin and altcoins. 

First, you need to choose a cryptocurrency exchange (no prizes for guessing our recommendation) and then create and verify your account. This will require an official form of ID and proof of address. Then you simply deposit funds into your account, select and buy your chosen cryptocurrency, and finally monitor and manage your new asset.

We cover these key points in depth below, but if you have questions then our live chat service can be accessed here – we aim to answer in 10 minutes or less.

1. Choose a cryptocurrency exchange

Before you can buy or invest in cryptocurrencies, you’ll need to choose a cryptocurrency exchange – a platform where you can trade digital assets. Your exchange acts as your gateway to the crypto market, so it’s important to choose carefully. 

Whichever exchange you choose, it should sport high level security, including two-factor authentication (2FA), the option to transfer assets into cold storage if you wish, and regulatory compliance. For beginners, an approachable user-friendly interface, with clear navigation, fast execution, and helpful tutorials is also arguably as important – though you will also want to see a range of advanced tools which will become useful as you learn.

Lastly, check for a wide range of supported cryptocurrencies. You’ll almost certainly want access to the most traded coins including Bitcoin and Ethereum, but not everyone gives you access to a significant selection.

The Crypto.com App is a popular choice for new and experienced users alike – it’s already been chosen by millions of users. 

We’re one of the most trusted global exchanges, with access to over 400 cryptocurrencies in more than 20 currencies. Our mobile app has been developed with a deeply intuitive design in mind, and we also offer additional features including Visa cards, staking, and DeFi access – all in one ecosystem.

You can download the Crypto.com App from the Apple App Store or Google Play Store.

2. Create and verify your account

After choosing your preferred cryptocurrency exchange, the next step is to create and verify your account. 

Verification is a critical part of the process because it protects users and ensures regulatory compliance through Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations – measures designed to prevent financial crime by verifying customer identities and monitoring transactions for suspicious activity.

Reputable platforms like Crypto.com require this step to help prevent fraud, keep your funds secure, and meet international financial standards.

During your account creation, you’ll be asked to provide basic information, including your full name, email address, and phone number. The verification process typically involves submitting an official ID (most commonly a passport or driver's license) and a live passport-style photo to match the photo on your ID. We may also request proof of address, such as a utility bill or bank statement, to confirm your place of residence.

With the Crypto.com App, verification is fast and straightforward:

1. Open the app and tap 'Sign Up'.
2. Enter your email address and create a password.
3. Submit your mobile number for SMS verification.
4. Proceed to KYC verification by uploading a photo of your ID and taking a live selfie.
5. If required, upload a document for proof of address.

Most users are verified within a few minutes to a few hours, depending on the volume of applications. Once your account is verified, you’ll unlock full access to all Crypto.com features – including trading, staking, and the Visa card. Verification not only boosts account security but also gives you higher transaction limits and smoother access to the crypto ecosystem.

3. Deposit funds into your account

Once your account is verified, the next step is to deposit funds so you can start buying cryptocurrency. We offer a variety of secure and flexible funding options, including bank transfers, credit/debit cards, and crypto transfers from external wallets. 

Choosing the right method depends on your preferences, location, and how quickly you want to start trading. One of the standout features of the Crypto.com App is its zero-fee deposits for bank transfers in many regions, helping users maximize the value of their investments, and making the platform a popular choice for cost-conscious beginners.

Here’s a breakdown of the most common deposit options for US traders:

• Bank transfer (ACH/SEPA/Faster Payments) – zero fees, higher deposit limits, and secure, though can take one to three business days to clear
• Credit/Debit card – instant deposit but may incur processing fees from your bank or card issuer
• Apple Pay or Google Pay – identical to using a credit/debit card, but easier for an in-phone solution
• Crypto transfers – fast (depending on network), and good for moving existing crypto holdings. However, requires strong attention to wallet addresses and network selection to avoid loss of funds

To fund your account in the Crypto.com App , tap Accounts > Fiat Wallet or Crypto Wallet, then choose your preferred method. Follow the guided prompts to complete your deposit. 

4. Select and buy cryptocurrency

With funds in your account, you’re ready to select and buy your first cryptocurrency. The Crypto.com App offers access to 400+ coins, including Bitcoin, Ethereum, and a wide range of altcoins such as Solana, Cardano, and Polygon. 

For beginners, starting with Bitcoin or Ethereum is a common choice due to their long track record, strong community support, and higher liquidity. As you gain confidence, you can also explore altcoins that may offer higher growth potential but come with greater volatility and risk.

When placing a trade, you’ll typically choose between two order types:

• Market order – which executes instantly at the current market price. This is a good option for beginners who want to buy quickly, though may result in slightly higher costs, especially during volatile conditions
• Limit order – you set a price you’re happy to pay and we execute only when that target is hit. Naturally, if the price doesn’t fall to your target, then you may miss out, but this option offers greater control, and you tend to enjoy better pricing overall

To buy crypto using the Crypto.com App:

1. Open the app and tap the ‘Trade’ button.
2. Choose the cryptocurrency you want.
3. Tap ‘Buy’ to confirm your trade.

Once complete, your crypto will appear in your Crypto Wallet. The app also lets you set price alerts, view charts, and track your portfolio – making it easy to manage your investments in one place.

5. Securely manage your crypto assets

After buying your cryptocurrency, it’s mission critical to store and manage your new assets securely. The Crypto.com App is designed with industry-leading security features that protect your funds and personal information, including multi-factor authentication (MFA), withdrawal whitelisting, biometric login, and real-time risk monitoring. 

In addition, the platform uses cold storage solutions for the majority of user funds, meaning your assets are kept offline.

Crypto wallets come in two main types:

1. Hot wallets – connected to the internet and popular when frequently trading. They offer significant convenience but are exposed to cyber risk.
2. Cold wallets – store assets entirely offline, such as on a hardware wallet, offering maximum security. These are generally more popular with long-term holders.

The Crypto.com App offers a secure built-in hot wallet for everyday use, backed by strict security protocols. For users looking for even greater control, we also support withdrawals to external cold wallets, giving you full autonomy over how your crypto is stored.

To manage your assets within the app:

• Tap ‘Accounts’ to view your balances
• Monitor your portfolio performance, set price alerts, or explore staking to earn rewards
• For added safety, enable withdrawal whitelisting to limit transfers to trusted addresses.

By using our Crypto.com App comprehensive security features and best practices, you can confidently manage your crypto investments while reducing exposure to potential threats.

What to know before buying and investing in cryptocurrencies in the US

Before investing in crypto, it’s essential to understand the wider landscape, including the risks, security measures, regulatory requirements, and potential investing strategies. 

Five key points every investor should consider before getting started include:

1. Understanding market volatility and risks – cryptocurrencies are highly volatile. Prices can rise or fall by double digits in a matter of hours, and this is often normal market movement. This makes the sector attractive for short-term traders, but also risky for unprepared investors. Consider investing only what you can afford to lose and avoid making emotional decisions during rapid market shifts.
2. Prioritizing security – your crypto is only as secure as your account. Use two-factor authentication (2FA), create strong, unique passwords, and avoid phishing links or unverified platforms. You might consider enabling withdrawal whitelists and using hardware wallets for larger holdings to minimize the risk of theft or hacking.
3. Regulatory obligations – most reputable platforms require users to complete Know Your Customer (KYC) checks and to comply with Anti-Money Laundering (AML) regulations. Compliance protects both you and the platform, ensuring legal use of cryptocurrencies and helping to reduce potential fraud.
4. Fees and costs – While some platforms like Crypto.com offer zero-fee deposits, fees may apply for card purchases, trading, or network transfers. Always review the fee structure before making a transaction to avoid surprises and maximize the value of your investment.
5. Consider a long-term strategy – diversifying across different crypto assets and cost averaging to reduce the impact of market swings are two popular risk mitigators. Holding quality assets over time often yields better results than frequent trading, especially for beginners.

Strengths and weaknesses of cryptocurrencies

Like all investments, cryptocurrencies come with their own set of advantages and drawbacks. Understanding both is essential before investing; no asset is risk free and there are always trade-offs.

Pros of cryptocurrencies

• Speed and efficiency – crypto transactions can settle in seconds or minutes, often faster than traditional banking systems
• Global accessibility – anyone with an internet connection can send, receive, and store crypto without needing a bank account, making it valuable for the unbanked and underbanked worldwide
• Decentralization – most cryptocurrencies operate on decentralized networks, reducing the need for central authorities or intermediaries, and offering users more control over their own capital
• Innovation and utility – blockchain technology powers smart contracts, decentralized finance (DeFi), NFTs, and more, and is creating entirely new industries 
• Transparency and security – public blockchains offer transparent, immutable ledgers that anyone can audit, increasing trust in the network

Weaknesses of cryptocurrencies

• High volatility – prices can swing dramatically in short periods, leading to rapid gains but also steep losses. This arguably makes crypto high risk, high reward for short-term traders
• Security vulnerabilities – while blockchain itself is secure, users are still at risk of hacks, scams, phishing attacks, and lost access if keys are not stored safely
• Regulatory uncertainty – the legal status of crypto varies widely by jurisdiction and is constantly evolving. Changes in regulation can impact the price, access, and legality of various assets
• Lack of consumer protections – unlike traditional banks, most crypto platforms do not offer insurance on deposits. If funds are lost or stolen, recovery is often difficult. Crypto.com has $120 million of crime and specie insurance coverage to protect user’s assets
• Technical complexity – managing wallets and private keys, or understanding gas fees and blockchain networks can be complicated for beginners, increasing the risk of mistakes

You may notice that many of the key risks can be mitigated through a combination of education and simply being careful.

Cryptocurrency investment tips for beginners

Starting your cryptocurrency investing journey requires careful planning and informed decision-making. One of the most important steps is conducting research and detailed due diligence. Before investing in any coin or token, learn about its technology, use case, team, and market trends. Reliable sources, community feedback, and official project websites can be helpful when it comes to making smart choices and avoiding scams.

Many of the fundamentals that matter in traditional finance still apply.

Diversifying your crypto holdings is arguably essential. Instead of putting all your funds into one cryptocurrency, it can make sense to spread your investments across several assets – helping to reduce risk because if one coin’s value drops sharply, others may remain stable or even increase, balancing your overall portfolio.

Further ways to manage risk include tools like stop-loss orders, which can help protect your investment by automatically selling a coin if its price falls below a certain level. It’s also generally regarded as wise to only invest money you can afford to lose – and, most importantly for beginners – avoid making impulsive decisions during rapid price swings.

This latter point is a lesson that can be cheap, but which many investors choose to make expensive.

You might also consider a long-term approach, such as cost averaging, where you invest a fixed amount regularly regardless of price. This helps to reduce the impact of market fluctuations and builds your position steadily over time. 

Finally, enjoy your crypto investing journey. New projects are continually coming online, each promising new potential to solve problems that have plagued the digital age since the internet’s inception in 1983. While the reality remains that many will not succeed, the successes have the potential to generate genuinely significant change.

Important information: ​​This is informational content sponsored by Crypto.com and should not be considered as investment advice. Trading cryptocurrencies carries risks, such as price volatility and market risks. Before deciding to trade cryptocurrencies, consider your risk appetite. Crypto.com services, features, and benefits referenced in this article may be subject to eligibility requirements, token holdings, and may change at the discretion of Crypto.com.