Altcoins are a popular investment option for many individuals as they are often very cheap, and have smaller market caps that can provide attractive returns. If you're looking to buy altcoins, it is important to use a reputable exchange. The altcoin platform should support the desired coins that you want to buy and have low fees. In this article, we review and compare the best exchanges to buy altcoins with a step-by-step tutorial on how to buy altcoins in Australia.
How To Buy Altcoins In Australia - Quick Guide
To buy altcoins in Australia, follow these simple steps:
- Compare and select a crypto exchange. Find and compare the best crypto exchanges that support AUD that will be converted into altcoins. Each exchange will have different deposit options to fund an account with money.
- Register an account with the exchange. Create an account with a crypto exchange using a valid email address or mobile number. Before making a deposit in fiat currency, exchanges have a mandatory Know Your Customer (KYC) process that will need to be completed. This is to meet the international Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) requirements. It is also recommended to activate 2 Factor Authentication (2FA) for additional account security.
- Deposit funds to a wallet. Choose a payment option that offers the best fees and reasonable speed for the funds to arrive in the exchange wallet. The most common payment methods include a bank transfer, wire transfer, debit card, credit card and PayPal.
- Buy Altcoins. Browse the supported assets and select an altcoin to invest in. Use the funded account to choose an amount to spend. Finalize the transaction by clicking on 'Buy'. The amount of the altcoin that will be bought is determined at the selected price and the assets will be transferred to the respective altcoin wallet.
For the full step-by-step guide, click here to jump ahead and see how to buy altcoins with an example and screenshots.
What Are Altcoins?
Altcoins are alternative cryptocurrencies to Bitcoin. Many altcoins have been created to improve on the limitations of Bitcoin and create newer versions with competitive advantages such as faster transaction speed, enhanced scalability, improved security, lower miner fees and many others.
Many crypto enthusiasts will argue that altcoins are completely unnecessary and will not succeed because they cannot compete with the infrastructure that Bitcoin boasts. However, altcoins are important as they further decentralize the cryptocurrency community and allow developers to experiment, create and improve on new features.
What Are The Best Altcoins To Buy?
There are over 10,390 different cryptocurrencies at the time of writing according to Statista. Each coin offers a slightly different functionality that creates a unique perception of 'value' to different users and for various applications. The vast number of altcoins has created competition for Bitcoin and formed the cryptocurrency market that we know today.
Given the number of altcoins that exist, it is essential to choose the right altcoins to balance out a crypto portfolio. Knowing which is the best altcoin is a difficult task and requires sound knowledge of the altcoins metrics such as market capitalization, number of coins in circulation, the fixed supply, historical price action and the correlation to Bitcoin and traditional markets.
For beginners, a common strategy is to stick with the popular altcoins by market capitalization (or popularity). Some of the most bought altcoins include Ethereum, XRP, Binance Coin, Solana, Cardano, Avalanche and Polkadot.
It is equally important to choose the best altcoin exchange with the lowest fees.
Where To Buy Altcoins In Australia
One of the first steps to buying altcoins in Australia is to become familiar with using a cryptocurrency exchange. There are several different types of exchanges, brokers and trading platforms that offer support to hundreds of altcoins. Importantly, it is best to use an exchange that is registered with AUSTRAC and also licenced with the financial body ASIC.
The following crypto exchanges are relevant examples of buying altcoins.
Swyftx is an AUSTRAC registered Australian cryptocurrency trading platform with over 600,000 users that provide a simple and transparent way for individuals to invest in more than 310 altcoins. Overall, Swyftx is our best-rated cryptocurrency exchange in Australia to buy, trade and sell altcoins back to AUD.
One of the best aspects of Swyftx is the feature-rich platform that will suit various types of investors such as rapid AUD deposits and withdrawals, portfolio tracking, recurring orders, low trading fees, demo mode and price alerts. There are also a mobile app, tax calculator and dollar-cost averaging tools. The platform has been designed for beginners and intermediate investors to get started with digital currencies. The trading experience is very simple on a fully customizable dashboard that can be tailored to suit each investor.
Swyftx boasts some of the most competitive trading fees in the country. The transaction cost to buy and sell crypto is a nominal 0.6% fee in addition to a spread charge that averages 1.7%. Compared to the industry average spreads of 4%, the overall trading fees are reasonable when Swyftx is measured against other exchanges. To learn more about the features and supported altcoins, read our full review on Swyftx.
CoinSpot was founded in 2013 and has built up a solid reputation as a leading local cryptocurrency exchange with over 1 million users. The exchange is purpose-design to cater to beginners getting started and buying altcoins in Australia with AUD.
The Australian exchange is regarded as one of the most safest platforms with bank-like security measures to protect its customer's information and funds secure.Coinspot supports several payment methods for users to deposit funds such as POLI, PayID, BPAY or a cash deposit.
Each payment method using an Australian bank account deposit does not incur a deposit charge. In comparison, using BPAY or cash payments will incur a deposit fee of 0.9% and 2.5% respectively.
For more information, read our complete review on CoinSpot and how we rated it as one of the best places to buy altcoins.
3. Digital Surge
Digital Surge is a Brisbane-based digital currency exchange that provides a fast and easy way to buy and sell digital currency using AUD. The platform has focused on providing a beginner-friendly exchange website for everyday Australians to get started with crypto assets.
Digital Surge's trading fee is 0.5% which is competitive with other platforms with spreads as low as 0.4% per transaction. This is comparable to brokers such as Swyftx which uses a similar fee structure. There are no fees to deposit and withdraw Australian Dollars directly with a local bank which are processed near-immediately.
In our opinion, Digital Surge is one of the best options in Australia for beginners to get started with cryptocurrency due to its ease of use, rapid AUD deposit and withdrawals, responsive customer support and minimal fees. To dive deeper into the features, fees and limits, read our Digital Surge review.
CoinJar is a trusted crypto exchange in Australia and also one of the longest-running digital currency exchanges. CoinJar allows users to buy, sell, store and spend altcoins. With over 400,000 users and counting, CoinJar exchange is one of the best places to buy altcoins in Australia that will suit both beginners and experience investors.
CoinJar has a flat 1% fee to convert AUD to crypto or between digital currencies. CoinJar Exchange has fees of 0.1% using a maker/taker model to trade between users on the platform. This is quite confusing for investors to create an account with two products that have varying fees.
In terms of security, CoinJar offers a high level of fund protection with 90% of customers' assets stored in offline cold wallets located at secure locations for maximum safety. The exchange protects its client's information using a layer of security measures that include data encryption, Transport Layer Security (TLS), periodic security audits and best practice organizational security.
Best Altcoin Exchanges In Australia Compared
Here is a summary of our reviews for the top altcoin exchanges in Australia. For more information, click on the individual exchange reviews.
|Exchange||Crypto Assets||Trading Fees||Rating||Promotion||Website||Review|
|$20 Bitcoin for creating a verified account||Visit Swyftx||Swyftx Review|
|370+||1% for instant buy and sell|
|None available at this time||Visit CoinSpot||CoinSpot Review|
|$10 Bitcoin for creating a verified account||Visit Digital Surge||Digital Surge Review|
|None available at this time||Visit Coinjar||Coinjar Review|
Step-By-Step Guide To Buying Altcoins
1. Register Account
The first step to buying altcoins is to create an account with a cryptocurrency platform in Australia such as Swyftx. To get started, visit the Swyftx website using our link for $20 BTC and click on the "Sign Up" button. This will redirect to the registration page that will show the promotion code. Enter a valid email address, set a strong password, full name and phone number. Click "Agree" to the terms and conditions and hit "Create My Account".
2. Complete Identity Verification
Once an account has been created, the next step is to commence the ID verification process in accordance with Know Your Customer (KYC) and Counter-Terrorism Financing (CTF) regulations under Australian law. Before a wallet can be funded with AUD to deposit and withdraw funds, the account must be verified as per the rules set by AUSTRAC.
Using Swyftx as an example, the verification process is fast and hassle-free which can be completed within 2 minutes of creating a new account. To start verification, login to the account and navigate to the 'Verification' tab under the 'Profile Tab'. A valid email address, mobile phone number and identity document number will need to be provided.
3. Secure Account & Activate 2FA
To protect any funds within a crypto exchange account, it is vital to increase the basic account security level and turn on Two Factor Authentication (2FA). This should be the first step after verifying an account and prior to depositing any funds. 2FA is a specific type of multi-factor authentication that requires two methods to verify the user's account and even withdrawal requests. Popular 2FA apps for multi-factor authentication are Authy and Google Authenticator which can be downloaded for both iOS and Android devices.
4. Deposit Funds In AUD
Finding an exchange that accepts local deposit methods using Australian Dollars is an important consideration. The majority of cryptocurrency exchanges in Australia have direct AUD payment methods with varying fees. The most common deposit options include bank transfer, POLi and PayID.
POLi connects to Australian Bank accounts and is processed instantly. PayID and bank transfers can take between 1 and 3 business days. Alternative payment methods that are available with certain Australian exchanges include cash deposit at a local newsagency, BPAY and credit cards. Swyftx is the only crypto exchange in Australia that allows using a credit card for payment.
5. Buy Altcoin
Once the account has been funded with AUD, the next step is to search and select an altcoin to buy. To get started, click "Trade" on the left side bar. This will bring up the "Assets" list where you can search and select for any coin. Select how much AUD you want to spend and click "Instant Buy". The altcoin amount will be purchased, show in your trade history and stored in the Swyftx wallet.
Best Way To Buy Altcoins In Australia
There are several ways to invest in altcoins depending on how you wish to deposit AUD. If you prefer to use a regulated cryptocurrency exchange (which we recommend), then you should know that each digital currency provider can support different deposit methods.
Therefore, it's best that you decide to register with an exchange that supports your preferred payment method to buy altcoins. Use our guide below to see which common deposit methods are supported by our top rated Australian crypto exchanges.
Buying Altcoins Using Bank Transfer (EFT)
You can purchase altcoins using bank transfer (EFT) using a regulated cryptocurrency exchange in Australia. Bank transfers usually credit within the same business day depending on the bank. Most Australians will be familiar using an EFT transaction using their online bank account.
To complete a bank transfer, you need to obtain the BSB and Account Number of the exchange's bank account. This is not different from making a payment to anybody. You should note that bank transfers can take a bit longer to clear compared to other deposit methods and it is easy to make an error.
Buying Altcoins Using PayID / NPP
Using PayID is an easy method to buy altcoins in Australia that is supported by most of the larger Australian banks. This is a near-instant payment method, so it will suit investors that wish to make an immediate alt-coin purchase.
AUD deposits will be credited to your account within minutes of being transferred from your bank account. All you need is the cryptocurrency exchange's PayID email address to make a deposit.
Buying Altcoins Using A Credit Card
Depending on which Australian bank you're with, it can still be possible to buy altcoins with a credit card or debit card. You should check with your financial institute or card issuer to find out if you can buy crypto with a debit card. Otherwise, Australians can also buy altcoins with a debit card using a global exchange such as Coinbase, Binance, Changelly and ChangeNOW.
If you're looking for the best exchange to buy and sell altcoins in Australia, we hope this guide was useful. With any financial investment, make sure to do your own research and due diligence on the exchange before depositing any funds. For more information on buying cryptocurrency in Australia, follow this link to our buying guides on the most popular digital currencies.