Buying and selling coins


Jim asked 7 months ago

When I buy bitcoin, then buy another coin with that bitcoin I pay a fee for buying bitcoin originally and then a fee for purchase of new coin.  When I sell the coin I bought I pay a fee to exchange back to bitcoin and another fee to change back to dollars correct? Now my question is “can I buy with a bitcoin and sell directly to USD somehow” avoiding all those fees?

1 Answers
Steven Hay answered 7 months ago

Hi Jim,
 
Sure, this is all correct – buying an altcoin using Bitcoin requires the extra step of first buying Bitcoin with fiat, so there are two transactions subject to fees instead of 1.
 
The only way to avoid this is to find an exchange which accepts fiat and provides a market for the coin you wish to buy. However, such exchanges tend to be very limited in the number of altcoins they offer.
 
The fiat-accepting exchange with the highest number of altcoin markets is Kraken.com. Others tend to offer only major altcoins, like Ethereum and Litecoin. Bitfinex.com offers a high volume of alts too but they don’t accept USD, only Tether Dollars (which are themselves an altcoin, albeit linked to USD value).
 
If no exchange is suitable, it may be possible for you to buy your desired altcoins for USD directly from individuals. For this, I recommend the Bisq app.
 
If you let me know which particular alts you want, I can see if there are any fiat exchanges which offer it, although you could probably achieve the same more quickly with a search engine.

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