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Cryptocurrency

- Last updated on 29 Jun 2022

To help you make a choice about Cryptocurrency, here are some options you can consider. These are some examples of what’s available in the marketplace from selected providers.

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Swyftx

  • Cryptocurrencies available: 245
  • Fiat Currencies Accepted: AUD, NZD
  • Trading Fee: 0.6%-0% based on a rolling 30 day's trading volume
  • Withdrawal Fee: $0 for AUD/ Deposit's withdrawals. Network transaction fees apply while transferring coins to an external wallet
  • Deposit Fees: No POLi fees. No fees on cryptocurrency and PayID deposits. Credit/Debit card deposits supported (5% fee)

An Australian owned and operated digital currency exchange that allows users to sell, trade and buy Bitcoin, and over 245+ other digital assets, with low trading fees and one of the smallest spreads available.

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CoinJar

  • Cryptocurrencies available: 52
  • Fiat Currencies Accepted: AUD, GBP
  • Trading Fee: 0%-1%
  • Withdrawal Fee: No fee for AUD or GBP withdrawals. Cryptocurrency withdrawal fees are based on blockchain network fees
  • Deposit Fees: No fees with PayID or Bpay, 2% credit / debit card

Australia's longest-running cryptocurrency exchange with over 500,000 Australian customers and a simple to use app for both iOS and Android.

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Digital Surge

  • Cryptocurrencies available: 245
  • Fiat Currencies Accepted: AUD
  • Trading Fee: 0.1%-0.5% based on a rolling 30 day trading volume.
  • Withdrawal Fee: None for Australian bank accounts - Instant withdrawals through Osko/PayID.
  • Deposit Fees: No fees for Osko/PayID, Direct Deposit, Bank Transfers or cryptocurrency. POLi fees range from $2-$3.30.

Because simplicity makes life better. The easiest way for Australians to buy, sell & store over 245+ cryptocurrencies. Low fees, tight spreads, Aussie-based customer support & an interface that makes crypto enjoyable & easy-to-understand. Simple. Safe. Stress-free.

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CoinSpot

  • Cryptocurrencies available: 263
  • Fiat Currencies Accepted: AUD
  • Trading Fee: 0.1% to 1% based on order type
  • Withdrawal Fee: None for Australian Bank Accounts
  • Deposit Fees: No fees for POLi, PayID, Direct Deposit and Bank Transfers. 0.9% BPAY fee, 2.5% cash fee

Australia’s most trusted exchange since 2013.

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Cointree

  • Cryptocurrencies available: 280+
  • Fiat Currencies Accepted: AUD
  • Trading Fee: 0.05%-0.9%
  • Withdrawal Fee: No fee with fiat withdrawals. Cryptocurrency withdrawal fees vary.
  • Deposit Fees: No fee

Buy, sell, trade and pay with crypto. Simple, low fees, easy to use and trusted by 100,000+ members. Enjoy $10 BTC credit after verification with promo code: RATE10

This information does not reflect any ranking, rating, recommendation or endorsement by RateCity of cryptocurrency or any specific provider. RateCity is providing factual information supplied by providers. Not all providers or products are shown. RateCity will earn a fee from the providers displayed in the table (if a link to the provider's website is shown), and the fee levels determine placement in the table. Cryptocurrencies are speculative, complex and can involve significant risks. RateCity is not providing a recommendation for your individual circumstances.

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What is cryptocurrency?

Cryptocurrency is a digital currency secured by cryptography, using a series of keys to know the owners at any given time. Just like more traditional currencies (e.g. the dollar, the pound, the euro etc), cryptocurrency can be exchanged for goods and services, or itself bought, sold and traded as an investment.  

How does cryptocurrency work?

Unlike traditional currencies, crypto is not backed up by a government or a central bank. Instead, it relies on the security of cryptography (encryption using complex mathematical problems), and its value is determined by supply and demand.

Most forms of cryptocurrency are based on a blockchain. While the technicalities of exactly how a blockchain works are complex, it may help to imagine a blockchain as a ledger of all past transactions, with each page of records representing one ‘block’ of data. Each block is secured using cryptography and linked to the next block, creating a continuous chain of records. Once information is entered into a block, it can’t be erased or altered – it’s a permanent fixture.

Cryptocurrency is considered a decentralised form of currency, as the blockchain has no central location. Instead, the blockchain is held on many computers known as nodes, each one having a copy of the blockchain (in the case of bitcoin there were 14,886 nodes in March 2022). And with no central bank or record-keeping institution managing a blockchain, it may be more difficult to hack or defraud.

What types of cryptocurrencies are available?

There are thousands of cryptocurrencies and altcoins available to invest in, and new coins are being minted all the time.

Just a few popular cryptocurrencies include: 

  • Bitcoin
  • Ethereum
  • Ripple
  • Litecoin
  • Chainlink
  • Tether
  • Polkadot

Because different cryptocurrencies are created for different purposes, and include different features and benefits, it’s important to compare the available options before making a choice. 

How can I get into cryptocurrency?

There are two main ways to get your virtual hands on some digital cryptocoins: mine it, or buy it.

Mining cryptocurrency involves contributing some of your computer’s processing power to solve cryptographic problems, which helps generate new blocks and maintain the existing chain, earning you a small amount of cryptocurrency as a reward. However, professionally-run “cryptofarms” of thousands of networked computers mining 24/7 have made crypto mining less economically viable for everyday users.

Buying cryptocurrency works a lot like investing in any other asset, such as shares. Simply register with a cryptocurrency exchange, and invest as much money as you feel comfortable with into the crypto coin of your choice.

What is a crypto exchange?

A cryptocurrency exchange (sometimes called a digital currency exchange or DCE) is an online platform for buying, selling and trading cryptocurrency. Crypto exchanges make money by charging fees on withdrawals and/or trades of cryptocurrency on the platform.

You can also store your cryptocurrency on a crypto exchange – or at least the private digital keys that prove ownership of your crypto on the blockchain. However, as there’s a risk that you could lose access to a crypto exchange, or the exchange could be targeted by malicious hackers, many crypto enthusiasts choose to keep their keys in a dedicated crypto wallet.

What is a crypto wallet?

Unlike the leather wallet in your pocket or purse that lets you store coins, notes, credit cards, bus passes and old receipts, a crypto wallet offers a digital means of storing crypto keys. Maintaining a crypto wallet separate to a crypto exchange can offer a measure of extra security for your cryptocurrency.

A crypto wallet can be a physical means of digital storage, such as a hard drive or USB stick. It can also be an online app, protected by encryption, for more convenient access to your crypto 

How can I use cryptocurrency?

Cryptocurrency can be used a lot like typical currency, though not as many retailers around the world will accept payments in cryptocurrency for goods and services – good luck paying for a pie and chips at the footy tuckshop with bitcoin. You’re more likely to use cryptocurrency as a peer to peer means of exchange, similarly to transferring money between bank accounts. 

Many people are interested in the value of cryptocurrencies as an investment asset, much like shares. Some investors try to buy hot new cryptocoins when they’re first starting out and hold onto them, hoping that their value will rise over time. Other investors actively track the values of different cryptocurrencies, and regularly buy, sell and trade coins to maximise their short-term returns.

Where can I buy cryptocurrency?

Whether you’re interested in using or investing in cryptocurrency, there are cryptocurrency exchanges where you can get started. These options are in some ways comparable to stock trading platforms – you may be able to manage your crypto yourself using an app, go through a broker, or even look at peer to peer trading. It’s important to compare your options to make sure you’re getting the value you want without having to pay more than you want to in fees.