At first glance, the UK seems well positioned to benefit from the rapid changes in the world of cryptocurrency. As a nation with a solid background in the tertiary sector, the UK is also at the forefront of European fintech developments and is currently developing its digital banking options. However, these factors don't necessarily mean that getting hold of cryptocurrency is an easy thing to do in the British Isles and currently the following options are all available.
Exchanges
While exchanges such as Kraken are open to international customers there are also exchanges that cater specifically to British investors. Coinfloor is one of the best options for buying Bitcoin, the London based company is the UK's longest standing bitcoin exchange and puts a solid focus on trust and reliability. Coinfloor chooses to hold all customer Bitcoin in cold storage in underground vaults and uses Multi-Signature Pay 2 Script Hash (P2SH) to insure security. This increased security all comes at a premium and customers are expected to deposit a minimum of 1000 GBP/EUR/USD.
Companies with lower deposit rates include Coincorner and Luno, though as with all exchanges, customers must go through an account verification process that includes sending in government-issued photo ID in order to be able to buy and sell Bitcoin long-term.
Bittylicious and Cryptomate provide customers with almost instant access to cryptocurrency, providing they have a UK bank account with online banking that allows payments via the Faster Payments method. When using these services customers can expect to pay slightly more than the going market price but do not need to register or submit any ID.
Decentralized Trading Sites
Another option is to sign up with Local Bitcoins or Bitsquare, these decentralized peer to peer platforms allow users to negotiate their own prices and organize payment terms. Here users are dealing directly with other individuals and the level of safety and security depends very much on the people involved. The sites do allow ID verification and online banking payment options, however, all online trades are protected by escrow. This provides an extra level of security as the funds for a trade are automatically reserved from the seller's wallet and if the seller does not deliver as agreed the support teams can release the Bitcoins to the buyer from escrow.
Bitcoin ATMs
Bitcoin ATM machines represent the easiest way to obtain Bitcoin in the UK, with any buyer only needing a compatible mobile wallet and enough local currency in order to make a purchase. Fees can be higher than online exchanges with rates ranging from around 5% to 10% depending on the vendor. Coin ATM Radar do a great job of compiling all the Bitcoin ATM machines operating in the UK.
Unfortunately, a slight caveat comes with the majority of these options as the UK's more traditional banks have chosen to frown upon cryptocurrency and are prone to closing bank accounts that engage in dealing with cryptocurrencies. This is where Steemit comes in, the online platform allows users to earn a cryptocurrency without a complicated registration process or needing to risk bank account closure. For people in the UK, Steemit is a great way to get into cryptocurrency and allows Steemians to share with a growing community whilst earning Steam Dollars. Alongside using a Bitcoin ATM, posting on Steemit remains one of the best ways for people in the UK to get into the world of cryptocurrency.