So, you want to know how to buy Bitcoin in Canada? Want to jump straight to the answer and learn how to buy and use Bitcoin as Canadians residents?
You can Buy Bitcoin in Canada in 5 easy steps:
- Register for a free trading account at Shakepay.
- Verify your identity within 2 minutes using Shakepay’s automatic ID system
- Create a buy order for Canadian Dollars (CAD).
- Pay for it instantly using Shakepay’s instant payment system or manual bank transfer
- Have Bitcoin (BTC) delivered directly to your own personal wallet.
In the following sections, we will explain the process to buy Bitcoin in Canada in greater detail.
Please note that Cryptocurrency investments are high-risk investments. Any investment decision is under the responsibility of the individual. We are not financial experts, and the resource links below are provided for information purposes only. They are based on our own research and experience with Bitcoin (BTC) in Canada. They are not intended to be legal and/or financial advice.
Page Contents
- 1. Overview
- 2. Can I buy Bitcoin in Canada?
- 3. How to buy Bitcoin in Canada
- 4. Where to buy Bitcoin in Canada
- 5. How to choose a Bitcoin exchange
- 6. Case Study: Buying CAD on Shakepay
- 7. Trade BTC to CAD
- 8. The risks of buying Bitcoin
- 9. FAQS
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Review and Analysis
Bitcoin (BTC) statistics & facts
| Key figure | Value |
|---|---|
| Name | Bitcoin |
| Symbol | BTC |
| Price Today | 76,584.18 Canadian Dollars (CAD) |
| 24 hour % change | -0.83 |
| 7 days % change | -0.27 |
| 30 days % change | -3.86 |
| 60 days % change | -2.75 |
| 90 days % change | -16.58 |
| Total Supply | 19,752,606 |
| Circulating Supply | 19,752,606 |
| Daily Volume | 30,813,136,701 |
| Market Cap | 1,112,670,773,583.00 |
Overview
Bitcoin was the first-ever cryptocurrency to be launched globally since it was first introduced back in 2008. What is intriguing is that so many years after its creation, nobody is still certain about who actually was Bitcoin’s original creator, since that person is still only known under the pseudonym Satoshi Nakamoto.
- By the end of the guide, you should know the following:
- Can you buy Bitcoin in Canada?
- If Bitcoin is a good or a bad investment.
- How to buy Bitcoin in Canada.
- Where to buy Bitcoin in Canada.
- The Best Crypto Trading Platforms in Canada in 2024.
Can I buy Bitcoin in Canada?
You can usually buy Bitcoin with CAD. Canada exchanges support local payment methods, such as Interac. You can access local customer support. You get better consumer protection if your funds go missing.How to buy Bitcoin in Canada
Step-by-step instructions for getting started with Bitcoin (BTC).
You can buy Bitcoin in Canada in three simple steps:
- Choose a Bitcoin wallet where you can store your BTC.
- Choose a Bitcoin exchange.
- Buy Bitcoin in Canada through your chosen platform.
Choose a Bitcoin wallet
Before you can buy any Bitcoin, you’ll need to set up a digital wallet where you can safely store your coins. Bitcoin wallets don’t actually hold any coins, but instead store the private keys you need to access your public Bitcoin address and sign transactions.Choose a Bitcoin exchange
The next step is to decide how and where you will buy Bitcoin. For most first-timers, the easiest and most convenient option to buy Bitcoin in Canada is to use a Bitcoin broker.
There are several brokers offering Bitcoin in Canada, and you can easily select one based on your requirements and preferences using our guide. Different exchanges have different transaction fees, withdrawal limits, payment modes, and verification processes that need to be kept in mind before users select one.
Buy Bitcoin
The final step is to submit an order through your chosen platform. No matter which platform you choose, you’ll usually need to sign up for an account first. Depending on the platform you use and the regulatory requirements it is subject to, you may be able to sign up simply by providing your email address or you may need to provide your full name, contact information and proof of ID before being allowed to trade.
Once your account has been verified, you’ll need to enter the amount of BTC you want to buy, choose your payment method, review the fees and the total cost of the transaction and then finalise your purchase.
The exact steps you’ll need to follow vary depending on the payment method and type of platform you choose, so keep reading for more details on the different ways you can buy Bitcoin (BTC) in Canada.
Where to buy Bitcoin in Canada
The Best Crypto Trading Platforms in 2024
4.7 / 5
Rating breakdown
Things we liked:
One of the most trusted brands in cryptoVery fast, easy to use interface
Binance offers extremely low transaction fees
Things we didn't like:
Can be overwhelming for people who are new to crypto or trading
4.3 / 5
Rating breakdown
Things we liked:
Up to 500:1 leverageLow minimum deposit requirement
Things we didn't like:
Absence of a direct telephone number for customer supportOspreyfx is not a fully licensed and regulated broker
How to choose a Bitcoin exchange
With hundreds of platforms to choose from, finding the best Bitcoin exchange for your needs is a challenging task. Consider these key factors when comparing exchanges:
Where the exchange is based and how it is regulated.
While the regulatory environment surrounding Canada digital currency exchanges is becoming clearer all the time, the same can’t be said for some overseas-based exchanges. Do some research to find out where an exchange is based, the regulatory requirements that apply in that country, and whether the exchange complies with those requirements.
How to pay for your Bitcoin
There are many different ways you can purchase Bitcoin, each of which has its own pros and cons.
- Buying Bitcoin with PayPal in Canada
- Buy Bitcoin with your bank account
- Buy Bitcoin with a credit card or debit card in Canada
Buying Bitcoin with PayPal in Canada
The biggest advantage of buying Bitcoin with PayPal is that it’s quick and easy to do as you’ll no doubt be aware if you’ve ever used PayPal to purchase anything else online.
You may need to hunt around for the right platform, and if the platform you choose doesn’t accept CAD, then you’ll need to be fully aware of the fees that apply.
Buy Bitcoin with your bank account
Another way to buy Bitcoin with Canadian Dollars (CAD) is to choose a platform that accepts bank transfer deposits. Choose a platform that accepts Interac. Transfers using this system are typically processed more or less instantly, but they may attract higher fees
Buy Bitcoin with a credit card or debit card in Canada
Many Bitcoin brokers and exchanges allow you to buy Bitcoin using your credit card in Canada. These include platforms like eToro and Coinmama, and using your credit card allows you to make quick and convenient purchases.
Whichever payment method you select, make sure you consider the following:
- Any transaction limits that apply
- The fees charged by the Bitcoin exchange or broker
- How long it will take for your funds to arrive
Buying Bitcoin from a Canada exchange: pros and cons
There’s plenty of choice when selecting a Bitcoin exchange, and Canada users can choose from platforms based here at home or in countries all around the world. So, should you buy Bitcoin from a Canada exchange or from a foreign platform? To help you decide, consider the pros and cons of buying on a Canada exchange.Pros
- You can usually buy Bitcoin with CAD. Canada exchanges support local payment methods, such as Interac.
- You can access local customer support.
- You get better consumer protection if your funds go missing.
Cons
- You’ll need to provide your personal details and proof of ID – a disadvantage for people who want to trade anonymously.
- The registration process takes longer than on those platforms that don’t require ID verification.
- CAD to crypto prices are often higher than USD to crypto prices, meaning you sometimes pay a premium for buying directly with CAD.
- Some things are simply not available on Canada exchanges. For example, 100x leverage margin trading, staking features and many altcoins.
- Uploading a photo of your CAN driver’s licence or CAN passport.
- Providing your address details.
- Uploading a photo of yourself.
- High transaction fees
- Scalability issues = slow transaction times
- Huge environmental cost due to proof-of-work concept
- Widespread institutional involvement making it a store of value and fiat hedge
- First mover advantage/name recognition = head start on real world adoption
- Deflationary fully decentralised tokenomics
Regardless of whether you choose a Canada or overseas-based crypto exchange, make sure you compare a range of options before deciding which platform to use.
Buying CAD with local and trusted platforms
Our research highlighted several CAD platforms, but few are based in Canada and offer transparency. For this reason, we suggest considering the following locally-owned (and trusted) platforms.
Though many platforms can cater to the BTC purchasing needs of Canadian residents, some crypto enthusiasts, especially less seasoned, newcomers tend to prefer to start their Bitcoin transactions on a locally based platform as this inspires them more trust and confidence, while they feel the added security of being able to access a locally based support team and the added convenience of using their Canadian bank account and bank cards to fund their crypto trading accounts.
Examples of such locally based platforms, which are extremely popular with Canadian Bitcoin users are Montreal based Shakepay and Toronto based Coinsmart, both of which cater to the need for easy and fast buying and selling of Bitcoin in Canada.Shakepay
One of the easiest ways to get started buying Bitcoin in Canada is to use Shakepay, a Montreal company.
CoinSmart
CoinSmart is a Canadian cryptocurrency exchange based in Toronto.
These platforms are popular with our users, have esteemed reputations and are trusted by tens of thousands of people living in Canada. Both options are free to join, funded from any Canada bank account/card, and have a local support team.
Case Study: Buying CAD on Shakepay
Want to buy CAD from a cryptocurrency broker using CAD? Here’s a step-by-step guide explaining exactly what you need to do, using Canada-based exchange Shakepay as an example:Step 1: Register for an account with Shakepay
You can sign up for an Shakepay account by providing your email address and creating a password. Before you can trade, you’ll need to verify your account by doing the following:Verifying your email address
Remember to also enable 2-factor authentication on your account for extra security.
Step 2: Deposit funds into your account
From your Shakepay account dashboard, select the currency you want to buy – in this case, Bitcoin (BTC).
Specify how much money in Canadian Dollars (CAD) you want to spend, up to an order limit of CA$10,000.
Step 3: Buy BTC
Click “Buy Now”. Pay through the Shakepay website via Interac or deposit the required funds via bank transfer. Once Shakepay has received your payment, your order will be automatically processed and will typically arrive in your inbox within a few minutes.
Remember to take a moment to review the full details of the transaction before you finalise your transaction.
The BTC to CAD crypto-to-fiat currency pair represents the matching between the world’s largest and most popular cryptocurrency, Bitcoin, and Canada’s national currency, which is amongst the top most widely fiat currencies in the world.
Despite the emergence of thousands more cryptos in recent times, Bitcoin remains the largest and most valuable cryptocurrency, but its persistent high volatility means traders are given room for speculation and good potential for profit.
In fact, since an increasing volume of fiat currencies are used to acquire BTC, mainly in the North American markets, this gives added impetus to the BTC/CAD pair and adds even more volatility to the equation. Moreover, the growing acceptance of digital currencies as viable alternatives to fiat currencies for payment purposes across the globe, and particularly in Canada, means that the trading interest in the BTC/CAD is expected to grow significantly in the foreseeable future and the resulting boost in transactions is also expected to open up further opportunities for profit.
Bitcoin (BTC) to Canadian Dollars (CAD): Trade BTC to CAD pair and track its real-time price
The Bitcoin to Canadian Dollars (CAD) pair features BTC as the base along with CAD, the official currency of Canada, as the counter currency. The value of the pair can be interpreted as how many Canadian Dollars (CAD) can be purchased with one BTC or how many Canadian Dollars (CAD) it takes to purchase one BTC.
BTC/CAD - Why is the Bitcoin (BTC) to Canadian Dollars (CAD) pair important to traders?
BTC to CAD is a very popular crypto-to-fiat pair. The pair’s counter currency – Canadian Dollars (CAD) – is the official national currency of Canada. The crypto market, including Bitcoin, is extremely volatile, which provides huge potential for speculation. Observing the popularity of BTC to CAD exchange transactions, there are immense opportunities for traders to profit from the pair’s trade.
Bitcoin (BTC) Historical performance
The historical performance of BTC reflects its success since, while in 2010, you could get 1 Bitcoin (BTC) for less than a dollar in December 2017, the price of one BTC reached a record high of $17,900. In fact, BTC grew by almost 2000% in 2017 alone. Though like other cryptos BTC did see a huge dip in early 2018 and though fluctuations are commonplace, spurred by the pandemic it has recently hit new highs.
Bitcoin Regulation in Canada
Though the use of digital currencies, including cryptocurrencies is allowed in Canada, cryptocurrencies are not considered as legal tenders in the eyes of Canadian laws. Moreover, since the Canada Revenue Agency considers cryptocurrencies as commodities, cryptocurrency transactions are covered by the provisions of the Income Tax Act as well as all the other national tax laws and rules. Moreover, according to Canadian authorities all instances where a cryptocurrency is used to pay for goods or services, must be treated as barter transactions.
As early as 2014, through amendments made to Canada’s Proceeds of Crime (Money Laundering) and Terrorist Financing Act, which were approved by the country’s Governor General, anti-money laundering provisions were extended to include virtual and digital currencies, as these would be treated as “money service businesses”.
Bitcoin Taxation in Canada
Gains from cryptocurrency trading are taxable in Canada. According to the Canada Revenue Agency (CRA), under the country’s Income Tax Act cryptocurrencies are to be treated like commodities, and thus the gains accrued from cryptocurrency trading are taxable.
However, different rules apply on how such digital currency gains are calculated and reported, depending on whether an individual trades or mines cryptocurrencies. Interestingly, businesses accepting payments in cryptocurrencies, such as Bitcoin, must also report the value of the Bitcoin received as business income. The transaction values must be calculated and declared according to the current exchange rate of the crypto asset to Canadian dollars.
Casual Bitcoin users, such as individuals who bought Bitcoin in order to pay for goods and services, should also declare a capital gain if the Bitcoin value happens to go up when they dispose of it. Buy and hold investors of Bitcoin must also report any difference in the Bitcoin value at the time of disposal.
The nature and frequency of one’s crypto transactions will determine if the CRA classifies a person as a day trader, thus taxing their profits as business income. The same applies for crypto miners deemed to be engaging in mining as a business.
The risks of buying Bitcoin
FAQS
Is Bitcoin legal in Canada?
How can I sell Bitcoin in Canada?
How do I cash out of Bitcoin in Canada?
What’s the easiest way to buy Bitcoin in Canada?
Who regulates Cryptocurrency and Bitcoin in Canada?
Although Canada currently does not have specific legislation related to cryptocurrencies, any form of regulation is enforced by the Investment Industry Regulatory Organization of Canada (IIROC). Cryptocurrency is treated as property for purposes of income tax legislation.
How tax rules apply to Bitcoin in Canada?
You can check this Canada cryptocurrency guide for more information.