How To Buy Large Amounts of Bitcoin in 2022
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Many cryptocurrency enthusiasts and investors want to invest or buy large amounts of Bitcoin in 2022, and if you want to do the same, you’ve come to the right place.
We’ve made this post to tell you all about buying large amounts of Bitcoin, where to buy the coins, the things you need to consider, and so much more. By the end, you’ll know what to expect if you decide to invest.
Before we start, note that making significant investments in Bitcoin is a risky endeavour, just like all other significant investments. So, you need to be careful, and you need to decide on your own if you’re ready to make such commitments and if you have enough funds you are willing to spare.
Best Places to Buy Large Amounts of Bitcoin in 2022
We reviewed all the popular Bitcoin platforms where you can buy large quantities of BTC today. As you can expect, not all of them are great, so we decided to rank them and offer you our final list of the very best places to buy large amounts of Bitcoin.
All that’s left for you to do is choose one that you like. The table is right below, but if you want to know more about each one, make sure you keep reading this guide.
What Is Considered a Large Amount of Bitcoin?
It’s tough to answer this question as “large amount of Bitcoin” will depend on many factors. The price of BTC is one of those factors. For example, when BTC was valued only at $100, it was hard to claim that 10 Bitcoins were a large amount. But when the current price is well above $50,000, that same amount is considered substantial for most people.
Additionally, the price has always been very volatile, so defining a considerable amount in the future might be different.
What’s more, the answer to this question is different for different people. The answer will easily depend on your wealth, location, background, and more. Regular people and seasoned investors will easily have different definitions for what a large amount of BTC is.
In general, many would agree that a large amount of BTC is valued at $10,000 or more. This stands regardless of how much each BTC is worth at the moment. Some would go further by saying that a significant amount is anything above $100,000.
However, it’s much better to use percentages in this case, i.e., what percentage of your total investment capital should belong to Bitcoin. It’s usually advised that BTC comprises 5% to 30% of your entire investment capital. In other words, 5% would be pretty safe, while 30% is risky. 50% is also a reasonable limit, but only for very experienced investors.
Naturally, these numbers can go up and down depending on how experienced and ready you are to accept risk and potentially lose money.
All in all, you don’t need to have a specific number in mind to determine what a large amount of Bitcoin is. Instead, it would be best to consider how much you are willing to invest and how long you intend to keep investing in getting an optimal number. And if that number ends up being only 0.1 or 50 BTC, that should be enough for you to start your investment journey.
Is There a Limit to How Much Bitcoin I Can Buy?
There is no limit to how many BTC you can purchase, both legal and technical. The amount you can buy entirely depends on how much you can and are willing to invest.
However, you should know that the maximum amount you can buy in a single transaction or a specific period can and usually depends on where you are buying BTC.
Bitcoin exchanges, brokers, and other platforms tend to place limits on users depending on a wide range of factors, including what type of account you have on the platform. However, most large exchanges won’t place a trading limit, but they will set a limit to how much you can deposit and withdraw in a day or a month.
Before you decide which platform to start using for investments, make sure to check the limits.
Naturally, if you decide to make deals with other investors and buy Bitcoin directly from them, as long as you both agree, you can do it without a set limit. The limits only exist on specific platforms that mediate trading.
Of course, the theoretical limit coincides with the final amount of BTC in the world — 21 million coins. This is the total amount of Bitcoin that will be mined, and once we reach that number, no additional Bitcoins can be created. At the moment, 18.7 million BTC have been mined. Every 10 minutes or so, a new BTC comes onto the scene. The current estimates say that we’ll mine the final BTC in 2140.
What’s the Best Way to Buy a Large Amount of Bitcoin?
There are two main ways for you to buy a lot of Bitcoin:
Cryptocurrency exchanges with high liquidity and limits
Over-the-counter (OTC) brokers
Naturally, there are other options, but these two types of platforms are generally considered the best, which is why we advise you to stick to them.
What Is the Difference Between OTC Brokers and Exchanges?
The main difference between the OTC brokers and crypto exchanges is simple but completely changes how you do business on these platforms.
On traditional crypto exchanges, you’re trading directly with individuals on the platform, while on a typical OTC broker platform, the site is connecting you to people or companies willing to trade.
If you’ve already bought Bitcoin or any of the altcoins in the past, you have likely already used a cryptocurrency exchange as they are practically the default place for purchasing cryptocurrency for most people.
The central aspect of cryptocurrency exchanges is that they facilitate trade, meaning you will effectively trade with other individuals and companies. However, you’ll always do it using the current market price, and you’ll be limited by the amount a specific party has. So, in essence, if you want to buy large amounts of Bitcoin, you’ll sometimes have to complete several orders with different people.
OTC broker platforms are mainly made for trading larger amounts as they connect you with other parties willing to do the same and ensure the whole transaction goes according to plan. However, this luxury comes at a price. Most OTC brokers charge premiums for the services they provide, effectively making every trade more expensive than on a typical cryptocurrency exchange.
This also means that the price of Bitcoin doesn’t necessarily have to be the market price — it can be anything you and the other party agree on.
What Are the Best Places to Buy Large Amounts of Bitcoin in 2022?
Now that you know most of what you need to know about buying larger amounts of Bitcoin, let’s take a closer look at the platforms you should be using.
Coinbase — Popular Exchange With a Pro Version for Big Traders:
Fees: 0.50% per trade, 0-0.50% on Pro, lower fees for higher volume
Deposit and withdrawal limits: Varies based on region and payment method, unlimited on Coinbase Pro
Coinbase is one of the most popular exchanges you can use today. It offers incredibly high security, supports numerous payment methods (you can use a credit card, debit card, bank transfer, PayPal, and other methods to deposit funds), and the liquidity is quite high, so you won’t have to worry about not finding large enough offers, especially on Coinbase Pro.
Coinbase Pro is naturally more suited for big traders, especially since the fees are lower, and there are typically no withdrawal fees. However, there are other fees as well, and they depend on your total trading volume.
Bitstamp — The First Crypto Exchange:
Fees: 0.50% per trade, lower fees for higher volume
Deposit and withdrawal limits: $2,500 per day and $20,000 per month, can vary based on region
Bitstamp is the OG crypto exchange, being founded way back in 2011. The platform is now well-established and popular throughout the world. You can easily make deposits with a debit card or credit card, as well as with a bank account.
The only real downsides to this platform are the lack of margin trading and relatively high fees.
Genesis Trading — Highly Regulated Brokerage:
Fees: No commission fees
Deposit and withdrawal limits: Minimum deposit $75,000, minimum trade $250,000
Genesis Trading is a trading firm that offers two-sided liquidity for several cryptocurrencies, Bitcoin included. Liquidity is very high, and since the site started with 1,500,000 BTC, you can be sure that there is always enough trading volume.
The site is highly regulated, but the minimum trade size is $250,000, so it’s perfect for anyone willing to make bigger trades. Naturally, this also means that you have to apply for an account as the site doesn’t accept everyone.
Cumberland Mining — Leading Specialized OTC Broker:
Fees: No commission fees
Deposit and withdrawal limits: Minimum trade $100,000
Cumberland Mining is a specialized trading company. It has been dealing with cryptocurrencies since 2014. The firm supplies some of the major exchanges in the world, so expect it to have vast amounts of Bitcoin.
As is the case with Genesis Trading, you have to apply and get approved to start trading, and once you do, you’ll always have to trade more than $100,000.
What to Consider When Buying Large Amounts of Bitcoin?
It would be best to consider several things when buying Bitcoin, and there is, even more, to consider when purchasing large amounts. Let’s take a look:
A Highly Secure Hardware Wallet is a Must:
You should always use a secure wallet in the world of cryptocurrency. However, once you start trading higher amounts, you should invest in a secure hardware wallet to keep offline so it’s safe from hackers. The best ones on the market are Ledger Nano X and Trezor T.
Be Aware of Slippage
With higher amounts of Bitcoin, it’s not uncommon for the price to change until all the coins have been bought. This can often result in the amount you get being lower than expected.
Fees and Limits
Fees and limits are incredibly important when purchasing larger amounts of Bitcoin, so you always need to check them in advance. For fees, you can run into trading fees, deposit/withdrawal fees, and even blockchain fees. Be wary of the payment method you use to deposit funds to buy large amounts of Bitcoin. Some deposit methods such as credit cards will come with higher fees and risks as opposed to a debit card or a bank transfer. As for limits, you need to check that they are high enough so you can easily trade higher amounts.
Should I Buy Bitcoin With Another Cryptocurrency or Fiat Currency?
The answer to this question depends on what you prefer and what would be better for you at any given moment.
People generally purchase Bitcoin with fiat currency as that’s the currency most people have. It’s also better as price fluctuations are not as common with fiat currency as with other cryptos.
However, if you own another cryptocurrency and it’s currently worthwhile to exchange it for Bitcoin, you should do that instead.
Alternative Ways to Buy Bitcoin
Besides the Bitcoin exchanges and Bitcoin broker platforms you can use, there is always an alternative if these do not suit your needs. You can buy and sell Bitcoin using these options:
Directly from someone with cash
On DeFi platforms
Using Bitcoin apps
By getting paid at your job in cryptocurrency
Through airdrops and Initial Coin Offerings (ICOs)
Final Thoughts on Buying Large Amounts of Bitcoin
You can buy large amounts of Bitcoins on a wide range of exchanges and OTC broker platforms. You are only limited by how much you are willing to invest and what’s enough for you, but as you’ve seen, buying large amounts of BTC is not something you should take lightly.
Make sure you are ready to do so, and start with smaller investments if you are not an experienced investor. Once you are prepared, you can choose one or more sites we recommend and get started in no time.