- Interested in buying Bitcoin in Mexico? We offer you a quick guide to enter the crypto world.
The first quarter of 2022 has been particularly revealing in terms of the reasons why cryptocurrencies were born. The citizens of Ukraine and Russia have been involved in a war that they did not decide and therefore are suffering the consequences of the war.
Thus, cryptocurrencies once again claim their importance as a means to achieve financial freedom, especially since they are in limited supply and cannot be seized.
Although last year the population approached cryptocurrencies due to the impressive growth they had, this 2022 again people turn to them for their quality of being a refuge in times of crisis. Nevertheless, one cannot lose sight of the fact that cryptocurrencies are still speculative assets marked by their volatility.
Bitcoin regulation in Mexico
Before learning how to buy Bitcoin or any other cryptocurrency in Mexico, it is important to know that the entry into force of the Law to Regulate Financial Technology Institutions in March 2018, it brought about the regulation of cryptocurrencies.
This law forced the Bank of Mexico (Banxico) to issue the corresponding regulation on cryptocurrencies, so in 2019, it published the provisions on how these asset classes could be used. In accordance with lexlatinJuan Conde, founder of a law firm called Novus Concilium, Banxico defines cryptocurrencies based on the concept of digital assets and points out that no banking institution can intermediate operations with cryptocurrencies.
In Mexico, currently, cryptocurrencies are not legal tender assets, nor are they conceived as currencies. This does not mean that in Mexico there is a prohibition as such of cryptocurrencies, but that there are limitations or restrictions. For example, although financial institutions are not allowed to offer crypto to the general public, other entities can carry out such operations, such as crypto exchanges.
Therefore, Mexico, like most countries, has a somewhat ambiguous regulation since it governs the interpretation in its use and, in addition, financial institutions can only use them internally.
How to buy Bitcoin in Mexico?
Once you take into account the regulatory aspect, you can learn about how and where you can buy Bitcoin in Mexico with Mexican pesos.
Using a crypto exchange
Step 1. Find an available crypto exchange in Mexico
The first step, and one that is sometimes forgotten, is that to enter the crypto market with Mexican pesos it is necessary to find a broker, or better known in this market as crypto exchanges or exchange houses which are . companies that offer cryptocurrency trading services and, among them, the purchase of cryptos with fiat currencies. Before investing in a cryptocurrency, it is essential to understand what crypto exchanges are and what a wallet is.
In order to find the right crypto exchange, you should especially evaluate its security, interface, and the fees it charges for its services. Also, you should check if it is regulated. If you want to learn more about what a crypto exchange is and the options on the market, we invite you to read the following guide: “How to choose between a centralized and a decentralized exchange?”
Step 2. Sign up to the crypto exchange
In general, the interface of crypto exchanges are usually quite intuitive, especially when registering, so there should be no problem with it. If it is not intuitive, perhaps it is a sign that the crypto exchange uses an interface designed for experts.
It is essential to understand that centralized crypto exchanges are like any other service provider and, therefore, are regulated by the laws of the country where they operate. This is precisely why decentralized crypto exchanges exist, but they are slightly more advanced.
In this sense, most crypto exchanges will require a certain amount of personal information to be able to operate on them. To register with a crypto exchange, an email and a phone number are usually enough.
Main crypto exchanges available in Mexico
- Binance: It is one of the largest crypto exchanges in the world. While Binance offers a myriad of quite useful crypto services, its interface may not necessarily be beginner-friendly. It allows the purchase of cryptocurrencies with Mexican pesos through a credit/debit card and Simplex.
- bitso: It is a global crypto exchange founded in 2014 in Mexico. The payment methods it accepts are: bank transfer from any bank in Mexico via SPEI and transfers between Bitso accounts.
- eToro: Unlike the others, eToro is a multi-asset broker. The payment methods it accepts are: credit card, bank transfer, Sofort and Skrill.
Step 3. Verify your account
If you are a beginner, the most recommended thing is to enter a centralized crypto exchange to acquire cryptocurrencies with Mexican pesos. Most of these require the user to verify their account by requesting personal information such as identity document, physical address, among other aspects.
Step 4. Increase the security of your account
Crypto exchanges offer a type of wallet called ‘hot’ or online wallet. This means that it is a cryptocurrency wallet that is connected to the Internet and, consequently, usually has a higher risk of being hacked.
So an important aspect when trading crypto exchanges is to enable as many security mechanisms as possible such as Two-Factor Authentication (2FA) and, additionally, learn how to avoid losing your cryptocurrencies to scams.
Step 5. Choose the payment method and deposit the funds
An additional aspect to take into account when choosing a crypto exchange is its availability of payment methods.. Since you must find one that matches the ones you have available.
In general, most of the crypto exchanges accept credit or debit cards, P2P trading or payments through third parties such as Simplex, PayPal, Skrill, Sofort, deposits, among others.
Step 6. Start the process to buy Bitcoin
At the time of initiating a purchase, it is important to see the current price of the asset and the commissions for the purchase. As well depending on the selected payment method, the purchase process may be slightly different, so we will point out some general aspects.
Peer to Peer (P2P) operations
P2P can be translated as “Peer to Peer” and consists of operations that are made between users. In general, platforms that allow users to buy and sell cryptocurrency should be sought out for the security they offer.
P2P platforms automatically create contracts between the two parties, which increases the security of both. Unlike, for example, making a P2P transaction through social networks in which there are no guarantees.
Some of the most popular P2P platforms available for Mexico:
- BinanceP2P: The crypto exchange offers a P2P platform. Users can buy Bitcoin with various payment methods such as bank transfers, OXXO, Paynet, among others.
- localbitcoins: This platform allows you to buy Bitcoin exclusively with a variety of payment methods, including: cash deposit, bank transfer, PayPal, Paysend, among others.
- Paxful: It offers a wide variety of payment methods such as bank transfer, OXXO, PayPal, Amazon gift cards, Pagofácil, MoneyGram, Western Union, among others.
Bitcoin ATMs in Mexico
Another way to buy Bitcoin in Mexico is through ATMs. In accordance with CoinATMRadarIn Mexico there are currently 20 ATMs where you can buy Bitcoin.
In addition to Bitcoin, you can also buy other cryptocurrencies such as Bitcoin Cash, Ethereum or Litecoin, among others.
It is important to understand that Bitcoin ATMs are offered by private service providers. Some of those found in Mexico are: General Bytes, ChainBytes, BiTeller produced by BlockChain Innovation, among others.
Before resorting to an ATM, it is important to know the type of Bitcoin ATM and who the service provider is, since this will provide the user with information about the commissions.
final thoughts
Certainly, cryptocurrencies are a tool to escape from the traditional financial system and, with it, obtain greater financial freedom.
However, we have all heard that freedom comes with responsibility and, in fact, that is something that cannot be lost sight of when it comes to the crypto market.
As previously noted, the cryptocurrency market is still not properly regulated in most of the world. Consequently, there are risks.
As far as this article is concerned, it is of vital importance to always emphasize purchasing crypto from a trusted source, such as a recognized and regulated crypto exchange, trusted P2P platform, or crypto ATM.
In addition to that, it is essential to understand the crypto asset you want to acquire. Bitcoin (BTC) has surprised the world with its ability to reach a price above $60,000 dollars, but it cannot be forgotten that the volatility that got it there is the same that makes it fall by up to 50%.
Start 2022 knowing how to acquire Bitcoin!
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