Cryptocurrencies, especially Bitcoin, are gaining traction among Australian investors seeking decentralized assets and potential high returns in the post-COVID-19 economy.
Bitcoin has experienced significant volatility, reaching a record high of US$68,649 in November 2021 before dropping to US$16,600 by late 2022. As of mid-2023, Bitcoin has rebounded by 80% since the start of the year, surpassing US$30,000. Its finite supply and price fluctuations make it an exciting asset for market observers.
A 2022 survey revealed that 29% of Australians aged 18+ own or have owned crypto, up from 25% in 2021. While 26% are "likely to invest in crypto," there’s likely overlap between current and prospective investors.
Retailers accepting Bitcoin are increasing, with chains like OTR enabling payments at 440+ locations. However, crypto’s price volatility makes it a risky payment method, prompting many to hold Bitcoin long-term instead.
This guide covers how to buy, store, and sell Bitcoin in Australia—safely and efficiently.
How to Buy Bitcoin in Australia?
Bitcoin is a decentralized digital currency, purchasable via:
- Bitcoin Broker – User-friendly platforms (e.g., eToro, Binance) that facilitate crypto purchases with fiat currency.
- Bitcoin Exchange – Platforms like Coinbase where you trade and store Bitcoin, though withdrawals may incur fees.
- Peer-to-Peer (P2P) – Private transactions, but higher scam risk; vet sellers carefully.
Steps to Buy Bitcoin:
- Choose a Platform – Compare fees/features (e.g., Binance for P2P).
- Register & Verify – Provide email and ID details.
- Deposit Funds – Use bank transfers, debit/credit cards (latter may have extra fees).
- Complete Purchase – Confirm details; Bitcoin will reflect in your account.
👉 Discover trusted crypto platforms
How to Safely Store Bitcoin in Australia?
Post-purchase, store Bitcoin in a wallet:
- Crypto Platform Wallet – Convenient but risky; you don’t control private keys.
- Digital Wallet – Software-based (e.g., Exodus) with public/private keys for transactions.
- Hardware Wallet – Offline "cold storage" (e.g., Ledger) for enhanced security.
Hot vs. Cold Wallets:
- Hot wallets (internet-connected) are user-friendly but less secure.
- Cold wallets are safer but less accessible for frequent trading.
How to Sell Bitcoin in Australia?
To cash out:
- Log in to your crypto platform.
- Deposit Bitcoin into your account.
- Specify amount to sell and confirm.
- Withdraw AUD or trade for another crypto.
Alternatively, use Bitcoin ATMs (600+ in Australia) for instant cash conversion.
👉 Explore secure trading options
FAQs
1. Is Bitcoin legal in Australia?
Yes, Bitcoin is legal and regulated by the AUSTRAC.
2. What’s the best wallet for beginners?
Digital wallets (e.g., Trust Wallet) balance ease and security.
3. Can I buy Bitcoin anonymously?
P2P exchanges offer privacy, but most platforms require ID verification.
4. How do I avoid scams?
Stick to reputable platforms and avoid unsolicited investment offers.
5. What taxes apply to Bitcoin?
Capital Gains Tax (CGT) applies when selling Bitcoin for profit.
6. Why is Bitcoin volatile?
Limited supply, investor sentiment, and regulatory news drive price swings.
Final Tip: Always prioritize security—use strong passwords and enable 2FA. For deeper insights, check our Bitcoin Investing Guide.
Updated: June 2023