Cryptocurrency — a beginner-friendly guide for the crypto-curious

From blockchain to Bitcoin, exchanges to sh*tcoins, Crypto Finderâ„¢ will have you up to speed in no time.

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Thomas Stelzer

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  • Compare 16+ crypto exchanges
  • No phone number required
  • Free to use

You might have heard about Bitcoin (or even Dogecoin), but there's so much more to cryptocurrency than that. Our guides make learning about cryptocurrency easy – allowing you to buy, trade, hold and earn crypto in less time than it takes to set up a new bank account.

Start investing today with our picks for the best crypto exchanges in Australia or learn more about individual coins and where to buy them. Don't forget to check out our best crypto wallets guide to learn how to keep your crypto safe.

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade.

What exactly is cryptocurrency?

Cryptocurrencies are digital assets that have a value, just like a $10 note is a physical token with 10 dollars of value assigned to it.

The difference is that digital currencies are electronic – they only live on the internet. In order for a cryptocurrency to have value, its coin needs to be unique, verifiable and unreplicable. The Bitcoin blockchain was the innovation that made this possible and was first laid out in the original Bitcoin whitepaper in 2008.

Crucial to crypto is the principle of decentralisation. There is no single authority or business (such as a bank or government) that controls cryptocurrencies. This idea of sovereignty over your assets and removing reliance on any sort of intermediary is something you'll hear about a lot.

Decentralisation also makes crypto a powerful medium of exchange because it can help minimise the costs and processing times of transactions.

Thanks to these innovations, legacy companies like Visa, PayPal and the big four Australian banks have also begun adopting cryptocurrency and blockchain technologies.

Learn how to get started with crypto

Crypto quick start

Skip ahead to one of our guides

Where can you buy and sell crypto in Australia?

The easiest place to buy and sell crypto is via a dedicated crypto exchange and Australians can now choose from a number of established and feature-rich crypto exchanges.

If you're just starting out, look for AUSTRAC-registered exchanges that offer Australian dollar deposits with your preferred payment method. More experienced investors can browse our comparison of advanced crypto trading platforms.

Click the Go to Site button when you're ready to create an account with any of the providers.

1 - 10 of 25
Name Product GXFCY Deposit methods Fiat currencies Cryptocurrencies Offer Disclaimer Go to site
CoinSpot
4.3★★★★★(300)
Exclusive
EXCLUSIVE
CoinSpot
Bank transfer, Credit card, Cryptocurrency, Debit card, PayID

1

500

Get $20 in BTC when you make a deposit. T&Cs apply.
Go to site

Capital at risk

View details
eToro Crypto
4.0★★★★★(14)
Best Rated BrandExclusive
EXCLUSIVE
eToro Crypto
Bank transfer, Credit card, Debit card, PayPal, eToro Money

27

107

Get a US$50 bonus when you buy at least US$500 in crypto. T&Cs apply.
Go to site

Capital at risk

View details
OKX
OKX
Bank transfer, Credit card, Cryptocurrency, Debit card

1

301

Get $20 in BTC when you trade $100. T&Cs apply.
Go to site

Capital at risk

View details
Bitcoin.com.au
OFFER
Bitcoin.com.au
Bank transfer, Credit card, Cryptocurrency, Debit card, PayID

1

30

Get $10 of Bitcoin when you verify your account. T&Cs apply.
Go to site

Capital at risk

View details
Kraken
Finder Award
Kraken
Credit card, Cryptocurrency, Debit card, PayPal, PayID

7

295

Go to site

Capital at risk

View details
Swyftx
4.4★★★★★(375)
Finder AwardExclusive
EXCLUSIVE
Swyftx
Bank transfer, Credit card, Cryptocurrency, Debit card, PayID

3

432

Get $20 in BTC when you verify your account. T&Cs apply.
Go to site

Capital at risk

View details
CMC Invest
CMC Invest
BPAY, Bank transfer (Direct Deposit), Fast deposit

1

8

Go to site

Capital at risk

View details
Independent Reserve
4.1★★★★★(19)
OFFER
Independent Reserve
Bank transfer, Credit card, Cryptocurrency, Debit card, PayID

4

30

Get $10 of Bitcoin when you verify your account. T&Cs apply.
Go to site

Capital at risk

View details
Coinstash
4.6★★★★★(36)
Finder AwardExclusive
EXCLUSIVE
Coinstash
Bank transfer, Cryptocurrency, Osko, PayID

1

1071

Finder exclusive: Get up to $200 BTC when you sign up and trade certain amounts. T&Cs apply.
Go to site

Capital at risk

View details
Day1x
Day1x
Credit card, Cryptocurrency, PayID, Bank Wire

1

23

Go to site

Capital at risk

View details
Disclaimer: Star ratings are only displayed for products with 10 or more reviews.
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Disclaimer: General information only. All forms of investments (and in particular, trading CFDs, commodities and forex) carry significant risk, including the risk of losing more than the invested amounts, market volatility and liquidity risks. Past performance is no guarantee of future results. Such activities are not suitable for most investors.
1 - 1 of 1
Name Product GXFCY Payment Methods Supported Fiat Currencies Cryptocurrencies Minimum Deposit
Plus500 Cryptocurrency CFDs
Plus500 logo
Credit/debit card, Bank transfer, PayPal, Skrill
AUD, USD, GBP, EUR
BTC,ETH,ADA,LTC,XLM,EOS,NEO,IOTA,ETHBTC,Crypto10,BAB
$100
CFD service. Your capital is at risk.
Trade CFDs on top cryptos as well as Australian and international shares, indices, commodities and more.
Go to site
Disclaimer: Star ratings are only displayed for products with 10 or more reviews.
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1 - 5 of 70
Product GXFCY-WLT Wallet type Supported assets Price (USD) Offer Disclaimer Link
Zengo wallet
Zengo logo

Mobile

180+

Free download

Easy Crypto
Easy Crypto logo

Mobile

62+

Free download

Ledger Nano X Wallet
Ledger logo

Hardware

5,500+

$149

Free shipping
NGRAVE ZERO
NGRAVE logo

Hardware

3,500+

$398

Trezor Model T Wallet
Trezor logo

Hardware

1,000+

$77.20

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How does cryptocurrency work?

Cryptocurrency uses cryptographic technology to secure individual assets on a database called a "blockchain". A blockchain records transactions on a network in a way that cannot be altered.

You can think of a blockchain as hundreds of connected computers sharing information with one another. This builds a ledger of data that can be used to validate that each crypto transaction is legitimate and secure.

Some blockchains use a variation of proof-of-work or proof-of-stake consensus algorithms to execute transactions. Proof of work is where the term "Bitcoin miners" comes from.

Miners operate powerful computers that solve complex mathematical problems, which helps secure the blockchain.

Proof of stake is a bit different. This algorithm uses staking – the process of locking up cryptocurrency on a specified blockchain wallet in exchange for a reward. Staking protocols use "nodes" – small copies of the blockchain being run on thousands of different computers.

Understanding how a crypto's algorithm works in detail isn't essential – or easy – but it can help explain movements in price.

What are the most traded cryptocurrencies?

You might be surprised to learn that Bitcoin (BTC) is not the most traded cryptocurrency, although it usually sits in the top 3.

Instead, it's the dominant crypto by market capitalisation – a metric that shows the circulating supply of a coin, multiplied by its value.

Take a look at today's top 10 cryptos by market cap in the chart below.

How to buy cryptocurrency

  1. Compare crypto exchanges
    The easiest way to purchase cryptocurrency is through an exchange or trading platform. Features to look out for are low fees, supported coins and deposit methods. Registering an account with an Australian exchange will require you to provide a form of government identification.
  2. Deposit funds
    To deposit Australian dollars to your exchange account, first, you'll need to verify your identity in a process known as KYC. Most exchanges accept instant transfers from an Australian bank account, while others also support credit card purchases and sometimes even cash.
  3. Choose a cryptocurrency
    There are thousands of cryptos to choose from. Thoroughly research any you're interested in, check what's trending, and keep on top of the latest crypto news before investing any money.
  4. Build your crypto portfolio
    Most exchanges allow you to instantly buy cryptocurrency with the funds deposited to your account. Some platforms also have advanced market options and trading pairs which may be useful for more experienced traders.
  5. Store your crypto
    You can choose to leave your assets in your exchange wallet, but this does come with some added risks. It's generally recommended that you transfer your crypto to a non-custodial or hardware wallet for increased security.

Is cryptocurrency safe?

There are a number of risks associated with buying, storing and using digital currencies. Before jumping in, do plenty of research and make sure you understand how to keep your crypto safe. Some key risks to be aware of include:

  • Poor regulation. Cryptocurrency is still a largely unregulated market, which means you may not be protected if your funds are lost or stolen. Look for platforms that are registered with AUSTRAC and provide an insurance fund.
  • Volatile prices. Crypto is much more unpredictable than traditional markets and massive price fluctuations within a short window are not uncommon. Because of this, your investment can quickly lose its value.
  • Vulnerable to hacking. Several million dollars have been lost to successful hacks of crypto exchanges, wallets and blockchains. It's important to understand that without appropriate security measures like using a hardware wallet, securing your private key and enabling 2-factor authentication, your funds could be stolen.
  • Steep technical learning curve. Grasping the complex technical foundations of potential crypto investments can quickly become confusing. You'll also need to fully understand concepts like gas fees and wallet addresses before interacting with a blockchain, or else risk total loss of funds.
  • Scams. As crypto has become popular, so too have crypto scams. Be extremely wary of deals that seem too good to be true, thoroughly research all platforms or projects before putting your money in, and never disclose your private key.

Read the Australian government's crypto investment warning for more guidance on keeping your money safe.

FAQs

Get started with crypto

If you're just starting out in the world of crypto, it can feel overwhelming. Use our simple guides to research and compare different coins or take a look at our curated list of the best crypto exchanges and wallets to buy and secure your chosen assets.

Learn how to buy Bitcoin, Ethereum and other cryptos

There are now well over 15,000 cryptocurrencies and tokens, with new coins launching all the time. We've cut through the noise and written guides on how to buy some of the most traded cryptos, like Bitcoin and Ethereum, as well as hundreds of others.

Compare crypto exchanges in Australia

Compare dozens of major Australian and global exchanges on features, fees, selection of cryptos and more in our comprehensive platform reviews.

Find the best crypto wallets to store your cryptos

Hardware, mobile, hot, cold… it's tricky knowing where to start with crypto storage. Our guides explain what's in a wallet to help you find your best options for convenience and security.

Get familiar with crypto trading

For more advanced investors, crypto could be a way to diversify your portfolio. Read our range of trading guides to get your bearings first.

Learn how to earn crypto returns

Crypto earning products are still in their infancy right now. Make sure you've got everything you need to make an informed decision.

Dive deeper into DeFi

From staking to smart contracts, our guides demystify DeFi and help you get your head around the new frontier of finance.

Cryptocurrency stats and predictions

Get expert insights and analysis across the crypto sector or use our forecasting tools to help predict where a coin's price might move.

Crypto news, research and tools

Crypto evolves at breakneck speeds, with new concepts, coins and technologies emerging all the time. Keep on top of the latest trends with our industry news, consumer research and handy tools.

Disclaimer: Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.
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Publisher

Tom Stelzer is a publisher and writer for Finder, covering investing and cryptocurrency. He previously worked for Finder as a writer in Australia and the UK, covering things like personal finance, loans, investing, insurance as well as small business and business loans. He has a Master of Media Arts and Production and Bachelor of Communications in Journalism from the University of Technology Sydney. See full bio

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2 Responses

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    SafinathNovember 15, 2024

    Hi I have been with thos finder from last year. I have put money in my account to buy bitcoin. But now I can’t see any money or I can’t login to my account. Please help me how to do that .I have been sending emails to the finder group so far no help.

      AvatarFinder
      ThomasNovember 18, 2024Finder

      Hi Safinath,

      You can talk to our app customer support by heading to the Settings tab in the Finder app (by tapping the gear icon in the top right corner) and then selecting “Get support”.

      If you’re struggling to log in to the app, please email us at app@finder.com.au.

      Thanks,

      Tom

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