Litecoin is one of the top cryptocurrencies that people and business entities continue to adopt as a tool of trade and payment method. These and the bullish crypto market have helped to increase its demand, with Litecoin rallying around the $97 mark at the time of writing this article. But, while you can purchase this crypto asset from anywhere across the world, we will be looking at how to buy Litecoin in Canada.
Factors To Consider Before Buying Litecoin In Canada
It is imperative to consider some critical factors before you buy Litecoin in this North American country. These would guide you in choosing the right time and the appropriate service for your LTC purchase.
- Market Position: This is important to understand when buying your Litecoin, as it is for every asset. Let’s not forget that this is a volatile asset whose price can swing to either side (high or low) at times. Hence, there is a need to be fully aware of the market price at the time you are buying.
- Trading Fees Or Limits: The fees can vary from highly competitive to considerably high or low on the service you use to make the purchase. Therefore, you must always check the trading fees or limits before buying Litecoin.
- Platform Reputation: While there is a proliferation of digital platforms on which you can purchase Litecoin, with the promise of credibility. You must understand that not all platforms that claim to sell Litecoin are reputable. So, it would help if you did your due diligence in researching a platform before putting your funds into it.
4 Steps To Buy Litecoin In Canada
Step 1: Choose Your Preferred Crypto Exchange
Many crypto exchanges enable you to purchase LTC on their platforms. But as we’ve expressed the need to check and confirm a platform’s reputation before purchase, you must also check the crypto exchange’s fees and security before choosing your preferred option.
Step 2: Create An Account
You will need to create an account with your preferred exchange – which could be via its website or mobile application. This will require you to provide your email address and complete the KYC (know your customer) procedure to verify your identity, as it applies to most crypto exchanges.
Step 3: Make A Deposit
Upon the verification of your account and identity, you must fund your wallet on the preferred crypto exchange. This depends on the payment methods that the platform supports. For instance, you can deposit a Canadian dollar into your wallet through credit/debit cards and wire transfers. You can also use a crypto asset like Bitcoin as a deposit option.
Step 4: Buy Litecoin
You can now use your funds to buy LTC, which you can store in a Litecoin wallet on the platform or a non-custodial wallet. Also, you can start to trade your Litecoin.
Where To Buy Litecoin in Canada
1. Bitbuy
Bitbuy is a Canadian crypto exchange that allows Canadian traders to trade and invest in many cryptocurrencies, including Litecoin. Launched in 2016, it has become a popular and trusted platform due to its transparent operations. The credibility of Bitbuy can also be owed to its move of being the first exchange in Canada to conduct proof of reserve audits, which began in 2019.
This platform is ideal for both beginner and advanced traders, with its trading fee flat at 0.2%. There is also a deposit fee of 0.5% when using wire transfers and 1.5% for Interac e-transfers.
2. Coinberry
Coinberry has been in operation since 2017, with its support for Litecoin and other cryptocurrencies like Bitcoin, Ethereum, Dogecoin, etc. You can use credit/debit cards, wire transfers, and Interac transfers to purchase LTC on this platform.
This is considered one of the cheapest platforms to buy LTC in Canada because of its zero deposit and withdrawal fees, as well as a 0.5% trading fee.
3. Kraken
Kraken is one of the top exchanges in the world, with its availability in many countries, including Canada. Therefore, you can easily use your Canadian dollar to purchase LTC on the platform. Wire transfer in Canadian dollars is free on Kraken.
Meanwhile, if you are purchasing your Litecoin to trade, you should also know how to sell the coin to make gains. This aligns with the common belief that crypto trading is one of the best ways to make money online. So, how do you go about it?
How To Sell Litecoin
There are many platforms to sell your LTC outside the exchanges on which you’ve bought Litecoin in Canada. But if you want to sell your LTC for Nigerian naira, Ghanaian cedis, or Bitcoin, Prestmit is the best platform to trade your asset.
How To Sell Litecoin On Prestmit
Here are the quick steps to sell Litecoin on Prestmit:
- Visit the official Prestmit website or download the updated Prestmit app on the Google Play Store or Apple Store.
- Create a Prestmit and log in.
- Choose “Buy & Sell Cryptocurrency” and click “Sell Cryptocurrency.”
- Select “Sell Litecoin” and generate a LTC wallet.
- Follow the prompts to sell your LTC.
- You will receive payment immediately after the successful confirmation of your transaction.
Frequently Asked Questions (FAQs) On Buying Litecoin In Canada
What Is The Best Platform To Buy Litecoin In Canada?
There are different places to buy LTC in Canada, but your best preference will be the security, trading fees, and other features on the platform.
What Will I Need To Purchase Litecoin In Canada?
You will need to create an account with your preferred exchange, followed by funding your wallet on the exchange. You must complete the KYC procedure if you are buying the coin with the Canadian dollar.
How Is Litecoin Taxed In Canada?
Litecoin is considered a digital asset by the Canadian Revenue Agency (CRA) and is taxed as an investment. Therefore, you will be taxed on your LTC when you sell or exchange the asset.
Conclusion
Litecoin is a popular crypto asset that is attracting beginner and advanced traders, which is due to its market resilience amid potential swings. As such, it is a widely traded asset for Canadians seeking to make gains. However, it is important to know where and how to buy Litecoin in Canada, as highlighted in this article. It will help you to make an informed decision over the volatile crypto market.
