Which App Can I Buy Bitcoin In Canada?

Canada’s Regulatory Environment and Bitcoin

Canada is one of the most progressive countries when it comes to cryptocurrency regulation. The Canadian government has set clear guidelines on how cryptocurrencies like Bitcoin can be bought, sold, and traded. This has created a thriving environment for cryptocurrency exchanges and apps. Unlike some countries where regulation is murky or hostile, Canada's well-defined regulations give investors a level of trust in their transactions.

Before we dive into the best apps, it's essential to understand that Canada's regulations require crypto exchanges to register as Money Services Businesses (MSBs). This ensures that they follow anti-money laundering (AML) and know-your-customer (KYC) protocols. Thus, the apps you’ll see in this guide are compliant with these rules, giving you peace of mind regarding the legitimacy of their operations.

Top Apps to Buy Bitcoin in Canada

Let’s jump right into the best apps that allow Canadians to buy Bitcoin. These platforms have been evaluated based on their fees, user experience, security, and additional features.

1. Wealthsimple Crypto

Wealthsimple Crypto is one of Canada’s most popular platforms for buying Bitcoin, thanks to its simplicity and accessibility. Wealthsimple, a major player in Canada’s financial services, extended its offerings to cryptocurrency trading, allowing users to invest in Bitcoin through their app.

Features and Benefits:

• No Commission Fees: Wealthsimple Crypto stands out because it doesn't charge commission fees for trading. However, there’s a spread between the buy and sell price.
• Ease of Use: Wealthsimple Crypto is known for its user-friendly interface, making it ideal for beginners.
• Regulation: As Wealthsimple is a registered MSB in Canada, it’s fully compliant with Canadian regulations, ensuring your investments are secure.
• Security: The app offers cold storage for cryptocurrencies, enhancing its security.

Downsides:

• Limited Crypto Options: Wealthsimple Crypto supports only a few cryptocurrencies, including Bitcoin and Ethereum, so it might not be suitable for those who want to diversify their crypto portfolio beyond the most popular assets.
• Higher Spread: While there are no commission fees, the spread between buying and selling prices can be wider compared to other exchanges.

2. Coinsquare

Coinsquare is one of the largest and most established cryptocurrency exchanges in Canada. It allows users to buy, sell, and trade Bitcoin and various other cryptocurrencies, making it a go-to platform for those seeking more advanced features.

Features and Benefits:

• Advanced Trading Features: Coinsquare offers advanced trading features, such as limit and stop orders, making it an ideal choice for experienced traders.
• Multiple Cryptocurrencies: In addition to Bitcoin, Coinsquare offers access to a wide range of cryptocurrencies, allowing for a more diversified portfolio.
• Security: Coinsquare is renowned for its robust security measures, including two-factor authentication (2FA) and encrypted cold storage.

Downsides:

• Fees: Coinsquare's fees are generally higher than other platforms, especially for smaller transactions. Their trading fees range between 0.1% to 0.2% depending on the transaction type.
• Learning Curve: The platform’s advanced features might be intimidating for beginners.

3. Newton

Newton is an up-and-coming cryptocurrency exchange in Canada that offers competitive rates and a smooth user experience. Known for its transparency and no-fee model, Newton has quickly become one of the top choices for buying Bitcoin.

Features and Benefits:

• No Fees: Newton does not charge any deposit or withdrawal fees, which can save users a lot of money. Like Wealthsimple, it earns through the spread between buying and selling prices.
• Simple Interface: The app is easy to navigate, making it a great choice for both beginners and experienced users.
• Wide Range of Cryptocurrencies: In addition to Bitcoin, Newton offers over 30 cryptocurrencies, allowing users to diversify their portfolios.

Downsides:

• Limited Funding Options: Newton supports only Interac e-Transfer and wire transfer for funding accounts, which might limit some users' ability to deposit funds.
• Liquidity Issues: Some users have reported liquidity issues during times of high demand, leading to slower transaction speeds.

4. Coinberry

Coinberry is another Canada-based cryptocurrency exchange that offers a seamless experience for purchasing Bitcoin. The platform focuses heavily on providing an easy and secure experience, making it ideal for those new to cryptocurrency.

Features and Benefits:

• No Funding Fees: Coinberry does not charge fees for deposits or withdrawals, making it an affordable option for those looking to save on fees.
• Regulation: Like Wealthsimple, Coinberry is a registered MSB, ensuring it complies with Canada’s strict AML and KYC requirements.
• Ease of Use: The platform is very beginner-friendly, with an intuitive interface and fast account setup process.

Downsides:

• Limited Advanced Features: Coinberry doesn’t offer many of the advanced trading features found on other platforms like Coinsquare, which might be a downside for more experienced traders.
• Spread Costs: Like other platforms that don't charge fees, Coinberry makes money on the spread, which can be a bit wider than on other exchanges.

5. Shakepay

Shakepay is a mobile-focused app that allows Canadians to buy Bitcoin quickly and easily. It’s designed for ease of use and speed, making it a favorite among Canadians who are just starting out with cryptocurrency.

Features and Benefits:

• Instant Verification: Shakepay offers almost instant account verification, allowing users to start buying Bitcoin quickly.
• No Commission Fees: The app doesn't charge commission fees, and its spread is competitive with other platforms.
• Mobile-Focused: Shakepay is designed primarily for mobile users, offering a slick and intuitive app interface.

Downsides:

• Limited Cryptocurrency Options: Shakepay supports only Bitcoin and Ethereum, so if you want to invest in other cryptocurrencies, you’ll need to use a different platform.
• Limited Advanced Features: Advanced traders may find the platform too basic, as it lacks features like stop-loss orders or advanced charting tools.

Comparison of Fees Across Apps

Here’s a quick breakdown of the fees you can expect from each app:

Security Considerations

When it comes to buying Bitcoin, security is a top concern. Each app mentioned above follows Canada’s regulations and employs strong security measures like cold storage and two-factor authentication. However, users should always take personal security steps, like enabling 2FA and using strong passwords, to ensure the safety of their assets.

Conclusion: Choosing the Right App for You

The best app for buying Bitcoin in Canada ultimately depends on your needs. If you're a beginner, platforms like Wealthsimple Crypto, Shakepay, or Coinberry offer simplicity and security without overwhelming you with technical details. For those looking for more advanced features, Coinsquare and Newton offer more trading options and the ability to diversify your portfolio.

Regardless of which app you choose, remember that fees and security are the most critical factors to consider. Always do your due diligence, especially when dealing with cryptocurrencies, as the market can be volatile and risky.