How to Buy Bitcoin Netherlands – Beginner’s Guide

Many investors are looking to gain exposure to Bitcoin online especially as the market price continues to ride a bearish wave.

Today, we are going to detail how to buy Bitcoin in the Netherlands with a low-cost and regulated broker – with the process taking less than five minutes from start to finish.

We also offer some guidance on what to consider before investing in Bitcoin, with a strong focus on the risks involved and the upside potential.

Cryptoassets are a highly volatile unregulated investment product. No UK or EU investor protection.

As is clear, it’s really simple to buy Bitcoin at eToro. There will be a detailed walkthrough of how to invest in Bitcoin in the Netherlands later, for any newbie traders that need further guidance.

Where to Buy Bitcoin in the Netherlands

Before investing in cryptocurrencies like Bitcoin, an account with a trusted exchange or broker must be opened.

In this section, we discuss where to buy Bitcoin in the Netherlands in a cost-effective, simple, and user-friendly way.

1. eToro – Overall Best Place to Buy Bitcoin in the Netherlands

eToro is suitable for newbies and experienced traders alike. This best crypto exchange in the Netherlands is deemed safer than most crypto exchanges as it is registered with the Dutch Central Bank, De Nederlandsche (DNB) to provide cryptocurrency services.

This brokerage also complies with the regulations set out by multiple bodies, including ASIC, the FCA, CySEC, and the SEC. The commission fee is just 1% plus the market spread when buying and selling cryptocurrencies.

It’s possible to buy Bitcoin in the Netherlands in fractional amounts, as the platform facilitates fractional investing. The minimum stake is just $10 when trading cryptocurrencies. The minimum first deposit is $50.

Traders can choose between a range of payment methods to make a deposit. This is inclusive of e-wallets such as Skrill, Neteller, and PayPal. Other deposit methods include Trustly, SEPA, Klarna/Sofort, iDEAL, and credit/debit cards. There is a small fee of 0.5% taken from non-USD deposits.

In addition to cryptocurrencies, there are other assets available to Dutch traders. This includes stocks featured on the Amsterdam exchange, as well as in the US, UK, France, Australia, and more. eToro also lists indices, ETFs, forex, and commodities.

People who wish to take a hands-off approach to buying cryptocurrencies might consider allocating some funds to Copy Trading. This allows people to invest in a successful eToro trader and mirror their positions.

As such, anything bought or sold is copied across to the person investing in them. Furthermore, Dutch traders can also invest in Smart Portfolios, which means allocating funds to a carefully selected collection of crypto assets. This is a great way for people to diversify.

eToro is also a social trading platform that allows people to communicate with each other, as well as ‘follow’ and ‘like’ other investors. Traders can view and customize price data to different timeframes and use various charting patterns. There is also a free app for iOS and Android users to buy Bitcoin in the Netherlands on the go.

Features

Cryptoassets are a highly volatile unregulated investment product. No UK or EU investor protection.

2. Crypto.com – Buy and Sell Bitcoin Plus 250 Other Digital Assets

Crypto.com is another worthy contender for those still deciding where to buy Bitcoin in the Netherlands. As well as Bitcoin, the platform offers access to 250+ other digital assets and an NFT marketplace.

The platform takes a fee of up to 0.4% on cryptocurrencies. However, this can be reduced for people who trade in high volumes. There is also the option of buying some CRO tokens, which is a digital asset native to the Crypto.com platform.

In this case, traders can use CRO to pay trading fees and will receive a rebate. Dutch traders can also stake CRO if they wish. If it’s for 180+ days, this could result in an APR of 20%.

Crypto.com also has its own Visa card which is available in the Netherlands. This allows cardholders to earn up to 5% depending on the account chosen. The platform also allows traders to make up to 14.5% on digital assets via Crypto Earn.

The minimum deposit at Crypto.com is $20, and this platform accepts credit/debit cards. The fee payable on this type of deposit method is 2.99%. Alternatively, traders can buy Bitcoin in the Netherlands via SEPA. This method is fee-free but can take several days to appear.

Dutch traders may already be aware that cryptocurrencies are taxable in the country. Crypto.com offers a tax calculator and app to aid Dutch investors in completing the relevant forms. This interface can be integrated with other wallets and exchanges and allows people to prepare their crypto taxes more easily.

Features

Cryptoassets are a highly volatile unregulated investment product.

3. Bitstamp – Great Bitcoin Exchange for Experienced Pros   

Bitstamp has been operational since 2011 and offers an advanced platform for seasoned investors with trading tools. There are over 155 markets on offer and traders can buy Bitcoin in the Netherlands in fractional amounts with just €10.

Do note there is a 0.5% standard commission fee at Bitstamp. Moreover, this platform is registered with the DNB. As such, Bitstamp states that Dutch traders must complete the KYC procedure prior to being able to make a withdrawal to an external address.

This is because it is a necessity for regulated exchanges to follow the rules of the jurisdictions they fall under to operate in full. Moving onto the funding of a Bitstamp account – SEPA deposits are free of charge to Dutch traders. However, withdrawals are charged at €3.

Bitcoin deposits are fee-free, and withdrawals attract a 0.0005 BTC charge. Credit card purchases command a 5% fee and the platform states that further charges may be stipulated by the provider.

There is no minimum deposit at Bitstamp. Onto features, this platform allows traders to put crypto holdings to good use via Bitsamp Earn. This allows traders to earn staking rewards on crypto they either already own or place an order to buy.

Although traders cannot yet earn rewards when they buy Bitcoin, the platform states that more crypto assets will be added to the list. There is also a mobile app available so that people can buy BTC in the Netherlands on the move.

Features

Cryptoassets are a highly volatile unregulated investment product.

4. Coinbase – Buy Bitcoin in Minutes With Visa/MasterCard

Coinbase is a well-known exchange that allows traders to store, transfer and buy Bitcoin in the Netherlands. Traders can buy Bitcoin from $10 – which will suit those on a budget.

With that said, Coinbase recommends a minimum deposit of $50. The platform accepts deposits via PayPal, SEPA, or iDEAL. SEPA can take up to three days, iDEAL can take up to eight, and PayPal is instant.

It is also possible to buy Bitcoin by making a deposit via a credit/debit card. However, note that the fee for doing so is 3.99% per transaction. The commission fee to buy and sell Bitcoin at Coinbase is 1.49%. There are over 150 other digital assets listed.

This platform has its own Visa card. The Coinbase card allows people to buy BTC in the Netherlands and then once activated it can be used to pay for goods wherever Visa is accepted.

Coinbase Earn, on the other hand, enables Dutch traders to complete quizzes and watch educational videos in order to be given free crypto. This offers people the chance to earn whilst they learn, a concept that many platforms are catching on to.

This platform is also suitable for seasoned investors. There is a range of interactive trading tools, such as in-depth and adaptable charts and various order options. For traders who are also interested in NFTs, Coinbase offers a dedicated marketplace.

Features

Cryptoassets are a highly volatile unregulated investment product.

5. Bitonic – First Netherlands-Based Bitcoin Platform

Bitonic is a Bitcoin-only exchange that is based in the Netherlands. This was the first of its kind in the country. You can buy Bitcoin here by paying a small commission. The trading fee at this platform is 0.25% of the position size.

Notably, Bitonic has its own exchange, which is called BL3P. On this platform, traders can buy Bitcoin with either fiat cash like euros or cryptocurrencies. The platform is partnered with Bunq, which allows traders to buy Bitcoin in the Netherlands with SEPA.

Another deposit option is iDEAL. The platform states that iDEAL payments are processed immediately. The deposit fee is €0.50 for SEPA and iDEAL. For SEPA, withdrawals are charged at €1. Bitcoin deposit fees vary depending on the amount being added but will be between zero and 0.0003. Bitcoin withdrawals are charged at 0.0003 BTC.

An attractive feature at Bitonic is that traders can set up reoccurring purchases to buy Bitcoin in the Netherlands automatically. There is also a Bitonic academy for those who need to brush up on their trading skills.

Crypto investors can also set up a Bitonic savings account called Bits if they wish. This is comparable to a fiat savings account, but with Bitcoin instead. Once set up, Bitcoin is automatically added to the trader’s wallet.

Features

6. Bitvavo – Buy Bitcoin and Over 175 Digital Assets With €5 or More

Bitvavo is a Netherlands-based crypto exchange with over 175 digital assets. Furthermore, traders can buy Bitcoin by allocating just €5 to purchase a fraction of a token.

This platform charges fees based on whether the investor is a maker or taker alongside the respective trading volume. The highest trading fee of 0.25% is charged to takers that have a trading volume of between €0 – €100,000 over a 30-day period.

Users here can buy Bitcoin with iDEAL, as well as SEPA. These deposit methods are free of charge for Dutch traders, but SEPA takes 1-2 working days to clear. As such, this type of deposit would delay proceedings. Traders can also buy Bitcoin with Sofort, however, this can come with a fee of 2.25%.

This platform is registered with the DNB to provide crypto services in the Netherlands, so complies with industry-leading standards. Bitvavo also offers an intuitive mobile app so traders can buy Bitcoin in the Netherlands on the go. Finally, Bitvavo offers staking rewards up to 7.5%, allowing traders to make a return on their digital assets.

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7. LiteBit – Simple Dutch Exchange to Buy Crypto With a Credit Card

Litebet is based in Rotterdam and offers over 70 cryptocurrencies, as well as GameFi tokens. Traders can buy Bitcoin in the Netherlands with ease here as the platform is very simplistic.

This crypto platform operates within the framework of legislation in Europe and follows AML measures. As such, it’s necessary for traders to identify themselves and have that information validated by the platform.

Interestingly, the platform states that when making a deposit in euros, the trader is actually buying Litebet credits. That said, €1 equates to one Litebet credit, so this shouldn’t make much difference to most people looking to buy Bitcoin in the Netherlands.

Deposit methods include credit cards, iDEAL, and SEPA. This platform charges 1.25% when traders buy Bitcoin in the Netherlands. However, there is no fee to sell. Bitcoin withdrawals are charged at 0.0005 BTC.

Traders who wish to withdraw euros will need to go to their Litebit wallet to request the desired amount. After this, a preferred bank account can be selected. Litebit stipulates that all traders must have a fully verified account within a month or it will be deleted.

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Should I Buy Bitcoin?

People reading this guide on how to buy Bitcoin in the Netherlands may be wondering if it’s still a relevant investment. There are now thousands of different crypto assets in circulation, however, Bitcoin remains on top in terms of market capitalization and value.

Bitcoin’s peer-to-peer technology enables it to operate with no banks or central authorities needed to facilitate transactions. Nobody owns or controls Bitcoin and its design is open to the public.

This cryptocurrency is being accepted by an increasing number of businesses. In the Netherlands, Bitcoin has been very well received. Back in 2014, the Bitcoin boulevard was established, on which all shops accept this digital currency.

People who buy Bitcoin can use it to pay for travel with airlines, book hotels, pay for coffee, and even invest in real estate. Moreover, Bitcoin has a limited supply.

With only around two million of the original 21 million tokens left at the time of writing, it’s thought Bitcoin will increase in value in the long term. On this subject, at the time of writing traders can buy Bitcoin at its lowest price since 2020.

Furthermore, Bitcoin will halve its mining reward again in 2024 and many believe this will cause its price to appreciate. That said, crypto assets are highly volatile and it’s important to carry out in-depth research.

Benefits of Buying Bitcoin in the Netherlands 

See below a list of potential benefits for investors choosing to buy Bitcoin in the Netherlands. This should help anyone who is still deciding whether it makes a solid investment for their portfolio.

Bitcoin Has Real-World Utility

As we touched on, today, crypto investors can buy a wide range of items using Bitcoin, including real estate, fast food, air travel, cosmetic surgery, and more.

• Subway, Propy.com, Microsoft, Post Oak Motor Cars, Starbucks, PayPal, and a host of other businesses are now on the list of merchants that accept payments in Bitcoin
• This number is highly likely to increase in the future. Moreover, an increasing amount of e-commerce shops give people the option to pay via Bitcoin
• In Arnhem, for instance, there is a Burger King restaurant that accepts Bitcoin payments
• In Amsterdam, it’s possible to buy Bitcoin and then use it to pay for hotels, bike rental, boat tours, cafes, retail shops, and much more
• The Bitcoin Boulevard in Amsterdam is home to numerous small businesses that accept cryptocurrencies as payment for a variety of things

The collaboration between Bitstraat and BitPay is one of the factors contributing to the Bitcoin City initiative’s success. Bitstraat enables merchants to quickly and professionally accept Bitcoin payments.

All payments are converted to euros with no further expenses. Brick and mortar businesses find it highly appealing to accept Bitcoin payments because of all these advantages.

As such, when you buy Bitcoin in the Netherlands, you won’t be short of places to spend it.

Bitcoin is Highly Liquid

Bitcoin has one of the highest trading volumes of all asset classes – even stocks. Therefore, when people buy Bitcoin, they will almost certainly have no problems at all in selling it.

High liquidity is something that lesser-known crypto-assets don’t possess. Not only that, but tokens like Bitcoin with higher liquidity often come with a tighter spread – which is favorable when it comes to trading.

Bitcoin Has a Fixed Supply

Bitcoin has a fixed supply of 21 million BTC tokens. As such, there are only a certain amount of Bitcoins accessible. At the time of writing, over 19 million Bitcoin have been mined.

• According to macroeconomic theories, when the supply of a valued good or service is constrained, demand will increase and the price will follow
• Fiat currencies may be produced at will and are backed by governments and central banks
• In contrast, Bitcoin has a fixed supply and no conventional backing. Its long-term value could rise as a result

That said, traders who wish to buy Bitcoin in the Netherlands should still carry out thorough research prior to investing. There are no guarantees when investing in cryptocurrencies.

Bitcoin is in a Consolidation Period

2022 has seen Bitcoin drop to its lowest levels since 2020 and this could represent an opportunity for people looking to buy Bitcoin in the Netherlands to grab a bargain.

Many believe that this is due to broader economic uncertainties.  Everything from the global pandemic and military conflict in Europe to inflation and rising interest rates has played a part in falling stock and cryptocurrency prices.

Cryptocurrency markets are highly volatile and prices rise and fall sharply regularly. Moreover, deciding to ‘buy the dip’ isn’t without its risks, as it can backfire if the crash becomes long-term.

That said, many analysts don’t foresee this being a problem as the crypto crash is expected to be short-lived.

Traders who have an appetite for risk may want to take this opportunity to buy Bitcoin whilst it’s trading almost 70% lower than its all-time high of over $68,000. It’s also possible to purchase a fraction of Bitcoin at eToro by allocating just $10.

Bitcoin is Halving its Rewards Again in 2024

A protocol-designed 50% reduction in block rewards for Bitcoin occurs every 210,000 blocks. Or roughly every four years.

Bitcoin is approaching its fourth halving event.

• When there are 840,000 blocks in Bitcoin, which is predicted to happen around May 2024, the halving will take place
• There are just 2 million Bitcoin tokens left in existence after the 19 millionth block was mined in April 2022
• A decrease in supply typically results in an increase in demand, which suggests that prices might go higher
• Past Bitcoin halving events have been followed by a bull run

Although there are no guarantees with such a speculative asset class – many predict that Bitcoin’s value will increase over time.

Investors who buy Bitcoin in the Netherlands today could experience accelerated growth between now and its fourth halving event in 2024.

Cryptoassets are a highly volatile unregulated investment product. No UK or EU investor protection.

Risks of Buying Bitcoin in the Netherlands 

There is no reward without risk. With this in mind, prior to opting to buy Bitcoin in the Netherlands – be sure to consider the following:

Risk of Hacks, Fraud, and Phishing Scams

There have been many major hacking incidents over the years.

Billions of dollars worth of digital tokens have been stolen from crypto exchanges. Crypto hackers are always thinking up new ways to carry out cyber crimes.

For instance:

• Criminals can infiltrate crypto exchanges or individual wallets
• Crypto wallets can be hacked when private keys are stolen, or lost by their owner
• Phishing attacks are also common, which relate to emails with malicious links to websites that gather information such as private keys
• People looking to buy Bitcoin in the Netherlands should also watch out for pop-ups that ask them to connect a crypto wallet
• Unsolicited offers promising to make traders heaps of money and asking for cryptocurrencies as payment is another scam to be aware of
• Over the years, fake ICOs have been reported too. Criminals are able to launch fake cryptocurrencies to the unsuspecting public

The best way for traders to avoid scams when they invest in Bitcoin in the Netherlands is to be extra vigilant. Only sign up with a regulated brokerage to buy Bitcoin and be cautious about where digital currencies are stored.

Traders who buy cryptocurrencies at eToro don’t need to worry about private keys being stolen or their wallets being hacked. This is because all digital assets are kept on the trading platform itself, mostly in cold storage (offline, away from criminals).

Taxes are Payable on Crypto Assets in the Netherlands

Anyone looking to buy BTC in the Netherlands should be aware that it is a taxable asset.

See below to clear the mist:

• Instead of taxing income or capital gains on savings and investments, in the Netherlands, income tax applies a presumed interest. This is applicable to the value of all assets, less all liabilities, as of the start of the tax year
• Many individual taxpayers don’t trade or mine cryptocurrencies, they just hold them
• Despite not receiving interest or dividends, they will be taxed on cryptocurrency in Box 3
• Taxpayers who trade or speculate in cryptocurrencies will not be given a different tax treatment than those who do the same with traditional currency or stocks
• As no value is added to the underlying cryptocurrency, this implies that the digital asset will be taxed in Box 3
• Moreover, investors must pay standard income taxes if they received cryptocurrency in exchange for labor or effort
• As such, traders also have to pay income tax if they mine cryptocurrencies
• In the Netherlands, income tax is included in Box 1 – Taxable Income from Work and Home
• Dutch traders must record all revenue in euros, even if they get a portion of it in cryptocurrency

Another thing investors should bear in mind when they elect to buy Bitcoin in the Netherlands is that they must pay a fixed return on wealth (Vermogensbelasting).

This is 31% if the taxable base value of their crypto assets is greater than €50,000.

Ways of Buying Bitcoin in the Netherlands 

There are many ways to buy Bitcoin in the Netherlands and we’ve listed the easiest below for consideration.

Buy Bitcoin With SEPA

Traders can buy Bitcoin in the Netherlands with a SEPA transfer on many platforms. This is usually free of charge, however, it can delay trading activities by several days.

There are ways to buy Bitcoin instantly, which we talk about below.

Buy Bitcoin With Credit Card or Debit Card

Credit/debit card deposits are usually instant. However, it’s important to check out the fees payable to buy Bitcoin in the Netherlands with a credit/debit card.

For instance, Coinbase takes 3.99% for each deposit using this method. Whereas eToro charges a fee of just 0.5%.

Buy Bitcoin With PayPal

Investors might prefer to buy Bitcoin with PayPal. If so, make sure the platform in question accepts it and check the fees.

At eToro, traders can buy any asset with PayPal and will still only pay the small 0.5% fee on euro deposits.

Bitcoin Price

When Bitcoin was first launched in 2009, it was pretty much worthless. Fast forward to 2017 and Bitcoin had once again managed to hit $1,000, and it’s never fallen below this value since, despite much volatility.

In the months that followed, the crypto bull run of 2017 caused Bitcoin to increase by almost 2,000%. BTC tokens went from $1,000 in April to almost $20,000 by the end of the year.

At this point, driven by Bitcoin’s success, more cryptocurrencies began to appear on the scene. By the start of 2018, Bitcoin had a huge market capitalization of $255 billion. BTC saw some highs and lows but mainly moved sideways in the years that followed.

The COVID-19 pandemic shook the world in late 2019, and by 2020, it was in full swing. This caused most of the stock market to crash, however, Bitcoin sprang into action once more.

At the beginning of 2020, Bitcoin was trading at just over $7,000. By the start of 2021, investors would pay over $27,000 to buy BTC. That’s an increase of about 285% in just a year.

By the start of 2021, Bitcoin was priced at around $32,000 and by April it climbed to just over $63,000. However, July saw Bitcoin fall to around $32,000. By November 2021, Bitcoin had skyrocketed to its all-time highest value of over $68,000.

In January 2022, Bitcoin was priced at over $47,000. This soon changed, with inflation fears, new COVID-19 variants, and other uncertainties causing the crypto market to crash in early 2022. By June 2022, Bitcoin had fallen to its lowest value since 2020.

Bitcoin Price Prediction

Bitcoin price predictions should be taken lightly.

• Traders should only invest in Bitcoin in the Netherlands if they personally believe it can give them profitable gains in the future
• That said, many people see Bitcoin as a long-term investment
• Some market commentators foresee Bitcoin passing its all-time high in the near future

If traders don’t want to put all of their eggs in one basket, they could consider diversifying at eToro.

The platform allows traders to buy Bitcoin in the Netherlands from just $10 via fractional investing. There are also plenty of altcoins available to purchase in small quantities, as well as ETFs, stocks, indices, and commodities.

Cryptoassets are a highly volatile unregulated investment product. No UK or EU investor protection.

How to Buy Bitcoin Safely in the Netherlands

Safety is key when electing to buy Bitcoin in the Netherlands. As we touched on earlier, a major risk is the infiltration of the crypto exchange a trader is using.

Not to mention the many other criminal activities people fall victim to, such as phishing scams, or having their private keys stolen. There are measures that can be taken to stay as safe as possible when trading cryptocurrencies.

• This includes opting to buy BTC from a regulated platform rather than a lesser-known crypto exchange.
• It’s also hugely important that traders consider a secure storage option.

Those still deciding where to buy Bitcoin in the Netherlands may opt for eToro for many reasons.

In terms of safety, eToro traders are able to buy cryptocurrencies with ease and can keep them in cold storage (offline) via the main platform.

The platform also operates in accordance with multiple regulatory bodies such as ASIC, the FCA, CySEC, and the SEC. All of the traders’ personal information is protected by SSL encryption and all client’s funds are kept in separate tier 1 banks.

How to Buy Bitcoin in the Netherlands – Tutorial

To buy Bitcoin in the Netherlands today in a safe and simple environment, follow the below guide.

Step 1: Open an eToro Crypto Account 

Head to eToro and click ‘Join Now’ to sign up. Add a username, password, and contact details. This includes an email and mobile number.

Next, enter a home address, date of birth, and nationality. There is also a simple questionnaire to complete surrounding prior trading experience.

Step 2: Upload ID

As with all regulated platforms, anyone wishing to buy Bitcoin in the Netherlands has to upload a photo ID. This can be a driving license, passport, or Dutch identity card issued by the government.

Finally, to prove the address given, upload a copy of a recently issued utility bill or a bank statement. There is a full list of valid KYC documents at eToro.

Step 3: Deposit Funds

As we touched on, eToro operates in US dollars. This isn’t a problem for people looking to buy Bitcoin in the Netherlands. eToro charges just 0.5% and will swap euros for USD.

As Bitcoin will be quoted in USD, this makes things easier. The minimum deposit is just $50.

A variety of payment options are available to traders when making a deposit.

e-wallets like Skrill, Neteller, and PayPal are included. Trustly, SEPA, Klarna/Sofort, iDEAL, and credit/debit cards are other deposit options.

Step 4: Search for Bitcoin

Find Bitcoin by entering it into the eToro search bar. A list of markets will populate.

Click ‘Trade’ to indicate the selection and an order form will appear on the screen.

Step 5: Buy Bitcoin

Here, we are allocating $20, which will add a fraction of a Bitcoin to the eToro portfolio that’s been created.

Traders can buy Bitcoin in the Netherlands with $10 or more at eToro.

Enter an amount and click ‘Open Trade’. The BTC tokens will appear in the user’s portfolio immediately – as the crypto market is open 24/7.

How to Sell Bitcoin in the Netherlands

Learning how to buy Bitcoin in the Netherlands is one thing, but at some point, most traders want to cash out their investment.

Below is a quick step-by-step guide on how to sell Bitcoin in the Netherlands:

• Log into eToro using the username and password created earlier
• Select ‘Portfolio’
• Look for Bitcoin in the list
• Select the cog wheel beside Bitcoin
• Click ‘Close’
• Select the red cross and then click ‘Close Trade’

That’s it. The proceeds of the Bitcoin sale are added to the account holder’s available balance.

Conclusion

The best way to buy Bitcoin in the Netherlands is after conducting plenty of research and via an upstanding brokerage. eToro accepts a range of payment types, offers low and transparent fees, and lists thousands of assets.

The platform is registered with the DNB and regulated by CySEC, the FCA, and others. Plus, from start to finish, it takes just five minutes to open an account and buy Bitcoin when using eToro.

Cryptoassets are a highly volatile unregulated investment product.

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