How to Buy Cryptocurrency in Texas in 2024 – Ultimate Beginners Guide

It takes just five minutes from start to finish to buy cryptocurrency in Texas from a crypto exchange. Many platforms now accept debit/credit cards as well as Paypal.

In this guide, we explain how to buy crypto assets in Texas from a regulated provider. We also explore the potential upside and drawbacks of buying crypto today, alongside an analysis of what the future holds for the digital currencies.

Note that Texas is one of the crypto-friendliest states in the US. It has welcomed tens of the best crypto exchanges in the world and is home to numerous other crypto-related businesses. It, for example, is home to the largest Bitcoin mining facility in North America – Riot Platforms – and it dominates the Bitcoin mining industry in the US.

How to Buy Cryptocurrency in Texas – Quick 4-Step Guide

This quick guide goes over the process of buying crypto assets in Texas right now via eToro. The SEC-regulated crypto brokerage lists all the best cryptos to buy in the US. It also has a straightforward crypto buying process and supports fractional crypto investing. You can start buying Bitcoin on eToro for as little as $10.

• Step 1: Create a crypto trader account on eToro – On your browser, open the official eToro.US website. Hit the “Join Now” button and complete the registration form that pops up here. You will also need to verify your identity and come up with a unique username and password for this account.
• Step 2: Deposit funds – Log in to the approved trading account and hit the deposit funds icon. On the funding tab that pops up, click on one of the payment options. Follow the prompts to deposit at least $10 into eToro.
• Step 3: Find the best crypto to buy – The cryptos section of eToro lists all the supported digital assets. Here, you can buy the next cryptos to explode or trade the most volatile cryptos. Hit the “BUY” icon against the crypto you wish to invest in today.
• Step 4: Buy cryptocurrency in Texas – A trading tab will pop up. Use it to customize your investment. Indicate how much you wish to invest in a crypto and hit the “Open Trade” to execute this investment.

Investments are subject to market risk, including the possible loss of principal. Virtual currencies are highly volatile. Your capital is at risk.

Below, we teach you everything you need to know about buying cryptos in Texas. We start by looking at the most popular coins in the state before reviewing the best altcoin exchanges.

Most Popular Cryptos to Buy in Texas

There are currently more than 2 million digital currencies in the world. You can buy hundreds of these in Texas, and they are listed by all the best crypto exchanges. Leading the pack of the most popular cryptos in the state is Bitcoin. But it isn’t the only virtual currency Texans have been HODLing or actively trading. The rest are:

• Ethereum
• Litecoin
• Solana
• Dogecoin
• Shiba Inu
• Avalanche
• Tether USD
• Bitcoin Cash
• Ripple

Where to Buy Cryptocurrency in Texas – Top Exchanges

There currently are tens of highly reputable crypto trading platforms operating in Texas. In coming up with this guide, we vetted tens of the most popular. We assessed their reputation, trading fees, user-friendliness, liquidity, crypto library, safety, and more. Ultimately, we settled on the following as the overall best places to buy cryptos in Texas in 2024.

1. eToro – Overall Best Crypto Exchange in Texas

eToro tops our list of the best crypto exchanges in Texas – and for a good reason. First, we feature it here because of its solid reputation and pro-regulation stance. In the US, eToro is federally regulated by the SEC and is a member of FINRA. It then has a solid reputation for reliability – with one of the highest website uptime in the crypto industry. eToro is also user-friendly and appeals to both beginner and expert traders.

eToro draws in newbies with its affordability and other beginner resources. These include content-rich educational materials that teach everything about how to invest in cryptos. They then extend to the free demo account loaded with $10,000 in virtual funds. The affordability is evidenced by its low deposit and trade minimums. You, for example, can buy Bitcoin on eToro in Texas with as little as $10. Not forgetting that it has one of the most straightforward crypto-buying processes.

Experts are, on the other hand, drawn by such factors as the feature-rich trading interface. This integrates 75+ advanced charting and technical analysis tools. eToro is also deeply liquid and maintains some of the fastest transaction speeds for cash deposits and crypto trades. This and its competitive trading fees make it one of the best crypto exchanges for active traders in Texas. The fee is fixed at 1% of the crypto trading volume.

eToro’s copy trading and social investing have also helped galvanize its popularity. Copy trading is a form of passive investing that lets newbies earn money by mirroring the trade settings of the most successful traders. Successful traders, on the other hand, earn a competitive commission when they let others copy their trades. Social investing is a forum that lets investors on eToro interact and share thoughts/ideas seamlessly.

Investments are subject to market risk, including the possible loss of principal. Virtual currencies are highly volatile. Your capital is at risk.

2. Coinbase – Best Place to Buy Cryptocurrency in Texas for Beginners

Established in 2012, Coinbase is one of the oldest and most reputable crypto exchanges in the world today. It is also the most liquid crypto trading platform in the US and the second most liquid in the world. Further, Coinbase boosted its reputation and pro-regulation stance in April 2021 when it became the first exchange to go public. These are some of the factors that make Coinbase one of the best altcoin exchanges in the US right now.

These are, however, far from being the only factors making it the best crypto exchange in Texas. We list it here because it is one of the best places for beginners to buy cryptos. This is evidenced by the fact that it has a quick and straightforward crypto-buying process. It is also affordable – letting you buy Bitcoin and other cryptos with as low as $2. It is also home to rich educational resources teaching users how to invest and keep cryptos safe.

Coinbase is also one of the safest crypto exchanges in Texas today. It demands that all users activate multi-factor authentication on their crypto trading and wallet accounts. It also provides users with free and secure digital wallets. These include an exchange-based wallet that holds 98% of client assets in offline vaults. You also get a free Coinbase wallet app for iOS and Android. This encrypts your private keys and deposits them in the root storage of your smartphone.

You will also want to buy Avalanche on Coinbase because it presents you with multiple ways of buying cryptos. Investors, for instance, can buy cryptos instantly with PayPal on Coinbase and buy Ethereum and the popular digital assets with credit cards and debit cards on Coinbase. Other supported fiat deposit methods into Coinbase include Google Pay, Apple Pay, ach Checks, and Bank transfers.

Investments are subject to market risk, including the possible loss of principal. Virtual currencies are highly volatile. Your capital is at risk.

3. Gemini – Top Crypto Exchange with the Best Crypto Trading Mobile App

Geminin is one of the most popular and highly reputable crypto trading platforms in the US. It was founded by the celebrity twins and tech-preneurs Tyler and Cameron Winklevoss in 2014. Since then, it has adopted a trendsetting approach to revolutionizing the crypto industry.

It, for instance, was among the earliest exchanges to launch passive income-generating programs in the US. However, these have come at a cost, as the company is currently facing a $3 billion lawsuit in New York.

But we considered more than its popularity when deciding to list it among the best places to buy cryptos in Texas. We also looked at the convenience it offers traders with its web and mobile trading platform. Gemini operates one of the best crypto trading mobile apps. This mirrors all the features and tools of the Gemini web trading platform. Its web trading platform has also been optimized for mobile use.

We also liked Gemini because it presents us with multiple ways of buying cryptos. These include allowing active traders to switch between basic and advanced trading modes. Active traders also get access to such crypto derivatives – options and futures – with leverages of between 20X and 100X. Newbies can, on the other hand, buy crypto instantly with cards on the exchange. Long-term investors may also take advantage of its earn program and earn interest up to 5% APY.

Investments are subject to market risk, including the possible loss of principal. Virtual currencies are highly volatile. Your capital is at risk.

4. Kraken – Safest Crypto Exchange in Texas

Established in 2011, Kraken is, in fact, the oldest crypto exchange in this list. It is also one of the most liquid and most trusted crypto trading platforms in the US. But our decision to feature it here was primarily influenced by its safety. We bring to your attention the fact that since its establishment, Kraken has never had a site-wide hack. It hasn’t lost client assets to hackers or shared sensitive client data with third parties.

You will be drawn to Kraken by its safety but will probably stay because of its user-friendliness. The SEC-regulated exchange appeals to both newbies and experienced investors. It, for starters, has a quick and straightforward client onboarding process. It also supports multiple ways of buying cryptos. For instance, you can buy Bitcoin instantly with debit cards or credit cards on Kraken. Alternatively, open buy and sell orders can be made on the Kraken trading platform.

Kraken’s deep liquidity and fast transaction processing speeds have also positioned it as the best place to buy cryptos from active traders. High rollers, especially, like The Kraken Dark Pool – an over-the-counter trading platform. This lets you buy huge volumes of crypto pseudonymously and at highly competitive fees.

The fees will, in most cases, be volume-based. When trading Bitcoin on Kraken, for instance, you will charged a maker/taker fee of between 0% and 0.26%. The trading fees for buying cryptos on Kraken instantly, however, range between 0.9% and 1.5%. This fee is determined by the trading volume and payment method used.

You would also like to use Kraken because it is a multi-asset crypto trading platform. In addition to cryptos, Kraken integrates an NFT marketplace. This lets you buy NFTs with zero gas fees. Other factors making Kraken the best exchange include the fact that it is a multi-platform exchange. It has a highly intuitive web platform and mobile app for crypto trading. It also operates Kraken PRO – which features more trading pairs and lower trading fees.

5. Crypto.com – Best Place to Buy Cryptocurrency and Invest Passively In Texas

The Crypto.com crypto exchange was founded in 2016 and is headquartered in Singapore. Today, it is one of the fastest-growing crypto trading platforms in the US. It has also consistently featured among the 15 most liquid crypto exchanges globally – according to CoinMarketCap. Its journey to becoming a household name in the US started in 2022 when it ran an ad during the Super Bowl 56 in 2022.

Other than its growing popularity, there are three other reasons that convinced us that Crypto.com is one of the best crypto exchanges in Texas. First was its support for passive investing. Today, the exchange lets you invest passively in 20+ crypto and earn double-digit percentage yields. It also introduces you to tens of highly lucrative programs like staking, yield mining, and crypto lending via its DeFi Wallet.

Secondly, we feature it here because of its large crypto library and competitive fees. Today, you can interact with tens of the best cryptos to buy on Crypto.com. You get to interact with new cryptos and invest in the next cryptos to explode via the exchange.

Importantly, you pay competitive trading fees for trading all these. The transition fees are maker/taker abased and range between 0% and 0.075% – depending on our 30-day trade volume. You don’t even have to pay Maker fees if you staked CRO tokens. You also receive a Taker fee discount of between 3% and 30%, depending on the number of staked CRO tokens.

Lastly, we believe you would like to trade assets on Crypto.com because it is a safe trading platform. It presents you with two wallets – a web wallet and a free crypto mobile app for iPhone and Android. The web wallet holds 95%+ of your assets in cold storage. Your fiat deposits into Crypto.com are also insured up to $250,000 with the FDIC. Plus, Crypto.com maintains an updated proof of reserve audit report on its website.

6. Coinmama – Best Place to Buy Cryptocurrency Instantly in Texas

The Coinmama website describes this crypto trading platform as “The Friendliest Crypto Exchange.” After vetting this crypto trading site, we are moved to agree with this statement. We observe that the exchange has streamlined its services to make its platform as user-friendly as possible – with a considerable bias towards novice investors.

First, we note that Coinmama lets you buy cryptos instantly. We also notice that you have access to all the best crypto to buy for beginners in the US here. These include the most promising cryptos like Bitcoin or Ethereum, as well as the most undervalued cryptos like Solana and Ripple. Secondly, Coinmama has a swap feature that lets you convert 500+ cryptos for one another instantly.

Thirdly, you would like Coinmama to support multiple fiat payment options. Today, you can buy Bitcoin instantly with credit cards or debit cards on Coinmama. Other supported payment options include Apple Pay, Google Pay, bank deposit, Skrill, Neteller, and ACH transfers.

The crypto buying fee varies – depending on the payment method used. They, however, range between 1.89% and 4.19%. Coinmama loyal customers, however, stand to benefit from a fee discount of either 10% or 18% – depending on their monthly trade volume.

7. Robinhood – Best Place to Buy Cryptos Fee Free in Texas

Robinhood is a multi-asset trading platform in the US. It launched in 2013 with the mission of helping the average retail investor access and invest in lucrative financial instruments. It started by helping this class of investors access traditional asset classes like stocks, ETFs, and treasuries.

In 2018, however, Robinhood started offering Bitcoin and Ethereum to investors in select states, including California and Missouri. Today, it provides 10+ cryptos to investors in all US states and districts, including Texas.

The platform is currently considered one of the best places for beginners to buy cryptos. It has one the most straightforward crypto buying processes – broken down to just a few clicks. It also supports fractional investing and lets you buy Bitcoin and some of the most promising cryptos for as little as $1.

Robinhood is also the only commission-free crypto brokerage on this platform. It lets you buy cryptos fee-free. According to the platform, this ensures you get up to 3.5% more cryptos than you would have got if you bought cryptos via another crypto exchange.

The trading platform is one of the best places to buy cryptocurrency in Texas because it is safe. It has put in place robust measures aimed at keeping your personal data and private keys. It, for example, provides multi-factor authentication for all accounts. Your cash deposits into eToro are also insured with the FDIC – up to $250,000. It holds your cryptos offline and also provides users with a free mobile wallet app.

Other factors making Robinhood the best crypto exchange in Texas include its highly responsive support. These are available 24/7 via live chat and over the phone. The brokerage also provides users with rich educational resources. It even runs a Learn and Earn program that rewards you with free cryptos when you learn about different digital currencies and blockchain projects.

Are Cryptos Legal in Texas

Yes, cryptocurrencies are legal in Texas. This implies that you are well within your rights to invest or trade cryptocurrencies like Bitcoin within the State. We have already mentioned that Texas is one of the most pro-crypto states in the country. There are no state-level laws or regulations prohibiting cryptos, crypto exchange, or Bitcoin mining activities in the State. On the contrary, Texas has passed several crypto-focused bills.

One such Bill is the 87 (R) HB 1576, which sought to establish aTeaxs Blockchain work group. The Bill also outlines the roles and responsibilities of this group. Their chief role is researching and identifying opportunities within the blockchain space and commending ways these can be exploited within the State. It would also promote the development of Bitcoin and crypto-focused within the State of Texas.

One such other Bill is the 87 (R) HB 4474, commonly referred to as Universal Commercial Code (UCC). The Bill sought to bring regularity clarity to the Texas crypto industry. It defines what may be considered a virtual currency. It also clarifies the legal status of virtual currencies in the state and establishes rights for individuals who acquire virtual currencies.

Crypto Taxes in Texas

When it comes to taxes, cryptos are treated as intangible personal property. This implies that it falls in the same tax class as other intangible investments like stocks, ETFs, and commodities. Unlike equally crypto-friendly states like Florida, which do not have a state income tax, your income from crypto investing/trading is taxed.

How much you pay in state taxes depends on the source of crypto income. For traders and investors, profits from the sale of crypto assets are subject to capital gains tax. It is taxed at the rate of between 0% and 4.6% – depending on your income bracket. Staking rewards and airdrops are considered income and taxed at your ordinary income tax rate of up to 6.25%. Mining income is also considered earned income and taxed at your ordinary income tax rate.

Practical Tips for Buying Crypto and Bitcoin in Texas 

You now are familiar with the best places to buy cryptocurrency in Texas. In this section, we share valuable tips and factors to consider before investing in cryptos. Here are a few:

Research about cryptos before buying

Conduct thorough research about crypto and its underlying blockchain technology before hitting the buy button. Understand the factors affecting its price. Examine its fundamentals and confirm that it has real-world use cases. Confirm that its adoption is on an uptrend. Only buy a crypto that has proved its resilience and obedience to crypto market trends.

Only invest what you can afford to lose.

There is no standard answer to the question of how much you should invest in cryptos. We encourage you to convert – at the minimum – 1% of your portfolio to a top crypto, like Bitcoin. The maximum should, on the other hand, be informed by your risk tolerance. As a rule of thumb, though, only invest what you can afford to lose.

Get smart about the security of your funds

Learn how to keep your cryptos safe. This starts with understanding the different types of wallets available to you. The most common are the free exchange-based wallets or the exchanged-provided mobile wallet apps. We, however, always advise our readers to invest in a safe and reliable hardware wallet.

Learn about crypto scams and how to avoid them

In 2023, crypto investors lost more than $2 Billion to scammers. To avoid falling prey to these scavengers, learn all about the different crypto scams out there. Follow the trends and new to learn of new and emerging scams. Learn how to spot and master avoiding them.

Conclusion – How to Buy Cryptocurrency in Texas Today

Buying cryptos in Texas doesn’t have to be complicated. We have already established the crypto-friendliness of this state. This says that it has welcomed all the best crypto trading platforms in the country. These exchanges, on the other hand, support hundreds of the best future cryptos. They have also oversimplified the crypto-buying process, making it as straightforward as possible.

Do you want to learn how to buy cryptocurrency in Texas? Use the step-by-step guide to buying cryptos on eToro that we shared at the beginning of this article. It will walk you through the process of buying your first coin.

Investments are subject to market risk, including the possible loss of principal. Virtual currencies are highly volatile. Your capital is at risk.

References:

• https://www.cnbc.com/2022/10/21/top-7-states-for-cryptocurrency-enthusiasts.html
• https://www.riotplatforms.com/
• https://www.sec.gov/news/press-release/2023-102
• https://www.pcmag.com/news/coinbase-discloses-that-6000-customers-got-hacked-this-spring
• https://www.wsj.com/livecoverage/stock-market-today-dow-jones-earnings-02-09-2024/card/new-york-attorney-general-seeks-3-billion-in-expanded-lawsuit-against-dcg-genesis-NpxSLqI7GghbVUjuBMjy
• https://cointelegraph.com/news/gemini-files-to-dismiss-sec-s-lawsuit-over-its-earn-product
• https://blog.kraken.com/product/introducing-the-kraken-dark-pool
• https://www.wsj.com/articles/crypto-com-will-run-its-first-super-bowl-ad-amid-marketing-blitz-11640174402
• https://www.coinmama.com/
• https://legiscan.com/TX/bill/HB4474/2021#:~:text=Texas%20House%20Bill%204474%20(Prior%20Session%20Legislation)&text=Relating%20to%20the%20control%20of,of%20the%20Uniform%20Commercial%20Code.
• https://capitol.texas.gov/tlodocs/87R/billtext/pdf/HB01576I.PDF
• https://www.coindesk.com/tech/2023/12/27/crypto-users-lost-2b-to-hacks-scams-and-exploits-in-2023-defi-says/

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Author: Wajeeh Khan

Wajeeh Khan is a financial researcher and writer with 7 years of experience. He has immense exposure to a range of financial assets, including stock, cryptocurrencies and forex - and is particularly well-versed in asset valuation, analysis, and portfolio management. Since 2016, Khan has worked with notable online platforms within financial journalism, including Invezz, Trading-Education, Dog of Wall Street, and News Break. All in all, he has written, editted, and published over 7,000 articles, guides, and market insight. Online casinos started as a hobby for Khan in 2018. But in only two years, it had already become another niche that he started actively researching. Over the past three years, he has written a diversified set of content around gambling for clients from all over the world. Academically, Khan has a Bachelor's in Economics and a Master's degree in Finance. He's also completed a bunch of courses on digital journalism and financial markets at large.

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