As Bitcoin was conquering $10K and $11K prices at the end of November 2017, more and more people wanted to buy it. As a result some of the most popular Bitcoin brokers and exchanges experienced server problems.
Coinbase was down and then on and off on November 29-30th:
Vast majority of traffic is being served but with slower performance. Our engineering team is actively working on this and should be fully resolved in a few hours
— Coinbase (@coinbase) November 29, 2017
Bittrex was down:
Due to unprecedented user growth and request load, we are currently performing upgrades on our back-end system. We are attempting to minimize trading impact but we expect short rolling outages on all markets. @BittrexExchange 1/2
— Rami (@ramikawach) November 30, 2017
Gdax had performance issues:
[status] Investigating: We are currently investigating performance issues and downtime on the web app and REST API.https://t.co/mYm3oC5j3O
— GDAX (@GDAX) November 29, 2017
we could go on, but there is one thing common about all these companies: they are centralized, regulated exchanges. They are not the best or fastest ways to buy Bitcoin.
If you want to buy Bitcoin fast you won’t get what you need at places like Coinbase. Even if you manage to register at the website with all their downtime, your account will be locked without an ID (see Coinbase review). After you send your ID to a centralized exchange you can take a vacation. Thousands of people waiting for their accounts to be verified by companies like that. Here’s your typical Twitter thread on Bittrex support:
That only concerns verification. Deposits, Withdrawals and even Purchases will take you weeks more!
So how do you buy Bitcoin fast and without ID verification, using a simple credit card checkout?
At a peer to peer marketplace or a decentralized exchange. Here is your list:
LocalBitcoins (cash, banks, gift cards, local payments)
Indacoin – credit card purchase, top rated speed & pricing
Localbitcoins and Paxful match buyers and sellers and provide an escrow mechanism. Deals are as fast and as secure as your partner is. The platform itself does not run any verification, but you need to do due diligence. See Paxful review for instructions.
To list just a few advantages of the above three services, we’ll add this table:
|Coinbase et al||LBTC, Paxful, Indacoin|
|deposit and withdrawal problems||yes||none|
|time to buy bitcoin||1-4 weeks||5-60 minutes|