Cryptocurrency has become a mainstream financial asset, with growing adoption by individuals, institutions, and even governments. For beginners, stepping into this digital world can feel overwhelming. This guide breaks down everything you need to know — from what cryptocurrency is, how to buy it, and where to store it securely — in a clear, beginner-friendly way.
What Is Cryptocurrency?
Cryptocurrency is a digital or virtual form of money that uses cryptography for security and operates on decentralized networks based on blockchain technology. Unlike traditional currencies issued by governments (like the US dollar or euro), cryptocurrencies are not controlled by any central authority.
The first and most well-known cryptocurrency is Bitcoin (BTC), launched in 2009. Since then, thousands of alternative cryptocurrencies — such as Ethereum (ETH), Solana (SOL), and Tron (TRX) — have emerged, each with unique features and use cases.
Blockchain technology ensures transparency, immutability, and security by recording every transaction across a distributed network of computers.
👉 Discover how blockchain powers the future of finance and digital ownership.
Types of Cryptocurrency Exchanges
To start buying and trading crypto, you’ll need to use a cryptocurrency exchange. These platforms allow users to trade fiat money (like USD or TWD) for digital assets. There are two main types:
1. Local Exchanges (Taiwan-Focused)
These exchanges support TWD deposits and withdrawals, making them ideal for local users. They also comply with regional regulations, offering an added layer of legal protection.
Popular examples include MAX and BitoPro, both established in 2018 and trusted by thousands of Taiwanese investors.
2. International Exchanges
Global platforms like Binance, OKX, and Bybit offer a wider variety of cryptocurrencies, advanced trading tools, staking options, and derivatives. While they may not support direct TWD transactions anymore due to regulatory changes, they provide more flexibility in terms of investment choices.
How to Buy Cryptocurrency: 4 Easy Methods
1. Use a Local Crypto Exchange (TWD Support)
Taiwan-based exchanges like MAX, BitoPro, HOYA BIT, and XREX allow seamless bank transfers in Taiwanese dollars. After completing KYC verification (identity, phone, and email confirmation), you can start trading immediately.
Key Features:
- Zero deposit fees
- Fast withdrawal processing
- Regulated custody solutions (e.g., Far Eastern Bank trust at MAX)
👉 Learn how to safely buy your first Bitcoin using a trusted platform.
2. Buy with Credit Card
Many international exchanges support instant crypto purchases via credit card. This method is fast and user-friendly but often comes with higher fees — typically between 3% to 5% per transaction.
Recommended platforms: Binance, OKX, Bybit
⚠️ Note: Some banks flag crypto purchases as high-risk transactions, which may result in declined payments.
3. International Wire Transfer
For larger investments, overseas wire transfers offer lower fees and better exchange rates. Platforms like Kraken and Bitfinex support direct USD deposits via SWIFT.
This method is best suited for experienced users due to longer processing times and potential intermediary bank charges.
4. Peer-to-Peer (P2P) Trading
P2P markets connect buyers and sellers directly. While convenient, most international exchanges have discontinued TWD P2P trading due to tax compliance issues in Taiwan.
If used, always choose verified sellers with:
- Over 95% 30-day completion rate
- At least 100 completed orders
- Yellow verification badge
💡 Caution: Banks may flag frequent P2P deposits as suspicious activity, potentially labeling your account as high-risk.
How to Transfer Crypto Between Wallets and Exchanges
Transferring cryptocurrency requires understanding blockchain networks — also known as "chains." Each cryptocurrency runs on its own network, and sending funds across incompatible chains can result in permanent loss.
For example:
- Bitcoin (BTC) uses the Bitcoin blockchain
- Ethereum (ETH) uses the Ethereum network
- TRC20 tokens run on the Tron network
Example Addresses:
- BTC:
3GFJiRAWrrpTvXm2GGGczzQhNn7rLSBFYW - ETH:
0x1D582Da5fF68d7Ba6E7935A8418c936d99436086 - TRON (TRC20):
TQXvwyrsHQd73L8q1Pckn6jiyKAer1HfQN
🔍 Tip: Think of blockchains like different countries — you can’t send euros directly to a US bank account without conversion.
However, tokens built on top of a blockchain (like UNI, LINK, or AAVE on Ethereum) can be sent to the same wallet address as the base currency (ETH), as long as they share the same network.
Common blockchain networks:
- Bitcoin
- Ethereum (ERC-20)
- Binance Smart Chain (BEP-20)
- Solana
- Tron (TRC-20)
What Is a Crypto Wallet?
A crypto wallet lets you take full control of your digital assets outside of exchanges. While exchange accounts are convenient, they are custodial, meaning the platform holds your private keys.
Using your own wallet gives you:
- Full ownership of assets
- Access to decentralized apps (dApps)
- Ability to trade on decentralized exchanges (DEXs)
- Participation in DeFi and NFT markets
Popular Wallet Options:
| Wallet | Type | Supported Chains | Download |
|---|---|---|---|
| MetaMask | Browser & Mobile | Ethereum, BSC, and EVM-compatible chains | metamask.io |
| Phantom | Browser & Mobile | Solana | phantom.app |
Always back up your recovery phrase and never share it.
How to Convert Crypto Back to Cash
Getting your profits back into fiat currency is just as important as buying. Here are four reliable methods:
- Local Exchange Withdrawal – Use TWD-supported platforms like MAX or BitoPro to cash out directly to your bank account.
- Crypto-Backed Debit Cards – Cards like Crypto.com or Wirex let you spend crypto like regular money via ATMs or POS terminals.
- International Wire Transfer – Large amounts can be withdrawn in USD via Kraken or Bitfinex.
- P2P Trading (Last Resort) – Only recommended if other options aren’t available due to banking risks.
What Are NFTs and How to Buy Them?
NFTs (Non-Fungible Tokens) represent unique digital assets — such as art, music, or membership passes — stored on a blockchain. Unlike cryptocurrencies, NFTs cannot be exchanged one-for-one because each is one-of-a-kind.
Most NFTs exist on the Ethereum network. To buy one:
- Set up a wallet like MetaMask
- Fund it with ETH
- Visit an NFT marketplace like OpenSea
- Connect your wallet and make a purchase
NFTs play a growing role in gaming, virtual real estate (metaverse), and digital identity.
Frequently Asked Questions (FAQ)
Q1: Is cryptocurrency legal in Taiwan?
Yes. While Taiwan does not recognize crypto as legal tender, holding and trading digital assets is permitted under financial regulations.
Q2: Can I buy crypto with TWD?
Yes — through local exchanges like MAX and BitoPro that support bank transfers in Taiwanese dollars.
Q3: What’s the safest way to store crypto?
Use a combination of cold wallets (hardware devices) for long-term storage and hot wallets (like MetaMask) for active trading.
Q4: Are there taxes on crypto gains?
Yes. Taiwan treats crypto profits as taxable income. Keep detailed records of all transactions for reporting purposes.
Q5: Can I lose my crypto forever?
Yes — if you lose access to your private key or send funds to the wrong network. Always double-check addresses and network compatibility before transferring.
Q6: How do I avoid scams?
Never share your seed phrase, verify URLs carefully, avoid “too good to be true” investment offers, and stick to reputable platforms.
Final Thoughts
Entering the world of cryptocurrency doesn’t have to be complicated. By starting with a solid foundation — understanding exchanges, wallets, transfer methods, and safety practices — you can confidently navigate this evolving space.
Whether you're interested in investing in Bitcoin, exploring DeFi opportunities, or collecting NFTs, the tools and knowledge are now more accessible than ever.