Can You Buy NFTs with a Credit Card – Updated for 2023

The buying of cryptocurrency is a very technical process, which has prevented novice investors from entering the market.

It hasn’t been possible so far to buy an NFT directly with a credit card.

The NFT industry, and the players within it, are aware of the complexities and changes have been made, and are in the process of being made, to make this easier for buyers to get in to.

The more NFT buyers, the greater the demand, which can only benefit current NFT holders as well as the industry in general.

It is not possible to buy an NFT with a credit card directly. Coinbase will launch an NFT marketplace and will be the first to provide the ability to buy an NFT with a credit card. Today a compatible digital wallet is required to buy an NFT, as well as the correct cryptocurrency to cover the buy price.

It is possible to buy an NFT indirectly with a credit card, but there are two steps required. One to purchase the cryptocurrency into the wallet using a credit card, and the next to buy the NFT using the cryptocurrency purchased.

Fortunately, these two steps – although must be made in the right order – can be completed in less than 10 minutes usually.

How to Buy an NFT with a Credit Card

As already mentioned, it isn’t possible – as of right now until the Coinbase NFT Marketplace launches – to buy an NFT direct with a credit card, just as someone would with a normal online purchase.

To buy an NFT the correct cryptocurrency is needed, and the only way to get the cryptocurrency necessary is to buy it with a credit card.

Therefore, it’s possible to buy with a credit card but it has to be made in two or three separate steps depending on the crypto needed.

Most NFTs are minted and bought using Ethereum, some with Solana and a small number with MATIC. Other cryptos are used from time to time, but these are more a rarity than the norm.

If buying the NFT with Ethereum (or MATIC), the purchase of ETH is required first using a credit card in a crypto trading platform like Coinbase, then the transfer of these Ethereum to a compatible NFT wallet such as MetaMask, before connecting the MetaMask to an NFT trading platform like OpenSea.

So, three steps here are required.

If though the purchase of the NFT is with Solana, then the purchase of Solana with a credit card and the purchase of the NFT on a platform such as Magic Eden or Solanart can all happen within the Phantom wallet.

This option does require two separate steps, but this is better than three and needing two digital wallets.

Plus, the move of crypto from one wallet to another comes with it a transfer fee of around $8 to $10.

Why Buy an NFT with a Credit Card

The complexity of the NFT industry has prevented many newbies to the space.

Try explaining to anyone not familiar with cryptocurrencies, digital wallets, and gas fees the steps involved in buying an NFT, and you’ll be looked at with an expression of utter bewilderment.

This barrier of entry needs to be changed, for the benefit of current NFT investors and the future of the NFT industry as a whole.

With the ability of people entering the NFT space to be able to buy an NFT using just a credit card – without needing to buy crypto and even set up multiple wallets and move cryptocurrency around – simplifies the experience.

The simpler the experience the higher the uptake.

Coinbase NFT Marketplace

Coinbase NFT Marketplace

Coinbase has recently announced its plan to launch an NFT marketplace but with the added advantage of buying an NFT direct with a credit card.

The details are still to be announced, and this will probably work in that the purchase of the cryptocurrency required and buying the NFT happens in one transaction.

This not only simplifies the process but has another added advantage.

Every transaction in the network, whether minting, buying, transferring or selling carries with it a network or gas fee.

Therefore, to buy crypto carries with it a fee. To transfer your crypto from one wallet to another wallet (even your own) carries with it a fee. To mint or buy an NFT carries a fee.

It can cost between $150 to $400+ to purchase an NFT with Ethereum when buying cryptocurrency for the transaction.

Anything that can be done to reduce the number of steps and save some on some of the fees will only be welcomed by NFT buyers.

The last advantage of buying an NFT with a credit card is that you’ll only need to purchase the exact amount of cryptocurrency you need.

Unfortunately, until you actually mint or buy the NFT the gas fees are an estimation that can fluctuate by as much as $50 or more in a single minute.

Therefore, many NFT buyers have to purchase more cryptocurrency than they need to cover the transaction.

If the buyer doesn’t hold enough, as maybe gas fees have increased, and they need to buy more it’ll cost time (that may see the all the NFTs sold in the collection before the buyer is ready to try again) and it will cost more in fees to buy more cryptocurrency.

Buyers buy more crypto and then either hold the amount left over or sell it and collect the cash, but again the selling of the crypto left over means another fee.

If a buyer can purchase the exact amount of crypto required to cover the mint or buy price, as well as the gas fee at that moment in time, it is not only efficient but will also save money in fees.

When Can You Buy NFTs with a Credit Card

The exact date has not been set by Coinbase as to when the NFT marketplace will launch.

It will though allow users to mint, buy, sell and showcase NFTs. How this will impact OpenSea’s dominance in the industry is yet to be seen – but this could be very exciting indeed.

It is possible to join the Coinbase NFT Waitlist by clicking here

Coinbase NFT Marketplace

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