How to Buy Crypto with Kiwibank [2024]

Summary: Kiwibank does not provide its clients with the means to make cryptocurrency transactions directly as a part of its service. However, you can still deposit New Zealand dollars (NZD) from Kiwibank to a regulated and authorized cryptocurrency brokerage and invest in popular tokens like Bitcoin (BTC) and Ethereum (ETH). For investors looking to buy crypto with Kiwibank, they will need to sign up with a reputable third-party brokerage like Interactive Brokers (IBKR) and deposit NZD (or other fiat currency) from their Kiwibank account.

Can you buy crypto with Kiwibank?

Before you can use Kiwibank to buy crypto, you must first connect your account to an FMA- (Financial Markets Authority) or FINRA- (Financial Industry Regulatory Authority) regulated cryptocurrency exchange. This is necessary since Kiwibank does not allow clients to buy or sell cryptocurrency as part of their financial services directly.

How to buy crypto with Kiwibank?

The best way to buy crypto using a Kiwibank account is through a trusted and renowned cryptocurrency brokerage like Interactive Brokers.

As an authorized and stellarly-rated investment platform, Interactive Brokers offers a plethora of different digital currencies and investment assets, and specialized trading features such as copy trading (a lucrative strategy of copying some of the top-performing crypto traders on the market), hodling, and staking. 

Furthermore, the platform provides a substantial selection of tools, detailed charts, and technical analysis tools to boost your odds of successful investing. 

How to buy crypto: Step-by-Step

Follow these four simple steps to purchase crypto with Kiwibank right away:

• Step 1: Create an account on Interactive Brokers and complete the verification process (personal or company);
• Step 2: Enter the amount of NZD (or other fiat currency) you want to deposit on the IBKR platform;
• Step 3: Connect your Kiwibank account to deposit your selected fiat currency;
• Step 4: Finally, find the cryptocurrency you want to purchase and commit the transaction.

About Kiwibank

Kiwibank is an Auckland-headquartered bank and financial service provider that is fully owned by the state of New Zealand. They are the largest state-owned and fifth-largest bank in New Zealand by assets. Founded in 2001 to compete with Australia’s ‘Big Four’, Kiwibank provides various financial services for individuals and businesses.

Services provided by Kiwibank include: 

• Personal banking: Checking and savings accounts, credit cards, home loans, personal loans, investment banking services, mortgages, insurance;
• Business banking: Business checking and savings accounts, loans and lines of credit, credit cards, investments, insurance, merchant services;
• Wealth management: Tools and educational resources for financial planning, investment management services, trust and estate management, as well as brokerage services.

Kiwibank crypto policy

While Kiwibank does not support trading crypto trading directly from its platform, clients can link their Kiwibank accounts to deposit funds to FMA- and FINRA-regulated cryptocurrency exchanges to purchase digital currencies and assets.

How to buy crypto safely

Although increasingly popular, cryptocurrencies are still a highly volatile investment, especially compared to traditional financial instruments, e.g., stocks or bonds. To make investing in crypto even risker, cybercriminals and fraudsters are roaming the market looking for inexperienced or uncareful victims.

On top of this, crypto brokerages undergo anti-money laundering (AML) and customer identification programs (CIPs) policies due to authorities such as FMA and FINRA, but cryptocurrencies themselves are not regulated.

That said, there are ways you can preserve your safety when investing in crypto. Here’s a list of tips that will help you keep yourself and your money safe when dealing with digital assets:

Tips on how to buy crypto safely

• Research the cryptocurrency you want to buy: Make sure you understand the crypto and the risks involved with it; 
• Only use a safe device: Avoid shared computers and public Wi-Fi networks. Always use a personal device with a VPN, which helps establish a secure connection between you and the web and keeps your sensitive information safe;
• Choose a reputable exchange: Ensure the crypto platform abides by the regulatory policies in your country and has a clean track record. Study the exchange’s user terms and agreements carefully to learn where they store your funds and what happens to your portfolio if the business goes bankrupt. Read user reviews to spot potential red flags;
• Secure your account: Use two-factor authentication (2FA) and a strong password to hinder unauthorized logins;
• Use a secure wallet: Store your cryptocurrency in a secure wallet to protect it from hackers. You can opt for a hot (online) or cold (offline) wallet. To choose the right one for you, make sure to check out our in-depth guide on crypto wallets;
• Don’t invest money you can’t afford to lose: The crypto market is volatile, and investing in digital assets has no guaranteed outcome. If you are still learning the ropes of buying crypto, be conservative. For more investing tips, have a look at our guide on investing mistakes to avoid;
• Monitor your investments: Keep an eye on the market and be aware of any changes in the price of the cryptocurrency you’re investing in. 

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

FAQs:

How to buy crypto with Kiwibank?

You can buy crypto with Kiwibank by linking your banking account to a licensed third-party cryptocurrency exchange platform.

Can you buy crypto with Kiwibank?

While Kiwibank does not support trading crypto directly through its platform, clients can connect their bank accounts to a FINRA- and FMA-regulated crypto brokerage to purchase digital assets.

What crypto exchanges does Kiwibank allow?

Users can link their Kiwibank account to a FINRA- and FMA-licensed cryptocurrency exchange service to buy crypto.

What is Kiwibank’s crypto policy?

Kiwibank’s crypto policy allows customers to use their online banking accounts to buy, sell, and trade cryptocurrencies and digital assets via regulated platforms.