This content is for educational purposes only and is not financial advice. bunq doesn't give trading advice. Always do your own research or consult a qualified financial advisor before making any investment decisions. Cryptocurrency investments come with risks, including the potential loss of the principal invested. Prices can fluctuate significantly. bunq Crypto is powered by our partner Kraken.

Cryptocurrency is digital money, no coins, no notes, just data secured by cryptography. Unlike euros or dollars, no central bank issues or controls it. Instead, transactions are recorded on a blockchain: a public, tamper-proof ledger maintained by a global network of computers. Anyone can check it, and no one can change it. That combination of openness and security is what makes crypto fundamentally different from traditional money.

How cryptocurrency works

When you send crypto, a network of computers verifies the transaction and adds it to the blockchain, no bank required. The record is permanent once confirmed, which is what makes it trustworthy without relying on a central authority to keep the books.

Different cryptocurrencies use different methods to verify transactions. Bitcoin uses Proof of Work, where computers solve complex puzzles to confirm payments. Others, like Ethereum, use Proof of Stake: participants lock up coins to validate blocks and earn rewards, a process called staking. Each approach has trade-offs in speed, energy use, and security.

Types of cryptocurrency

Not all cryptocurrencies are the same. Here's a quick overview of the main categories:

Bitcoin (BTC). The original cryptocurrency. Limited to 21 million coins, with no authority that can issue more. Often treated as a long-term store of value.

Altcoins. Any cryptocurrency other than Bitcoin. This includes Ethereum, which powers smart contracts and decentralized apps, and Solana, known for high speed and low transaction fees.

Stablecoins. Cryptocurrencies pegged to real-world currencies like the US dollar or euro. They aim to hold a steady value, which makes them less volatile than other crypto assets.

The ecosystem is large and evolving. New tokens launch regularly, with different purposes, designs, and risk profiles. Always research a specific asset before investing.

Exploring crypto with bunq

With bunq, you can explore cryptocurrency directly in the app. No separate wallets, no extra accounts, just tap into the Crypto tab, choose an asset, and start from as little as €1. Your portfolio lives alongside your savings and everyday accounts, and your crypto is held securely through our partner Kraken.

If you'd prefer a lower-risk way to grow your money while you explore crypto, bunq's Savings Account earns interest on your euros, all in the same app.

Frequently asked questions

What's the difference between cryptocurrency and regular money?

Traditional money (called fiat currency) is issued by governments and managed by central banks. Its supply can expand, and its value shifts with inflation and interest rates. Most cryptocurrencies have a fixed or algorithmically controlled supply, which means no authority can print more. That difference in supply mechanics is one reason crypto is seen as a distinct type of asset, not just a digital version of existing money.

How do I know which cryptocurrency to buy?

That depends on your goals and how much risk you're comfortable with. Bitcoin is the most established. Ethereum and Solana are widely used for their utility and developer communities. Stablecoins offer lower volatility. Do your own research before committing, and consider speaking with a qualified financial advisor if you're unsure.

Is cryptocurrency legal?

In most countries, including EU member states, buying and holding cryptocurrency is legal. Regulation around crypto is still developing, and tax treatment varies by country. It's worth checking the rules in your location, and keeping records of your transactions, before you get started.