How Does Bitso Work

Cryptocurrency has gained significant traction in Latin America, where traditional financial systems can sometimes be costly or slow. One of the largest and most widely used platforms in the region is Bitso, a cryptocurrency exchange founded in Mexico. Bitso enables people to trade digital assets, send cross-border payments, and even receive remittances. For newcomers, the question often arises: How does Bitso actually work? This guide breaks down the platform’s main features, from account setup to trading and security.

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Bitso is a cryptocurrency exchange and financial services platform operating primarily in Mexico, Argentina, and Brazil. It was created to give people in Latin America easier access to cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and stablecoins.

The platform is popular for several reasons:

• Local integration – Bitso connects with banks in Latin America, allowing users to deposit or withdraw in their local currency.
• Cross-border payments – Users can send money internationally using crypto rails, which can be faster and cheaper than traditional wire transfers.
• Remittances – Many migrants and families use Bitso to receive money from abroad in local currency.

By bridging the gap between traditional finance and digital assets, Bitso has become a key player in the regional crypto ecosystem.

How Does Bitso Work?

At its core, Bitso functions as a marketplace for digital assets. Users can deposit local currency (fiat) or cryptocurrency, trade between different pairs, and withdraw funds when needed. The platform also powers payment services, enabling transfers both within the Bitso ecosystem and across borders.

The main services include:

1. Trading – Buying and selling crypto directly through market and limit orders.
2. Remittances – Allowing users to receive money from abroad quickly, often settled in local currency.
3. Wallet services – Users can hold crypto inside their Bitso wallet or transfer it to external wallets.
4. Conversions – Instant exchange between fiat and stablecoins, helping users protect against local currency volatility.

Bitso acts as both an exchange and a financial bridge, making it practical for everyday transactions as well as crypto investment.

Creating a Bitso Account

To use Bitso, users must first create an account. The process is straightforward:

1. Download the Bitso app or visit the website.
2. Sign up using an email address and password.
3. Verify your identity (KYC). To comply with regulations, Bitso requires users to provide:
   • A government-issued ID (passport, driver’s license, or national ID).
   • A proof of address document.
   • A selfie or photo for verification.

Verification levels may differ by country, and higher verification usually allows larger transaction limits.

Depositing and Withdrawing Funds

Bitso supports both fiat (local currency) and cryptocurrency transactions.

• Depositing funds:
  • Bank transfer: Users can send money from their bank to their Bitso account.
  • Debit/credit cards: In some countries, cards can be used for faster deposits.
  • Crypto deposits: Users can generate a crypto address within Bitso to transfer assets from an external wallet.
• Withdrawing funds:
  • To a bank account: Users can convert their crypto to local currency and send it to a linked bank account.
  • To a crypto wallet: Assets can be transferred to external wallets by entering the recipient’s address.

Deposit and withdrawal times vary depending on the method and currency.

Buying and Selling Crypto on Bitso

Trading on Bitso involves choosing a trading pair—for example, BTC/MXN (Bitcoin to Mexican peso) or ETH/BRL (Ethereum to Brazilian real).

Users can place:

• Market orders – Buy or sell immediately at the current market price.
• Limit orders – Set a specific price at which you want to buy or sell, and the trade executes when the market reaches that level.

After completing a trade, the purchased crypto or fiat appears in the user’s Bitso wallet.

Security Features on Bitso

Since cryptocurrency transactions are irreversible, security is a top priority. Bitso implements several measures to protect its users:

• Two-Factor Authentication (2FA): Adds an extra layer of protection when logging in or withdrawing funds.
• Regulatory compliance: Bitso is registered and regulated in multiple jurisdictions, ensuring it follows anti-money laundering (AML) and know-your-customer (KYC) rules.
• Cold storage: A large portion of user funds is kept in offline wallets, reducing the risk of online hacks.
• Encryption and monitoring: Bitso employs industry-standard encryption and system monitoring to detect suspicious activity.

Bitso works as both a cryptocurrency exchange and a financial bridge in Latin America. By enabling users to deposit funds, trade digital assets, send remittances, and withdraw money safely, it makes crypto more accessible to people in the region. While it is not without risks—like any financial platform—its combination of local integration, trading services, and security features explains why it has become so widely used.

For beginners, understanding how Bitso works helps demystify the process and makes navigating the platform much easier.