Centralized exchanges (CEXs) are financial institutions required to follow Know Your Customer (KYC) procedures, limiting registration to users aged 18 and older. These rules stem from legal obligations to prevent fraud and financial abuse.
However, minors are not barred from owning digital assets. Tokens can be kept in cold wallets. These wallets are fully self-custodied and independent of third parties. Some hybrid options, such as custodial accounts, allow an adult to manage transactions while ownership of the assets remains with the child.
Can minors own or use cryptocurrency?
Most centralized exchanges require KYC verification, meaning minors cannot open a trading account. So when you ask how old do you have to be to trade crypto, the answer is almost always the same – 18 and older. This is due to legal requirements and the obligation of platforms to verify user identity.
However, owning cryptocurrency is not restricted by law. If a teenager obtains crypto without using an exchange – for example, by receiving it as a gift or buying it from someone they know – storing those assets in a cold wallet is completely legal.
Some countries, such as Germany, allow minors to purchase assets with parental consent. But in most cases, trading remains off-limits until adulthood, while holding and using crypto is allowed.
Ways teens can get involved in crypto legally
Teenagers can still participate in the crypto industry through options that don’t require them to be legal adults.
Some forward-thinking teachers use cryptocurrency as a motivation tool. Teens can complete school assignments, join creative competitions, earn rewards for content creation, or take on small freelance tasks. They don’t need an exchange account – funds can be sent directly to their wallet.
There are other possibilities as well. Some Bitcoin ATMs allow small purchases without verification, though these machines are usually available only in major cities or regional hubs. It’s important to be cautious when using crypto ATMs, as criminals may monitor these locations. If you’re a teenager planning to buy crypto this way, bring a parent with you.
In this context, the question how old do you have to be to do crypto has a practical answer: age matters only for exchange trading, while most other ways to earn or use crypto are accessible well before adulthood.
Why are there age restrictions on crypto trading?
Age restrictions aren’t due to technology, but to financial regulations. Exchanges must know who is using their platforms and take responsibility for violations. To open an account, a user must verify their identity. Minors cannot complete this process, which is why trading is unavailable to them.
A second factor – though less formal – is risk. Cryptocurrency is extremely volatile. A rapid surge can become a sudden crash within minutes. Adults understand this reality and accept the consequences; for teenagers, making such decisions is far harder. Losing money at a young age can be psychologically damaging, triggering anxiety or a desire to “win it back,” which can lead to gambling-like behavior.
Safety is another concern. New users often fall victim to scams – phishing sites, fake investors, counterfeit wallets, and other schemes. Minors are more vulnerable because they lack experience with financial services. Age restrictions help reduce these risks and protect young people from harmful decisions.
Against this backdrop, the answer to how old do you have to be to invest in crypto becomes clearer. Full-scale trading begins at 18, when a person can sign agreements, accept legal responsibility, and work with complex financial instruments.
That said, the market is slowly evolving. Some countries are discussing parent-supervised models – accounts with transaction limits, educational modes, or joint asset management. These ideas could eventually give teenagers access to crypto, but for now they remain proposals rather than common practice.
Conclusion
Age restrictions in crypto don’t prevent teenagers from learning about the market – they simply set clear boundaries for trading and using exchanges. You can own digital assets at any age, but activity on centralized platforms becomes available only once you turn 18.
If you’re a teenager, use this time wisely. Over the next few years, you can learn the fundamentals of cryptocurrency, study how to evaluate projects and read CEXs review so you can choose the right platform when ready.