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Expert Manual for Ethereum Buyers

Plan on trading Ethereum? We think there are so many things you should know about the coin. Are you a novice trader or an experienced miner? Whatever the case, if you want to expand your knowledge trading Ethereum we will guide you with everything you need to know.

Guide for Ethereum Buyers

Ethereum is a recognized coin after Bitcoin and is now a hit among miners and traders. The question now is how can you get this cryptocurrency (ethereum)? We have prepared a complete guide and instructions that will show you how to buy your own Ethereum and send it to your wallet. Keep reading as we show you all the possible ways of earning and even trading the cryptocoin ‘’Ethereum’’

Why Should You Care?

Almost everyone has heard about Ethereum – the decentralized global system, on a blockchain platform allowing transactions with the help of its decentralized apps. Here are some general facts you should know about the virtual currency coin ‘’Ethereum’’

The initial offering released to the market by ethereum creators was worth about $60 million.

20% of the offers are left to the creators; the remaining 80% is allocated to the Ethereum Foundation for further distribution among users.

Ether also known as ‘’Ethereum’’ is not recognized as a cryptocurrency by its founders but as “crypto-fuel” that keeps the crypto platform going. Thus, the intention of Ethereum creators is that Ether was meant for its own use (smart contracts). However, with the increase in use and popularity, Ether is now a very attractive and tradable currency.

The increase in Bitcoin’s price last year saw miners and traders seeking other altcoins to invest in and get rich as quick as possible like Bitcoin’s early investors. Thus, the questions, “should I invest in Ethereum? What prospects and future does it have?” are the frequent and highly reasonable questions asked today. We have good news! you should really bother to buy Ether, as it is an investment opportunity with very good potentials this year.

ETH price is nearly $600, but as Ether is getting more accepted by various online systems and is expanding in circulation, its price estimate for the upcoming year is very positive. Experts suggest that ETH will reach $13,000 by 2023 (over 4,000% increase) within a 5-year period! Are you waiting for five years? Buy it now! Ether is definitely an investment opportunity! Even if you are impatient and want to get fast ROI, Ether also provides you with the opportunity and by the end of the year, Ether is expected reach $4,000, ( 600% increase in price!)

If you are willing to make such investment, let’s find out the ways available for acquiring Ether right away!

Why Buy Ether?

Ether is bought because of the following reasons:

As a profitable investment.

To have access to token sales and other blockchain investments.

As a viable option to help against rate fluctuations.

Diversifying your investment portfolio.

Despite the use of Ether as an investment, we should not forget the main aim of Ether – to be the currency of the Ethereum blockchain for smart contracts. Other reasons to consider buying ether include the following:

To pay for smart contracts and the EVM.

To issue international payment wages.

To interact with blockchain-based IoT devices.

Which is Ethereum the Best?

Once you’ve made the decision to invest in Ether, you need to be sure of the type of currency you plan to buy, this is important since there are actually two types of ether involved. You can buy ETH (which is Ether) and ETC (which is Ether Classic).

Ether – ETH

This is the native currency of Ethereum – the one created by founder ‘’Vitalik Buterin’’. It is the mainstream currency with a much higher price than ETC which was launched after the 2016 hack attack on the DAO.

Ether Classic – ETC

ETC (Ethereum classic) emerged from Ethereum when some users opposed the position of Ethereum. This happened in June 2016 after an unknown group of hackers hacked over $60 million of Ether from the DAO, a company launched by German startup Slock.it, causing its collapse. Since the DAO was said to hold approximately 15% of all Ethereum stocks available, the hack had a negative effect on the price of Ethereum. As a result of this, ethereum founders decided to change the Ethereum code and refund the stolen money to the DAO.

Some Ethereum users were skeptical about the decision of the founders, as some believed that the “code is okay,” and the theft is a normal occurrence that should always be prepared for and is always likely to happen. However, it was further believed that altering the code is too intrusive and the alter will compromise the concept of the coin. Thus, the users separated from Ethereum to launch their own alternative Ethereum – this gave birth to Ethereum classic.

Although both are Ethers, they are different and you have to know this as an owner: ETC cost less and has lower growth prospects than ETH (Ethereum) but it has one indisputable advantage as opposed to ETH, it cannot be reversed! So your funds are always protected if you receive payments in ETC and your partner turns out to be a fraud i.e wants you to return his/her money for a deal that you already completed at your end.

Best Ways to Buy Ethereum

Once you’ve made the decision to invest in Ethereum it is time to decide the method of purchase. Here are some options to consider:

An Exchange

The best and easiest way to buy Ethereum is through a cryptocurrency exchange. Some cryptocurrency exchange will provide you with the opportunity to be able to buy Ethereums with your credit card (sometimes you may have to check if the option is available for your region before you signup or register on the exchange platform because not all exchanges accept credit/debit cards), if the exchange you plan on using allows card deposit then you can buy Ethereum instantly without waiting days for the deposit to reflect like in the case of wire deposits. You don’t have to start mining and wait for months to get your own ether. Within minutes you can own one. Buy yours early so as to profit in periods when the price increase but make sure you select a reliable platform for buying and selling your Ether; we have provided you with a review of the most trusted and reputable online crypto exchanges. Below are the methods available for buying your own ether.

Buying from another Ether Holder

Some users prefer not to use crypto exchange platforms for buying their ether. Some of the reasons they prefer this method is listed below

Reluctant to pay the commission fees charged by crypto exchange platforms

The wish not to waste time filling online registration forms.

Not to disclose private information because of crypto exchanges KYC rules “Know Your Customer” and “Anti-Money Laundering” terms.

Thus, if you want to save some costs and pay for the Ether you get, consider the option of buying your Ether with USD or any other local currency. To do so, you can find Ethereum owners from your neighborhood online and arrange a meeting with them, they get money for the transfer and they transfer the Ether to your wallet there on the meeting spot.

With Ethereum ATMs

If you have a small amount of money to invest in ETH, then buying your Eth via an Ethereum ATM is the best option for you! You might be surprised that such a service exists, but it’s really does exists! You can find the right ETH ATM in your neighborhood with LocalCoinATM and get your Ether exactly as you get cash from ATM. However, to make use of this method, you should consider the following:

You certainly cannot get anything physical from an ATM, as Ether is a cryptocurrency. So, the service urges you to open an Ethereum wallet to get the amount of Ether you acquired via the ATM into it. These are Coinomi, Ledger Wallet, or Blockchain wallets, but you should check the availability of extra options if these ones does not suit your purpose.

The service recommends waiting for at least one blockchain confirmation before sending the Ether to your buyer since it increases the guarantee of a valid transaction.

This service is suitable only for small-amount purchases because there is a limit of what you can transfer via Ethereum ATMs.

We cannot decide on the best method for you but we will try our best to list the convenient options and you choose the one that best suits you, as each of these methods is suitable for individuals with specific amounts of money, particular preferences in terms of deal security, and considerations as to paying commissions to exchanges and middlemen. So we recommend studying each of the options listed before making a final decision.

The Cheapest Way to Buy Ethereum

We all want to make profit trading Ether, yes! making profit without unnecessary fees. Why should we give out our hard-earned funds to middlemen and crypto exchanges that charge a killer fee for using their platform? This makes us look out for the cheap ways to trade. But the truth is that buying and selling Ether at a 0% fee is next to impossible and happens in very rare cases – somebody has to pay for the service! So, let’s review the commissions that are being charged by different trading platforms available.

Cryptocurrency Exchanges (Charge between 10-12% this depends on the exchange and your payment/withdrawal methods)

Online marketplaces (Charge 0-12% this is determined by your payment method)

Direct transfers (Depends on the payment processor to be used and also your individual agreement).

Definitely, the easiest and quickest way to buy Ethereum is via an online exchange. But there are dozens, if not hundreds, of such crypto exchanges out there, because of this it is always better to do some research before choosing your trading platform.

Short Review of Existing Cryptocurrency Exchanges

It is obvious that we now have so many cryptocurrency exchanges every day, therefore it is will be very wise of you to choose, the best and reliable crypto exchanges. Doing this will make sure your investments are secure and also guarantee you always get the best deal. Here are some of the most popular cryptocurrency exchanges for trading Ethereum:

Coinbase. A very popular exchange, some call it the number-one exchange, with a very simple and friendly user interface, offering ease of use with its mobile app, coinbase is of course a very trusted and reliable exchange. Coinbase fees ranges between 1.49-3.99% (bank deposits and debit card deposits) per transaction.

Kraken started its operation in the year 2011, Kraken is a popular exchange platform globally recognized as one of the best Bitcoin exchanges. It tops the list of cryptocurrency exchanges because of its trading volumes and liquidity, and also offers the lowest transaction fees. Kraken is respected and more recognized because it is globally accessible, which makes it the preferred choice among traders beyond USA and Europe.

Gemini. The NY-based exchange has been in operation since 2015 under the guidance of the NY State Department of Financial Services. This guarantees its solid reputation, and its mode of operation is much more similar to traditional Forex platforms rather than crypto-exchanges. Trading is so easy, convenient and affordable, but withdrawal is only possible via Wire transfers, this, unfortunately, limits its usability.

Cex.io is a great platform for Ethereum traders, Cex.io is a universal exchange like Kraken and Coinbase. This means that lots of traders from other countries can join the exchange platform and buy supported cryptocurrencies.

Coinmama. This exchange has been around since 2013, earning a strong reputation of being a reliable source for trading. It low fees and user-friendly interface makes it the preferred choice among many investors. Although it has one of the most stringent verification procedures, all these is to make sure the right people are on the platform making your funds and transactions more safer. However, keep in mind that Coimama only accepts USD and EUR.

GDAX. (Global Digital Asset Exchange) the company’s headquarters is located in San Francisco, USA. It enters our list of top exchanges in terms of trust, users funds up to $250,000 are FDIC-protected, but its fiat deposit and withdrawal methods are Bank Transfer only. Thus, it may be inconvenient and not accessible for some international traders.

An Unbeatable Algorithm for Buying Ethereum

No matter which way or platform you decide to use to buy your own ether, here is a summary of the whole process.

1. Register an Ether wallet

Due to the nature of Ether as a cryptocurrency, no transactions is possible without a special wallet. So, we recommend you are sure your wallet supports Ether, if not, register a wallet for your ETH.

For better protection, we recommend buying hardware wallets: Hardware wallets are actually hardware devices, you can take anywhere with you, and store in a safe. This ensures maximum protection of your investments, as hardware wallets very much harder to hack. For now, the best Ethereum hardware wallets you can use include:

Ledger Nano S

Trezor

KeepKey

Other options include desktop versions like Desktop Wallet, Mist, Exodus and Web wallets like Coinbase, MyEtherWallet, ETH also supports paper wallet which can also be used to store eths. A website called Jaxx also offer mobile wallets for ETH, however, these are commercial offers, reason being that the official Ether’s wallet app is technical and not too user-friendly, however, it also offers good security. You can download it from Github and use it for trading.

2. Acquire Ether

After registering the wallet and setting it up for you, it’s high time to proceed to buy Ether. You can do this at popular Ethereum exchanges and pay with a credit card, use Wire Transfer for payment, or even pay with cash.

No matter which platform you choose for buying Ethereum, take the following steps

Open an account on that platform

Go through the verification procedures

Add your payment method to pay for deposits/purchases

Study Ethereum offers and prices, click “Buy/Sell” to complete the actual transaction

3. Withdraw Ether to Your Wallet

After the Ether is credited to your exchange wallet, it’s advisable you do not leave it there on the website but withdraw it from the exchange platform to your personal Ether wallet. Once you have it there, you have a number of options available. Sell at a higher price on other websites or locally keep the Ether and wait for the price increase and then sell for profit.

Securing Your Ether from Theft

Buying Ether may be easy and convenient but the hard part is securing your ether as hackers and fraudsters are also present in the cryptocurrency market, and your funds are very vulnerable because of its digital essence. It is not possible for you to withdraw it from your online account and place it in a safe, nevertheless, the truth remains that online crime is getting more sophisticated day by day. To ensure your funds are intact, take the following measures:

Buy yourself a hardware wallet. It is much safer to keep cryptos in such wallets.

Use additional security protection i.e. 2-factor authentication also known as 2fa.

Use multi-signature wallets.

These measures will cost you more but will guarantee that your funds are protected. Don’t neglect security, as crypto funds are so easy to steal. The case with the DAO’s hacking in 2016 proved that hackers are bold and limitless.

Getting Ethereum – Buying v. Mining

Considering all the options now readily available for you I think this is an opportunity! You are already equipped with the necessary information needed for trading Ethereum. See it as a new investment opportunity! Nevertheless, you should also remember that there is an alternative and this is obtaining Ether through mining. The process is quite different from trading, and has its own pros and cons which include the following:

Buying Ether is much more convenient, fast and instant than mining. The reason for this is that you can acquire your Ether instantly on any reliable cryptocurrency exchange of your choice, and when the price changes in a week or two in your favor you can also sell the Ether instantly to get an attractive ROI.

Buying is often much better than investing in cloud mining. With the same sum of money, you are guaranteed a better ROI buying Ether on a crypto exchange (no matter how small ) than investing in a long-term cloud mining contract that is still dependent on Ether’s price fluctuations.

Mining at the same time is a more sustainable investment. For instance, if you purchase a Nvidia 1080Ti card for around $700, you will be able to mine one Ether coin with it. The hashrate you get with such an investment will surely exceed the one you can acquire for the same amount of money with a cloud mining contract.

If you have a laptop, then the mining option is not favorable – with the mining operation on, your laptop will be too hot and will also not be able to manage the workload. Hence, consider the type of equipment you have to make the final decision on mining.

Ethereum is on the rise and with enough information, you can get good ROI if you choose your options wisely. It is not too late to invest in Ethereum, as it is no so popular as Bitcoin, and for those that think it is too late to invest in, they are mistaken! Ethereum creators are still working on its expansion and Ethereum as a crypto coin will offer unlimited opportunities for transactions and micropayments within the financial industry, Ether will grow, Ether will thrive- this is just the beginning. Review the crypto exchange platforms we provided earlier on, you can also consider mining as your own option, it all depends on your budget and financial capacity.

Join the crowd! Buy ether today! Start earning!

#ethereum #mining #cryptocurrency

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