How To Buy And Sell Ethers?
There are several ways to get ethers. For example, the coins can be mined or bought, and the second option is much simpler. First of all, you need to decide what wallet type you want to use and then get your public and private keys. A public key is a unique address you will use to receive your purchased coins to. If you intend to purchase other crypto assets or tokens in the future, you should opt for a multi-currency wallet, like Exodus or Jaxx.
What to do with ethers?
Once you get your crypto wallet, it is important to decide on the place of purchase: it can be an exchange, an ATM, a crypto exchange service. It is also possible to buy ethers directly from another person. Each of these ways has its pros and cons, and it is up to a user to decide which one is the most convenient and safe.
Ether is the second largest cryptocurrency in the world in terms of capital turnover. This means that it is represented on world's largest exchanges, such as Binance, OKEx, Huobi, HitBTC, Bitfinex, Bithumb. However, the choice of exchanges gets narrowed down if a client is going to trade with other assets, apart from cryptocurrencies.
All acquired assets are kept in a wallet on the company's server. Most exchanges claim they store 90-98% of clients' money in cold offline storages, nevertheless it is recommended to withdraw funds to your own cold wallet as soon as possible to ensure their safety.
Before choosing an exchange, it is important to clear up its requirements for depositing or withdrawal of your funds, as well as the amount of fees.
Paying with cryptocurrency
The most favorable option in terms of anonymity. Customers, who deposit cryptocurrency to the exchange, are not required to verify their KYC documents. However, it is obvious that in this case a client has to own cryptocurrency, in particular, bitcoins, as they are most often accepted by exchanges.
Beginners who just intend to acquire crypto assets will have to make a fiat deposit to the exchange or choose another payment method.
Paying with fiat
Not all crypto exchanges work with fiat, and if they do, it is usually USD. Chinese exchanges often operate with CNY. The deposit can be topped up by a bank transfer or from a bank card. Both options exclude anonymity since a bank account gets linked to the exchange, which requires verification and identity confirmation.
Purchase and withdrawal of ethers on the cryptocurrency exchange
The process of verification goes through several stages, and each of them requires a new portion of personal data. On the one hand, this increases available limits on money withdrawal and reduces the amount of fees. On the other hand, a client displays all his financial operations and may have problems with tax authorities if he or she does not declare income from trading (it depends on taxation rules of a certain country).
Money exchange services
Money exchange services are platforms, where a person can quickly buy or exchange cryptocurrencies. The main disadvantage of such platforms is that the exchange rate there is different from the rates given on exchanges (they are less favorable for clients).
There are online and traditional money exchange services. In terms of anonymity, offline offices are the safest, as a person buys ethers for cash and nobody will find out about this purchase.
For convenience, there exist aggregator websites that provide the list of money exchange services, exchange rates, and often reviews written by other customers. You can choose a payment method right away, remember though that the exchange rate will differ.
The following payment methods are available:
- purchase for cryptocurrency — BTC, Monero, Ripple, and others;
- an electronic payment system — PayPal, Perfect Money, Payeer, Skrill;
- Internet banking and bank cards;
- money transfer;
- purchase for cash.
It is worth noting that such platforms have different conditions of purchase. As is the case with exchanges, a purchase via Internet banking or a plastic card excludes anonymity.
In crypto ATM
Crypto ATMs are machines that allow buying cryptocurrencies offline. Unfortunately, ether ATMs are rare to find yet. To find out whether such crypto ATMs are located in your area, visit the LocalCoinATM website or another similar service.
Where to buy and how to pay for ethers?
This is the most risky way to purchase ethers, because it is based on trust. You can find an ETH seller on special p2p platforms that allow people all over the globe to safely trade cryptocurrencies. Such services usually provide rankings, so that a client can choose a seller with a high level of user confidence.
Note: specific businesses mentioned here are not the only options available, and should not be taken as a recommendation.