Ethereum is the second largest cryptocurrency by market cap. It is also a blockchain that is crowded with smart contract and decentralized applications (Dapps) programmers.
Because of the use of Ethereum for several developer activities, the ecosystem continues to grow. This makes the native token of the ecosystem, ETH, a potentially rewarding investment asset.
Analysts have predicted that though the price is still low now, it won’t be low forever, so if you’re an investor interested in buying it, this article is for you.
There are many ways you can buy Ethereum, depending on what is convenient for you. In this guide, we highlight how to buy the second largest crypto asset by market capitalization.
Before You Buy
Every crypto investor needs a wallet to hold their assets. If you’re an old investor who already has an Ethereum wallet, great! If not, you need to get one ready before proceeding to buy.
There are different types of wallets depending on many factors including the device you’re using and the level of security you want. The way you use the cryptocurrency also matters.
Mobile wallets are wallets you can download from your phone’s app store and start using right away. There are also software wallets, which are computer programs used for PCs.
You can install a software wallet right off the internet, but ensure it’s from the right source. Both mobile and software wallets are collectively referred to as hot wallets.
They are easily accessible and ideal for people like traders who need to access their wallets regularly.
The last category is the cold wallets, under which there are hardware wallets and paper wallets. Hardware wallets are physical hardware that you use as wallets.
They cost money because you have to buy them, but paper wallets are free, even though they help you achieve the same goal – storing your crypto in cold storage.
You need to choose which wallet you want and then get it. Once done, you can proceed to buy, and these are the ways to buy Ethereum.
Peer-to-peer (P2P) Trading
You want to buy Ethereum with cash? No problem! This is why P2P trading exists. All you have to do is sign up on a P2P trading marketplace such as Paxful and you’ll find sellers in your location who wish to sell their Ethereum for cash.
The good thing about this method of trading is that it allows you to pay for the assets with your local currency, unlike when you use a typical exchange.
The P2P trade can also take the form of a physical transaction with a friend or someone you know right in your neighborhood who wants to sell Ethereum.
You give them your wallet address and they send you Ethereum for the amount you wish and then pay them with cash.
Buy With Ethereum ATM
You can also buy Ethereum using an Ethereum ATM. This is another method of buying using cash. All you have to do is find an Ethereum ATM around your neighborhood and go there to buy.
The ATM is such that when you choose to buy Ethereum and you state the amount, you can slot the cash into the machine and the Ethereum will be sent to the Ethereum address you provided once the transaction finishes processing.
The only challenge with this method is that ATMs may not be available everywhere, so it could be a challenge.
Buy with a Credit Card
This method requires that you sign up on an Ethereum broker platform. The easiest way is to register on a centralized crypto exchange. You may be required to complete KYC before making your purchase.
You can then go to the buy page and ask to buy Ethereum. After entering how much Ethereum you wish to buy, you’ll be asked to pick a payment method at checkout.
You can then choose a credit card as your preferred option and then complete your payment.
