A Simple Step-By-Step Guide on How to Buy Ethereum

in #ethereum7 years ago (edited)

Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of downtime, censorship, fraud or third-party interference.

These apps run on a custom built blockchain, an enormously powerful shared global infrastructure that can move value around and represent the ownership of property.

Learn more about Ethereum from their official website.

Similar to Bitcoin and other popular cryptocurrencies, there a lot of platforms that allows you to buy Ethereum. One of my favorite platforms is Coinbase. Coinbase is not the only place where you can buy Ethereum. Depending on the country you are coming from, there might be some other alternatives for you. Coinbase makes it easy to buy Ethereum and other cryptocurrencies through a very well designed and intuitive interface. Read on to find out how to buy Ethereum on Coinbase.

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Step 1: Open an account on Coinbase

This first step is to sign up for a Coinbase account. This will give you a secure place to store your Ethereum, and easy payment methods to convert your local currency into or out of Ethereum. The process of of opening an account is very straight-forward. Opening an account requires just your first name, last name, email address and a password.

You will now get $10 of free Bitcoin when you sign up and make your first investment in Bitcoin, Bitcoin Cash, Litecoin or Ethereum with Coinbase.

To enter your account, you use a previously established password and name. You need to verify this by using your smartphone and entering a specific code. The site uses SSL encryption and keys, and wallet protection involves AES-256 code.

This company holds insurance to protect your wallet from employee hacking or theft, an invasion of cyber holdings as well as a physical breach. To help protect against hackers, 98% of the funds in Coinbase wallets are stored offline.

Step 2: Secure your account

Once you have your account, the next step is to make it more secure. Don’t forget that you will have your money in there. Go to settings, verify your phone and ideally you should set-up a Two-Factor Authentication. Coinbase is considered a secure place to hold your funds initially, however, once your funds start to grow it is recommended to move your funds on a hardware wallet like Ledger Nano S.

You can purchase a Ledger Nano S or find out more from their official website

Step 3: Add your payment method

For small investment you can always make a purchase using your credit/debit card. Go to Settings -> Linked Accounts -> Credit/Debit Card and follow the process using your personal card. This will allow you to make instant purchases.

The other method, which is preferred for larger investments is the direct bank transfer. You can follow the aforementioned process but instead of selecting Credit/Debit Card in the last step you have to select Bank Account. Coinbase only accepts SEPA transfers. Please use the reference code given as part of your transfer.

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Step 4: Buy your Ethereum

Once you set-up your preferred payment method, tap on the Buy/Sell tab, select Ethereum, select your preferred payment method and click Buy Ethereum. Well Done! You have your first Ethereum.

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Disclaimer: The content of this page is not an investment advice. Please do your own research before you invest. The content of this page has pure educational and/or informational purpose.