How to get ETH

how to buy ethereum

Be sure to follow them carefully – in most cases, no one can help you if you lose access to your account. Ethereum’s scalability issues and high gas fees have spurred the rise of Layer-2 (L2) solutions, which have been a hit with the masses. For example, the network is currently processing 19 transactions per second. Ethereum’s 2022 upgrade, called “the Merge,” was widely expected to solve Ethereum’s scalability, but it did address the issue in a meaningful manner. Whether you’re planning to HODL for the long term or trade actively, this article aims to serve as your North Star in this vast sea of options, guiding you toward the best exchanges to buy ETH.

how to buy ethereum

This means there are fewer geographical restrictions than with centralized alternatives. If someone is selling what you want and accepting a payment method you can provide, you’re good to go. If you’re looking to purchase ETH, you can check out crypto exchanges such as Binance, Bybit, Bitget, Coinbase, Kraken or eToro. These solutions are built on top of the mainnet to ease network congestion, which ultimately helps to lower fees. For example, sending ETH via Metis Network costs less than $0.01, and a token swap will set you back a mere 2 cents.

What country do you live in?

Technically, that means they’ll have sole custody of your crypto’s private keys. Kat has expertise in insurance and student loans, and she holds certifications in student loan and financial education counseling. To sell your Ethereum, simply head back to your crypto exchange and enter the amount you want to sell.

NerdWallet, Inc. is an independent publisher and comparison service, not an investment advisor. Its articles, interactive tools and other content are provided to you for free, as self-help tools and for informational purposes only. NerdWallet does not and cannot guarantee the accuracy or applicability of any information in regard to your individual circumstances.

Despite its dominance, Ethereum has been criticized for perceived centralization, raising concerns about the project’s decentralization ideals. Before buying a volatile investment like Ether, you’ll want to make sure you’ve done your research and your finances are in good shape. Ideally, you should have a large emergency fund, be maxing out your retirement accounts and have minimal debt. Even if you can check all those boxes, it’s important to diversify your portfolio, so only a portion of your investments should be in Ethereum and other cryptocurrencies. The prospect of investing in Ethereum can be exciting and daunting for both crypto pros and newbies.

Keep your ETH in your own wallet

I’m most interested in the crossroads between cryptocurrencies and the wider economy. In a recent report, American megabank JPMorgan raised the alarm on Ethereum’s centralization. It directed attention to how the top-five liquid staking providers — Lido, Coinbase, Figment, Binance and Kraken — control over 50% of Ether staking, with Lido controlling nearly one-third. Interestingly, in May 2022, Buterin said no liquid staking service should exceed 15%.

  1. This influences which products we write about and where and how the product appears on a page.
  2. Speaking of, British lender Standard Chartered expects ETH to reach $8,000 by the end of 2026 thanks to the Ethereum network’s dominant position in gaming and tokenization.
  3. The best exchanges have fees below 1% and allow you to move your crypto to your own crypto wallet.
  4. Bitcoin may have been the first cryptocurrency, but Ethereum has proven to be a tour de force in the crypto world.

While the crypto market offers exciting prospects, users must navigate these complexities, ensuring informed decisions and secure transactions. You should not invest more than you can afford to lose and you should ensure that you fully understand the risks involved. Before trading, please take into consideration your level of experience, investment objectives, and seek independent financial advice if necessary. It is your responsibility to ascertain whether you are permitted to use the services of Binance based on the legal requirements in your country of residence. Most, if not all, centralized cryptocurrency exchanges will let you use your credit or debit card to purchase Ethereum. However, exchanges will have you undergo the KYC process, designed to stop the illegal flow of money.

You will need to provide your name, address, social security number, specified forms of identification, and more. Once you are confident with a site, the account opening process can usually be done pretty quickly. The Ethereum blockchain token known as ether (ETH) is one of the world’s top three cryptocurrencies.

Should You Invest in Ethereum?

You can buy Ethereum from a reliable crypto exchange such as Bybit, Binance or Kraken using your credit/debit card or directly through your bank account. When choosing a funding method, review the crypto exchange’s fees; they can vary based on the method. Buying Ethereum directly via the funds in your bank account comes with a few benefits over a card payment method. As you’re aware, Bitcoin is the most famous crypto, and when its price rises, so do most altcoins, including Ethereum. Speaking of, British lender Standard Chartered expects ETH to reach $8,000 by the end of 2026 thanks to the Ethereum network’s dominant position in gaming and tokenization. Ethereum marked a significant leap forward by addressing these limitations.

There is still a great deal of interest in this space as the market continues to see innovation. ETH’s value was trading at around $2,000 in May 2022, down from November 2021 highs approaching $5,000. This option requires you to set up a wallet and transfer the crypto you bought elsewhere onto it. “Hot” wallets store your crypto online and give you access through an app or a browser extension. In a sense, a decentralized exchange, or DEX is the truest way to trade cryptocurrencies in that there is no third party whatsoever. We believe everyone should be able to make financial decisions with confidence.

Binance: Where The World Trades Ethereum

Your profits from the sale are typically subject to capital gains taxes and can significantly affect how much you owe the IRS come tax time. To purchase Ethereum, enter its ticker symbol—ETH—in your exchange’s “buy” field and input the amount you want to buy. If you don’t want to buy a whole Ethereum token or don’t have enough money in your account for a full coin, you can purchase a fraction of one.

With ETH, you’re not trusting a bank or company to look after your assets, you’re taking responsibility for yourself. I have over 15 years of experience turning Wall Street and policymakers’ chaos into prose. I may be late to the crypto party, but I bring the curiosity of a wide-eyed newcomer to the crypto sphere.

If you’re in the market for a reliable exchange, head over to our article that examines the best crypto exchanges. Ethereum is one of the most popular cryptocurrencies, which means you can easily buy it via exchanges both small and big, centralized or decentralized. Also, check out our complete guide to crypto network fees, where we dissect these fees, list networks with the lowest fees and provide tips on how to save on these fees. This was evident recently when Binance-connected crypto wallets sent fees skyrocketing. As a result, the cost of processing transactions rose to over $10 from about 40 cents.

By comparison, the average gas fee on the Ethereum blockchain is currently 46 cents, and a token swap costs $2. If there’s too much demand, users must offer higher fee amounts to try and outbid other users’ transactions. This can make it more likely for your transaction to get into the next block. The popularity of DeFi platforms and NFTs has also increased the number of transactions on the Ethereum network, making them consume a lot of gas. Since each individual’s situation is unique, a qualified professional should always be consulted before making any financial decisions.

Where to Buy Ethereum: Best Exchanges to Buy ETH!

If you had bought in at its high, you’d be sitting with half that value just a month later. Over the years, many crypto “pundits” have made outlandish claims about where a crypto asset’s price was headed. To investors, Ethereum’s allure lies in its versatility and uncapped upside potential. You can earn ETH, receive it from your peers, or buy it from exchanges and apps.