How to Buy Cryptocurrencies
New to the world of crypto? Figuring out how to buy cryptocurrencies like Bitcoin, Ethereum, Dogecoin, and others can be a challenge at first.But thankfully, once you know how the process works, it’s relatively easy to navigate the world of cryptocurrency.
In this guide, we’ll show you how to buy cryptocurrencies and explain everything you need to know to buy your first digital currency.
How to Buy Cryptocurrencies with eToro in 3 Steps
Step 1: Sign up for eToro .We recommend using eToro as your cryptocurrency exchange because it offers more than 40 digital currencies and low transaction fees.You can sign up in minutes with your email.
Step 2: Fund your account.eToro requires a minimum deposit of $50 and accepts Visa, Mastercard, PayPal, and bank transfers.There are no deposit fees at eToro.
Step 3: Buy cryptocurrencies.Choose any of the cryptocurrencies available at eToro and click ‘Trade’ to start a new purchase.Enter the amount you want to buy and click ‘Open Trade.’
🏷️ Invest using eToro today!
What are Cryptocurrencies?
Cryptocurrencies are digital currencies that operate using blockchain technology.
The blockchain acts as a public ledger, recording every transaction and allowing everyone to see it to verify that it happened.Blockchain technology is ultra-secure and allows for digital currencies to be exchanged without banks or other central financial authorities.
The 10 Most Popular Cryptocurrencies
There are more than 8,000 cryptocurrencies currently in existence, which can feel overwhelming if you’re just getting into crypto.The good news is that the vast majority of cryptocurrency trades involve just a handful of the most popular coins.
There are the 10 biggest cryptocurrencies by market cap in 2022:
– Bitcoin (BTC)
– Ethereum (ETH)
– Tether (USDT)
– Binance Coin (BNB)
– Cardano (ADA)
– USD Coin (USDC)
– Solana (SOL)
– Ripple (XRP)
– Terra (LUNA)
If you’re new to buying cryptocurrency, it’s a good idea to start off with Bitcoin or Ethereum.These are the 2 largest cryptocurrencies, so they’re accepted for payment at the widest range of places.In addition, they typically have more stable prices than less popular cryptocurrencies.
Cryptocurrency Exchanges
The best way to buy cryptocurrencies is through a cryptocurrency exchange.Exchanges act as gateways into the world of crypto.You can deposit US dollars and buy any of dozens of different cryptocurrencies.Exchanges work much like online stock brokers, except for cryptocurrencies instead of stocks.
What to Look for in a Cryptocurrency Exchange
Choosing the right cryptocurrency exchange is key to making the process of buying cryptocurrency as seamless as possible.
Here, we’ll explain some of the factors you should consider when picking a crypto exchange.
Range of Cryptocurrencies
The first thing to consider when choosing a cryptocurrency exchange is what cryptocurrencies it offers.Some exchanges only offer Bitcoin, while others offer hundreds of different digital coins.
Your cryptocurrency exchange should at least enable you to buy all of the top 10 cryptocurrencies.
Payment Methods
What payment methods you can use to buy cryptocurrencies is also important to think about.Many exchanges accept credit cards, debit cards, and bank transfers.Some also accept popular e-wallets like PayPal, Neteller, and Skrill.Watch out for deposit and withdrawal fees, which can add up over time.
Transaction Fees
One of the biggest differences you’ll find between crypto exchanges is how much they charge for buying and selling crypto.Some exchanges charge a flat fee on every trade, some charge a percentage of your overall transaction, and some have different charges according to what payment method you use.
Always look for the lowest fees.The point of buying cryptocurrency is to exchange value, and you don’t want to lose a lot of money along the way.
Trading Tools and Research
If you want to trade cryptocurrencies, it’s important to look for a cryptocurrency exchange that offers a dedicated trading platform to help you spot buy and sell points.
Some exchanges go even further, offer expert analysis and research tools to help you decide which cryptocurrencies to buy.
The Best Crypto Exchange in 2022: eToro
We’ve tested out dozens of top cryptocurrency exchanges, exploring everything from trading tools to fees to overall ease of use.
Based on our analysis, we think eToro is the best cryptocurrency exchange in 2022.
That’s because eToro streamlines the process of buying cryptocurrency.You can sign up for an account in minutes and get started buying crypto with as little as $50.eToro accepts credit cards, debit cards, PayPal, and bank transfers, and there are no extra fees that depend on your payment method.
Once your account is set up, eToro lets you choose from more than 40 of the most popular cryptocurrencies.Fees are fixed for each cryptocurrency and start as low as 0.75% of your purchase for Bitcoin.There are no fees when you sell.
For comparison, other exchanges charge 2% or more when you buy Bitcoin and another 2% when you sell, so eToro’s fees are incredibly low.
eToro also stands out for its beginner-friendly trading tools.If you’re new to cryptocurrency and want to dip your toes into trading, this platform makes it easy.You’ll find user-friendly technical charts and approachable research.There’s also a built-in social network of cryptocurrency enthusiasts that you can lean on for advice.
Overall, eToro makes it easy to learn how to buy cryptocurrencies and keeps fees to a minimum.It’s a great choice for new crypto users and the platform has the tools necessary to grow with you as you dive deeper into the world of cryptocurrency.
🏷️ Invest using eToro today!
Setting Up a Cryptocurrency Wallet
Another important aspect of buying cryptocurrencies is creating and maintaining a cryptocurrency wallet.
A cryptocurrency wallet is essentially a secure bank account where you can store your cryptocurrency.
Unlike bank accounts, though, you can host your own cryptocurrency wallet and no one else will have access to it.
Cryptocurrency wallets aren’t strictly necessary to buy cryptocurrency since most exchanges will let you store your coins inside your exchange account.However, using a crypto wallet is much more secure since only you have the encryption key needed to access your funds.
Cryptocurrency wallets also have a few other advantages.Usually, they integrate with exchanges like eToro, enabling you to interchange between cryptocurrencies with ease.In addition, many crypto wallets now support digital objects like NFTs, giving you more leeway to explore the growing world of digital assets.
The Best Cryptocurrency Wallets in 2022
When it comes to downloading a cryptocurrency wallet, you have a lot of options.
Here are 3 of the best crypto wallets you can use today:
1.eToro Money
The eToro Money app for iOS and Android is an easy to use crypto wallet that integrates with the eToro exchange.It also links with an eToro brokerage account and most bank accounts, so you can see your stocks, cash, and cryptocurrencies all in one place.
🏷️ Invest using eToro today!
2.Coinbase Wallet
The Coinbase Wallet is another handy wallet app that works on mobile devices and on your computer via a browser extension.
It offers support for more than 4,000 different cryptocurrencies as well as NFTs, making it one of the more versatile wallets currently available.
The Coinbase wallet is linked to the Coinbase crypto exchange, which is helpful.Just keep in mind that Coinbase typically has much higher transaction fees than eToro.
🏷️ Invest using Coinbase today!
3.Exodus
Exodus is a desktop-based cryptocurrency wallet that’s best suited for advanced cryptocurrency users.It offers a number of customization options, including control over when to trade one coin for another and support for physical security devices that store your crypto offline.
Exodus supports more than 145 cryptocurrencies and integrates with the ShapeShift crypto exchange.
Buy Cryptocurrencies with eToro Today
Now that you know how to buy cryptocurrencies, you can get started right away.We recommend using eToro because of its wide range of currencies, low transaction fees, and user-friendly .
🏷️ Invest using eToro today!
FAQs
What is the best place to buy cryptocurrencies?
We think eToro is the best place to buy cryptocurrencies in 2022.The eToro cryptocurrency exchange offers more than 40 popular coins, very low transaction fees, and beginner-friendly payments and trading tools.
What is the safest way to buy cryptocurrencies?
The safest way to buy cryptocurrencies is with a trustworthy cryptocurrency exchange.Exchanges handle millions of transactions a day, and top-rated exchanges like eToro have a history of keeping customers’ accounts secure.
How much cryptocurrency should I buy?
How much cryptocurrency you should buy comes down to your goals.If you’re new to cryptocurrency, it’s best to start small.eToro lets you buy as little as $50 of cryptocurrency at a time.
What cryptocurrencies should I buy?
If you’re new to cryptocurrency, it’s a good idea to stick to popular coins like Bitcoin and Ethereum.
As you get a feel for how cryptocurrencies work, you can explore popular altcoins like Cardano, Solana, or Ripple..
