Ethereum is a blockchain-based open-source platform used for trading its cryptocurrency, Ether. Since its development in 2015, Ether has been widely traded as a digital currency by millions of traders around the world.
After Bitcoin, Ethereum is the second-largest virtual currency in the cryptocurrency market. Also, It takes only 14 to 15 seconds to complete an Ethereum transaction where Bitcoin takes around 10 minutes. This is why we witness a way more circulation of Ether units in the market than Bitcoin.
During 2017, Ether made an eye-catching movement by making a significant rise of its price from $8 to over $1000. It was presumed that because of the Tesla Bitcoin bump, Ethereum was bracing for impact. Eventually, in February 2021, one unit of Ethereum cost around $1800.
According to Fundstrat Global Advisors LLC, Ethereum could climb more than sevenfold to $10,500 after reaching a new high this week. After Bitcoin hits a new all-time high of $41,000, investors will continue to hold their belief in Ethereum as well.
Please note that whether you intend to trade or invest in Ether, make sure you’re using a reliable and legitimate cryptocurrency exchange that ensures the safety and security of your Ethereum investments.
In this guide, I’ll explain how to buy Ethereum, and where to buy it. Also, I’ll guide you to the best Ethereum exchanges of 2021 based on our in-depth analysis of the pros and cons of different cryptocurrency brokers.
- 1 How to Buy Ethereum in 5 Easy Steps
- 2 Explaining How to Buy Ethereum in the UK – 5 Step by Step Guide for Ethereum Investors in the UK
- 3 Best Ethereum Exchanges of 2021
- 4 1. eToro – One of the best exchange to buy Ethereum from the UK and other parts of the world
- 5 2. Libertex – High-speed order executions, reliable, and offers trading platforms with cutting edge technology
- 6 3. Binance – Low cost and fast order execution
How to Buy Ethereum in 5 Easy Steps
- Identify a platform that suits you best in trading Ethereum. We chose eToro.
- Create an account and get a digital wallet
- Verify your identity by uploading necessary documents asked by the respective broker
- Deposit Funds
- Begin trading Ethereum
Explaining How to Buy Ethereum in the UK – 5 Step by Step Guide for Ethereum Investors in the UK
- Identifying the Ethereum Exchange: This is your first and most important step before investing in Etereum. Because different brokers offer different kinds of trading facilities, services, fund securities, and especially transaction fees. The terms and conditions of the exchanges are also important and you need to make sure they’re comfortable enough to cope with.
We recommend you consider the following facts before choosing a financial exchange as your Ethereum trading home:
- Safety and security systems
- Transaction costs
- Accepted payment methods of the exchange
- Deposit and withdrawal process
- Trading platform
- Execution speed
- Customer care/service
- Create an account and open your e-wallet at eToro: Once you find your favorite exchange, visit its website and open an account. In such a case, you’re required to provide your name, residential address, national ID, or social security number, phone number, and email address.
Fill up the registration form providing the above information and click “submit”. After successful completion of the registration process, the exchange will send you a confirmation message to your email with the details of your newly opened account.
After you’re done with opening an account, store the account ID and password in a safe place to keep your investment safe. You can also request the exchange for a 2-step verification before logging in to your account for establishing an extra measure of security of your trading account.
In such a case, you may need to provide the OTP code sent to your mobile by the exchange besides your login password. If you’re logging in from a different or new IP, the exchange may also ask for security question answers to confirm your identity and ownership of your account.
For UK traders, the best Ethereum trading exchange is eToro. If you’re a UK resident, you may consider opening an account at eToro.
- Verify your identity and location: After you create an account, you need to verify your account information. Typically, the brokers will ask you to upload a scanned copy of your national ID or social security number for verifying your identity as a person.
Later, they’ll ask to upload your bank statement or utility bills for verifying your location or residence. Make sure the address provided during opening the account and the address written on your uploaded documents are the same. Your verification process may delay in case the broker finds a significant difference between your account information and document.
The total verification process may take one hour to two business days depending on the exchanges. Once the verification process is done, the customer service department of the exchange will send you a confirmation email. You have a verified account means now you can fund your account and enjoy the full-fledged financial service of the respective exchange.
- Deposit Funds: You need to deposit funds to your account to be able to trade the Ethereum. Choose your favorite currency and payment method. However, you also need to check which payment methods are accepted by your exchange.
Top cryptocurrency exchanges accept debit/credit cards (Visa or Mastercards), bank wire transfer, and other electric payment methods like Paypal, Neteller, and Skrill. The charges of fund deposits vary depending on the exchanges and the method of your payments. Some exchanges don’t apply any charge on fund deposits.
Also, make sure you’re transferring the funds from your own account. Otherwise, the exchange may halt your transaction and request additional documents.
Depositing funds through C2C exchanges may be a little more complex than regular transactions. In this case, you’ll need to send the cryptocurrency by code for transferring the funds to your account. Usually, the C2C exchanges take up to an hour to complete the deposit process.
Besides, you need to check the minimum and maximum deposit limit accepted by your exchange. Generally, the minimum deposit limit for cryptocurrency trading accounts starts from as low as $25.
- Begin Trading: You have a verified account and enough money in your e-wallet means you’re ready to start trading Ethereum instantly. Besides, Ethereum, you’ll also be able to purchase other cryptocurrencies offered by the respective exchange by using your trading account.
Please note that each cryptocurrency transaction takes a minimum processing time. Once the transaction is processed, the details of your purchased assets and orders will be visible on your trading platform. The processing time also varies depending on the number of transaction requests made at a time.
Once you purchase ETH through the exchange, you can withdraw it to your e-wallet and bank account. Besides, you can easily withdraw Ether through fiat exchanges by selling and transferring the funds to your bank account.
Best Ethereum Exchanges of 2021
The most concerning fact about buying and selling Ethereum including other cryptocurrency is the safety and security of the funds and transactions. Because there is frequent news about frauds and scams surrounding cryptocurrencies in the market. Many people have already lost their investments through different sorts of scams and fake exchanges.
Recently, I’ve made a thorough research on the top Ethereum exchanges around the market. Today, I’m going to discuss the top 3 Ethereum exchanges of 2021 that are committed to their valued clients with honesty and integrity.
According to my observation, the top 3 Etherium exchanges are as follows:
1. eToro – One of the best exchange to buy Ethereum from the UK and other parts of the world
Based on my research, eToro is one of the best-regulated exchanges to offer Ethereum and other major cryptocurrency tradings. This exchange is authorized by top financial regulators such as FCA (Financial Conduct Authority), ASIC (Australian Securities and Investments), and CySEC (Cyprus Securities and Exchange Commission). Also, it is licensed as a financial broker under tier-1 and tier-2 jurisdiction and compliance.
Besides Ethereum and Bitcoin, eToro also supports trading other crypto-assets like Litecoin (LTC), Ripple (XRP), Stellar (XLM), and Bitcoin Cash (BCH). When you purchase Ethereum in eToro using regular currencies, you’ll be charged only a 0.1% conversion fee by the exchange.
In eToro, the minimum investment required to trade Ethereum is only $25. Apart from that, you don’t need to pay any trading commission when you buy ETH from the UK.
This broker has made trading Ethereum more convenient by allowing it to trade through its three different trading platforms. With WebTrader, you can directly place an order to buy ETH. On the other hand, its OpenBook allows you to copy-trade Ethereum by following the leads of experienced eToro traders. Also, it offers mobile trading apps for both Android and iOS. This platform helps traders to remain active in ETH trading while being on a move and from any corner of the world.
- Offers commission-free Ethereum trading
- Enables you to purchase Ethereum from both PC and mobile devices
- Authorized by FCA to offer Ethereum trading service in the UK
- Besides Ethereum, it also offers Bitcoin, Bitcoin Cash, Litecoin, Ripple, and Stellar tradings
- Apart from cryptocurrencies, it offers over 2000 trading assets including forex, stocks, futures, CFDs, and more
- Allows you to start with a minimum investment of $25
- Copy-trading and EA available
- Accepts payments through debit/credit cards (Visa and Master cards), e-wallets, bank transfer, and other electronic payment methods
- Regulated by ASIC, CySec, and FCA
- Gives access to its learning and educational resources to help the newbie investors
- Ethereum trading spreads is comparatively higher than its other competitors
- Limited access to Cryptocurrency tradings for the US residents
- Allowed to serve its trading services to only 41 states of the US
Cryptoassets are highly volatile unregulated investment products. No EU investor protection.
2. Libertex – High-speed order executions, reliable, and offers trading platforms with cutting edge technology
Libertex has been serving millions of traders as a financial broker since 1997. Currently, the exchange is operating its business in more than 110 countries and serving over 2.9 million clients worldwide. Libertex is well-known for its fast order execution, safety, and advanced trading platforms.
During its journey of 23 years, the exchange has won over 40 international awards for its extraordinary performance in financial trading services. In 2020, the Libertex Group won three ‘Best Trading Platform’award from EUROPEANCEO, FX Report Awards, and World Finance. It has a license to operate its business across the EU. The broker is authorized by Cyprus Securities and Exchange Commission (CySEC).
The Ethereum trading commission in Libertex ranges starts from 0.47%. Also, you can start trading Ethereum on Libertex with a minimum deposit of 10 euros.
- Offers a user-friendly interface to its clients
- Easy to place Ethereum orders
- Aids traders with trading journals and technical analysis
- Easy option to switch from demo to real accounts
- Fast withdrawal process
- Offers trading signals and recommendations
- Shows live quotes
- Offers 200+ trading instruments besides Bitcoin and Ethereum
- Excellent customer support
- Regulated by CySEC
- Has been serving as a financial broker for more than 20 years
- Doesn’t offer Metatrader 4 and Metatrader 5 platforms
- Applies extra fees on a few deposit/withdrawal methods
Your money is at risk.
3. Binance – Low cost and fast order execution
Binance is the best Ethereum exchange for US residents. Following its establishment in 2017, it has launched Binance US – a fully dedicated exchange for trading Ethereum, Bitcoin, and other cryptocurrencies. Being excellent in financial trading service, this exchange is now serving over 10 million clients across the world. Experienced professional admires Binance for its advanced and secured interface and fast order execution facility.
Besides Ethereum, Binance also supports trading Bitcoin, Bitcoin Cash, Ripple, Litecoin, and other crypto-assets. The minimum withdrawal fee of Ethereum ranges from 0.003 ETH to 0.01 ETH. Also, it applies a 0.1% fee on all trades. Interestingly, this exchange offers a 50% discount on trading fees if the trades are made using its Binance coin. Besides cryptocurrencies, currently, this exchange is offering over 100 trading instruments.
The funding and withdrawal process of Binance is comparatively easier than other exchanges of the same class. Also, it offers its clients to purchase cryptocurrencies by using debit and credit cards. In 2019, it has partnered with the payment processor Simplex which enabled the exchange to process the transaction in a much faster and convenient way.
- Fast order execution – executes 1.4 million orders per second
- Offers random discounts on trading fees
- Has custom prediction pools
- Low trading commission
- High liquidity
- Modern and efficient customer service
- Uses strong security interface to secure client’s funds and transactions
- An ideal exchange for advanced traders who loves enjoying upgrade trading tools and assistance
- Doesn’t serve New York investors
- Offers a limited choice of crypto-assets
- Advanced users enjoy more facility than the beginners
Your money is at risk.