Ether, is currently the second cryptocurrency in terms of capitalisation and popularity relative to Bitcoin, but it has not been second everywhere. Ethereum was the first to start its story with crowdfunding and was one of the first cryptocurrencies to get the attention of huge technology corporations more widely. What is the uniqueness of Ethereum and smartcards, how and where to buy Ethereum? In this article I will answer all these questions for you.
Successful investing involves a thorough understanding of the asset you intend to invest in. Before exchanging fiat currency for Ethereum, find out what it is, why it's popular and where you can buy Ether.
Ethereum carries tremendous technological value - it's not just a blockchain and cryptocurrency, but also a dedicated Solidity programming language, Ethereum Virtual Machine and smart contracts - immune to censorship, downtime and tampering.
Ethereum is an open-source, decentralised blockchain that has a dedicated cryptocurrency - Ether - and its own programming language for operating the blockchain, Solidity. The project was first reported with a whitepaper in 2013, and Ethereum itself went live 2 years later, on 30 July 2015.
Vitalik Buterin wanted to create a better project than Bitcoin, as he believes the blockchain cryptocurrency created by Satoshi Nakamoto is too limited, has too limited functionality. In an interview published in January 2019, he compared Bitcoin to a calculator, while Ethereum to a Smartphone - a calculator will do a great job, but people also want other things, other functionalities - in one place.
Ethereum is a global, programmable blockchain - you can interact with it in really sophisticated ways. Creating contracts is one of the functionalities and in the bitcoin blockchain you can of course do this too. The difference is in the difficulty of completing this task - Ethereum does not require the contract creator to have advanced programming knowledge, which is the complete opposite for BTC.
Ethereum enables the construction of decentralized applications (dAPPS), said smart contracts and financial services. All the aforementioned creations built on Ethereum are decentralised, free from fraud, theft and censorship, and most importantly, support payments in Ether.
Why have so many investors chosen to buy Ethereum from cryptocurrency exchanges? The huge popularity of this cryptocurrency is due to many factors, one of which is the creator himself - Vitalik Buterin - who is a star of the cryptocurrency world, and a brilliant developer.
Another factor, very important for investors, is the interest from huge corporations that see potential in using Ethereum for individual purposes. Companies such as Amazon, JP Morgan and Microsoft have created a wave of enthusiasm and assured the authenticity of the platform. With the interest of such huge brands, investors had the opportunity to build trust and thus buy Ethereum (ETH).
Huge opportunities bring huge interest, it is for this reason that Ethereum's capitalisation is trying to catch up with BTC. Many experts see Ethereum as the successor to Bitcoin, over the years the market will verify whether Ethereum's utility will allow it to surpass the king of cryptocurrencies, which does not compete at all in terms of utility.
Buying Ethereum in 2021 is easier than ever before. There are cryptocurrency exchanges and exchange offices to choose from - both online and in-store. Despite such a wealth of places to buy and sell Ethereum (ETH), the choice is not at all that simple. Opt for an excellent and proven by thousands of users platform that is adapted to the local laws of the country you live in.
The Ethereum exchange on Egera is the easiest way to buy Ethereum (ETH). All you have to do is create an account, deposit money using a bank card, wire transfer or BLIK code, and then exchange your Fiat currencies for the cryptocurrency using a super-fast swapper that only requires the amount you want to buy the cryptocurrency for.
Cryptocurrency exchanges are better known for exchanging Fiat currencies for BTC, but on Egera exchanging for ETH is possible!
Before you start exchanging on Egera, you must verify your identity. The obligation to verify your identity stems from the Anti-Money Laundering and Countering the Financing of Terrorism Act, March 1, 2018, and any platform that allows you to buy or sell cryptocurrencies will require you to go through this process.
A cryptocurrency exchange, requires a minimally higher level of sophistication than a currency exchange. On this type of platform, you can buy Ethereum at a price you set yourself. The advantage that the Egera cryptocurrency exchange boasts is the most intuitive interface and a multitude of tools for traders.
With tools such as Take Profit and Stop Loss, you can rest easy - without worrying about your ETH holdings.
What is the difference between exchange offices and cryptocurrency exchanges? We have a multitude of different types of solutions on the market, but which one to choose?
As you already know, a cryptocurrency exchange leaves the user with more options - automation tools, proprietary buying and selling prices and lower commission compared to an exchange bureau make advanced investors love exchanges.
But why are exchange offices more popular? In an exchange, freedom requires skill. Cryptocurrency exchanges, on the other hand, don't require much trading skill, and instead offer speed and simplicity - just enter the value for which the user wants to complete the ETH purchase, and the magic happens on its own.
Which is a better choice for buying ETH?
If you're just starting out and haven't used any exchanges before, your best bet is to exchange on Egera, whose intuitive and super-fast swagger is available anytime!
The alternative to legally empowered platforms are private individuals, from whom you can buy cryptocurrencies without any security or certainty of the transaction. Cryptocurrency prices vary slightly between platforms, which means that you will gain very little while risking heavily if you buy from another internet user. Decide to buy from a secure cryptocurrency exchange that only requires identity verification for mutual security.
Cryptocurrency wallets and the question of how to keep your funds safe is as important an aspect as choosing the platform on which you will deal with cryptocurrency exchanges. The cryptocurrencies that you will have in theory in your wallet, in practice will never be in it. Cryptocurrency wallets are a kind of link, between the user and the network where the cryptocurrency is located.
Wallets use information such as address, private key and public key to communicate. Remember to never give out your private key to anyone - although it proves the funds belong to you, leaking it could result in the loss of your cryptocurrencies.
This is why there is a public key, generated from the private key. The Public Key is a hashed version of the private key - in theory, through reverse engineering, the private key can be derived from this key, but in practice the SHA-256 algorithm is currently impossible to crack and many analysts assume that this will not be possible in the next century.
ETH can be held on light, full, hot and cold wallets, but what do these categories mean?
Cold and hot are the most common categories of cryptocurrency wallets. This category determines whether the wallet is constantly online, or if it is mostly offline and only online when the user requires it - for example, for transactions.
A cold wallet is a type of physical device, most often resembling a memory stick in appearance - a Flash Drive. Such wallets are offline until connected to another device - a computer or laptop. Cold wallets have highly advanced software that protects data and enables funds management.
The most common cold wallets are Ledger and Trezor, but there are many other manufacturers of these devices on the market.
Hot wallets are the most common type of cryptocurrency wallets. They are characterised by a constant connection to the network, which makes them marginally less secure than cold cryptocurrency wallets, which, while remaining offline, are completely invulnerable to attempts to steal funds.
Hot wallets can be accounts at a stock exchange or currency exchange, but also dedicated apps for your phone or personal computer. There are also services that are cloud wallets, accessible from a web browser.
The most popular wallets for ETH are Exodus, Jaxx and MetaMask.
The category of light and full wallets, is less common - it is mainly of interest to more advanced users. Most wallets are light wallets, i.e. wallets that do not synchronise blocks in the device memory.
Lightweight wallets require a connection to an external server that synchronises the blocks - so there is no need to store huge amounts of information about the blocks present on the network in the local memory of the device on which such wallets run.
Full wallets, unlike lightweight ones, synchronise all information in the device's memory. Blockchains of huge projects such as Bitcoin or Ethereum are very heavy - they require a large local memory resource, at levels as high as 400 GB (in the case of Bitcoin).
Full wallets are only needed by a handful of users, so you don't have to worry about lengthy blockchain downloads and constant synchronisation with new blocks.
The full portfolio for Ethereum (ETH) is Geth.
Buying ETH for USD, EUR or PLN on an exchange is not the only way to get your hands on the cryptocurrency. Alternatives to trading, there are taps, airdrops and mining - which requires a much higher level of knowledge than that needed to buy Ethereum.
There are many sites that offer free cryptocurrencies as a reward for completing usually simple tasks. The faucets offer a certain number of cryptocurrencies, but analogous to actual faucets, they usually drop drops.
The tasks for which you can receive these drops are usually completing captchas, linking to social media accounts or sharing information about the site and inviting friends.
When using faucets, it is important to maintain the basics of cyber security, as very often these are sites that turn out to be scams designed to defraud you of your funds or data.
Digging ETH is an activity that requires a greater amount of knowledge than buying cryptocurrencies at an exchange or exchange. By the way, it's a sizable investment that requires a lot of time to return.
Mining ETH is simpler than BTC - it doesn't require specialised ASICs, but just graphics cards, whose prices have recently skyrocketed. The simplest Ethereum miner is a computer or laptop equipped with a dedicated graphics chip - a GTX 3060, for example.
In order for the excavator to generate a return on investment and start earning money for itself, it has to work 24/7, which means a huge load on the computer that is digging cryptocurrencies, equivalent to taking it out of personal use during that time.
Pre-built computer programs are used to mine ETH, allowing for simple setup and joining mining pools that bring many miners together while increasing the chance of winning a block reward.
The important factors that define the profitability of digging are the eth rate, the price of electricity, the price of digging equipment and the difficulty of digging, all of which you will read about in a comprehensive guide to cryptocurrency mining
Before you buy ETH, Bitcoins or any other crypto-activities, start tracking the rate of the cryptocurrency you intend to buy, in the pair you will be investing in - USD, EUR or PLN. Before buying, plan your investment strategy carefully, determine how much you want to earn on your investment.
When investing in the stock market, take advantage of the benefits of automation tools - configure Take Profit and Stop Loss - so you can sleep much more soundly. Averaging the information available from many sources, the most acceptable risk for investors is the loss of 5% of capital, which means that most investors configure their stop loss in this way.
Analysing the odds will allow you to identify the ideal places to buy and sell stocks, so you can maximise your potential investment returns.
Egera is a cryptocurrency exchange and exchange platform. Our platform accepts many different payment methods - BLIK deposits, bank cards and express transfers - on Egera you can buy cryptocurrencies whenever you need them.
Egera is a lightning fast platform, from the start of registration, to account verification takes an average of 3 minutes, after which users have full access to the benefits of the fastest cryptocurrency platform in Europe.
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