Table of contents:
- 1 Buy Ethereum: Buy Ethereum or not? – the answers
- 1.1 Buy Ethereum & benefit from digital financial power
- 1.2 THEREFORE ETHEREUM KAUFEN GERMANY COULD SOON PAY OFF
- 1.3 THE ADVANTAGES OF THE PROOF OF STAKE ALGORITHM
- 1.4 Where to buy Ethereum? – Crypto stock exchanges as a solution
- 1.5 OPEN AN ACCOUNT TO BE ABLE TO BUY ETHEREUM
- 1.6 LINK ACCOUNT WITH THE WALLET
- 1.7 ONLINE OR OFFLINE WALLET – WHAT IS THE BETTER OPTION?
- 1.8 COLD STORAGE FOR LONG-TERM STORAGE
- 1.9 APPLICATION OF THE HARDWARE AND PAPER WALLET
- 1.10 CAPITALIZE YOUR ACCOUNT: TO BUY ETHEREUM USE PAYPAL AND OTHER SERVICE PROVIDERS
- 1.11 INSTEAD OF BUYING ETHEREUM USE PAYPAL RATHER BITCOIN?
- 1.12 Buy Ethereum or not: the price decides
- 1.13 ETH BUY MAKES SENSE IF…
- 1.14 SELLING ETH MAKES SENSE IF…
- 1.15 CALCULATE SALES PRICE
- 1.16 Tip: This is how traders secure ETH free of charge
- 1.17 PREREQUISITE FOR FREE COINS
- 1.18 Make trading decisions: Calm and strategy should be present
- 1.19 CHANGE OF INVESTMENT STRATEGY DEPENDING ON THE MARKET SITUATION
- 1.20 Trading with brokers: traders need to know that
- 1.21 TRADING CRYPTO SECURITIES AND OTHER FINANCIAL INSTRUMENTS FOR THE CRYPTO-MARKET
- 1.22 FUNDS AS A SECRET TIP
- 1.23 Trading tips for resourceful traders
- 1.24 1 – USE INVESTMENT STRATEGY
- 1.25 2 – LIMITING RISK
- 1.26 3 – PRACTICE
- 1.27 Conclusion: Ethereum buy also with BTC
Buy Ethereum: Buy Ethereum or not? – the answers
Ethereum buy – a good decision, because the crypto currency could make soil well since the introduction despite numerous adversities. The realization of the new algorithm not only changes a lot from a technical point of view, but also for the miners. Likewise the large potential of the crypto currency becomes clearly visible(er), because with PoS the block chain works clearly faster, more economically and needs fewer resources. Who would like to profit from it, can buy now for example Ethereum with PayPal and sell the ETH later profitably with rising demand with the Exchange. We show you exactly how this works.
- Ethereum can be bought by traders with Fiat money or crypto currencies
- A crypto wallet is required for direct purchase
- Use technical and/or fundamental analysis for better price analysis
- Traders can also trade ETH prices with brokers (with CFDs)
Buy Ethereum & benefit from digital financial power
Users have been able to buy Ethereum since 2015, but with the introduction of the final goal, Serenity, it could become much more interesting. With Serenity, the crypto currency and the associated block chain will be lifted to a whole new level, which also affects the mining processes. While Ethereum was introduced back then with the Bitcoin-like block chain with PoW algorithm, it is now switching to Proof of Stake and so-called Sharding.
THEREFORE ETHEREUM KAUFEN GERMANY COULD SOON PAY OFF
The team behind the crypto currency had a strict plan from the very beginning, which could be seen on the roadmap. Although the Bitcoin principle was originally retained, the change to the PoS algorithm and the integration of sharding will now take place in 2019. In this way, scalability, decentralization and consistency are to be ensured. The PoS protocol will be used for this purpose, which has numerous advantages over the previously known protocol. As this will also enable Ethereum’s potential and distribution to be significantly improved in the future, it is important to understand the benefits and why Ethereum could pay off. In this way, traders have the chance to invest early in the crypto currency, to buy it at a low price and then to profit from the rising prices.
THE ADVANTAGES OF THE PROOF OF STAKE ALGORITHM
The turning away from the PoW protocol can be in the future for the development of the crypto currency an advantage, because thereby the users need for example less river with the generation of the transactions or it takes place a clearly faster processing. Further advantages of the PoS protocol are
- Reduced centralization risks
- Reduced transaction fees
In the long term, Ethereum could become a digital financial powerhouse. With the introduction of the new algorithm, the doors are open to use a completely different ecosystem. The keyword is decentralized financing. As a digital asset repository and digital financing tool, Ethereum could be the trend of the future, made much easier and above all applicable by smart contracts. Although the decentralized financing ecosystem is still a dream of the future, the lending business with the crypto currency is booming. There are more and more platforms where users can borrow ETH and the owners earn attractive interest. Whoever wants to buy Ethereum now can temporarily use the Ethereum Coins to earn money through the loan business. With the later sale, even one-time higher returns are possible, although the tax considerations must be taken into account. However, there are also possibilities for traders to save taxes when selling ETH, if the coins are kept in the wallet for at least twelve months.
Where to buy Ethereum? – Crypto stock exchanges as a solution
If the traders want to profit from the development of the price, they have the chance to do so at countless trading places. Crypto exchanges also offer German investors the chance to register and buy Ethereum with PayPal. Of course other service providers for account capitalization are also possible. In order to find a suitable crypto exchange, it is important to look closely at the trading volume and also to use the Ethereum buy guide. The higher the trading volume for ETH of an exchange, the better for the traders. This protects them from delayed executions or even cancelled transactions due to the lack of a counterparty. Since ETH is considered one of the most well-known crypto currencies on the market with the highest market capitalization, the chance is extremely large that traders find numerous crypto stock exchanges for their trading activity.
OPEN AN ACCOUNT TO BE ABLE TO BUY ETHEREUM
To start trading on a crypto exchange, traders first need an account, which experience shows can be opened online free of charge. Only a few personal data are necessary for this. To be deposited must for example:
After all data in the online form has been entered, the next step follows, the verification. With this, the users confirm their personal information with a valid identification document (passport or identity card). Proof of the current residential address is also necessary, but can easily be provided with the current telephone bill. Either the traders upload the required documents to the exchange so that the verification by the support staff can follow or they decide to use the video phone call.
LINK ACCOUNT WITH THE WALLET
In the next step after registration and verification, the traders link their trading account to a crypto wallet. The digital wallet is necessary to manage the ETH after the purchase. There the crypto currency is like Bitcoin and other Internet currencies also not physically gives, but it exclusively on electronic way over character strings is available, naturally also no conventional physical purse can be used. Instead, there are crypto wallets, which are available online and offline.
ONLINE OR OFFLINE WALLET – WHAT IS THE BETTER OPTION?
To manage ETH, users can choose from the cold and hot storage options. This raises the question of what is behind it and which option is the better one. With hot storage, users can choose from a desktop, mobile or browser-based wallet. With cold storage, users can choose to use the hardware or paper wallet. For all, which set on functionality and would like to access everywhere the Wallet, the hot storage is the ideal possibility. They are connected to the Internet and can therefore be used flexibly. However, there is an increased security risk with them, because without comprehensive security, hackers can use the interface for attacks and manipulate the wallet or steal the ETH.
Tip: In order to increase the security level of the online wallet, it is recommended to implement an additional security level. For example, users can use 2-factor authentication to provide additional protection for the wallet and make access more difficult for hackers in case of doubt.
COLD STORAGE FOR LONG-TERM STORAGE
To buy Ethereum or not – many traders decide this question based on the current market situation and buy, for example, if ETH is available at a favorable price. Resourceful traders then keep the digital units in the wallet for at least twelve months and only sell them afterwards to enjoy the profits tax-free. For such long-term storage, the wallet should of course also offer maximum security. With on-line Wallet that functions only conditionally, because a residual risk remains always despite extensive security by the Internet connection. The situation is different with cold storage, the offline wallets. Here the owners have the maximum security, since the hackers cannot take any manipulative measures with the Wallet without the on-line connection. However, if you give your private wallet address into unauthorized hands, you naturally bear the risk yourself that the hardware or paper wallet can also be hacked.
APPLICATION OF THE HARDWARE AND PAPER WALLET
Using the Hardware and Paper Wallet is very easy. While the Paper Wallet is available free of charge online within a few minutes, users may have to wait a little longer for the Hardware Wallet. It is offered by different dealers (online). If the user decides to buy online, the shipping can take a few days. If the users wish a fast applicable Wallet, which offers maximum security, the Paper Wallet is the correct decision.
CAPITALIZE YOUR ACCOUNT: TO BUY ETHEREUM USE PAYPAL AND OTHER SERVICE PROVIDERS
If the traders would like to buy Ethereum at the Crypto Exchange, an equity share is of course also required. Unlike brokers, most exchanges do not provide free demo accounts with virtual credit, so that the traders themselves are in demand. In order to purchase ETH, the traders need the required amount of equity capital in their trading account. The deposit can be made either with Fiat money or crypto-currencies. Those who choose to deposit with Fiat money can often choose from USD and Euro and use the following service providers:
- Bank transfer
- Instant bank transfer
Buying the Ethereum PayPal is not possible at so many crypto exchanges as you might think. PayPal as a payment service provider is not available at global acting exchanges, but there are numerous alternatives of electronic purses with Skrill and Neteller. Also with these two service providers the processing works similar to PayPal, so that the traders there need a free account, over which the transactions are completed. With the account capitalization it can occur that the payment service providers do not only need differently long, but if necessary also raise costs. Especially with bank transfers, it can take up to five business days due to the participating banks and the delays in processing. If currency conversions occur, traders may incur additional costs, but these can be avoided with simple tricks.
Note: In order for traders to avoid unnecessary additional costs caused by currency conversions, we recommend that you open the trading account in the currency in which the account capitalization is made. Many crypto exchanges offer not only one currency as an account, but even two or more. USD and Euro are often the default currencies, although there are of course exchanges where the default currency is different. Therefore, traders should make sure that, for example, if the country of residence is within the EU, the currency for the trading account is also given in Euro.
INSTEAD OF BUYING ETHEREUM USE PAYPAL RATHER BITCOIN?
The experiences show that many Krypto stock exchanges offer not only the account capitalization with Fiat currencies, but for example also with Bitcoin or other crypto currencies. However this possibility is not offered with all stock exchanges, so that the Trader should pay attention specifically with the payment desire with Coins with the selection of their Trading platform to it. If the Trader already has Coins in its Wallet, it can quite make sense with a current good course development to exchange it against ETH and/or to sell ETH and then against Bitcoin and CO. to change. Crucial for the profitability is however always the evaluation of the current market situation, so that the Trader should calculate exactly whether the purchase with a Fiat currency or with a crypto currency makes sense. Frequently, trading calculators provided free of charge, which can be used online very easily with just a few clicks at stock exchanges, are helpful here.
Buy Ethereum or not: the price decides
Should or can I buy Ethereum right now or should I wait? This is a question that probably every investor and investor has asked himself at some point in time in this or a similar way. There is no blanket answer to this question, because the market has its own laws and decides whether and when trading makes sense. The traders can trade quite profitably ETH with a correct investment strategy and the price prognosis or be generally active at the crypto market, however there is still a residual risk, which each still so successful trader must bear sometime losses.
ETH BUY MAKES SENSE IF…
The purchase of the crypto currency is particularly meaningful if the price is extremely low. If for example a downward trend shows up in the chart picture, this speaks for a decrease of the demand of the investors. Why this decrease takes place, can have different causes. Often the traders are unsettled for example by current negative market messages or by media reports. However, resourceful traders can take advantage of this opportunity and buy Ethereum at a favorable price. If the downward trend shows in the price picture, we recommend to wait a little bit and give the trend room to develop. Why? The further the downward trend continues, the cheaper the price for ETH. If the downward trend is about to reverse, the traders have an optimal chance to buy at the current low price on the market and possibly even take fast profits on the sale when the trend changes.
SELLING ETH MAKES SENSE IF…
The sale of ETH makes sense if the market shows an increasing demand from investors. In such a case the traders are ready to pay also a higher price for the crypto currency, which the salesmen can use for themselves. If the chart presents for example an upward trend, the traders can make themselves broad and wait also here at best somewhat until the trend developed. However, not only the uptrend alone is the signal that traders can sell, but above all the price. What good is the upward trend if the price for generating the ETH was higher than the current market price? So that the dealers obtain a profit and not for instance despite upward trend a loss, we recommend to calculate before exactly, which price must be at all at the market, so that the profitable sales are made possible.
CALCULATE SALES PRICE
For example, if the traders were able to buy 2 Ethereum for 300 Euro, a sale below this price does not make sense. Likewise, selling for 300 Euro would not be successful, because then the traders would not make a profit either. Also the taxes are to be considered, because who holds the ETH less than twelve months in its Wallet, must pay the taxes on the sales. Traders can avoid this however, if they store the Coins longer-term and sell only after one year.
Tip: This is how traders secure ETH free of charge
Investors do not always have to buy Ethereum. No, it is often possible without equity. With the Crypto Faucets, traders have the opportunity to earn free coins without having to invest Fiat money or any other crypto currency. The Faucets are available from different providers and they issue different crypto currencies. Who would like, must not necessarily use a ETH Faucets, but can use for example also a Bitcoin Faucets, in order to exchange then later the Bitcoins for Ethereum.
PREREQUISITE FOR FREE COINS
There are free coins – too good to be true, right? The requirements to earn free ETH or other crypto currencies are quite simple. With some offerers the users must invest their time for example in inquiries participate, tests complete or applications evaluate. Some offerers make the Coins available even completely free of charge and pour out regularly automatically smallest quantities. All you need to do is register with the public wallet address. However, there is one downer: Those who register for the faucets always receive only the smallest amounts of coins, so it can take a long time until a larger amount is actually accumulated in the wallet. Nevertheless, this principle is still interesting, because instead of having to buy Ethereum with their own capital, users simply need a little patience and time.
Make trading decisions: Calm and strategy should be present
To enable retailers to make optimal decisions, it is not only necessary to analyze the market in detail, but also to proceed strategically. For example, the assets and investments of high-risk traders differ from those of conservative traders. Those who are willing to take risks, for example, also trade in volatile market situations and even use sideways trends, which are much more likely to pose a significantly higher risk for conservative traders. It is precisely the sideways trends that often make trading activities at crypto exchanges more difficult for less experienced traders, because there are no clear trend developments, but the price apparently runs almost in one line. For the traders it is of course difficult to find an entry into the market. Although technical and fundamental analysis can help to forecast future trends and to use them profitably, such market situations are less suitable for short-term trading activities.
CHANGE OF INVESTMENT STRATEGY DEPENDING ON THE MARKET SITUATION
Traders can change their investment strategy and thus use other financial instruments. In this way it is also possible to trade, for example, a particularly volatile price or sideways trend. Instead of trading on a crypto stock exchange, trading with a broker is recommended in this case. For example, traders can trade Ethereum CFDs without even needing a wallet or a lot of equity. Instead, there is also the possibility of using leverage, so that traders can easily multiply their actual capital.
Trading with brokers: traders need to know that
Most traders cannot buy Ethereum directly by registering with a broker, as only a few providers actually offer to buy the coins and tokens. Instead, investors have the chance to invest in countless financial instruments around the crypto-market. These include contracts for difference or securities. While CFDs are designed for the short-medium-term investment horizon, traders can pursue a long-term investment horizon by investing in stocks. Due to this variety of offers, there is something suitable for every trader and for their own strategy and risk appetite. For example, risk taking traders can enjoy the Crypto CFDs, which can be traded with little equity. The advantage: The positions are usually closed after a maximum day, so that even short price developments are taken along and without the holding period overnight the additional trading costs are saved. How high the trading costs are, the traders can usually even determine free of charge with a calculator at the broker.
Tip: Traders can trade ETH CFDs with a maximum leverage of 1:2. This multiplies the equity capital on the market and consequently higher profits can be generated. However, without sufficient hedging of the equity capital, the leverage will also result in higher losses if the traders do not trade with stop loss and take profit positions, for example.
TRADING CRYPTO SECURITIES AND OTHER FINANCIAL INSTRUMENTS FOR THE CRYPTO-MARKET
In addition to CFDs, brokers also provide other financial instruments, such as securities or funds. Ethereum itself does not offer any securities, although the traders could trade the shares of Bitcoin GROUP SE. Alternatively, of course, countless crypto shares are also available across industries, because companies that work with block chain technology are now commonly counted as crypto securities. Therefore, it is possible that traders can trade interesting securities from the following industries, for example:
Blockchain technology has become very popular in the logistics sector in particular, as it allows supply chains to be precisely mapped and tracked, for example, or logistics processes to be made more transparent. The same applies to finance or healthcare, where Ethereum’s smart contracts in particular are becoming increasingly important in individual areas. They make it more cost-effective to draw up contracts without the need for lawyers or notaries and to ensure their implementation.
Note: The traders can not only trade the crypto securities the long term investment horizon, but also hedge them with the stock CFDs. For example, if the Bitcoin GROUP SE share shows a downward trend, the traders can trade the CFDs on it. In this way, the loss is at best (proportionately) compensated.
FUNDS AS A SECRET TIP
Some brokers also provide crypto funds, where traders can benefit from the price performance of certain underlying assets. The funds are suitable for anyone who has a long-term horizon, has little equity available, is working on asset accumulation, and may want to further diversify their portfolio.
Trading tips for resourceful traders
How does a trader become successful? There is no secret formula that works in every case. However, based on our experience, we can give you tips that will help you make more confident trading decisions and master difficult market situations.
1 – USE INVESTMENT STRATEGY
Every successful trader follows an investment strategy based on risk appetite, trading experience, equity and investment horizon. Some strategies are short-term, others are long-term oriented. With the help of the right strategy, traders know which financial instrument they are using in which market situation and when it is better to keep their hands off investments. Therefore, it is important that traders first develop a strategy with their own capital before they actually start trading and at best test it for functionality. For this purpose, brokers and selected stock exchanges offer a free account with virtual credit or a simulation.
2 – LIMITING RISK
Limiting the risk means protecting equity. This is exactly what long-term successful trading is all about. Traders should never spend the entire equity capital on an investment/investment and should always limit the risk, especially when trading CFDs.
3 – PRACTICE
It is well known that practice makes perfect. Therefore it is recommended for less experienced traders to start with a practice account. Acquiring basic knowledge and knowing the market influencing factors for Ethereum can also help. Many brokers, for example, provide a free demo account and training opportunities so that the trading start is successful without risk.
Conclusion: Ethereum buy also with BTC
Ethereum allows traders to trade directly on crypto exchanges or to invest in the price development of a broker. Both options have their advantages, but also their alleged disadvantages. For example, if you prefer direct trading at the crypto exchange, you can use PayPal or other payment service providers to buy Ethereum. The purchase is possible not only with Fiat money, but frequently also with Bitcoin and other crypto currencies. If the merchants decide on the activity at an exchange, the crypto wallet is required in addition to the equity capital, because without it the coins cannot be managed after the purchase. Often renowned exchanges even provide the wallet automatically with the opening of an account, so that the traders have even less effort to master the trade entry. For all, which would like to act neither with Wallet nor much own capital funds, brokers make likewise interesting financial instruments available. These include, for example, crypto CFDs or securities, for short, medium and long-term investment horizons. Depending on their own risk appetite, trading investment and trading experience, traders can make optimal use of the individual possibilities, for example, to speculate on the price trend or to trade the coins directly.