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Should You Invest In Ethereum?

2023-12-30  BSN Team


Have you ever heard about Ethereum? Have you wondered how to buy and start using it for trading or spending purposes? If so, you’re not alone. A lot of people are interested in this hot crypto.

All You Need to Know About Buying Ethereum

If you have heard anything about cryptocurrency and the most popular cryptocurrencies on the market, then you have most likely heard about a particular coin called Ethereum. Like the other top cryptocurrencies (Bitcoin, Litecoin, Monero, and others), Ethereum offers the ability to send payments to anyone worldwide with an Ethereum wallet on an open platform and a public blockchain.

Where Ethereum differs from other cryptocurrencies, however, is some of the other technology behind it. Ethereum is an interesting coin, and many enjoy mining, trading, spending, or even just holding onto it.

If you have been considering buying Ethereum, this article will give you the scoop on all things Ethereum, including some important facts about the coin and a primer on how to buy it.

What exactly is Ethereum?

Ethereum is an open-source blockchain similar in principle to Bitcoin and every other top cryptocurrency in that it has a transparent blockchain that anyone in the world can view, and it is absolutely free to get involved with and use. The name Ethereum refers to the entire platform, while Ether is the crypto token that is used for payments across different wallets on the Ethereum platform.

How is it different than every other cryptocurrency out there? Well, Ethereum’s sole purpose isn’t to be a coin. Still, rather, it serves as a base for developers worldwide to build decentralized applications and facilitate means of something called “smart contract”. The Ethereum platform has the capability to be used for a variety of different sorts of applications, such as finance, sports betting, and even Internet of Things (IoT) devices.

Ethereum has an Ethereum Virtual Machine, which serves as the runtime environment for smart contracts within the Ethereum network. It is the main consensus mechanism for Ethereum, and there are currently folks running over 27,000 Ethereum nodes around the world. Ethereum Virtual Machines can be deployed and implemented in various programming languages, including Python, Ruby, Rust, C++, Java, JavaScript, Erlang, PHP, and more.

One of the main and most popular functions of the Ethereum platform is the execution of smart contracts. The term smart contract was coined by Nick Szabo, one of the early contributors to Bitcoin. A smart contract is a computer program that facilitates, verifies, and enforces a contract. Smart contracts enable anyone to execute a contract without needing a third party. Transactions can be tracked and are irreversible.

Applications built on the Ethereum platform are called “DApps” by many people in the Ethereum space. Apps built on Ethereum are always written in one of seven Turing complete programming languages. Many companies are looking into using Ethereum for enterprise software, including JPMorgan Chase, Microsoft, IBM, Barclays, and Innovate UK, all including some parties interested in utilizing the Ethereum platform for applications.

What is the Ether token?

The Ether token serves as the currency of the Ethereum platform. Like Bitcoin, Ether is mined and then used on the Ethereum network. Ether can be sent from person to person anywhere in the world, requiring only for them to have an Ether wallet. Ether can be traded on crypto exchanges and is also used by developers building on the Ethereum network to pay for transaction fees and services on the platform.

How do I buy and start using Ether?

If you are wondering how to buy Ethereum, you are not alone. Many people around the world who are interested in trading or holding the coin are wondering the same thing. It is very simple to get involved with Ethereum, as with most other cryptocurrencies.

All you need to get active with Ethereum is an Ethereum wallet and an account on a crypto exchange. You’ll then be ready to buy and start using your brand Ether coins.

What Ethereum wallet is right for you?


You can’t hold any cryptocurrency without the appropriate wallet for that coin, and Ethereum is no exception. If you are getting into Ethereum, it will be important to choose the right wallet. There are a number of solutions out there, including a variety of software wallets and a few hardware wallets for the safekeeping of your coins.

Software wallets for Ethereum

Software wallets are a free and easy way to secure your Ether. Many open-source and completely free options are available for any desktop operating system, such as Windows, Mac, and Linux. Here are a few of the most popular options available for software wallets.

  • Exodus: Exodus is a free multi-currency desktop wallet application that supports Ethereum. It also has ShapeShift built right in so users can trade coins from within the application without ever leaving their wallet. Due to this wallet’s functionalities, however, it must always be connected to the internet.
  • Mist: Mist is the official Ethereum wallet. After Mist is installed, it will take a little while to sync the blockchain with all the Ethereum nodes worldwide. Mist is password-protected and also provides a public and private wallet key. The private key is stored on the device and not online, and constant connectivity isn’t required for this wallet to work, making it a better alternative for cold storage.
  • MyEtherWallet: This is a better wallet option for people looking for a web-based wallet approach. However, MyEtherWallet is different from other web-based wallets because its private key is stored locally on your machine. This makes it quite a bit safer from hackers and other malicious actors seeking to hack your wallet and steal your coins. MyEtherWallet is an open source wallet with no third-party servers and is also unique in the fact that it allows users to facilitate smart contracts right from within their wallet.
  • Coinbase: Coinbase is another web wallet and a platform used to buy and sell cryptocurrencies. Initially only for Bitcoin, Coinbase has now added support for Ethereum and several other coins. One of the upsides is that you can buy Ether whenever you’d like through Coinbase, but if storing your coins there, it is important to remember that the private keys are not in your control. Coinbase can be a good option for storing a few coins that you intend to trade with.

Mobile Ethereum Wallets

Desktop wallets are great for your desktop computer and laptop, but what about the folks who want to do all their crypto trading on the go? No worries, as several options exist for Ethereum wallets on smartphones and tablets, supporting both Google’s Android and Apple’s iOS.

To find Ethereum wallets on your phone, go to your respective app store (Google Play Store for Android or App Store for iPhone) and type in “Ethereum wallet.” Alternatively, you can read about and choose one of the popular wallets below.

  • Jaxx Wallet: Jaxx is a mobile wallet that supports Ethereum and other currencies and is available on both Android and iOS. With Jaxx, your private keys never leave your device and are not stored on any servers. You are also given a wallet seed, which will help you recover your funds should you ever have to restore your wallet on a different device.
  • TrustWallet: TrustWallet is available on both Android and iOS and supports Ethereum. TrustWallet was recently acquired by the crypto exchange giant Binance, so expect big things from this wallet in the future.
  • BRD Wallet: BRD is available on Android and iOS and is used only to support Bitcoin. It eventually integrated support for Ether.

Hardware Ethereum Wallets

Hardware wallets are by far the most secure way to store your coins. Several hardware wallets came out for Bitcoin years ago, and many of them have begun supporting Ether, too.

What are some of the best hardware wallets for Ethereum? These are some of the best options around.

  • Ledger Nano S: The Ledger Nano S has always been a fantastic Bitcoin wallet, and with it now supporting Ethereum and all other ERC-20 tokens, it is a boon to holders of Ether everywhere who want to store their coins safely. The Nano Ledger S is paired with your desktop wallet and protected with a PIN. The Nano Ledger S also provides you with a unique wallet seed to recover your funds from other devices.
  • Trezor: Trezor is another of the major hardware wallets for Bitcoin, and it now has integrations for Ether and all other ERC-20 tokens. Like the Nano, it helps you protect your coins with a unique PIN chosen by you and a wallet seed recovery phrase to recover your coins from any device should you lose your current one.
  • KeepKey: The KeepKey is another of the oldest and most trusted hardware wallets in the crypto scene, and it is a great option for anyone looking to store Bitcoin, Ether, and a variety of other coins. It provides an extra layer of security with PIN code protection and a unique recovery seed phrase. KeepKey can integrate with many of the major software wallets to seamlessly sync your coins for protection.

Don’t forget your wallet seed!

When using any crypto wallet that provides you with a wallet seed, it is very important to write it down on a piece of paper and store it safely, where only you know where it is. Your wallet seed is the only way to recover your funds should you lose your current computer or phone or if they break.

With your wallet seed in hand, you can get a new device, download the same software, and enter your wallet seed. It will sync with the network, and everything will be as it was before. You’ll have full access to your coins again.

If you lose your wallet seed, however, that is bad news. Your wallet seed is the thing that makes it private and known only to you, and if you lose it, you may not ever be able to access those coins again.

Also, don’t ever store it digitally! You don’t want to make your wallet seed susceptible to hackers and other malicious actors by leaving it sitting right there on a machine connected to the internet. If anyone is able to nab your wallet seed, they will have full access to sending your coins to any wallet they control. Always keep your wallet recovery seed stored on paper or in your head.

Where can you buy Ethereum?

Now that you know a little bit about Ethereum and some of the best wallets you can store your coins with, it is important for you to know how actually to obtain your first Ether coins.

Several options exist for getting your hands on some Ether. You can buy it directly from a company on a website, or you can exchange Bitcoin for it on several different exchanges. Let’s go through a few of the options in detail.

Buying Ether Directly With Your Credit Card

A few options exist for buying Ether directly with your credit card. If you have ever wondered how to buy Ethereum, these should be some of your first destinations. Several websites and platforms facilitate the direct sale of Ether coins using nothing but your credit card. Here are a few of the platforms currently offering direct sales of Ether.

  • Coinmama: Coinmama was established in 2013 and has been a trusted name in the direct selling of cryptocurrencies. This is no exception with Ethereum, as they offer Ethereum and several other coins. Enter your credit card details and provide your destination wallet address, and you’re good to go.
  • Coinbase: Coinbase is one of the oldest and most trusted names in the industry for the direct buying and trading of cryptocurrencies. Originally only for Bitcoin, Coinbase added support for Ethereum and several other coins, and it has been a big hit in making another easy and convenient way for users to buy Ether directly. After buying the coins, they’ll be in your Coinbase wallet. You can then send them to any wallet you own.
  • Cex.IO: Cex.IO is another trusted name in the direct sale of cryptocurrencies and supports sales of Ether. All you need is your credit card, and the prices listed include the transaction fees factored in.

Get Ether Through Crypto Exchanges

If you are already holding a few coins and trading on exchanges, you could turn those coins into Ether anytime. All you need to do is obtain some Bitcoin and trade it for Ether in an exchange of your choice. Several trusted and secure exchanges exist for people to trade coins.

First, a note on trading and holding coins on exchanges: Never hold more coins than necessary in an online wallet. It can be a security risk if a site gets hacked because your coins could be affected. Always make sure you send the coins you’re not planning on trading with to a secure wallet where you hold the recovery seed.

Binance: If you already have Bitcoin, you can send your coins to your Binance wallet after you create an account. You will then have the ability to trade your Bitcoin from Ether or hundreds of other altcoins. All you have to do is find the Bitcoin and Ether trading pair and do a trade. You’ll then see your new Ether coins in your wallet. You are free to withdraw these coins to a wallet you control at any time. Binance is also one of the most trusted exchanges in the game, offering a secure exchange platform with lower transaction fees and support for hundreds of different crypto coins and tokens.

Coinbase: Coinbase is back again! It is definitely for a good reason, though, because aside from Coinbase offering an online wallet, it also offers the ability to trade coins right on the Coinbase platform. If you have already bought Bitcoin or another coin on Coinbase before, you can trade some of those coins for Ether and then withdraw them to your personal wallet. Coinbase is another great option because it is one of the oldest and most trusted platforms in the crypto space.

Kraken: Kraken is definitely one of the oldest players in the game, being founded in 2011. Kraken is a partner with one of the first cryptocurrency banks and offers the trade of several different cryptocurrencies, including Ether. If you have Bitcoin or any other altcoin, you could also swap them for Ether here. Just send your Ether from your personal wallet to your Kraken wallet, and you’re good to go.

ShapeShift: ShapeShift is another of the most popular exchanges and offers the ability to trade any coin for almost any other coin. You can trade Bitcoin, Monero, Dogecoin, Zcash, DASH, or almost any other coin you can think of for some Ether, or you could swap your Ether for almost anything else. The choices are almost limitless and are completely up to you.

How do you keep your Ether safe after you buy it?

It is important to remember to keep your Ether safe and secure in a wallet you have full control of after you obtain it. Whether you got it directly through a credit card purchase or if you got it through an exchange, you will be able to withdraw to your personal wallet address.

To withdraw it, you need to know your Ether wallet address. Go to your wallet software of choice and check something that is usually labeled “receiving,” and you will be able to see your wallet address. It is a string of letters and numbers. Copy that address and paste it into the website form to send your Ether over.

You should then be able to withdraw your coins to your wallet. Use one of the secure wallet solutions discussed above to hold your coins. It is important to remember never to disclose your walled seed to anyone and keep it stored on a piece of paper somewhere safe. Utilize a hardware wallet if you’d like to employ an added layer of security.

It is important to remember never to store more coins than you intend to spend or trade with online exchanges and hot wallets. It is not advisable because these platforms can sometimes be the target of hackers and malicious actors looking to steal people’s crypto.

The best option is always to keep your coins in your personal wallet, transfer them to exchanges only when you are ready to trade or sell, and never store more coins than you are willing to lose on such online mediums.

What Makes Ethereum so different from Bitcoin?

Like many other altcoins, Ethereum has a different sort of approach to its blockchain system than Bitcoin does. While Bitcoin’s primary goal is to provide a payment platform for anyone worldwide, Ethereum’s goal is to provide developers and everyone the ability to build things on top of Ethereum’s blockchain. With Ether, you also still get the added benefit of sending coins across a decentralized network.

In a lot of ways, Bitcoin and Ethereum are very similar. They are both open-source platforms offering decentralized payment systems. What makes them slightly different is Ethereum’s approach. While the Ether token is the currency that makes the Ethereum platform work, it is the wider Ethereum platform itself that makes it unique.

With so many possibilities for developers to build things on the open-source Ethereum blockchain, it is only a matter of time before we see some really cool projects start popping up from Ethereum-based blockchain developers.

Now, you know a lot about Ethereum and how to obtain some for yourself. So pick some up from your favorite website or exchange, and get in on the Ether movement.

2023-12-30  BSN Team