How and Where to Buy Ethereum in 2024

As the world’s second-largest cryptocurrency by market cap, Ethereum is a popular option for many digital asset investors. But, with so many exchange options, where do you buy Ethereum to add it to your portfolio? 

Keep reading this guide for a comparison of five of the best crypto exchanges for buying Ethereum. We will also provide a step-by-step guide on how to buy Ethereum and factors to consider when choosing an exchange.

How to Buy Ethereum (ETH) in 5 Steps

Let’s jump straight in and look at how to invest in Ethereum in 2024. If you are looking to implement a short-term strategy, skip to our guide on how to trade Ethereum.

 Step 1: Compare Crypto Exchanges

Start by identifying a few cryptocurrency exchanges that you think might be suitable. 

Running a quick Google search or asking around from other investors is often the first place to start. Note down the most popular exchanges that keep recurring.  

Once you have handpicked a few exchanges, do more thorough research to find the most suitable option. You should list the most essential features you need in your exchange of choice.

 An exchange focusing on educational content might be a better pick for newbies. However, experienced traders may opt for a platform with advanced charting tools. 

You should also consider the platform’s trading fees, especially if you plan to place trades regularly. Exchanges often charge varying costs depending on the services they provide. 

Choosing the right crypto exchange will ultimately depend on your needs and preferences. 

Best Exchanges to Buy Ethereum

Step 2: Register for an Account

Most exchanges require you to register and verify your account on the platform before you can start trading. However, you may skip this step if you are using a decentralized exchange (DEX). 

Provide a working email address and a secure password to create your account on the exchange’s official website. The exchange will then send you a verification link, which you must click on to access the account. 

Before completing any trade, you may have to complete Know Your Customer (KYC) and Anti-Money Laundering (AML) checks. 

To verify your identity, you will need to provide government-issued documents. KYC and AML checks are critical in centralized exchanges, so a DEX is a better option for investors who want to preserve their identity. 

Step 3: Deposit Fiat Currency

The next thing you need to do is load some fiat currency into your account so you can trade it for Ethereum. This step is often easy for centralized exchanges, as you only need to fund the account through any supported payment method. This might include a debit card or bank transfer. 

Compare the deposit charges for the different payment methods before picking one. Choosing a deposit option that takes longer to reflect in your account but charges lower fees might be more beneficial, especially if you plan to buy Ethereum often. 

Exchanges typically require a minimum deposit. This amount is generally low, and you can start trading with as little as $5 on some platforms. 

Still, because of the trading fees charged per transaction, you might be better off investing large amounts at once.

Step 4: Buy Ethereum

Now that you have deposited your fiat currency, you can buy Ethereum. 

Again, crypto exchanges will have varying options for you to explore. Some may allow you to buy ETH instantly, while others may offer a P2P marketplace to complete your trade. 

Every exchange has a different interface; you might have ti spend time familiarising yourself with them to determine where to buy Ethereum. 

You will then need to place your order, after which the exchange will display the details for your confirmation. After confirming the transaction, allow for processing time, which may take a few minutes or hours. 

The platform will then update your account balance to reflect your new ETH and remaining fiat. 

Step 5: Store Ethereum in a Wallet

The final step is ensuring your ETH is stored safely. Exchanges will typically offer crypto wallets that you can use to store your ETH. 

However, it is advisable that you only use these as temporary holdings for your digital assets. For long -term investors, it is best to transfer your tokens to a self-custody wallet that is not controlled by a third-party. 

You can choose between hot and cold wallets to store your ETH. 

Hot wallets are online storage for your private keys and require an internet connection to access your funds. Although you have complete control over your private keys, hot wallets are susceptible to internet hacks. You could lose all your ETH if anyone hacks the wallet. Some common examples of hot wallets include MetaMask and Trust Wallet. 

Cold wallets store your private keys offline and are typically the most secure wallets for your digital assets. Some popular examples are paper wallets and hardware wallets like Ledger and Trezor. 

5 Best Crypto Exchanges To Buy Ethereum

Now that we have outlined the step-by-step process to buy Ethereum, what exchange options do you have? 

As mentioned earlier, the first step when buying Ethereum is comparing different exchanges to find the right one. In the following section, we will look at five options in detail to help you make an informed choice. 

For each of the exchanges listed, we looked at critical factors such as the trading fees, required minimum order, and any unique features that may be of interest. 

Before we get into all the details, here’s a summary of our top five picks. 

1. Binance

As the world’s largest cryptocurrency exchange, Binance is the go-to platform for most investors looking to buy Ethereum.

The exchange is popular among both beginner and advanced traders. Its interface has two options. Users can easily switch between the beginner-friendly and advanced interfaces through a toggle button. 

Binance offers a diverse range of Ethereum trading options. Trading fees on the platform vary depending on the transaction volume. Google Pay is also available as a convenient payment option for purchasing Ethereum on Binance.

One of the things we really like about Binance is that it supports over-the-counter trading. Thanks to this feature, you can customize your quotes by negotiating the prices with the Ethereum seller. 

The anonymity is especially useful if you are trading large sums of Ethereum. Although spreads apply for OTC trading, there are no additional charges. 

2. Pepperstone

If you want to use your Ethereum to participate in margin trading, Pepperstone might be your ideal platform. The broker exchange’s well-established platform allows CFD trading across various assets. 

Pepperstone is better suited for advanced Ethereum traders, as Contract-for-Difference (CFD) trading is often complex. The platform offers several trading platforms to facilitate CFD trading, including Trading View and Meta Trader 4 & 5. 

With CFD trading, you don’t have to own Ethereum to leverage its price volatility. CFD trading lets you speculate on ETH’s price, allowing you to benefit from price movements in both directions. 

However, you should only use Pepperstone for CFD trading if you have prior experience. Many retailers lose their funds, so you must exercise caution and ensure you understand how margin trading works. 

3. Coinbase

Getting into the world of cryptocurrencies may be overwhelming for any newbie. If you are just getting started, Coinbase might be an excellent choice. The exchange features an intuitive, beginner-friendly interface that will make navigating through your first trade easier.

As the world’s second-largest crypto exchange, Coinbase gives users access to a wide range of coins, making it convenient for frequent traders. 

Besides the basic platform ideal for beginners, experienced traders can access Coinbase Advanced, where they gain access to technical analysis and charting tools via TradingView. Users can also pay for a subscription to access Coinbase One, whose benefits include zero trading fees and more rewards. 

One of the things we like most about Coinbase is that it is a public company. This status ensures transparency and assures users of the safety of their funds. Users also have several earning opportunities, including staking and studying the site’s educational material

4. Kraken

Thanks to the platform’s lower fees, Kraken is a popular option for those seeking to buy Ethereum. The exchange offers an impressive collection of digital assets and caters to both beginner and experienced traders. 

Kraken offers two platforms: a basic one and Kraken Pro for advanced traders. The basic interface provides a simple and intuitive design, ideal for those new to Ethereum trading. 

Users can further reduce their transaction fees by signing up for Kraken Pro. The advanced version is especially suitable for traders dealing with large transaction volumes, as the platform charges lower fees for larger volumes. It also comes with customizable chart analysis and other advanced trading tools. 

The exchange’s unique feature, Kraken Instant Buy, allows users to quickly buy and sell cryptocurrencies at a flat fee. Besides, Kraken’s longer track record than most exchanges gives it a better standing position among users.

5. Gemini

Unlike Kraken, Gemini is available in all 50 states, making it especially popular in the US. The platform supports over 70 coins that users can trade and store on the platform. 

Gemini is especially popular for its variety of features, including a digital wallet, a credit card, and trading options. The platform also offers comprehensive educational material to help users navigate the platform and the crypto world in general. 

Experienced traders will especially like Gemini, thanks to its advanced trading dashboard. The platform also offers a US dollar-backed called Gemini Dollar. 

Gemini’s robust security is one of its most outstanding features that sets it apart from other exchanges. Besides the 2-factor Authentication (2FA) feature, the platform allows users to review and approve the devices they use to access trading. 

The exchange also uses third-party auditors to verify its security and compliance, and it is SOC 2-certified. Finally, users can hold their funds in a hot wallet, which Gemini insures

Other Considerations

While the exchanges mentioned above are some of the best places to buy Ethereum, users have other options and might want to consider other factors. 

One of the most significant alternative considerations is whether to choose a centralized or decentralized platform. 

All the exchange brokers listed above are centralized platforms. However, decentralized platforms where you can buy Ethereum also exist. 

The most significant difference between centralized and decentralized exchanges is that the former offer better security measures as they require KYC and AML checks when creating an account. 

You also deposit fiat in centralized platforms, while decentralized exchanges need you to make crypto deposits so you can trade Ethereum. 

Decentralized exchanges are ideal for anonymous investors as they don’t require you to open an account or provide personal information. 

If you are looking to sell Ethereum, several platforms can facilitate this transaction. Centralized exchanges like Coinbase and Binance allow you to sell Ethereum and cash out into fiat currency. It’s important to consider the tax implications when selling significant amounts of cryptocurrency.

How To Choose An Exchange For Buying Ethereum

Now that we have listed some popular exchange options, how do you settle for one? Below are some features you should consider when looking for the right platform to buy Ethereum. 

Fees 

Exchanges often charge several fees for the services they offer their users. Before settling for one, check and compare the fee structures of several exchanges. 

These fees often vary depending on the platform, your location, trade size, and the type of asset you are trading. You should also consider whether you are buying Ethereum on the platform as a one-off or want to trade regularly. 

Also, check that the exchange has no hidden charges that may reduce your trading profits. 

Payment Methods

Consider an exchange’s payment methods, especially if you plan to trade regularly. Your preferred payment method should be convenient so you can buy Ethereum anytime. 

The ideal crypto exchange should offer several payment methods for its users. Common payment methods include credit and debit cards, PayPal, and bank deposits. 

Some platforms also allow users to make international wire transfers to deposit funds into their accounts. 

Security 

You must also ensure that the exchange you use is secure enough so you don’t lose your Ethereum. 

When comparing exchanges, check out their sites to gather information about security measures. Most platforms will disclose this information in a bid to ensure transparency. 

Choose exchanges that offer additional security features like 2FA, multi-signature options, cold storage, and insurance if you lose your funds. Regulated platforms are also more likely to be secure. 

Reputation

An exchange’s track record can also help you decide whether to use it. 

The exchange’s official website is an excellent place to start. Look through the site’s documentation to see if there are any loopholes, such as contradicting information or missing details. 

Next, look through online reviews to see what other users think of the platform. Steer clear of exchanges that have many negative reviews and complaints. 

You should also research to find out if there have been any security breaches or compromises. 

User Interface

If you plan to buy Ethereum regularly, you probably want a platform that’s easy to use. Exchanges that offer simple and intuitive interfaces are especially ideal for beginners. This way, you don’t have to spend too much time figuring out your way around the platform. 

Does the exchange offer educational material, such as beginner guides? Are there several ETH trading pairs that might interest you? 

Some exchanges offer demo accounts that you can use to get a better feel of the platform. Check that the exchange features work as advertised and that you can quickly and easily make deposits and start trades. 

Customer Support 

You might encounter issues when using an exchange to buy Ethereum, especially if you are doing it for the first time. Prompt and reliable customer support will come in handy in such situations. 

One of the first things to check is that the exchange offers multiple options for contacting customer support. Also, check that these are available 24/7 so you can always reach them whenever necessary. 

Check other users’ reviews to confirm the exchange’s service is reliable. Also, check that they are responsive to queries and available when needed. 

Is Ethereum A Good Investment?

Like any other digital asset, investing in Ethereum has upsides and drawbacks. Your choice to invest in Ethereum will depend on your risk appetite and investment goals. 

Read our full Ethereum price prediction to learn more about its potential.

There are several benefits of investing in Ethereum. It is an excellent choice for many digital asset investors since it is the second-largest cryptocurrency. According to experts, it’s likely to have a stable future and could be a profitable investment. 

However, Ethereum is prone to extreme price volatility like any other cryptocurrency. Investors who are not knowledgeable enough about Ethereum can quickly lose their funds. 

Ultimately, when deciding whether or not to invest in Ethereum, you must first consider your financial situation and research the asset enough to make an informed decision. Remember, you should only invest what you are willing to lose. 

Understanding Ethereum and Its Investment Risks

Ethereum is a decentralized, open-source blockchain platform that enables the creation of smart contracts and decentralized applications (dApps). As the second-largest cryptocurrency by market capitalization, Ethereum boasts a total market cap of over $315 billion. However, like any crypto investment, buying Ethereum comes with its own set of risks. Understanding these risks is crucial before making any purchase.

Ethereum’s decentralized nature means it operates without a central authority, relying instead on a network of nodes to validate transactions and maintain the blockchain. This decentralization is a double-edged sword: while it enhances security and reduces the risk of censorship, it also means that the value of Ethereum can be highly volatile. Market fluctuations, regulatory changes, and technological advancements can all impact Ethereum’s price.

Investors should also be aware of the potential for smart contract vulnerabilities. While smart contracts automate and enforce agreements without the need for intermediaries, they are only as secure as the code they are written in. Bugs or exploits in smart contracts can lead to significant financial losses.

Can You Buy Ethereum On Coinbase?

Yes. Coinbase is one of the most popular centralized exchange options for trading cryptocurrencies. To buy Ethereum on Coinbase, you must create and fund an account using any available deposit methods. 

You can then choose Ethereum from the list of assets and initiate a trade by entering the amount you want to buy. Once you’ve previewed your transaction details, confirm your purchase by clicking ‘Buy Now.’ 

Can You Buy Ethereum On Kraken?

Yes, you can buy Ethereum on Kraken’s centralized exchange. 

Create your account on the website by providing your email address and country of residence. Proceed to fund your account with fiat currency using your preferred payment method. 

Finally, navigate the platform to make your Ethereum purchase. Kraken lets you make orders with as little as $10. 

Can You Buy Ethereum On eToro?

Yes, eToro is one of the global brokers that lets users buy Ethereum. Its competitive fee structure makes it especially popular among investors looking for a wide range of digital assets. 

To buy Ethereum on eToro, you must first create an account and verify it. Once you have deposited funds into your account, you can use eToro’s trading platform to make your purchase. 

Final Thoughts

In this guide we have covered how to buy Ethereum on a centralized exchange in 2024. We have also reviewed 5 reputable exchanges and discussed how to choose a platform to use.

With the right platform, buying Ethereum is as easy as swapping fiat for cryptocurrency. However, it is important to understand risk management and conduct due diligence before buying Ether. Cryptocurrency is a volatile asset and your money is at risk.

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