In this buying guide, we will walk you through the step-by-step process of how to buy Ethereum.
Including creating an account on a cryptocurrency exchange, buying Ethereum with fiat currency or other cryptocurrencies, and selling it when you’re ready. We’ll also touch on the use of derivative instruments for those who prefer to speculate on price movements rather than owning the cryptocurrency outright.
Content
Introduction
How and where can I buy Ethereum?
Part 1
How to invest in Ethereum?
Part 2
Buying physical ETH
Part 3
Buying Ethereum CFD
Part 4
Ethereum with an exchange or broker?
Part 5
FAQ – how to buy Ethereum?
Here we will help you get started
Part 1
How to Invest in Ethereum (ETH)?
If you’re here, it means you’ve already decided or are still considering whether to start investing in Ethereum. You’ve likely already asked yourself the important question: How can I buy Ethereum? Buying Ethereum (ETH) doesn’t mean physically owning Ether. Often newcomers encounter this misconception, which is why we want to quickly clarify two possible options. What are their similarities and differences and what are their advantages and disadvantages compared to each other.
Derivative Instruments for Ethereum
When it comes to derivative instruments for Ethereum, you’re betting on the rise or fall of Ethereum’s price.
You could say you’re pitting yourself against the broker. Ethereum derivative instruments can only be purchased from cryptocurrency brokers.
The most well-known derivative instruments for Ethereum and other cryptocurrencies are:
- CFD
- Futures
- Options
- Certificates
Physical/Real ETH:
You can only find these on cryptocurrency exchanges. As the name suggests, you buy real ethers here. This way, the ethers truly belong to you! You can trade these ethers or keep them – the choice is yours.
An important thing to take care of is storage. However, unlike derivatives, with real cryptocurrencies, you’re a potential target for hackers. Therefore, you should always ensure to store your cryptocurrencies in hardware wallets, instead of leaving them on the exchange for a longer period.
We’ve tested and evaluated the best Ethereum derivative instruments and real Ethereum providers.
Let’s look closely at ETH’s buying opportunities.
If you want to invest in more established Bitcoin, check out the Bitcoin buying guide.
Part 2
How to buy physical Ethereum on a cryptocurrency exchange?
Users can choose from various cryptocurrency exchanges in Poland. Therefore, we’ve tested and chose three particularly recommended platforms.
Especially eToro is a proven and reliable provider. This is definitely the winner of our test.
Hybrid
ecoinomy rating:
9.5/10
| Max leverage | 2:1 CFD |
|---|---|
| Trading fees | Spread 1% |
| Licences | FCA 7973792 + AFSL #491139 + CySEC 109/10, |
| Cryptocurrencies | 79+               |
| Payment methods | PayPal, debit and credit cards, Skrill, Neteller, SEPA, WebMoney |
| Number of users | 25.000.000+ |
Visit site »
Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Exchange
ecoinomy rating:
8.2/10
| Max leverage | 20:1 |
|---|---|
| Deposit fees | By card 1,8%; minimum deposit 15 EUR |
| Trading fees | 0.1% |
| Licences | |
| Cryptocurrencies | 650+   |
Payment methods | Crypto, Visa, MasterCard |
| Number of users | 30.000.000+ |
Exchange
ecoinomy rating:
9.0/10
| Max leverage | 100:1 |
|---|---|
| Headquarters | Dubai |
| Deposit fees | Card 2% |
| Trading fees | 0,075% |
| Cryptocurrencies | 370 |
Payment methods | Crypto, Visa, MasterCard |
| Number of users | 3.000.000+ |
Step 1
Open an eToro account
74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
To be able to buy Ethereum, you must first register. Registration takes 3 minutes.
To open an account, enter your details in the appropriate fields: screenshot
You will immediately receive an email asking you to confirm the account with one click.
You will immediately receive an email asking you to confirm the account with one click.
Step 2
Deposit into the created account
After logging into the eToro service, the user immediately sees many pairs that he can trade with.
At the bottom left, in blue, is the Top-up account button:
Then you can choose the amount and payment method. The most popular deposit methods are PayPal, MasterCard, Visa, SEPA bank transfer, UnionPay, Skrill, Neteller, etc. Depending on your preferred payment method, you can choose between USD and EUR. If you’re depositing money from a card or account in EUR, it doesn’t matter which currency you choose.
Step 3
Buy Ethereum (ETH)
After making a deposit, you can start trading immediately.
The navigation panel contains an overview of all cryptocurrency pairs, such as ETH/USD (Ethereum/USD), as well as trading pairs for Ethereum.
Now think about the amount for which you want to buy Ethereum. And whether you want to apply financial leverage.
Congratulations, after clicking on “Open Position” you’ve bought your first Ethereum!
Sell Ethereum on a cryptocurrency exchange
Of course, you can also sell Ethereum or other cryptocurrencies on the cryptocurrency exchange where you can buy Ethereum. We’ll show you how to do it:
- Now enter “Ethereum” in the search bar at the top.
- Click the blue “Trade” button in the line where Ethereum is displayed. The next step is to click on “Sell” instead of “Buy”.
- Set the parameters for your sell order just as you did when you bought Ethereum. That means setting the amount you want to sell and deciding whether to apply financial leverage.
- After everything is set, click “Open Position” to complete the sell order.
Fees for buying and selling cryptocurrencies on eToro
| Deposit | Free of charge, conversion fees may apply |
| Buying cryptocurrencies | 1% spread |
| Transfer to eToro wallet | 0.5%, minimum charge USD 1, maximum charge USD 50 |
| Withdrawal from the platform | $5 |
| Fee after 12 months of inactivity | 10 USD monthly |
Part 3
How to buy Ethereum derivative instruments?
You have chosen a cryptocurrency broker to trade Ethereum.
We have prepared a detailed overview where you can compare all EU-regulated cryptocurrency brokers.
We recommend one of the most trusted global brokers for trading CFDs (contracts for difference) online, Libertex. In addition to Bitcoin, Ethereum and other major cryptocurrencies, you can trade gold, shares and commodity certificates here.
Libertex was founded in 1997. To date, there have been no successful hacking attacks on the broker.
In addition to bank transfer and credit card, Libertex also offers the possibility to deposit via PayPal.
Brokerzy CFD
Broker
ecoinomy rating:
9.2/10
| Maximum leverage | 2:1 |
|---|---|
| Minimum deposit | 100 EUR |
| Trading fees | from 0,0003% |
| Licence | CySEC 164/12 |
| Cryptocurrencies |                          |
| Payment methods | SEPA, PayPal, Skrill, Neteller, Visa, Mastercard |
| Number of users | 2.200.000+ |
Broker
ecoinomy rating:
9.1/10
| Maximum leverage | 20:1 |
|---|---|
| Minimum deposit | 100 EUR |
| Trading fees | 1% |
| License | CYSEC, FSA |
| Cryptocurrencies | 51+    |
Payment methods | SEPA, VISA, MasterCard, Trustly, Skrill, Neteller, Klarna, Swish |
| Number of users | unknown |
Broker
ecoinomy rating:
8.7/10
| Max leverage | 2:1 |
|---|---|
| Min deposit | 100 EUR/USD/GBP |
| Transaction fees | 0,2 – 2% |
| Licences | Central Bank of Ireland |
| Cryptocurrencies | |
| Payment methods | PayPal, SEPA, VISA, MasterCard |
| Number of users | 300.000+ |
Step 1
Create an account for CFD trading
You will go through the registration process in a matter of minutes.
You can then choose between two types of account:
- Demo account
A real account
As Libertex is an EU-regulated broker, you must first confirm your details.
Step 2
Deposit into account
Deposits can be made in seconds.
You will find deposit and withdrawal options in the menu. You have probably quickly discovered the option to make deposits via PayPal. If you want to deposit by bank transfer or prefer to deposit by card, you have these options available to you.
Now enter your PayPal email address and the amount of your deposit in the window (minimum €100). The rest of the transaction follows the normal PayPal process.
Step 4
How to buy Ethereum CFDs from a broker?
Select Ethereum from the list of cryptocurrencies.
Select the desired amount and click buy.
Step 5
Trading using Ethereum
You can buy or sell your Ethereum CFDs in the same menu where you made your purchase. You can specify the price at which you wish to resell the contracts and then confirm your order.
After successful execution, you will receive a short confirmation message and you can continue trading your new asset.
You have successfully invested in Ethereum.
Part 4
CFD Broker or Crypto Exchange – Which One to Choose?
When investing in cryptocurrencies, you have the following options:
- Trading cryptocurrencies with a cryptocurrency broker
- Purchasing physical cryptocurrencies on a cryptocurrency exchange
Trading with a CFD or contracts for difference broker is primarily used to speculate on the rise or fall in the price (long or short positions) of cryptocurrencies. With this type of trading, you can benefit from price fluctuations without having to know the exact technology behind cryptocurrencies and without actually owning them.
However, if you decide to buy real cryptocurrency units, you need to know exactly what you are doing.
The advantage of this method is that you are the sole owner of the private keys and therefore 100% responsible for your money.
+ No deposit fees usually
+ Participating in the fluctuations of prices, both upwards and downwards
+ No need to store coins on your own
+ Regulated by financial authorities
- Often only up to 100 coins are available
- Higher trading fees than exchanges
+ You can send crypto to other wallets or pay for goods and service
+ Lower trading fees than brokers
+ A wide choice of cryptocurrencies
- Technical knowledge required
- Unregulated by financial authorities
- Card deposit fees could go as high as 2-3%
Whichever of these two options you choose, you will be able to benefit from the future cryptocurrency boom.
Wybieram następującą opcję
9.5
Risk warning {etoroCFDrisk}% of private investor accounts lose money when trading CFDs with this provider. Don't invest unless you're prepared to lose all the money you invest.
9.2
Risk warning - 75.3% of private accounts lose money when trading CFDs with this provider.
Final Thoughts
Investing in Ethereum, like any other investment, involves risks. Ethereum is particularly volatile, which can lead to substantial gains but also significant losses. So before deciding to invest, make sure you understand the technology, do your research, and never invest more than you can afford to lose. It’s also a good idea to diversify your investments to minimize risk.
Lastly, remember to consider the tax implications of your investments. In many jurisdictions, profits made from selling Ethereum and other cryptocurrencies are taxable, so you should make sure to report your earnings accurately. If you’re unsure about how to do this, you should consult with a financial advisor or a tax professional.
Part 5
Frequently asked questions
How do I start investing in Ethereum?
To start investing in Ethereum, you first need to create an account on a cryptocurrency exchange, verify your identity, deposit funds (either fiat currency or other cryptocurrencies), and then you can start buying Ethereum.
Which platforms can I use to buy Ethereum?
There are numerous platforms where you can buy Ethereum. Some popular ones include Binance, Bybit, and Bitget. It’s important to choose a platform that is reliable, secure, and easy to use.
How do I store my Ethereum safely?
Once you buy Ethereum, it’s crucial to store it safely. You can store it in a digital wallet, either on your exchange platform, a software wallet on your computer or mobile device, or a hardware wallet for increased security.
Is it possible to buy a fraction of Ethereum?
Yes, it is possible to buy fractions of Ethereum. You don’t need to buy a whole Ether; you can buy fractions of an Ether for as little as a few dollars.
How do I sell my Ethereum?
You can sell Ethereum on the same platform where you bought it. You can choose to sell it for other cryptocurrencies or fiat currencies, depending on what options your chosen platform provides.
Can I buy Ethereum directly with my credit or debit card?
Yes, many cryptocurrency exchanges allow you to buy Ethereum directly with your credit or debit card. However, fees for this method of purchase can be higher than other methods.
Can I lose money investing in Ethereum?
Yes, investing in Ethereum, like any other investment, carries risk. The value of Ethereum can go down as well as up. It’s important to only invest money you can afford to lose and to do your own research or consult with a financial advisor.
What’s the difference between Ethereum and Bitcoin?
While both Ethereum and Bitcoin are cryptocurrencies, there are significant differences between the two. Bitcoin was designed primarily as a digital currency, while Ethereum was designed to facilitate contractual agreements and applications via its unique contract features.
Is Ethereum a good investment?
Whether Ethereum is a good investment depends on a variety of factors including your financial goals, risk tolerance, and the current market situation. As with any investment, it’s recommended to do thorough research and consider seeking advice from a financial advisor.
Should I buy Ethereum or not?
Ethereum and many other cryptocurrencies have provided investors with high returns in the recent past. However, investing in cryptocurrencies involves a high level of risk due to the inherent volatility of these assets. Therefore, whether you should buy Ethereum also depends on your personal risk tolerance.
Gianluca Lombardi
Gianluca is the editor-in-chief of this site. A finance graduate, he is an active trader who has tested all trading platforms and knows all their secrets. Technology is his passion; he spends much of his free time in the metaverse. Gianluca loves learning new things, researching, discussing and writing about technology, especially when it comes to cryptocurrency and blockchain technology.
