How to buy Ethereum
how to buy Ethereum in the most direct and simple way possible, right? A more than legitimate interest given the premises that this coin carries with it.
Are you interested in cryptocurrencies and have heard of a very famous coin that seems to be one of the reference points of the market, so much so that now you want to know how to buy Ethereum in the most direct and simple way possible, right? A more than legitimate interest given the premises that this coin carries with it.
However, this does not mean that it is necessary to throw one's capital blindly on an asset for simple "hearsay", which has always been one of the worst financial advisors in history. In this article, I want to show you how to buy the second most popular cryptocurrency in the world and give you the basics to understand if it is a good project or not.
Before starting, however, I want to specify that the crypto market is very volatile and risky, so you need to keep this in mind before any operation. I also want to emphasize that I dispense technological advice and would never allow myself to do so in fields that do not belong to me, so this information should in no way be taken as financial advice .
What is Ethereum
Ethereum is a blockchain , a technology that allows the passage of information in packets called blocks and which can be briefly summarized as a closed network that is managed by many units. All of this represents a lot of information to assimilate at once, but let me explain.
The fact that it is managed by many units is precisely the crux of this system, which focuses on the decentralization of power by fragmenting it into many parts, in an almost perfect concept of democracy. To be clear, if guy A wants to send 1 Eth to guy B, he will have to send his transaction request on the network itself and wait for someone to validate it.
This someone are precisely the units that run the network, which can decide whether or not to approve this request by A. The miner (the one who contributes to the correct functioning of the network), will then have to decide whether or not to take this request for transaction, include it in a block and send it forward for execution.
What's democratic about this? If we compare a normal bank transaction, where the customer applies for a wire transfer and the credit institution (highly centralized body) decides whether to carry it out or not, the thing could appear all too similar. The real difference is that, on the Ethereum network, there are tens of thousands of miners and each of them can allow the transaction to be executed, thus eliminating the bank's decision-making monopoly.
To this it must be added that, being Ethereum democratic, there is no "boss" who can give directives and prevent miners from doing their job, since no one has more authority than others . All decisions made regarding the blockchain and its operation are voted on by the miners and must reach a consensus that ensures that the will of the people is always respected.
Now, having come this far, it could be safely said that Ethereum, according to what has been said, is the same as Bitcoin , which could make it much less interesting for an investment. What's the point of buying an asset that is a mere copy of another, right?
Well, the similarities exist, but they are only superficial, since moving forward from here the points of contact between the two end and leave room for profound differences. Bitcoin was born with the idea of being the definitive currency , which will become the reference point for all transactions in the world, breaking down borders and unifying the world under a single currency.
Ethereum has none of these ambitions, in fact the currency itself was born as a propellant of the blockchain and not as a payment method, but it has other equally important ones. The chain created by Vitalik Buterin aims to be the foundation on which the new internet will be built, that Web 3.0 that you may have already heard of.
In fact, all kinds of projects have been developed on Ethereum, ranging from gaming , to art up to decentralized finance , in what can be summarized as a gigantic city where the projects are buildings and Ethereum the roads that connect the houses one to the other. other, creating a perfect synergistic network. This leads it to be one of the most innovative companies in the cryptocurrency landscape and, the fact of being the most advanced and used by detachment , has made it reach the number 2 position in the market capitalization ranking, behind only digital gold. which is Bitcoin.
How will these projects be implemented on Ethereum? Thanks to Smart Contracts , technically digital contracts that are resolved only upon the occurrence of certain conditions decided by those who stipulate them, thanks to which it is possible to achieve practically anything. This technology is also applicable to decentralized programs and apps (Dapps) that run on the blockchain, and it is thanks to it that an ecosystem of programs and applications that is unrivaled in the blockchain landscape has been built and grows every day on Ethereum.
What is Ethereum 2.0
Ethereum, however, has not always remained the same over the years, but has evolved by changing its skin and turning into something much more streamlined than it originally was. Another point of contact with Bitcoin lay precisely in the method of operation of the chain itself, which was based on the work of the computers that managed it which had to solve complex mathematical operations to decrypt the code of the blocks, a method thanks to which it could guaranteeing the security of the network is called " proof of work ".
This system, however, has a major flaw, the large consumption of energy which becomes exponential over time as the difficulty (and therefore the security) of the code itself increases. In an electricity-hungry world like ours, it is difficult to find room for such expensive technologies from this point of view.
According to a study by the Cambridge Center for Alternative Finance , Bitcoin alone consumes 0.5% of the electricity produced globally in a single year, therefore more than many small / medium-sized states. Ethereum, over time, would also reach these levels, causing enormous problems for itself and for the whole world.
For this reason, through a democratic vote, it was decided to move to a more sustainable operating system, called proof of stake . Through this method, the consent to transactions passes from the miners to the stakers, people who own a large amount of Ethereum and block it on the blockchain itself.
This has raised some issues related to a possible decrease in security and democratization , as the majority of decision-making power would go to those with the most money, in other words. But this is not all that different from what happens with Bitcoin, where those with the most powerful computers cut small fish out of the market, indirectly reducing it to a pure economic factor. In a future where there seems to be no room for those who are too "thirsty" for Kilowatt, that of Ethereum really seems the only viable logical solution capable of ensuring a rosy future.
How to buy Ethereum
Now that we've seen the technical underpinnings of the world's second largest cryptocurrency, it's time to take action and figure out how to add this asset to your wallet.
How to buy Ethereum on Young Platform
For this tutorial I will use Young Platform , a completely Italian exchange (the headquarters is near Turin), which has everything you need to buy cryptocurrencies such as Bitcoin, Ethereum, Cardano, Solana, Polkadot and many others in total safety.
In addition to a simple and intuitive interface, it should be added that it is one of the very few exchanges operating on our own soil to be fully regulated , with the further advantage of relying only on Italian banks ( Banca Sella and Banca Azzoaglio ) for money transfers. The technology it uses is the Modulus one , used by giants such as JP Morgan Chase, Nasdaq, Goldman Sachs and many others while, with crypto custody, identity verification and on-chain analysis are guaranteed by their partners: Fireblocks, Onfido and Chainanalysis.
For deposits instead, in addition to the classic methods such as bank transfer and credit card , it is then possible to add funds to your account through Apple Pay , Satispay and even with cash through shops and supermarkets that allow it (eg. Pam, Penny Market, Carrefour and Panorama).
However, if, before starting the purchase, you want to find out more about the world of cryptocurrencies and their market, you may find Young Platform Academy really interesting , an Italian and free portal that allows you to know all the fundamentals behind this fascinating world along with traditional finance, blockchain and cryptoeconomics. All this how? Thanks to the more than 100 articles that take the novice user by the hand (who has a dedicated section) and guide him on a complete learning path that culminates with the Easy Economy section , which teaches conscious investment.
Once you have your fill of knowledge, you can put it to good use by purchasing crypto, or by answering the quizzes of the Young Platform Step app ( Android / iOS / iPadOS ), thanks to which you can win YNG tokens which guarantee great discounts on the Young Platform exchange. For more details I suggest you go to the official website .
Now that we have seen everything it offers, in order to buy Ethereum on Young Platform you need to open an account on the platform and, to do so, you must first download the app for Android or iOS / iPadOS or go to its web page . For this tutorial I chose to use the app, but the PC procedure is practically identical. Once installed, open the app to begin the profile creation process.
First, a screen appears asking if you want to log in or register, tap the Register button then enter the required details and press the Continue button . From here enter your phone number, press Continue again , add your email, password and check the acceptance boxes of the terms of service and the receipt of market news, then tap Continue .
At this point it is time to open your email to confirm it via the Confirm email button , and then move on to identity verification . In order to complete it you must, first of all, enter your residence and domicile address, then the personal data such as tax code and all the others indicated, and then press the Confirm button .
Now it's up to the verification of the document and, first of all, declare what will be your purpose of using Young Platform between sale / purchase and payments , investment or both , press Confirm then choose a document between identity card, driving license or passport and photograph it through the Young Platform app itself. This is standard procedure to avoid illegal practices like money laundering and black cash flows, so fear not, your data will remain perfectly safe .
Once you have taken the photo of the documents you still have to take a selfie by following the instructions shown on the screen by the app, avoiding using accessories such as sunglasses that could hide part of your face, and then wait for Young Platform to notify you of the activation. of your account.
At this point your account is active and you are ready to start buying all the cryptocurrencies you want but, since today's topic is Ethereum, I will show you how to buy this coin specifically. Obviously the same procedure is applicable to any other crypto sold by this exchange, since the mechanism is the same.
First of all, from the main screen, tap the Deposit now button and choose which system to use of those that are made available to you. If you do not have this button, you can also select the icon with the two arrows found in the bottom menu and then tap on Deposit .
For example, by selecting the bank transfer , all you need to do is copy the data displayed on the screen, go to the website of your online bank or at the counter and use those same data to set up a classic bank transfer, which will be credited directly to your Young Platform account in the timing provided by the bank, which range from 2 to 5 days in principle but can become instantaneous if you have an account with Banca Sella.
Bank transfer is the best solution as it is completely free while, if you choose the card, there will be a cost of 2.2% in the case of Visa and Mastercard plus € 0.25 fixed. If, on the other hand, you wish to deposit in cash through the cashiers of Pam, Panorama, Penny Market and Carrefour, then here too you will have a 2% commission on the deposit.
Once the funds have arrived, go to the Home screen and tap the bar graph icon located at the bottom of the screen, in this way you will access the list of assets that can be purchased on Young Platform. To buy Ethereum, tap on the Ethereum item to open the screen with all the details on the coin itself.
At the bottom of the screen you will find the Exchange button , press it and then decide which amount of your capital in Euro to convert into Eth and complete the operation by swiping at the top. Now you can always see your funds by returning to the main screen and tapping on the wallet icon, where you will always have the total balance and the list with the various coins just below. If you want to know more about Coinbase , you can take a look at this dedicated tutorial.