2022 Guide on how to buy Ethereum [ETH] with CFD Broker or an Exchange
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. It would help if you considered whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Buy Ethereum Now
2022 Guide on how to buy Ethereum [ETH]
Today, cryptocurrencies have become widely popular among retail investors, and many people made a good profit from investing in this new digital asset class. While some investors take a long-term view and prefer to buy Ethereum, Bitcoin or other altcoins and hold them for a long time, others make huge profits from day trading.
The volatility of cryptocurrencies, where the daily moves in price can be more than 20%, presents an excellent opportunity to make money in day trading. Furthermore, crypto is the only asset class right now where you can still make substantial daily returns with monthly profits reaching 100% or higher. So, are you looking to buy Ethereum but don’t know where to start? Then this article is for you!
Our team of crypto experts at EthereumTrading.pro has prepared this easy-to-follow and understand guide on how you can buy Ethereum, Bitcoin and other altcoins, using different platforms currently available for private investors. This guide will cover the most popular trading platform and explain how you can start investing in Ethereum with one of them.
Editor’s Pick: Best Platforms to Buy Ethereum in US and the UK
? Social Trading Platform
✅ Zero Commissions
?? US Clients Allowed
? All Major Cryptocurrencies
✅ Protected by insurance
? Publicly Listed Company
? Regulated Brokers
? Invest on Autopilot
✅ Easy to Use
Best ways to buy Ethereum (ETH) in the UK and USA
Let’s make sure you understand that you can buy Ethereum and trade Ethereum, and what is the difference between the two.
You can buy Ethereum (ETH) via cryptocurrency exchange on one of the platforms. In such a case, you will own the underlying asset and can store it in the wallet of your choice or on the exchange. But, us silly, your goal will be to sell it later for a higher price and profit. That is a so-called buy-and-hold strategy where you take a view on a long0term appreciation and disregard short-term price volatility.
When we talk about trading Ethereum, it does not necessarily mean buying the coin. You can start trading Ethereum via CFD Broker and make a profit (or loss) on the price movements without buying the underlying asset or altcoin in this case. Instead, you are trading a derivative contract called Contract for Difference (CFD). The advantage of this is that you don’t need a lot of money to start, and the minimum deposit with most CFD brokers begins at a few hundred dollars. The minimum investment per trade is usually $10, but you still benefit from the entire price upside. If you want to learn how CFD trading works, check our guide to CFD trading.
Trade Ethereum CFDs in the UK and USA
While CFD trading remains popular among private investors, this trading instrument has been under severe scrutiny from the financial regulators, considering its high risk.
Clients in the United States currently do not have access to OTC (Over The Counter) derivatives such as CFDs (Contracts For Differences). In addition, trading CFD instruments are prohibited for US citizens or residents. Most European CFD providers or brokers cannot open or maintain CFD accounts for American citizens.
✅ Advantages of Trading with CFDs:
- 24-hour Forex and cryptocurrency trading
- You can profit both when prices are rising or falling
- Manage your risk easily. Tra e using leverage
- No Commissions and No hidden charges
- Access to global markets
⛔️ Disadvantages of Trading with CFDs:
- Market volatility
- Higher-Risk Product
- The potential for big losses if traded irresponsibly
There are currently few options for US residents to buy Ethereum. The most obvious choice is to use one of the best crypto exchanges like eToro, Coinbase, CEX.io, or others. However, you can also utilise a social trading platform like ZuluTrade if you buy Ethereum but don’t want to trade themselves. Zul Trade is the largest social trading platform globally, and it only works with one broker that accepts clients from the United States. When you visit ZuluTrade, get automatically connected to the best available broker in your country, and ZuluTrade will be able to propose a broker for US-based IPs.
The situation is pretty much the same for UK based clients with no CFD or leverage trading on cryptocurrencies. In 020, FCA announced a ban on crypto CFD trading.
How to buy Ethereum [ETH] on eToro
eToro is one of the world’s largest online trading platforms, with more than 20 million users globally. It started as a CFD broker in Europe but later expanded into the US market with the crypto exchange launch. Tod y, private investors can buy individual stocks and cryptocurrencies and own the underlying asset.
eToro is also available to US clients, making it extremely popular among investors. eTo o also provides a secure cryptocurrency wallet to store your altcoins and buy crypto in just a few clicks. Read the eToro review to learn more about this online broker and its main features.
How to buy Ethereum (ETH) on eToro in 5 easy steps:
- Sign up for Free Account on eToro by completing the online application form
- Verify your account and submit documents to complete the KYC process
- Deposit Funds using one of the popular payment methods. You can deposit money with a credit or debit card, PayPal, bank wire or other popular methods.
- You can practice with a Free Demo Account to get familiar with the trading platform.
- Start Investing real money and buy Ethereum, Bitcoin and other cryptos to profit.
FREE Demo
? Largest Online Broker
? Social Trading Platform
✅ Zero Commissions
?? US Clients Allowed
eToro is one of the world’s largest online trading platforms, with more than 20 million users globally. It started as a CFD broker in Europe but later expanded into the US market with the crypto exchange launch. Tod y, private investors can buy individual stocks and cryptocurrencies and own the underlying asset. eTo o, you can trade more than Forex pairs, popular stocks and altcoins, including Bitcoin and Ethereum, and Commodities and ETFs.
eToro is also available to US clients, making it extremely popular among investors. eTo o also provides a secure cryptocurrency wallet to store your altcoins and buy crypto in just a few clicks. Read the eToro review to learn more about this online broker and its main features.
eToro platform offers an intuitive interface and a complete list of professional trading features. In addition, you get access to the technical and fundamental analysis, economical calendar, popular market news feed and a vast library of educational resources and video tutorials.
eToro offers different account types for Retail and Professional investors. And you can also take advantage of the Free Demo Account with $10,000 in virtual cash to get yourself familiar with the platform and test-drive your trading strategies. eTo o Demo Account is a great way to get your toes in the water risk-free, and the IQ Option minimum deposit is only £$100. For more information on this online broker, please read our eToro review.
In the case of unfavourable market movements in traditional trading, one would lose only the invested money; with CFDs, one can lose more than their initial investment was, especially when using high leverage. For this reason, it is recommended not to exceed the amount of total trade together with the leverage above the figure, which you can afford to lose and always have Stop Loss at reasonable levels when you buy Ethereum CFDs.
We recommend two CFD Brokers based in Europe and buy Ethereum, Bitcoin or other altcoins via CFDs. Bot brokers are well-regarded in the industry and have millions of registered users.
eToro Deposit Methods
You need to remember that before you can deposit money with eToro, you need to verify your account by completing the KYC process. That usually requires you to upload a copy of your passport or other ID and the proof of address no older than three months. The verification process might take up to a few hours, but you can always practice trading with an eToro Free Demo Account while waiting.
One of the reasons eToro is so popular among individual investors is the number of payment options available to its users. For example, you can deposit funds with eToro using Credit Card, Bank Transfer or other payment methods such as Klarna, Sofort, PayPal, Skrill, Neteller or others.
Please keep in mind that while the money will be in your account almost immediately with most payment methods, if you are using the bank transfer, it can take up to a few days for the transfer to be complete. If you are interested to learn more about how to deposit money with eToro, please watch this video tutorial from eToro Academy.
FREE Practice
? Largest Online Broker
? Social Trading Platform
✅ Zero Commissions
?? US Clients Allowed
How to Buy Ethereum with AvaTrade
AvaTrade is one of the most popular CFD brokers that has been on the market since 2006 and is regulated across six jurisdictions. Ava rade retail investors can invest in stocks, bonds, commodities, forex, ETFs, indices, and trade cryptocurrencies 24/7. In addition, AvaTrade operates a state of the art trading platform including Meta Trader 5, MetaTrader 4, AvaTrade Web Platform, AvaTrade for Mac, AvaOptions and mobile trading app AvaTardeGO.
AvaTrade has more than 200,000 registered users from more than 140 countries and offers an extensive library of educational resources for novice and professional traders. The AvaTrade trading platforms are user-friendly and easy to navigate but at the same time quite advanced with a complete set of trading features and analytical tools. In addition, investors can have access to Economic Calendar, Analytical Views and Market Buzz, Fundamental and Technical Analysis tools, as well as Forex Featured Ideas.
With AvaTrade, investors can trade all significant cryptocurrencies 24/7, including but not limited to Bitcoin, Ethereum, Bitcoin Cash, Ripple, Litecoin, Dogecoin, Dash and many others. In addition, AvaTrade does not charge any commissions and offers ultra-low spreads for most liquid assets. Exp rienced traders can also take advantage of the leverage that depends on the asset class and market conditions.
Another great feature of AvaTrade is its Free Demo Account, where you can start investing with $100,000 virtual cash with no risk. Dem Accounts are a great way to familiarise yourself with the trading platform and its features before committing real money. You can also test your trading strategy or familiarise yourself with how the AvaTrade trading platform works. For more information on this online broker, please read our in-depth AvaTrade review.
0% Commissions
? Regulated in 6 Jurisdictions
? 1,200+ Asset Classes
⏱ 24/7 Crypto Trading
✅ Ultra-Low Spreads
How to Buy Ethereum with Coinbase Crypto Exchange
If you are based in the US or UK and want to buy Ethereum, you might consider going with one popular cryptocurrency app and exchange. The main advantage of this method is that you can actively trade cryptos or buy-and-hold in a secure exchange wallet. Co base is one of the largest and most popular cryptocurrency apps and exchanges, with over 30 million users worldwide.
Coinbase App allows you to buy Ethereum or other altcoins for beginner investors in just a few clicks. Tho e who want to trade crypto more often can use Coinbase Pro, a professional institutional-grade crypto exchange suitable for private investors.
So if you want to buy Ethereum with Coinbase, you need to register a Free Account and complete the verification process by submitting a copy of your ID and proof of address. You can do that on the company website or use the Coinbase App.
Once your account is verified, you need to Deposit Funds into your Coinbase account using debit or credit card, bank transfer, or some other popular payment methods. Once the money is clear on your account, you are ready to make your first trade.
The main advantage of Coinbase is that its platform is straightforward to use and allows you to buy Ethereum or other altcoins in just a few clicks. In addition to ETH, Coinbase offers access to more than 80 different altcoins, so you can be sure that you can create a well-diversified portfolio. All you need to do to buy crypto with Coinbase is choose the altcoin you want to purchase, select the amount you want to spend, and click the Buy button. And that is it. Your crypto will be on your account immediately.
Today, we can offer our readers a Special Offer. For new Coinbase accounts, you can earn up to £132 in crypto. Just follow the link to take advantage of this promotion. If you want to learn more about this popular crypto exchange, read our in-depth Coinbase review.
Up to $132
? World Largest Exchange
? All Major Cryptocurrencies
✅ Protected by insurance
? Publicly Listed...
Buy Ethereum Tokens
When you invest or buy Ethereum, you essentially buy Ethereum tokens, another name for altcoins. Many other cryptocurrencies are based on the Ethereum network and have their tickets (or altcoins). So hen you are looking to buy Ethereum tokens, you need to understand that. ETH or other altcoins created on the Ethereum network. NFT, or Non-Fungible Tokens, that became so popular over the last year are also primarily based on Ethereum 2.0.
Buy Ethereum Stock
In the traditional market, stock represented ownership in the underlying company and traded on the exchange. As there is a digital currency and not a company, you can not buy Ethereum stock as there is no such thing. When people say that they buy Ethereum stock, they often buy an underlying asset, similar to the company stock they can trade in the stock market. For example, with eToro, you can buy Ethereum, stocks and other asset classes using their online trading platform. We recommend eToro as one of the best online brokers for beginner and experienced private investors in the UK and the US.
Top 3 Trading Robots to Buy Ethereum
Up to $5k
- Invest on Autopilot
- Earn up to £5k p.m.
- Ideal For Beginners
Up to $3.5k
- No Experience Required
- Start Investing with $25
- Passive Income
>100% Returns
- Generate Passive Income
- Ideal For Beginners
- Earn up to £3k monthly
How to Buy Ethereum – Frequently Asked Questions
Where to buy Ethereum with a credit card
You can technically buy Ethereum with a credit card, with most trading platforms having credit cards as their payment methods. That means you will deposit funds with the platform using your credit card and then purchase Ethereum. We recommend eToro as one of the best platforms where you can buy Ethereum with a credit card.
Why buy Ethereum?
Ethereum, Bitcoin and other cryptocurrencies became the most profitable asset class in recent history and made many early investors millionaires. Moreover, many experts predict that the price of Etehreum will be only increase in the long term due to multiple applications of the Ethereum blockchain. So the answer to the question of why buy Ethereum is simple. By investing a little in this digital currency now, you can participate in the Bitcoin revolution and make money in the long term.
Best place to buy Ethereum Australia
Australia is a developed market and has a wide range of trading platforms available. We recommend eToro or Coinbase as the best place to buy Ethereum Australia as these two companies are the largest and most reliable.
Buy Ethereum Canada
Canada is also a developed market, but it does not allow CFD trading in cryptocurrencies. Therefore, we recommend Coinbase and eToro as the best place to buy Ethereum Canada.
Buy Ethereum with Cash
While it is possible to buy Ethereum with cash, we don’t consider it a good idea unless you know the person you are buying from very well. It is always better to use popular platforms such as Coinbase App or eToro to handle transactions.
Best exchange to buy Ethereum.
Coinbase is the largest crypto company globally, and we recommend it as the best exchange to buy Ethereum. Another good option is eToro, as they allow you to buy underlying crypto-assets and store them safely in exchange wallets.
Do I own Ethereum [ETH] when I trade CFDs?
You don’t own an underlying asset when investing via CFD and only bet on the price move. So if you want to invest in cryptocurrency long-term and are interested in a buy and hold strategy, a CFD broker is not the best option. But if you’re going to speculate and profit by trading Ethereum or Bitcoin, short-term CFDs are a great option as you don’t expose yourself to security risk (i.e. risk of digital assets stolen). So while you don’t own Ethereum/ETH when trading CFDs, you can fully benefit from the price moves when trading.
Do CFD Brokers offer leverage on Ethereum [ETH]?
AvaTrade does offer leverage for forex and cryptocurrency trading, and at the moment of writing this article, it is 20:1. The leverage means that you borrow money to trade, and for every $1 invested, you can borrow $20. That means that for every $100 you put in one trade, your actual trading position could be as high as $2000. Thus, you can substantially increase your return on capital with leverage, but please remember that losses can also be higher than the original capital invested. Therefore, we only recommend using high leverage for experienced traders with substantial capital to absorb potential losses.
Can I still Short Ethereum [ETH] with a CFD Broker? And with an Exchange?
AvaTrade offers short-selling, meaning investors can open short (SELL) positions on the platform and profit from the price decline.
Is Ethereum [ETH] an excellent long term investment
That is one of the most popular questions our readers are asking, and there is a lot of debate in the cryptocurrency trading community. While many investors are still bullish about the long-term perspective of Bitcoin and Ethereum, the prices are highly volatile and are currently trading far below their peak prices back in 2017. Today, the price of Bitcoin is around $35,000, while at its peak, it was almost $20,000, and it might take a while for it to get back.
But the price volatility of Bitcoin, Ethereum and other cryptocurrencies presents an excellent opportunity for day-traders to make a profit. For example, many of our readers who trade with cryptocurrency trading robots such as the Bitcoin Revolution or Ethereum Code report at least 30-40% in monthly profits. Social Trading platforms such as ZuluTrade also offer excellent opportunities to follow performing trading strategies and invest alongside experienced traders.
Can you buy less than 1 Ethereum ETH?
Yes, you can buy less than 1 Ethereum/ETH. With CFD brokers such as AvaTrade, FOREX.com or eToro, you can start investing with as little as $10.
How do I buy Ethereum ETH stock?
Ethereum/ETH is not a company, and therefore it does not have a stick or share. However, you can buy the underlying asset via the exchange or invest in Ethereum/ETH via Contract for Difference or CFD.
Is there an Ethereum ETH ETF
Over the last three years, there have been many attempts by traditional finance market players to launch cryptocurrency ETF, but so far, unsuccessful? SEC, the US financial regulator, did not approve that yet, but several interested parties are lobbying this matter. Hence, it is possible that shortly we will see Bitcoin and Ethereum exchange-traded funds.
How to buy Ethereum ETH using a credit card
You can’t just buy Ethereum/ETH with a credit card directly. But if you use CFD brokers like AvaTrade or eToro, you can use a credit card to deposit the funds to the platform and invest in Ethereum that way.
How to buy Ethereum ETH with Bitcoin
You can buy Ethereum with Bitcoin, one of the best CFD brokers. That is very similar to any traditional forex transaction, but in that case, the base and the quoted currencies would be cryptos. If you want to buy Ethereum with Bitcoin, you can use one of our recommended broker platforms – eToro, FOREX.com or AvaTrade.