The Step by Step Guide to Investing in Ethereum (ETH) in 2022

Ethereum is the second-largest cryptocurrency by market capitalization. It has shown great potential for growth in the past few years. In case you’re planning to buy or invest in ETH, we’re here to guide you through the process.

But before we start, let’s get rid of the common misunderstanding between Ethereum and Ether. While Ethereum is the blockchain network, Ether (ETH) is the cryptocurrency. So, in this article, we will be walking you through the process using which you can easily buy and invest in Ether (ETH), the cryptocurrency.

Summary for Fast Readers

— Research cryptocurrency exchanges and choose one that suits your requirements to buy Ether (ETH).

— Add either fiat or cryptocurrency funds to your exchange account to buy ETH. Or you can directly transact with your debit or credit card to buy ETH if your exchange supports it.

— Regularly trade ETH to gain profits or hold ETH as a long-term investor.

Step by Step Guide to Buy Ether (ETH)

Step 1: Find a Suitable Platform to Buy Ether (ETH)

If you’re investing your hard-earned money into anything, you should conduct your research before moving forward. In the case of buying Ether (ETH), you need to start by researching cryptocurrency exchange platforms. There are a number of factors that can influence how conveniently you can invest in ETH. 

To make sure you don’t end up wasting time setting up an account on the wrong platform to buy ETH, consider these factors:

  • Location support: Most cryptocurrency platforms do not operate throughout the globe. Every one of them has their services in specific regions. In addition, some exchanges may be providing services customized according to your country. So, make sure to check those exchanges out and compare them with the services provided by other global exchanges. You should choose an exchange that makes it easiest for you to deposit and withdraw funds and trade ETH.
  • Currency pairs: While most cryptocurrency exchanges support Ether, you should still make sure that the exchange you choose allows buying and selling of ETH. Additionally, also find the currencies ETH is paired with. If you’re a first-time crypto investor, you will need an exchange that either allows you to buy ETH using your local currency or through a direct debit or credit card payment. In case you already own cryptocurrencies, you can also choose an exchange that has ETH paired with other cryptocurrencies.
  • Crypto and fiat withdrawals: All cryptocurrency exchanges have their unique set of features. In the case of withdrawals, some exchanges only allow crypto withdrawals while others allow you to withdraw your funds in both fiat and cryptocurrencies. If you’re specific about withdrawing your funds in fiat currencies to your bank account, you should choose a platform that allows you to withdraw in fiat currencies.
  • Regulatory compliance: For security reasons, you should try to buy ETH from an exchange that complies with your local laws and has the permission to operate in your region.

Step 2: Setup an Exchange Account

The moment you have chosen the appropriate exchange platform, you’re more than halfway through the process of buying ETH. Now, you will need to set up an account to buy and sell ETH on the exchange platform. To do that, sign up on the platform, upload all required documents and details to complete the KYC process and wait for the approval of your profile. Once approved, you’ll instantly be able to buy and invest in ETH.

Step 3: Add Funds to Buy Ether (ETH)

After KYC approval, you can use internet banking or card payment to fund your cryptocurrency exchange account. If you chose a crypto-to-crypto exchange, you should deposit cryptocurrency funds to your exchange wallet to buy ETH. 

Step 4: Buy Ether (ETH) and Start Investing

By now, you’ll be all set to explore the world of cryptocurrencies and start investing in the world’s second-largest cryptocurrency — Ether. You can go to the trading portal of the exchange and find the right crypto-to-fiat or crypto-to-crypto pair to buy ETH. Or, you can also buy ETH through direct card payment if your exchange supports such a transaction.

If you’re buying ETH as a long-term investment, you should move your funds from the exchange wallet to your personal crypto wallet to keep them more secure.

Where Can You Buy Ether (ETH)?

  • Binance
  • Coinbase
  • DXOne
  • Gemini
  • Huobi Global
  • Bitfinex

FAQs About Buying and Investing in Ether (ETH)

Can I buy Ether with Bitcoin?

Buying ETH with BTC is very easy as both these cryptocurrencies are two of the largest coins. Almost every cryptocurrency exchange that pairs cryptocurrencies with BTC will allow you to buy ETH with BTC.

Is it legal to buy Ether?

Cryptocurrency regulations vary from country to country. Before you buy or invest in Ether (ETH), you must confirm whether your local regulations permit cryptocurrency investment or not.

Can Ether reach 100k?

The price of Ether (ETH) reached its all-time high of $1,390 in 2017. But soon, it dropped close to $100. As of December 2020, the price of ETH is close to $600. Considering such extreme price volatility, it is difficult to say if ETH can reach $100k or not.

Can Ether make you rich?

Cryptos are volatile assets. While it’s true that ETH has shown great performance over the long term, investing at the wrong time can be very risky. You shouldn’t consider any asset as a get-rich-quick scheme.

How much will Ether be worth in 2025?

Cryptocurrency prices are highly volatile. There’s no way one can predict the exact price of ETH in the next few years. It can, however, be said that if the demand for ETH increases over time, there’s a good chance that its price will increase too.

The Way Forward

Buying and investing in Ether (ETH) can be extremely easy or extremely difficult depending on what exchange you choose. You must ensure that you conduct thorough research on the exchange platform before taking any decision. Also, when you have bought ETH, take all security measures to ensure maximum safety of your funds.