Most people get to know about cryptocurrencies through either Bitcoin (BTC) or Ether (ETH). However, there are many other valuable crypto assets in the market. One of them is Cardano (ADA).
Cardano is a blockchain network that supports smart contracts and blockchain applications. Its blockchain ecosystem is powered by the platform’s native cryptocurrency called Cardano, or ADA. Cardano was developed by one of the founding members of Ethereum, Charles Hoskinson.
Cardano (ADA) launched in 2015 with a launch price of $0.021. As of November 2020, almost five years later, ADA is valued at US$0.164028 and there are 45 billion ADA in circulation.
Let’s see what is the easiest way for you to buy or invest in Cardano (ADA).
Summary for Fast Readers
— To make buying and investing in Cardano (ADA) as convenient as possible, choose a cryptocurrency exchange that is best suited to your requirements such as location, currency support, regulatory compliance, etc.
— Depending on whether you want to buy ADA in exchange for fiat or crypto, add funds to your exchange wallet.
— Use the exchange platform to buy ADA or invest and trade the cryptocurrency.
Step by Step Guide to Buy Cardano (ADA)
Step 1: Choose a Cryptocurrency Exchange
Whether you want to buy and hold Cardano for the long term or you want to make short-duration trades, you will need to sign up on a cryptocurrency exchange. Here are the factors you need to consider to make sure you choose the right crypto exchange for yourself:
- Availability: Not all crypto exchanges that support Cardano (ADA) are available in every country. So, the first factor you must consider is the availability of the exchange in your country. You must ensure that the exchange you choose is compliant with the laws of your country and is permitted to operate there.
- Currency Support and Pairs: In case you’re new to the cryptocurrency sector and Cardano will be your first-ever crypto investment, you will need an exchange that supports fiat currency deposits in your local currency and fiat-to-crypto trading. Or, you may also choose exchanges that do not support fiat currency deposits but they support buying of Cardano or other major cryptocurrencies using your debit or credit card.
If you already own any major crypto such as BTC or ETH, you may choose an exchange that only supports crypto-to-crypto trading.
- Crypto and Fiat Withdrawals: Some crypto exchanges support only crypto deposits and crypto withdrawals. Others may support both withdrawals and deposits in crypto as well as fiat currencies. If you prefer to withdraw your funds directly to your bank account, buy Cardano (ADA) on an exchange that supports fiat withdrawals.
- Regulatory Compliance: Always try to check that the exchange you buy Cardano from is regulated and legal in your jurisdiction. Unregulated exchanges may pose a great risk to your funds.
Step 2: Create an Account
After finalizing an exchange platform to buy Cardano (ADA) from, you need to sign up on the platform and complete the KYC process. For KYC, the exchange may ask you for your name, phone number, national identity, and address proof. Once you upload all information, the exchange will authenticate your identity and allow you to start investing in Cardano as well as other cryptocurrencies.
Step 3: Fund Your Account
Upon KYC approval, you will be able to fund your account with either fiat or cryptocurrencies. If you’re on a fiat-to-crypto exchange, you may add your local currency and start investing in ADA from the trading portal. If you choose a crypto-to-crypto exchange, you will have to deposit a cryptocurrency that is paired with ADA on the platform.
Step 4: Buy Monero and Start Trading or Investing
After adding the funds, you can buy Cardano by choosing the currency pair and executing a trade on the trading portal. If you plan to hold Cardano for the long term, you may move your ADA coins to a personal cryptocurrency wallet for more safety. But for trading regularly, it’s better to keep your coins on the exchange wallet.
Where Can You Buy Cardano?
Here are some of the best exchanges that list Cardano for buying and selling:
- Bitfinex: Ranked four by CoinMarketCap, Bitfinex is one of the oldest and most trusted crypto exchanges that list Cardano.
- Binance: As one of the largest crypto exchanges, Binance has the highest Cardano trading volume.
- Bithumb: Another popular exchange that allows trading Cardano (ADA) and is available across many countries globally.
- KuCoin: One of the most popular exchanges that allow buying and selling Cardano.
- Kraken: Among the oldest crypto exchanges, Kraken can be a good fit to buy and sell Cardano.
FAQs About Buying and Investing in Cardano (ADA)
The price of Cardano (ADA), similar to all other cryptocurrencies and traditional assets, is prone to market volatility. If you plan to invest in Cardano, you should first thoroughly research the market and understand the risks and benefits of investing.
As of November 30, 2020, Cardano (ADA) is worth US$0.164028. The price of ADA must increase by more than 3,000% to reach $5 per unit. From a technical standpoint, it may seem impossible in the short term. But the prices of many crypto assets have been known to increase by even higher percentages.
The price of Cardano (ADA) is US$0.164028 as of November 2020. For ADA to reach $100 per unit, its price needs to increase by more than 60,000%. But crypto assets are popular for their extremely rapid price surge. So, there may be a possibility for the same in the long run.
The all-time high of Cardano (ADA) is US$1.32 per ADA. Unless the demand for Cardano suddenly surges by thousands of percent, it is highly unlikely that ADA’s price will reach $1,000 per unit.
With the availability of multiple regulated crypto exchanges across the globe, buying Cardano is now extremely easy. You can create an account on any suitable exchange within a matter of minutes and start investing in Cardano.