How to buy Ethereum in Australia? [Guide for Complete Rookies]

How to buy Ethereum in Australia? The progress of the first virtual currency, Bitcoin, is credited with the birth of thousands of Altcoins that crypto traders and investors enjoy today. Altcoins, or alternative coins, are intended to provide alternatives to Bitcoin. While Bitcoin still remains at the top as the best crypto in terms of market cap, it’s not shocking that altcoins are gradually building a reputation for themselves in the crypto industry and piqued the interest of large numbers of traders and investors.

When it comes to the top altcoins, one crypto is hard to overlook because it has demonstrated great potential in recent years and is still evolving to improve its features – Ethereum. With a long list of digital currencies in the market sorted by market cap, Ethereum has always been the leading altcoin for the past few years, succeeding Bitcoin. To help you learn more about Ethereum and how to trade it successfully, we’ve put together a guide.

 

What Is Ethereum?

Ethereum is a blockchain platform that creates a peer-to-peer network for securely executing and verifying application code known as smart contracts, and it’s decentralised. Smart contracts enable individuals to conduct business with one another without the need for a trusted central authority. All records of transactions are irreversible, verifiable, and securely shared across the network, providing participants with complete ownership and accessibility over transaction data. User-created Ethereum accounts send and receive transactions. As an expense of processing transactions on the network, a sender must sign exchanges and spend Ether, Ethereum’s native cryptocurrency.

 

Where To Get Them?

Because of Ethereum’s broad application, ETH is a very popular cryptocurrency. It is the second most valuable crypto asset by market capitalization, trailing only Bitcoin, and can be found on almost every digital currency exchange. However, you must exercise caution when purchasing Ether from a reputable source to avoid being scammed. Choosing one of the best Australian cryptocurrency exchanges is the best way to ensure you invest safely in Ethereum.

Our top choice for buying Ether in Australia is Immediate-edge.io because it’s both trustworthy and secure. Aside from that, it allows users to communicate with professional brokers in your area, which is a useful feature to consider when deciding where to trade.

 

Determine Your Tolerable Level For Risk

There’s no getting around purchasing Ethereum without involving a lot of risks. While all investments carry some risk, cryptos are particularly vulnerable to price fluctuations. Consider the implications that a few hundred instances can have on crypto pricing: when Tesla CEO Elon Musk tweeted last year that his company would no longer take Bitcoin as payment, the coin’s value dropped 15%.

Although Ether has historically produced good returns, it has also experienced major crashes, sometimes in outstandingly short periods. Notably, it fell more than 50% from a high of more than $5000 per coin in May 2021 to less than $2500 a month later. That’s a lot of extreme volatility.

That is why, before purchasing Ether, you should consider your risk tolerance as well as the diversification and stability of the remaining portion of your investment portfolio. Experts advise never investing more in cryptocurrency than you can afford to lose.

 

Create and Fund Your Account

After you’ve decided on an exchange from which to buy Ethereum, you’ll need to sign up. By clicking the Go to site button, you can register for an account. This will bring you to the account registration page, where you can enter your information, beginning with your name and email address. You will then be required to confirm your identity and address as part of the Know Your Customer (KYC) process, which is a legal requirement for most exchanges in Australia.

Once your account has been approved, you must select a payment method to deposit funds into your account before making any purchases. Deposit funds into your exchange account or connect a credit or debit card to it to purchase Ethereum. However, some exchanges accept registration without KYC but then require it when you fund your account with fiat or buy Ethereum with a card.

 

After Buying Ethereum

There are several things you can do with ETH once you have it. The first one is simply nothing; try holding on to it. However, if you intend to keep any crypto asset for an extended period of time, we strongly advise transferring it away from an exchange for safe storage. Alternatively, you could use ETH on the exchange in other ways. Let’s take a closer look at these options:

1.      Sending It To A Digital Wallet

Transferring ETH to a digital wallet under your grasp is the best way to protect your ETH for a long time. As long as you choose an excellent wallet and apply the correct practices for keeping ETH safe in that wallet, the wallet is the safest place to keep your ETH in the long run. Once the ETH is removed from the exchange and safely stored in the wallet, it is no longer vulnerable to theft on the exchange.

2.      Keeping Them In The Exchange

There are several explanations why you should keep your ETH on an exchange. Depending on the platform, you may be able to earn a yield on your asset in a variety of ways. Some exchanges will enable you to lend your Ethereum, letting you earn a passive profit on the loaned amount. However, both choices have distinct risks, including a lack of consumer protection if your funds are lost. Finally, you may prefer to trade your ETH on a centralised exchange, where transactions are quick and cheap, rather than on a decentralised exchange, where transactions are more expensive and take longer.

Final Thoughts

Using the native Solidity scripting language and Ethereum Virtual Machine, Ethereum provides an incredibly flexible platform for developing decentralised applications. DApp developers utilize Ethereum to dispatch smart contracts with benefits from the rich ecosystem of developer tooling and formed best practices that have emerged with the protocol’s maturity.

The substantial user base of Ethereum helps programmers to implement their apps on the network, further cementing Ethereum as the main residence for decentralised applications such as DeFi and NFTs. Furthermore, the Ethereum 2.0 protocol, which is currently being developed, will provide a more customizable network on which to build DApps that require higher transaction throughput in the future.