How to buy Ampleforth online
This beginner’s guide introduces you to the AMPL coin. Read on to find out why it’s different from other cryptocurrencies, what shapes its long term prospects, and where to buy Ampleforth.
Compare where to buy Ampleforth, and open an account
If you’re ready to buy AMPL coins now, visit one of the brokers below. We’ve assessed all the best cryptocurrency brokers to help you pick which one is right for you. To learn more about Ampleforth, keep reading.
What is Ampleforth?
Ampleforth (AMPL) is a cryptocurrency that maintains a stable value by adjusting its supply in response to demand. Like Bitcoin, Ampleforth records all transactions on a decentralised blockchain; however, unlike Bitcoin, it has a fixed value instead of one that fluctuates over time.
In this way, AMPL is a stablecoin, but rather than pegging its value to a fixed asset it simply adjusts the supply as the demand changes. Ampleforth was formed in 2018 and can be used as a hedge against both fiat currencies and other cryptocurrencies, or as an inflation-proof digital asset that will maintain its purchasing power.
How does Ampleforth work?
Ampleforth works by rebasing its currency every day in response to changes in demand. AMPL’s target value is $1, so whenever the price goes up, Ampleforth issues more coins to bring it back down. When the price falls below $1, it destroys coins to reduce the supply.
The crucial part is that rather than owning a set amount of AMPL coins, each holder owns a percentage of the entire supply and those holdings are never diluted. Instead, the amount of AMPL you have in your wallet changes every day. Using ‘elastic supply’ in this way means AMPL’s value is entirely disconnected from any real world asset, or even the performance of other cryptocurrencies.
How to buy Ampleforth online – a step-by-step guide
Step 1. Find an exchange to buy Ampleforth
The first thing to do when you want to buy Ampleforth coins is to find an exchange. You can buy Ampleforth with a fiat currency, like USD, or by using a cryptocurrency like Bitcoin.
Here a couple of the top exchanges:
- Binance: With Binance you can trade more than 100 cryptocurrencies. Binance has more trading volume than any other exchange and so is a great place for most crypto trading. Sign up for Binance >
- BitMEX: A platform for trading cryptocurrencies with Bitcoin, BitMEX lets you use a variety of advanced trading strategies like leverage and futures trading. Join BitMex now >
Step 2. Sign up and fund your account
Before you can start trading you’ll need to sign up and verify your exchange account. Verification is simple, done with a copy of photo ID and is usually done inside a day. Funding your account is a case of depositing your fiat currency (like GBP, USD, or EUR) and you’re good to go.
Step 3. Buy Ampleforth
To buy Ampleforth you just need to find the current AMPL price and click buy. The process is almost the same for Bitcoin: just look for the AMPL/BTC price and execute the trade.
Step 4. (Optional) Get a suitable wallet
The exchange you choose will let you store your coins with them. If you want a bit more security, you can get your own personal wallet instead. Personal wallets can be a mobile app, accessed through your browser, or hardware wallets with the coins held on a USB stick. In each case, you have a private key that is the only way to access the coins.
Here are two wallet providers you can try first:
- Guarda Wallet: Guarda Wallet is a flexible wallet with web browser, desktop, and mobile options. It includes an option to trade your coins direct from the wallet with an integrated exchange. Sign up for Guarda Wallet >
- KeepKey: A popular hardware wallet, KeepKey stores your private key completely offline, so it’s secure even if it comes into contact with an infected computer. Join KeepKey now >
How to trade Ampleforth – a step-by-step guide
Step 1. Find a broker
If you want to use a broker to trade AMPL you should find one with low trading fees. Ampleforth isn’t available to trade on many brokers yet, but top ones like eToro and Plus500 are usually the first to offer new coins.
Step 2. Deposit money
You can fund your brokerage accounts with fiat currency. Brokers usually let you trade cryptocurrency directly with fiat currency, so as soon as you deposit you’re set to start.
Step 3. Decide how you’d like to trade
When your account is funded, you have a few different options for how to trade. You can trade contracts for difference, which are a way to speculate on AMPL price moves without owning the coin itself. Another way is spread betting, where you can bet on overall market moves.
Step 4. Start trading
After you’ve decided how to trade, the last step is to get going. Broadly speaking, you have to answer a simple question when you start trading: do you think AMPL is going to go up or down? If you think it’s going to go up, you should back it to rise – known as ‘going long’. If you think it’s going to fall, go ‘short’.
The more experienced you are as a trader, the more you can start to think about advanced strategies like trading with leverage. Using leverage means putting up a small percentage of the overall trade – ‘the margin’ – while your broker puts up the rest.
Using leverage is a way of making much bigger bets on market moves but you should remember that you’re always liable for the losses. Trading with leverage opens up the potential for big losses as well as big wins and should be treated with caution.
It’s a good idea to take some time to think about investing, especially when it comes to cryptocurrency. To help you decide whether to buy Ampleforth, here are some pros and cons, followed by a few more questions to consider.
- An alternative way of investing in cryptocurrency
- The benefits of decentralisation without the risks of extreme volatility
- Can be used to diversify your portfolio
- The underlying mechanics can be a bit confusing
- Not going to see big spikes in value during crypto ‘booms’
Finally, below are three more questions to help you decide if you should invest in Ampleforth.
1. Is it a good time to buy Ampleforth?
More than most cryptocurrencies, the decision over whether to buy AMPL depends on your investing goals. In the long term, you can use Ampleforth as a way of diversifying your holdings, or as an alternative to stablecoins like Tether or DAI, which are backed by real world assets.
There are fewer options for short term traders, but there are arbitrage opportunities for more experienced traders to benefit from the changes in supply. Any investor should always track the latest analysis for things that might affect the AMPL price, and you can do that below:
2. What problem does Ampleforth solve, and what are the coin’s investment prospects?
Ampleforth solves the problem of volatility that affects most of popular cryptocurrencies. Most stablecoins have their value pegged to some kind of asset, whether that’s a fiat currency, commodity or digital asset. AMPL is free from all of those influences, with its value maintained automatically by Ampleforth’s technology.
AMPL’s investment prospects are quite disconnected from the rest of the cryptocurrency market. It’s a way of diversifying your holdings and hedging the risks of investing in volatile cryptos or fiat currency. Its elastic supply works both ways, however: you aren’t going to see big spikes in value.
If you are going to invest in AMPL, make sure you understand how it works. It’s important to know things like when the rebase takes place – 1pm EST every day – as well as any news that might affect its price. You can follow all that latest news below:
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3. Do you want to hold Ampleforth for the long term?
Ampleforth is a good long term investment if you’re looking for an alternative to Bitcoin, or for a stablecoin that could have real world use. Otherwise, it’s a way to spread out your risk using a completely different type of crypto asset to most of the currencies available.
Considerations for a long term investment strategy
Long term investors might want to decide whether they prefer Ampleforth to other stablecoins available. It could be a good investment if you’re looking for a coin that might have future real-world use, or as a way of diversifying your portfolio. In that case, you should find an exchange and buy AMPL straight away.
Considerations for a short term trading strategy
Short term traders should think about whether AMPL is volatile enough to create opportunities. Some traders who understand arbitrage might be able to take advantage of fluctuations in its value. Regardless of your level of expertise, finding a broker with low fees is crucial to trading successfully.