How to buy Ethereum online

The #2 blockchain platform and its native token, ETH, is one of the world's top three cryptocurrencies. This page explores the history of the platform and reveals how and where to buy Ethereum.

If you want to invest in Ethereum, it is important to know all of the facts. This article explains everything you need to know before you buy your first Ethereum tokens.

Compare where to buy Ethereum, and open an account

If you are already knowledgeable and want to buy the Ether token now, click one of the links to go to one of our recommended brokers. If you want to learn more first, scroll down.

eToro
Key Features
Access the world’s most popular Crypto assets including Bitcoin, ETH, LTC, XRP
Automatically copy the trades of top Crypto traders
Deposit using PayPal + 9 other deposit options available (not available to US users)
Min Deposit
$200
United States
Start Trading View key features
Key Features
Access the world’s most popular Crypto assets including Bitcoin, ETH, LTC, XRP
Automatically copy the trades of top Crypto traders
Deposit using PayPal + 9 other deposit options available (not available to US users)
Top Coins
  • BTC
  • BCH
  • XRP
  • ETH
  • ETC
Payment Methods
Credit Card, Debit Card, Wire Transfer, PayPal, Skrill, Neteller, Yandex, WebMoney, MoneyGram
eToro is a multi-asset investment platform with more than 2000 assets, including stocks, ETF’s, indices, commodities and Cryptoassets. eToro offers over 14 Cryptoassets to invest or invest in their CryptoPortfolio where investors can benefit from the accumulated growth of Bitcoin, Ethereum, XRP, Litecoin and other leading cryptocurrencies. eToro users can connect with, learn from, and copy or get copied by other users.
CEX.IO
Key Features
Margin Trading with full legal compliance
Cryptocurrency staking
Various Payment options
Min Deposit
$20
United States
Start Trading View key features
Key Features
Margin Trading with full legal compliance
Cryptocurrency staking
Various Payment options
Top Coins
  • BTC
  • ETH
  • USDT
  • BCH
  • BTG
Payment Methods
Credit Card, Debit Card, Wire Transfer, Cryptocurrencies, Skrill
Cex.io offers exchange of fiat currency for Bitcoin Ethereum, Tether, and 23 other cryptocurrencies, as well as Bitcoin/Ethereum trading against the USD.
Binance
Key Features
Huge range of cryptocurrencies
Highly liquid
2 Factor Authentication
Min Deposit
$1
United States
Start Trading View key features
Key Features
Huge range of cryptocurrencies
Highly liquid
2 Factor Authentication
Top Coins
  • ZRX
  • LEND
  • ACT
  • ADX
  • ELF
Payment Methods
Cryptocurrencies
Binance has grown exponentially since it was founded in 2017 and is now one of, if not the biggest cryptocurrency exchanges on the market.
LonghornFX
Key Features
The broker offers access to a trusted MetaTrader trading system
Pricing is ensured to be completely transparent, also providing accuracy and speed
Trade a Wide Variety of Assets with Leverage up to 1:500
Min Deposit
$10
United States
Start Trading View key features
Key Features
The broker offers access to a trusted MetaTrader trading system
Pricing is ensured to be completely transparent, also providing accuracy and speed
Trade a Wide Variety of Assets with Leverage up to 1:500
Top Coins
  • BTC
  • BCH
  • ETC
  • ETH
  • NEO
Payment Methods
Credit Card, Debit Card, Visa, Bitcoin
LonghornFX is a true ECN STP broker dedicated to delivering a superior trading experience to traders no matter their level of experience. Their services are based on transparency, innovation and efficiency, ensuring an unparalleled trading experience for all.
Coinbase
Key Features
Trusted provider
Online Wallet
Beginner friendly
Min Deposit
$1
United States
Start Trading View key features
Key Features
Trusted provider
Online Wallet
Beginner friendly
Top Coins
  • BTC
  • LTC
  • XRP
  • ETH
  • BCH
Payment Methods
Credit Card, Debit Card, Euro Bank Account, 3d Secure Credit Card
Coinbase is one of the first places that made it easy to buy bitcoin and has since become a widely trusted exchange in the market.

What is Ethereum?

Ethereum is a blockchain platform that can be used by developers to build and run applications, and Ether (symbol: ETH) is the native currency. The platform is decentralised, meaning it is not controlled by a central governing authority like the Federal Reserve. Instead, it uses blockchain technology to democratically verify account balances and transactions, and holders of Ether can vote on governance issues.

At its core, Ethereum wants to change how apps on the internet function today. No longer do financial services require a middleman; smart contracts and miners plug the gap. A huge number of cryptocurrency platforms now run on the Ethereum blockchain and because of this, their native tokens, such as Zilliqa’s token ZIL and Tron’s token TRX, are known as ERC20 tokens.

The platform went live in 2015 after several years of development lead by founder, Vitalik Buterin. It has become increasingly popular in the last few years and the price of Ether has risen exponentially as a consequence. This growth shows no signs of slowing down with its second-generation platform, Ethereum 2.0, edging towards a release and seeking validators.

How does Ethereum work?

The internet has a long-established client-server model, and Ethereum works by replacing this with a decentralised blockchain. The platform is used by many developers to provide services that we might otherwise have never seen. From banking to betting, Ethereum functions to improve services and security through smart contracts. Its aims are more extensive than most cryptocurrencies, such as Bitcoin’s aim to singularly act as an electronic payment solution.

Ethereum advances the blockchain concept, aiming to entirely remove third parties from the data control equation. It achieves this with a network of ‘nodes’ that are run by volunteers around the world, including mining nodes. Those who mine Ethereum are rewarded by the system with proportionate quantities of ETH.

How to purchase Ethereum online, a step-by-step guide

Step 1. Find an exchange to buy with

If you are trying to work out where to buy it, the first place you should look is a cryptocurrency exchange. As one of the most popular cryptocurrencies, you are spoilt for choice. We have outlined some of the best ETH exchanges at the top of this page. Some will allow you to buy with a credit card, and others will accept PayPal payments. For now, here are two of the most reputable exchanges.

  • Binance: If you want to invest, choosing a reputable exchange that you can rely on is key. Binance’s reputation has been established by years of reliability and it has a beginner-friendly interface. You can buy instantly by opening a Binance account today >

Step 2. Sign up and fund your account

Exchanges will usually require you to verify your identity before making any transactions. Prepare a copy of your photo ID because most verification checks on exchange platforms will require one to be submitted, though this can vary from platform to platform. Many exchanges accept funds in the form of both fiat and cryptocurrency.

Step 3. Buy your crypto tokens

Now your identity has been verified and your funds of choice have been added, your account is ready. If you have fiat currency in your account, such as GBP, go onto the exchange and look for the ETH/GBP pair. If you are buying it with a cryptocurrency like Bitcoin, look for the ETH/BTC pair. Choose the amount you want to exchange and execute your transaction. Easy.

Step 4. (Optional) Get a suitable wallet

If you want to hold onto your Ether coins to speculate on long-term price increases, an Ethereum wallet (much like a Bitcoin wallet) is highly recommended. Wallets can be online or a physical storage facility, and they add a layer of security to your tokens. As one of the most popular cryptos, nearly every wallet supports ETH. Below, we have outlined two of the top wallets.

  • Freewallet: This is an accessible and easy-to-use online wallet that can securely store your investment safely. Freewallet also supports in excess of 100 other cryptos, making it a wallet with flexible applications. If you want to store ETH in an online wallet, consider opening a Freewallet account now >
Binance
Key Features
Huge range of cryptocurrencies
Highly liquid
2 Factor Authentication
Min Deposit
$1
United States
Start Trading View key features
Key Features
Huge range of cryptocurrencies
Highly liquid
2 Factor Authentication
Top Coins
  • ZRX
  • LEND
  • ACT
  • ADX
  • ELF
Payment Methods
Cryptocurrencies
Binance has grown exponentially since it was founded in 2017 and is now one of, if not the biggest cryptocurrency exchanges on the market.

How to trade Ethereum, a step-by-step guide

Step 1. Find a broker

If you want to trade ETH rather than speculating on long-term price movements, you need to quickly and efficiently use market fluctuations to open and close positions at a profit. Cryptocurrency brokerages allow you to do this easily and securely. As far as where to trade, the majority of major online brokers support Ethereum, such as eToro and Plus500; major and reliable exchanges like these are the best places to trade Ethereum.

Step 2. Deposit money

Crypto brokers allow users to fund their accounts using fiat currency like, GBP, USD and EUR. One important thing to note is the trading fees; make sure you keep an eye on them because they can quickly accumulate.

Step 3. Decide how you’d like to trade

Developing a great technical trading strategy is something that takes time and commitment, but the reward can be dramatic. Such a strategy will reference key indicators and different trading methods like spread bettings, CFDs, using leverage, and shorting. Start developing your trading strategy today with our beginner’s guide to technical analysis.

Step 4. Start trading 

Your trading account is now primed to trade, but are you? If you are an inexperienced trader, we recommend starting out with a demo account so you can get the hang of things before putting your money on the line. Once you feel familiar with how the market works and are comfortable with the risks, you can get started trading.

When trading Ether, you can take a long position or a short position. Choosing a long position would mean that you have invested in ETH in the belief that it will rise in value, whereas opting for a short position means that you have an expectation that it will fall in value. Both of these are potentially profitable trading methods, and you should choose one based on your own due diligence.

Investors can also trade with something called leverage. This is a service provided by a broker that allows you to gain exposure to more ETH than your directly staked. However, whilst this can maximise your profits, it enhances your vulnerability to the market moving against you. If you are a beginner ETH trader, we would advise you to steer clear of leverage until you have some more experience.

eToro
Key Features
Accepts customers from the USA
Offers 15 crypto coins to buy&sell including BTC, LTC, ETC, NEO and more
Trade on the world's leading social trading and investing platform
Min Deposit
$50
United States
Start Trading View key features
Key Features
Accepts customers from the USA
Offers 15 crypto coins to buy&sell including BTC, LTC, ETC, NEO and more
Trade on the world's leading social trading and investing platform
Top Coins
Payment Methods
Wire Transfer, Bank Transfer
eToro offers a wide range of cryptos, such as Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro users can connect with, learn from, and copy or get copied by other users.

Still undecided?

Pros

  • Prevalently used across a multitude of industries
  • Impending ETH 2.0 launch promises significant improvements including a much-heralded shift from Proof of Work (PoW) to Proof of Stake (PoS)
  • Ethereum is a well-planned project developed over a number of years unlike some other cryptocurrencies

Cons

  • The launch of ETH 2.0 is not guaranteed to be plain sailing; there may be teething issues
  • Ethereum might be the leading enterprise blockchain right now, but nothing is stopping its rivals from competing if they can develop more quickly

If you still aren’t ready to invest in Ethereum, here are 3 key considerations.

1. Is now a good time to buy Ethereum?

The answer to this question depends on whether you are a long-term investor or a short-term investor. Investing with an eye on long-term value could prove to be profitable as decentralised finance (DeFi) continues to increase in popularity. Ethereum is currently the leading enterprise blockchain, and if version 2.0 can help cement its position at the front of the pack, the price should increase in the long term.

Shot-term investors who want to trade for an accelerated profit do not need to pay as close attention to the fundamentals. Instead, they should focus on price charts, trends and indicators to inform their trading decisions as the market fluctuates. Making trades at the right time can prove to be lucrative if you learn how to do it properly.

Regardless of your approach to buying Ethereum, Invezz helps solidify your investment decisions by providing regular analysis. Check out the latest articles below:

All major cryptocurrencies have weakened this Sunday, and this situation also has a negative influence on the price of Ethereum (ETH). Bitcoin has moved again below $45000 support, indicating that the price could fall even more in March. Fundamental analysis: The new blockchain will process thousands of transactions per…
Ethereum (ETH) price soared nearly 15% on Tuesday to touch a new record high of $1,440.  Fundamental analysis: Ethereum continues as Bitcoin takes a break Ethereum reached its previous all-time high of $1,420 in January 2018, helped by Bitcoin’s rally at the end of 2017. In a similar fashion,…
Ethereum (ETH) price has continued to move higher in the recent days with the price action now approaching the 50% level of the Dec 2017 – Dec 2018 sharp drop. Fundamental analysis: PoS transition Staking has become a driving force in the crypto world in only a year. Apart…

2. What problem does Ethereum solve, and what are its investment prospects?

Ethereum removes the middleman from online financial services. No longer does a central governing body preside over transactions; the system works independently and democratically. This is seen as a big win for those who oppose the monopoly that banks have historically held, and also for those who want to hold and exchange assets outside the current financial system.

If its growth is anything to go off, Ethereum’s long-term investment prospects look promising. Crypto is becoming an increasingly popular space, and as Ethereum is at the forefront of it, the price of its token stands to benefit. If 2.0 can further accelerate the growth of the platform, it could increase in value at an even greater rate. To ensure its success, Ethereum must fend off its competitors, mitigate the impacts of potential regulation and continue to innovate.

Check out the most recent news below to keep informed:

Christie’s, a renowned British auction house is planning to go the crypto way. A report unveiled this news on February 18, noting that the London-based auction house seeks to accept Ether (ETH) as payment for an upcoming digital art auction. Reportedly, the…
After pledging to offer support for ETH 2.0 staking last year, Coinbase exchange has launched a waitlist for the revamped Ethereum network. The exchange unveiled this news through a blog post on February 16, noting that this launch would let its users sign up and stake…
Ethereum (ETH) reentered price discovery mode just four days after reaching an all-time high of $1,764 on Friday. What’s the reason behind the current price increase, and should you buy some ETH now? Fundamental analysis: DeFi sector and institutional inflows push the price up The second-largest cryptocurrency by market…

3. Do you want to hold ETH for the long term?

You can either hold your coins for the long term or trade them in the short term, and both strategies have different positives and negatives. When choosing one of these strategies, the main considerations that you should make are outlined below.

Considerations for a long term investment strategy

If you expect Ethereum’s growth to continue, buy some from an exchange and store it in a wallet. When trying to discern if Ethereum is a good long-term investment or not, make sure to conduct some kind of fundamental analysis, similar to how you would analyse a stock.

Considerations for a short term trading strategy

If trading for short-term gains is your priority, sign up to a broker with low trading fees and conduct technical analysis. This will be key to unlocking value. If you spot a pattern, you should be able to make an educated decision about if it is a good time to buy, or if it is a good time to sell.

Written by: Charlie Hancox
Charlie joined the Invezz team in 2021. He previously worked in the mining and natural resources sector, providing in-depth analysis and incisive journalism. Charlie's experience with financial markets and investment reinforces a growing team.