Buy Ethereum: analysis, explanations and the best providers in Germany 2021

Ethereum - also called Ether - is the digital currency with the largest market capitalization after Bitcoin. The Ethereum course was able to do one in the last few months imposing upward trend record.

So should you get in and benefit as well? What is hidden behind Ether, where you can buy Ethereum, whether there is Ethereum buy without verification and many more Ether-related questions we clarify here.

 

67% of retail investor accounts lose money when trading CFDs from this provider.

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    What is Ethereum?

    Ethereum is that second largest digital currency, that currently exist. Different from that Bitcoin However, the Ether blockchain is based on applications, for example smart contracts, which developers can build into the network.

    Ethereum logoWith such smart contracts, users can create certain Transactions fully automated transact. The contract confirms all data and thus also ensures more security. In addition to smart contracts, dApps in connection with Buy Ethereum Austria are also an important concept.

    dApps are able to adopt different shapes and colors and can be used compare with applications in the Google Play Store. Helpful applications have become established in the financial sector, for example DeFi (Decentralized Finance).

     

    Why should you buy Ethereum?

    So Ethereum has great potential. But what are the reasons for buying Ethereum as a single user? What can you do with the cryptocurrency?

    Means of paymentInvestmentSpeculate

    Buy Ethereum as a means of payment

    Like Bitcoin, users can also use Ether as a means of payment on the Internet. There the crypto fans can Buy products and services and pay conveniently with Ethereum. In addition, users can also use ether to pay and speculate on exchanges. Buying Ethereum without verification is possible.

    The acceptance of ether as a means of payment is not yet as great as that of Bitcoin, but there are still many merchants who accept Ethereum payments. Here are a few household names where ether payments are welcome are:

    • Digitec Galaxus (Swiss online retailer)
    • cryptoart
    • Laptop power bank
    • eGifter
    • PizzaForCoins
    • CryptoPet (pet products supplier)
    • 1 EcoFarms (agricultural products)
    • More Stamps Global (Hungarian Travel Agency)

    Buy Ethereum as an investment

    First of all, the investor should be clear about whether he long or short term investment goals tracked.

    If you believe in the long-term success of Ether and want to participate in it, you should strive for a slow strategy and leave the coins in the wallet, where they are the investor Lasts for months or even years. Of course, this strategy is only successful if ether prevails over other cryptos.

    Buy Ethereum to speculate

    With short-term commercial transactions Traders can benefit from rising as well as falling prices. CFDs can be worthwhile for those who strive for short-term strategies.

    Real coins are expensive these days. With the CFDs, the Contracts for Difference, namely only fractions of the value of a cryptocurrency have to be spent. Contracts for difference are speculative transactions where speculation is made on the performance of a digital currency. CFDs are therefore suitable for investors who pursue shorter trading intervals.

    The longer a CFD position remains open, the higher it costs. So can Overnight charges reduce the return.

    67% of retail investor accounts lose money when trading CFDs from this provider.

     

    Buy Ethereum at eToro: trade Ethereum in 3 steps

    Buying ether is from a provider like eToro child's play and possible in three steps. Here is the Ethereum Buying Guide:

    Step 1: the registration

    At the broker eToro are for Creation of an account a username plus a secure password, an email address, Telephone number and first and last name required. Registration is particularly quick via Facebook or a Google account.

    Before you can go to step 2, you have to accept the terms of use and confirm data protection. The made Information is verified. Proof of identity and address must be provided.

    eToro registration

    Step 2: the deposit

    After traders have opened an account with eToro, they can click on the blue button «Deposit money»Make a deposit. An overview then appears with all available payment options.

    The merchant must now select the amount and the currency and click on «Send»Click where he can complete the transfer. After that, the money will be displayed on eToro. It should be noted that there is a minimum deposit of 100 EUR or more. This depends on the payment method chosen and the country.

    eToro deposit methods

    Step 3: Buy Ethereum Germany

    After eToro has received the money, trading can be done via the search bar above or via the menu on the left (Markets - Cryptocurrencies) be started. Immediately afterwards an overview appears where you can buy cryptos immediately. All you have to do is click on “Trade” in the top right corner.

    Buy Ethereum eToro

    In addition to ether, traders can also use other cryptos, shares, CFDs and some other assets. eToro transparently lists the fees immediately after entering the amount of the selected financial instrument. Until the order appears in the customer account, only a few seconds pass.

     

    67% of retail investor accounts lose money when trading CFDs from this provider.

     

    Which Ethereum payment options are there?

    There are various payment options available to the merchant for the Ethereum purchase:

    • Today is Buy Ethereum Paypal a matter of course and particularly useful when the transaction is to be processed quickly.
    • The Credit card payment is the easiest, but there are fees that can be high.
    • Since some crypto exchanges are not regulated and hackers could steal the cryptos, we generally recommend despite the longer processing times Deposits by bank. Bank transfers have the lowest costs and allow security even with larger sums.
    • Of course, Ethereum can too with other cryptocurrencies, such as Bitcoin, can be bought. This depends on the exchange you are using.

     

    Is it possible to buy Ethereum without verification?

    Yes, but there are risks involved. A unregulated crypto exchange Often does not use a know-your-customer procedure and does not carry out an anti-money laundering test, as a stock exchange would do.

    An unregulated exchange is therefore often not required to provide proof of identity and address. Next to the Hacker Risk There is also a risk that the tax inspectorate will freeze funds deposited into an exchange that does not comply with anti-money laundering laws.

    Buy Ethereum

     

    Ethereum course - is it worth buying the ETH?

    The development of the past few years has shown that an ether purchase can be worthwhile. Even before the hype in 2017, high returns could be generated when Ethereum recorded a price of around 1 euros.

    Im The crash followed in 2018. It is now unclear whether it is worth joining now or whether it is already too late. Some market watchers believe the crypto market is about to collapse. The lack of regulation could harm the crypto world, so the voices of the critics.

    Other experts, on the other hand, see a promising future, precisely because of the blockchain technology, which is not yet complete. A number of startups rely on the ERC20 standard to publish their cryptos. In the long term, the blockchain change the economy sustainably. Ether would also benefit from this. And smart contracts are an innovation from Ethereum.

    Incidentally, the Acceptance of cryptos is increasing. Risky ICOs are now giving way to STOs, which provide more security. There is also an active community at Ethereum that drives the further development of the digital currency and the blockchain.

    • So it can be said that ether is a promising cryptocurrency.

     

    The best Ethereum buying strategies

    Buy Ethereum strategies include:

    Buy and HoldOptions tradingSpeculate

    Buy and Hold = investment

    The aim of the buy and hold strategy is to buy cryptos cheaply and then hold them for a long time. So can Share price increases and sustainable profits be booked.

    Options trading = speculation on performance

    When trading options, the investor buys the right to buy or sell an investment object at a certain point in time at a price agreed in advance. Options are thus Speculative businesswhich can result in high profits or losses.

    Speculate = leverage and CFDs

    Another way to speculate is Leverage. With this strategy, a lever is used that can significantly increase the profit or loss. For example, a leverage of 2 means that price changes are twice as strong. The possible return, and also the risk, are therefore twice as high.

     

    Should you buy Litecoin or Ethereum?

    Whether Litecoin or Ethereum - both are promising cryptos. So let's compare the two digital currencies.

    Litecoin

    Litecoin logoLitecoin is a modification of Bitcoin with the aim of making the design simpler and more reliable and paying attention to security and anonymity. The digital currency was launched in 2011 and has a better processing speed in the network node.

    Litecoin creates a new block every two minutes and 30 seconds; Bitcoin, on the other hand, takes ten minutes. That's why Litecoin can transfer more than Bitcoin in the same period of time. The total amount of minable coins is 84 million, four times that of Bitcoin.

    The way food is transaction fees are much lower with Litecoin than with Bitcoin. Litecoin is also considered a testnet for Bitcoin. Innovations that may be adopted by Bitcoin are first used by Litecoin.

    Ethereum

    Ethereum logo smallEther is a decentralized software platform (open source) based on blockchain technology, with which smart contracts and decentralized applications (dApps) can be created. These are carried out without the control or influence of third parties.

    Ethereum is thus not a pure cryptocurrency, but serves as a decentralized ecosystem for various blockchain projects, as a kind of construction kit for decentralized applications.

    The own cryptocurrency that the open-source software platform uses is Ether. The programmability is the big advantage of ether. Many crypto fans therefore also name Ethereum Cryptocurrency 2.0. But Ethereum is more than that, because with initial coin offerings in the crowd funding area, smart contracts and decentralized applications based on Ether is remarkable.

    67% of retail investor accounts lose money when trading CFDs from this provider.

     

    Is an Ethereum wallet necessary?

    Ethereum purchaseMany crypto exchanges require an Ethereum Wallet, but not all. In general it can be said not with crypto brokers, but with stock exchanges.

    When using the wallet, it is essential to never forget the private key and not to make any typing errors in the addresses in order to Avoid total losses.

    The easiest way for a long-term investor with a blockchain interest is a broker. With a provider like eToro, the platform is responsible for the safe custody of the coins.

    If the trader buys the cryptocurrency on a stock market, so he needs a wallet, to transfer the Ether Coins to it. This is possible with any software wallet, but a hardware wallet such as Ledger Nano is recommended. MyEtherWallet or Paper Wallets are also popular.

     

    Buy Ethereum 2021 - Our Ethereum forecast

    An investment in the unregulated asset class like cryptos is always associated with risk. In addition, the price could be subject to strong fluctuations due to the lack of adaptation.

    However, we assume that Ethereum will change due to the technical possibilities of the blockchain will develop positively. Ethereum is likely to establish itself as the standard currency for blockchain-based contracts.

     

    Buy Ethereum pros and cons

    Buying ETH Blockchain has many advantages. Despite a few disadvantages, Ethereum is and will remain one of the most attractive cryptos on the market. Here are the pros and cons at a glance:

     

    Advantages

    • Decentralized finance could lead to a run on ether
    • Second largest digital currency
    • Support from experienced founders such as Vitalik Buterin
    • Realistic application scenario with a potentially huge target group
    • Compared to Bitcoin, ether is still quite undervalued

    Disadvantages

    • Cryptos are not regulated
    • General risk when investing in cryptos

     

    Our Ethereum purchase Recommendations

    Ethereum purchase forecastWe think it makes sense to invest in Ethereum and recommend buying it. The acceptance of the crypto currency is constantly increasing and the previous development also suggests that a purchase can be worthwhile. The benefits of ether outweigh; blockchain technology has potential.

    Long-term traders shouldn't forget, however, that Ether is a inflationary approach tracked. This means that if there is no adaptation, there is a risk of prices falling. If, on the other hand, there is a mass adaptation, then the previous record values ​​from 2017 are likely to be exceeded.

    Due to German tax law, we recommend Ethereum to hold for at least a yearso that the tax exemption comes into effect. In addition, cryptos are suitable for diversifying a portfolio with stocks, bonds or real estate.

    We advise newbies in particular to to invest in real Ether Coins. So even with a wrong decision you still have a residual value that would not be available with a CFD. In contracts for difference, there is only a good return or a total loss.

     

    67% of retail investor accounts lose money when trading CFDs from this provider.

     

    FAQs about buying Ethereum

    Why should one invest in Ethereum?

    Ethereum sees itself as a further development of Bitcoin technology. The smart contracts are intended to open up the areas of use in the private sector. Blockchain technology, which has not yet been completed, also makes ether an interesting digital currency.

    How much money should you invest in Ethereum?

    Cryptos like Ethereum are highly volatile. It is therefore advisable not to invest more than 5-10% of your own portfolio in crypto trades.

    Are Ethereum purchases anonymous?

    In principle, all data in the network is encrypted. However, anyone who registers with a platform that requires proof of identity waives anonymity. This serves to prevent money laundering and generally ensures more security.

    Do you need an Ethereum wallet?

    Mostly yes, but not with the regulated provider eToro. If you only speculate on the performance with CFDs, you don't need a wallet.

    About Kevin Seeberger

    Kevin Seeberger is a graduate economist with a focus on e-commerce & marketing. He takes care of various topics related to computer security, cryptocurrencies and reviews.