Don’t worry if you missed out on buying into Bitcoin during its early years; the rise of cryptocurrency has only just begun. The best time to invest was years ago, but the next best time is right now! With new cryptocurrencies constantly being released and massive real-word corporate partnerships being formed all the time, the crypto scene is about to blow up in a big way. So don’t worry, even if you invest now, there are still some great returns to be made – Here’s how you can join in.
For this guide, we will be using Ripple (XRP) as an example of a cryptocurrency we want to buy. You can replace Ripple with whichever cryptocurrency you want to buy!
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There are two steps to purchasing Ripple and other cryptocurrencies:
- Buying an intermediate cryptocoin, such as Bitcoin or Ethereum, with your local currency using Coinbase.com . The link I have provided will give you a $10 discount on your first purchase of $100 or more.
- Converting this cryptocurrency to XRP with binance.com
This method is the most newbie-investor friendly, while also minimizing any wait times and trading fees. If you don’t have any cryptocurrency, start with Step 1. If you already have some Bitcoin, Ethereum, Litecoin, or other cryptos, you can go straight to Step 2.
Step 1: Buying an intermediate cryptocurrency from Coinbase
Coinbase is a website which allows you to purchase and sell Bitcoin, Litecoin, or Ethereum using your local currency with either a credit card or bank transfer. Like any other cryptocurrency exchanges that involve fiat (non-crypto) money, yes, you do have to get verified. But don’t worry, verification is simple and is processed almost instantly.
- Register on Coinbase.
- Get verified. This is simple, just upload a picture of your driver’s license or similar ID and you will be quickly verified. While you wait, head to step 2 and set up your next account.
- Spend the money you want to invest in cryptocurrency on Ethereum. This is done by clicking the “Buy/Sell” tab, selecting Ethereum, and entering the amount you want to purchase before pressing “Buy Ethereum Instantly” as shown in the picture guide below. Ethereum is preferable over Bitcoin as the transfer fees and times for Bitcoin are much higher than Ethereum.
Once you have your Ethereum in your Coinbase wallet, you can move on to Step 2!
Step 2: Converting your other cryptocurrency to Ripple
To buy Ripple, we will be using Binance. This exchange is great because it does not require identification, has free deposits, and has minimal transaction/withdrawal fees.
- Register on Binance.com
- After registering, go to the “Balances” section under the “Funds” tab (or click this link to automatically take you there) and search for the currency you wish to deposit.
- Press deposit on the crypto you purchased earlier and the site should display your deposit address. Copy this address to your clipboard.
- Go to your Coinbase Ethereum/Bitcoin wallet under the “Accounts” Tab and press send. Paste the deposit address into the “BTC/ETH address” box that pops up. After confirming, this will send your cryptocurrency to the Binance exchange, ready to be traded. The transfer may take some time, depending on how busy the exchanges are, so be patient.
- Once you have your BTC/ETH in your Binance wallet, head back to the main page and click either BTC markets, or ETH markets, depending on which currency you have. In this list, find XRP/ETH or XRP/BTC (Replace XRP with the cryptocurrency you want to buy). Alternatively, use the links below to take you straight to the exchange.
- Now, in the “Buy XRP” section, type the price you want to pay, or leave it as the current price.
- Press the 100% button if you wish to convert all of your crypto to Ripple.
- Press “Buy XRP” and wait for your order to be filled!
Congratulations, you now own some cryptocurrency! As a final tip, I recommend using 2-Factor Authentication on each site you register for to ensure the security of your investments. Happy trading, lets ride this wave together!
Securing your investment
Now that you’ve got your cryptocurrency, you should start thinking about how you’re going to keep it safe. For small quantities, or short-term holdings, you could keep it in your Binance account. But cryptos that you wish to hold for the long-term should be moved to offline hardware storage. This will protect you in the case of a security breach, or if the exchange goes bankrupt. The most popular device for offline cryptocurrency storage is the Ledger Nano S. If you have large investments in cryptocurrencies, I strongly suggest you look into purchasing one of these. The cost is nothing compared to the returns your investments will bring, so keep them safe!
After purchasing, read the comprehensive setup guide to safely store your coins.