How to Buy Cardano (ADA)
Cardano (ADA) is a fast-growing blockchain asset in the cryptocurrency industry. Since its 2015 release, it’s remained one of the fastest-growing cryptocurrencies in the world. Like Etheruem, Cardano is attempting to build a blockchain ecosystem with its massively advancing technology.
What is Cardano ADA?
Just like other cryptocurrencies, you may already know about, ADA is a digital currency. It is the native token of the Cardano network. One could use this digital coin to send and receive funds or store value. It’s based on the Cardano blockchain and runs of mathematical and scientific principles. Cardano ADA is a decentralized, open-source, cryptocurrency. It was created in 2015 and released for trading in 2017.
How to Buy Cardano Online
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You can purchase Cardano online by following the steps below.
Step 1: Get a Cardano Wallet
First off, what’s a Cardano wallet? Cardano wallets are instruments that permit one to network on the Cardano blockchain. With a Cardano wallet, one can store, receive, stake, and send ADA. Some of these wallets come with built-in exchanges that allow you to exchange or buy ADA.
One of the most important features you should look out for in a wallet is safety. That’s because of the presence of numerous security threats in the crypto industry. Some people have the habit of leaving their ADA in an Exchange. Leaving your ADA coin in an Exchange is a bad idea because the coin remain in danger of getting hacked or stolen. Also, one can get occasional free ADA coin through staking them. Leaving your cryptocurrency in the Exchange means that the exchanges possess the private keys to your wallet.
How Cardano Wallets Work
When you get your own Cardano wallet, you generate two keys, the private and public keys. You use the public key to generate the wallet address of your ADA wallet, you can share this address when you’re ready to receive your ADA.
The private key is useful for when you’re sending some ADA. The key is used to sign the transactions digitally before they’re added to the Cardano blockchain ledger. You should keep this key private and not share it publicly.
Types of Wallets
There are two types of Cardano wallets, hot and cold wallets.
These are also known as software wallets. They are internet-connected wallets that one can use to manage ADA. These can be in the form of custodian wallets and exchanges that hold control of your private and public keys. These wallets are hardly safe. An old crypto saying explains that one never truly owns coin until they own the keys to the coin. The saying emphasizes just how unsafe hot wallets can be.
Cold wallets are also called cold storage or hardware wallets. One secure place to store your Cardano is in a hardware wallet. With this type of wallet, your private keys are kept offline in the hardware device. This removes the risk of anyone hacking into your wallet. That’s unlike the software wallets that stand the risk of getting hacked because they are online. Examples of great cold wallets are Trezor Model T or Ledger Nano X. These devices keep your private keys inside a safe chip so that there’s no chance of anyone else ever viewing them. With this type of wallet, you can safely stake your ADA. This brings passive income.
Find your Cardano Wallet Address
Once you get the Cardano wallet, the next thing to do is find your ADA address. Look out for a lengthy combination of alphabets and numerals, starting with the letter “D.”
Step 2 – Find an Exchange to Buy ADA
Binance is one of the most well-known and generally accepted cryptocurrency exchanges in the world. On this exchange, there are hundreds of cryptocurrencies, and this includes Cardano’s ADA. You can buy ADA on binance using ethereum or bitcoin.
Even though there’s an option on Binance to buy crypto with your credit/debit card or by bank transfer, this option is not available for those trying to buy ADA. Instead, an easy way to bypass this is to buy another cryptocurrency such as bitcoin and then trade it for Cardano.
To buy Cardano on Binance, first, you need to register an account on Binance. Secondly, locate the “Funds” button, then the “Deposits.” From here, go to your Bitcoin address and deposit the BTC you want to exchange. From there, find the “Exchange” button, then go to “Basic” and look for the ADA/BTC pair. Finally, locate the “Market” button and enter the total sum of ADA you want to purchase. Click “Buy ADA” to execute your order.
This Exchange is among the oldest crypto platforms around. When you buy ADA coin on Coinmama, these coin are sent to you instantly. This is much better than other sites that decide to hold your purchase for you. The Exchange also permits users to buy Cardano with a debit or credit card or by transfer. Coinmama charges low transaction fees. Its identity verification process is also quick.
HiTBTC is a very old exchange. It allows people to trade, sell and buy in over 200 cryptocurrencies. The platform permits one to buy ADA coin by depositing real money. They also offer a wide selection of account funding methods, such as credit/debit cards, bank transfer, PerfectMoney.
like in many exchanges, before you deposit fiat money on HitBTC, you have to go through an identity verification process. You do this by providing personal details such as your full name, address, and a government identification document.
This is an expensive platform to trade. The cost of depositing funds is high, the same as the cost of withdrawing cryptocurrency. However, they have low trading fees.
Additionally, the verification process is slow for fiat money deposits, the customer support isn’t is tedious. Additionally, the platform’s interface is a bit complicated for traders just starting. There was hacking on HitBTC in 2015 which led to the loss of coin, but the platform has remained secure since then.
When trading on HiTBTC, same as any other platform, you should withdraw your ADA coin to your wallet as soon as you buy them. This is the best way to secure them.
In addition to charging low transaction fees, eToro also allows users to pay for ADA using their debit/credit card and even Paypal. This makes it an easy method of purchasing a coin. Additionally, with eToro, you don’t necessarily need to get a Cardano wallet before you buy ADA coin because the platform allows you to make your investments in fiat currency.
To buy ADA on eToro, follow these simple steps.
Sign up for an account on the platform and get the account verified. Using Paypal, a credit card, or a wire deposit, deposit some money in your account. Use these funds to buy some ADA on the platform. eToro shows you a chart to compare prices so that you can be sure you’re getting a fair price for your purchase.
This platform is a fast and cheap option for buying ADA. On this platform, one can pay for ADA using a bank transfer, debit/credit card, and Paypal. Coinbase is one of the oldest exchanges around and has a great reputation. It charges low transaction fees but on the downside, if you run into any issues while trading on Coinbase, it takes ages to get support from the Coinbase team.
There are so many other platforms that allow one to buy, sell and trade Cardano online. These include Bittrex, Kucoin, Gate.io exchange, CEX, Kriptomat, among others. When buying Cardano or any other cryptocurrencies online, trade on exchanges that are secure, reliable, and charge low transaction fees.
Step 3: Withdraw Cardano ADA Coin
The ADA coin purchase process is never complete until you have moved your coin away from a custodial wallet to a non-custodial wallet. In a non-custodial wallet, you have access to your private key, which ensures that your coin is secure. Allowing your coin to remain on an exchange puts you at the risk of theft or fraud or theft. Once you have sent the coin to your wallet, the Cardano buying process is complete.
How Many ADA Tokens Are Currently in Circulation?
Between 2015 and 2017, IOHK held five different public sales that allowed people interested in investing in this cryptocurrency to obtain ADA tokens and sustain the coin’s early development.
At the Network’s launch, about 2.5 billion Cardano ADA coin were allocated to IOHK. Another 2.1 billion ADA was allocated to an international company that develops blockchains called EMURGO. This company took part in developing the foundation of the Cardano protocol. 648 million ADA coin were allocated to the Cardano Foundation to promote the Cardano platform and advocate adoption. All this means that about 16% of the Cardano ADA coin in circulation are in the possession of the founders of the project. The other 84% are shared among investors.
What’s the future of Cardano (ADA)? Read our article to find out. >> Cardano (ADA) Price Prediction; 2022, 2023, 2024