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Ethereum Classic is an open-source public blockchain which features smart contract scripts and is, therefore, very similar to another cryptocurrency, Ethereum. Today, Ethereum is much more popular than Ethereum Classic, but the latter is a fork of the former. The story which led to the creation of Ethereum is, in some ways, unfortunate, as it involved the theft and eventual recovery of over $50 million.
You can invest in Ethereum Classic on the following CFD trading platforms:
While the majority of Ethereum advocates moved to the new cryptocurrency, a small number remained with the Ethereum Classic project. Although the coin still has some potential to support software developments, it is mostly viewed as a speculative altcoin. As a result, Ethereum Classic has caught the attention of cryptocurrency traders, and as its popularity gained traction, so have the different ways to buy Ethereum Classic.
Before you decide which service platform to use to buy Ethereum Classic, you should decide which method or methods of payment will be used. The choice today is greater than ever, but not all platforms support the same payment methods. Once you do find the right platform, buying Ethereum Classic normally involves the following steps:
While Ethereum’s ticker code is ETH, Ethereum Classic’s code is ETC. Today, ETC has a market cap of around $538 million, which ranks it as the 21st biggest cryptocurrency. In comparison, Ethereum ranks 2nd, with a market cap of over $19 billion. Nevertheless, Ethereum Classic’s price volatility attracts cryptocurrency traders and investors, looking to benefit from these movements.
Buying Ethereum Classic with a credit or debit card is one of the easiest ways to get hold of the cryptocurrency. The convenience and mainstream use of cards for payments means that numerous exchange and trading platforms accept this method of payment. Furthermore, buying Ethereum Classic with a credit or debit card will easily convert your card’s currency into one of the platform’s supported currencies.
Coinbase is an example of a reputable cryptocurrency exchange where you can instantly buy Ethereum Classic with a Visa or Mastercard. Based and regulated in the US, Coinbase is one of the few exchanges which ensures the assets of its users against unlawful losses, such as cyberattacks. As a result, the exchange is used by millions across the world and supports payments in USD, EUR, GBP, CAD, and AUD.
Other examples of platforms which allow you to buy Ethereum Classic with
a credit or debit card are:
PayPal is another popular online payment method and is one of the first examples of a global eWallet solution. This payment is fast and secure, and you can use PayPal to buy Ethereum Classic on several platforms.
eToro is one such example. You can use this trading platform to buy Ethereum Classic Contracts For Difference (CFDs) using PayPal in EUR, GBP or USD currencies. These advanced and risky financial instruments gain their value from that of the cryptocurrency but allow larger trades using leverage. With millions of users worldwide, eToro is ideal for investing in Ethereum Classic and a variety of other cryptocurrencies and assets.
Another reputable Ethereum Classic CFD trading platform which accepts PayPal is XTB:
Due to the high fees associated with accepting PayPal, exchange platforms, which normally have tighter margins than trading platforms, often opt out of accepting this payment method.
The bank transfer remains a popular way to buy Ethereum Classic and other cryptocurrencies online. While they are slow and can be inefficient, several platforms accept bank transfers since they don’t incur any fees, unlike accepting credit card or PayPal. This often means that if you buy Ethereum Classic with a bank transfer, your platform will not charge you any deposit fees.
Coinmama is one such example, charging a 5% processing fee for Ethereum Classic purchases made by card, but charging absolutely no fees for payments made via bank transfer. The exchange platform is a favourite by both novice traders and experienced investors, due to the fast verification process and the higher daily limits.
Other platforms which accept the payment of Ethereum Classic via bank
With increased regulation in the cryptocurrency sector, it has become especially difficult to buy Ethereum Classic anonymously. Unlike other digital currencies, such as Bitcoin and Litecoin, very few, if any Ethereum Classic ATMs exist anywhere in the world.
As a result, the only way to buy the coin anonymously would be to deal directly with a seller you find online. This method is extremely risky since you risk sending payment without ever receiving your Ethereum Classic in return.
A less risky method which allows you to maintain a certain degree of anonymity is to use Changelly. This cryptocurrency exchange requires you to provide basic personal information but does not follow it up with a request for an identification document. It is, therefore, a better way to buy Ethereum Classic anonymously.
Today, the cryptocurrency industry has evolved to such an extent that you can buy Ethereum Classic both online and offline. With a variety of cryptocurrency exchanges, trading platforms and brokers available online, the Internet is the most popular channel to buy Ethereum Classic. Nevertheless, it is still possible to buy the coin offline, using cash or other traditional methods.
Buying Ethereum Classic from an online exchange or broker platform is the most popular way to get hold of this digital currency. Such platforms invest heavily in securing their networks and can protect themselves, their users, as well as their assets. Most platforms also offer ancillary services, such as trading tools and educational support.
Using cash to buy Ethereum Classic is, in most cases, impractical and challenging, but still possible. Due to the lack of Ethereum Classic ATMs, the best way to buy the coin using cash is to locate a seller or broker who is based in your area and set up a face to face meeting. Although not as risky as an online transaction with a stranger, this method can still lead to a scam, so insist on the deposit of your Ethereum Classic in your wallet while you are both still present.
As with other less popular altcoins, the other option would be to purchase Bitcoin with cash via an ATM and then transfer that BTC into a trading platform such as BitPanda. From there you can exchange that BTC into ETC.
While many first-time traders would use fiat currency, such as EUR or USD to buy Ethereum Classic, other traders might want to use another cryptocurrency. Depending on the exchange platform, you can trade Ethereum Classic for Bitcoin, Ethereum, Litecoin, and a host of other digital currencies.
Binance is amongst the most popular cryptocurrency exchanges for trading one currency for another, since it supports over 460 different ones. Up to some time ago, Binance only supported crypto to crypto transactions, although it recently introduced payments by card. Nevertheless, trading Ethereum Classic for another cryptocurrency and vice versa remains one of the cheapest and fastest ways to get hold of a cryptocurrency.
Other reputable cryptocurrency exchange platforms which accept crypto to
crypto trading include:
Although more governments and authorities are lifting the barriers to cryptocurrency ownership and trading, there are still certain jurisdictions where the sector is outright banned. In other countries such as the US, the industry is allowed to operate but several restrictions are in place.
Due to these geographical restrictions, users from certain countries cannot be onboarded by a number of exchange and trading platforms. US users, for example, are not able to open an account with Binance, ChangeNOW or BitMEX. Furthermore, due to the ban of CFD trading in the country, IQ Option and XTB are also banned, while eToro limits its features.
Similar restrictions are active in other parts of the world, including Australia, where IQ Option and BitPanda are not supported. On the other hand, users in Europe, including the UK, are generally accepted by the majority of CFD trading platforms and cryptocurrency exchanges.
While buying Ethereum Classic coins and then selling them for a higher price is one way to make money from the currency, if you plan numerous trades per day, this process could quickly become inefficient and possibly expensive. For these and other reasons, Ethereum Classic CFDs came to be, offering serial investors the possibility to benefit from the cryptocurrency without having to physically own it.
Ethereum Classic CFDs are traded on trading platforms, in a similar way to how the cryptocurrency is traded on exchange platforms. However, reputable CFD trading platforms allow you to use leverage in order to trade on margin, thus opening a much larger trade, with the potential of generating a considerably higher profit. Ethereum Classic CFDs also offer you the possibility to short sell, thus benefitting from a drop in the Ethereum Classic’s price.
Trading Ethereum Classic CFDs is a high-risk investment strategy since the use of leverage also has the potential of magnifying potential losses. You should only trade CFDs if you understand the risks involved and can afford to lose part or all your invested capital.
Before you buy Ethereum Classic you need to ensure that you own a wallet which can support it. Although many reputable cryptocurrency exchanges offer an in-built wallet, others do not. In such cases, you will need to provide a wallet address before you can buy your digital currency.
Digital wallets, such as the ones offered by cryptocurrency exchanges, or alternatives such as Exodus or Guarda Wallet, offer a certain degree of safety, but since they can be accessed remotely, they are subject to potential cyberattacks. It is, therefore, much safer to use wallets which are disconnected, and these are known as hardware wallets.
Since Ethereum Classic is not as widely used as the top 10 cryptocurrencies, it can be harder to find a wallet which supports it. Fortunately, top hardware wallets, such as Ledger Nano S and Ledger Nano X support Ethereum Classic, along with over 1,000 other cryptocurrencies.
If instead of buying Ethereum Classic you decide to invest in ETC CFDs, you needn’t worry about secure storage. Trading CFDs does not involve the purchasing of the underlying asset, in this case, Ethereum Classic. Therefore, you get to benefit from correctly speculating on the future price movement of the currency, without ever having to worry about the costs and logistics of storing it securely.