The decentralized finance ( DeFi ) are a hot topic in the industry criptomonedas. Most of DeFi’s infrastructure is built on Ethereum, the largest and most robust blockchain network that supports smart contracts.
Smart contracts are the code that powers DeFi , allowing exchanges, financial derivatives, and even insurance to be processed on the Ethereum blockchain .
With the affluent demand for the Ethereum network, transaction costs have skyrocketed. This makes it difficult for retail investors to use DeFi on Ethereum, as transactions can cost more than $ 50.
Like Ethereum, Solana uses smart contracts to host decentralized applications ( dApps ). However, Solana’s unique parameters allow for significantly lower transaction costs, while increasing the speed of the network.
Next, discover what Solana is, and how to buy the cryptocurrency in 3 easy steps.
What is Solana?
Solana is a smart contract-enabled cryptocurrency that uses proof-of-stake and proof-of-history consensus to secure its blockchain .
Instead, Ethereum uses a proof-of-work consensus , which increases transaction costs on its network.
To understand the differences between Ethereum and Solana, you should familiarize yourself with these different consensus models.
Proof-of-work consensuses use computational power to secure blockchain transactions. Bitcoin, for example, also uses proof-of-work consensus , although Ethereum is currently in the process of upgrading its blockchain from proof-of-work to proof-of-stake .
The proof-of-stake consensus uses validators with a financial stake in the cryptocurrency to verify transactions on the blockchain.
In many cases, anyone can become a validator as long as they have enough cryptocurrencies to use as collateral on the blockchain.
Cryptocurrency collaterals serve to keep validators in check: if guarantors attempt to introduce fraudulent transactions, their cryptocurrencies are confiscated .
The proof-of-history consensus works by adding what is essentially a timestamp to the blockchain.
In this way, transactions can be verified based on when they are sent using a verifiable delay function. Unlike the proof-of-work and proof-of-stake consensuses, the proof-of-history consensus records a transparent sequence of transactions, when they occur.
Brief history of Solana
Although the Solana (SOL) cryptocurrency token was just launched last year, the Solana Foundation has been busy with this task since 2017, when Anatoly Yakovenko and Greg Fitzgerald left Qualcomm , to start the Solana Foundation .
The token began trading in April 2020 at USD 0.75 and throughout the year, Solana roughly doubled in price.
In 2021 Solana gained the attention of the mainstream, rapidly ascending to the 10th largest cryptocurrency by market capitalization . Solana is currently trading at $ 67 per coin and has a market capitalization of more than $ 19 billion.
Solana’s rapid price recovery, from recent lows around $ 23, shows that investors are eager to bet on the future of blockchain.
How to buy Solana
1. Open an account online
Unfortunately, most of the popular cryptocurrency trading platforms have yet to add support for Solana. Being such a promising project, Solana is likely to be added to more cryptocurrency exchanges in the near future.
Right now, your best option is to use Crypto.com to invest in Solana.
To open an account at Crypto.com , you will need to enter an email address and create a password.
You will most likely also need to provide personally identifiable information to the website for tax purposes. Once your identity is verified, you are ready to start investing.
2. Buy a wallet (optional)
Before investing in any cryptocurrency, you should consider where you are going to store it.
It is not recommended that you store your cryptocurrencies in an online exchange, as exchanges are a great target for hackers.
Many exchanges have been hacked in the past. The only reason you should keep your cryptocurrencies on an exchange is if you are trading short-term. Instead, you should store your cryptocurrency in a hardware or software wallet.
Software wallets are free-to-use applications that allow you to store your cryptocurrencies safely on a PC or mobile device.
Hardware wallets are the safest way to store cryptocurrencies, since they store your assets offline, on a physical device.
3. Make your purchase
You can buy Solana on Binance using Bitcoin or USDT. Tether (USDT) is a stablecoin pegged at $ 1, so it simulates an investment in fiat currency.
Some cryptocurrency investors like to trade against Bitcoin, as this provides a metric to measure the performance of an investment.
You can place your buy order as a market order or a limit order.
Market orders are executed instantly at market price, while limit orders are executed if the cryptocurrency reaches a specific price that you can specify. However, if the cryptocurrency never reaches that price, your order will not be executed.
The best cryptocurrency exchange for Solana
Solana is available to clients in the US on some notable exchanges, including Binance, Coinbase, and Crypto.com.
If you are in the United States, then Coinbase is a great place to start investing in cryptocurrencies, as it is one of the oldest and most established cryptocurrency exchanges in the industry.
Additionally, Coinbase is a publicly traded company, so you can rest easy knowing that your funds are in good hands.
Binance is another great option for investors around the world.
The trading platform has a higher volume than the rest of the cryptocurrency exchanges. Even small market cap altcoins are on Binance. Additionally, Binance has a wide variety of altcoins to invest in. Given this, many operators go to this exchange in search of cryptocurrencies.
The best cryptocurrency wallets for Solana
Best Hardware Wallet: Ellipal Titan
In almost every way, Ellipal Titan is the best hardware wallet on the market. The wallet has 2 storage solutions: a hot wallet (mobile app) and a cold wallet (a physical device). Both are interoperable, allowing you to easily manage your cryptocurrency portfolio directly from the application.
Ellipal Titan has a sleek design with a large touch screen. In addition, the wallet does not use cables or bluetooth to connect to the application. Instead, the wallet uses QR codes, the safest way to transfer cryptocurrencies (since you need to physically scan the code to access your funds).
Although Ellipal is typically more expensive than its competitors, the company is currently offering a $ 30 discount as a special promotion. Applying the discount, the Ellipal Titan becomes a great deal, especially considering its premium features.
Best Software Wallet: Trust Wallet
Trust Wallet is a free-to-use mobile wallet that supports a wide variety of cryptocurrencies. If you ever plan to invest in tokens that use Binance’s smart chain, then you will need a software wallet like Trust Wallet to interact with Binance’s decentralized ecosystem.
Remember to save your initial phrase somewhere safe, as you will need it to recover your funds if you lose access to your account.
Trade, sell or convert your Solana
If you plan to actively trade with Solana, you will need to leave your funds on Binance to do so. If you are buying Solana to maintain it, in the long term, then you will need to transfer your tokens to and from your cryptocurrency wallet when you want to make transactions.
It is a good idea to average the purchase price as well as the selling price. Since cryptocurrency investments are so volatile, averaging your purchase helps reduce some of the risk associated with its volatility.
Current cryptocurrency prices
The cryptocurrency market has exploded this year, after large institutions such as Tesla and Paypal have expressed support for blockchain technology and Bitcoin.
While Bitcoin’s annual returns have been impressive, in terms of percentage gains, cryptocurrencies like Ethereum and Solana have done much better.
It is a good idea to keep an eye on the cryptocurrency markets to get an idea of how prices are moving.
Is Solana a good investment?
If Solana can truly compete with Ethereum, then the cryptocurrency can be a solid investment by 2021.
Ethereum still has the largest infrastructure on its blockchain , including decentralized exchanges (DEX), non-fungible tokens (NFT), and automated lending protocols.
If Solana is not able to build its infrastructure before Ethereum migrates to proof-of-stake , then it is unlikely that Solana will be able to compete with the Ethereum network, given the scope that network effects have on the industry. cryptocurrencies.
How to Create Account in EXMO step by step
In this article you will learn how to register in EXMO in 2022, as you well know it is a cryptocurrency platform to trade, as well as buy and sell digital currencies. Next, we are going to make you a quick and easy guide to create your account.
How to open an account in Exmo.com step by step
Access the official website of EXMO to be able to register for free.
At the top right you will have a Registration button, click on it and there you will open a form to place basic data such as username, email, telephone, password and its confirmation, as well as the acceptance of terms and conditions of the platform.
Likewise, if you want you can subscribe to receive news you just have to activate the option. then activate the captcha and click on “Registration”
Phone and email verification
They will send you an SMS to the registered phone to place the verification code and give it confirmation. The same will happen with the email, in which they will send you an email with a link to confirm the account and activate it.
Once you have completed all the registration, you must verify your account, this is quite important that you do it so that you do not have limitations, it is a financial platform and as such, by regulation you must verify your identity and address.
- For identity, you can do it through your ID, passport or other identity document, also a selfie with the document, you can support yourself by linking the mobile if you do not have a webcam.
- In the case of the address, it would be verified with a bill for services such as electricity, water or other document where they can verify your location or residence, this is to raise the limits further.
- For the card, you need to enter your card details and even take a photo and attach it.
Ideally, you should verify everything, but the first thing is the identity, in which you will be required name, surname, middle name in the case you have. Secondly, you will be asked to identify what type of document you are going to use to identify yourself, for example, the DNI.
After that, you must upload a photo of the front and back of the identity document, if you do not have them at hand, you can do it with your mobile and send it to you by mail or web whapsapp or another application, and then upload it from the computer.
Once this is done, it will request a selfie with specific details, where you must write down on a paper the word EXMO, followed by the date of the day of the photo and hold the DNI without covering anything, there you capture the photo and attach it, with these steps you will already be in the process of verifying the identity.
Likewise, you can do it to verify the address with a receipt and in the case of the card you must do the same, they are similar processes quite simple, the idea is that you complete the entire registration process.
Another important point regarding registration is the security configuration in which you can add extra protection and have two-step authentication. Likewise, you can observe other options such as personal information, which you can review carefully.
How to create an account on Poloniex step by step
In this article you will learn how to register with Poloniex in 2022, it is a cryptocurrency trading platform, where you can trade with margin or leverage and you can also do hodl. Here’s a step-by-step way to create an account on Poloniex.
Go to the official website of Poloniex
Access the Poloniex registration page to later follow the step by step that we will give you to register for free.
Select “Sing Up”
Once you are on the platform you must select in the left menu “Sing Up”, where you must enter the email and password, the latter you must confirm it. Additionally, you must place the referral code (optional), as well as accept the terms and policies that govern this page.
Verify your email
Once the previous form has been completed, you must check the email where a link will be sent for the purposes of verifying the email, in order to continue with the account registration process.
With the email and password data entered, we select “Log In” and access. Among the important things that there are is the “profile”, where you will have to verify your account.
If you want to apply margin for trading or leverage you must verify your profile in “Upgrade” you will be able to select other aspects that will help you verify your identity, you will probably be asked to upload a file, such as a photo of the DNI or an invoice to verify the address.
Then, in the event that you want to use the future option that allows margin up to one hundred leverage, you have to have verified these things.
This request is totally normal, since it is required by all financial platforms by legal issue, with this you would already have verified level 2 and with it you would not have any type of limit.
Right now, you could make all kinds of deposits, normal purchases with certain fairly high limits.
Two-factor authentication verification
To protect your account you can activate 2FA this is double authentication code, so you must enter a code apart from the password to be able to log in.
How to Invest in Cryptocurrencies on Skrill
If you are one of those investors who do not like to deal with many complicated orders, but prefer to hold long-term, then Skrill is an excellent alternative for you. With the simplicity that characterizes it.
But the question is, how to invest in cryptocurrencies within Skrill? The answer will be shown in this article.
But first log in to your Skrill account, then you could already start the step by step that will be shown below.
Access Skrill’s Cryptocurrency Investment Options
Like any financial platform, Skrill puts at your disposal tools so that you can invest in cryptocurrencies within yourself, doing so in a simple and comfortable way. To access these tools, below, we will describe the following procedure:
Within the home screen of your account, in the left sidebar, find and tap on Cryptocurrencies.
Important: It is likely that when you enter this section, you will be asked to accept some terms or similar.
Once there, you are presented with different options in terms of cryptocurrencies. From among these, you will select Invest now, clicking on this option.
Once you access that section, you will be shown an extensive list of existing cryptos in Skrill. In each of which, you are given a Trade option. If you click on any of these, you would enter their trading options.
When you have entered the crypto you chose, you will see a Buy – Sell panel.
Ways to trade cryptocurrencies in Skrill.com
In this buy-sell panel or trading box, you will have some options that will allow you to perform these operations:
Steps to buy cryptocurrencies within Skrill
First of all, talking about the purchase of cryptocurrencies in the Instant mode (which is the usual one), you will be able to do the following:
Select the currency in which you want to buy cryptos.
Set the amount to spend that, for its purposes, must be a minimum of 10 EUR (You are also shown the balance you have available).
Select the cryptocurrency in which you are going to invest.
See what you are going to receive in cryptos in equivalence for what you have invested.
See the commission you will be charged for that transaction.
When you have everything ready, then you can click Next.
After this, you will be able to see the summary of the entire operation; you will be told everything you have added, such as the amount and what you would receive, and also the commission charge, which will be added to the total amount to be spent. If you agree with everything, you can click on Confirm.
Steps to Sell Cryptocurrencies within Skrill
There is not much to comment on in the case of selling your cryptos within Skrill, as they are basically the same steps as in the case of the purchase:
You establish the type of crypto that you are going to sell (and that logically, you should own).
You indicate the amount of cryptocurrencies to sell directly or, if you prefer, using the percentage indicators.
Select the currency in which you want to receive the funds in equivalence.
See how much you will receive, in the same way as the previous case.
Having this ready too, you would click Next.
Following this, you must also click on Confirm in a summary similar to that of the case of the purchase, where you will see important data with which, if you agree, you can proceed to the respective confirmation.
Some other options that Skrill gives you to trade
The options you have in Skrill to trade are very practical and easy to use. And for your convenience, they are not numerous. Here’s what you can find on Skrill for when you want to trade on it:
The Portfolio section
In this section you have at hand some useful things for your negotiations, such as:
The Watchlist, with which you can keep abreast of the indices of your cryptos in the market.
Alerts and orders. With these options you are given the possibility to mark an index within the cryptocurrency, which, if the price reaches it, this will be notified to your email or mobile, as you have it configured.
Recent activity. It is the section where you will get your last financial movements, when it comes to purchases and sales, as is logical.
The Trade section
Within this section, you can do what you are told below:
Visualization of Graphs. This will allow you to take a look at the stock market movement in a not at all complex interface (you can also see the current trend that the market has in terms of sellers and buyers).
As you can see, the trading system within Skrill is not complicated. They are few and simple options, but with the same utility for people like you who do not want to get too entangled in the stock market issue, but to play it safe, but in a simple way.
This tutorial summarizes it this way so that you have a general idea when investing in cryptocurrencies within Skrill.