Ethereum: What is it, how do I buy it and will Ethereum make me rich?

One ETH is currently worth around £2500


Warning: This is not professional financial advice

With the astronomic rise of Dogecoin that we’re witnessing right now, everyone seems to want a slice of the action – and we’ve noticed a sizable shift with other cryptocurrencies, such as the world’s second-largest cryptocurrency to Bitcoin, Ethereum. Ethereum has just hit its highest value to date, sitting at around £2500 currently. However, you’re likely here because you’re wondering whether you should be getting involved and even if it’s actually too late to do so.

So, am I too late to the Ethereum hype? Can Ethereum make me rich? And how do I actually buy Ethereum in the UK? Here’s a full guide on everything you need to know when it comes to Ethereum.

ethereum

The value of Ethereum has risen dramatically over the last year

What is Ethereum?

Ethereum is the second-largest cryptocurrency with a market cap of £288 billion. For those that (perhaps inadvisedly) aren’t bothered about how it actually works or what Ethereum is, Reddit’s “explain like I’m five” definition is probably the closest you’ll get to understanding.

“[Ethereum is] a worldwide computer that is formed by lots of computers talking to each other, just like Bitcoin is a worldwide Excel spreadsheet that is formed by lots of computers talking to each other.

“No one can turn it off, no one can tamper with it, and it runs exactly as programmed – because no one can, at the same time, break into the houses of all of the thousands of people running the lots of computers talking to each other – and turn those off or change something about the way they run”

How do I buy Ethereum for myself in the UK?

It gets really confusing going onto Reddit because you’ve either got Americans shoving their favourite non-UK platforms into every thread or business accounts telling you why you should go with their option.

However, from my personal experience from sleuthing through various forums to find the easiest platform to use has led me to Coinbase – which is where I have bought all of my crypto to date. Yes, the fees are known to be slightly higher, but that’s a worthwhile trade-off for someone who uses the site once every month or so. Here’s how to get started:

  • Go onto the Coinbase website and make an account. You will need to have documentation to hand to verify that you’re a real human being.

 

  • Fund your GBP wallet. This is done by clicking on “Portfolio”, finding “British Pound” in the list, and then clicking “Deposit” on the right. Make sure to closely follow the instructions – the reference has to be exactly the same.

 

  • Now that you have money in your wallet, find Ethereum under “Prices” or “Portfolio” on the left-hand side, and follow the instructions to purchase.

 

  • “If you don’t have the keys, it ain’t your car.” Download the Coinbase Wallet app and follow the instructions to transfer your crypto from their site (which is susceptible to cybercriminals) to the wallet where it will be a lot safer.

 

Are you too late to the hype? People are split, but Ethereum is known as one of the more reliable options to invest in along with Bitcoin. Clue yourself up by watching some investment YouTubers like Andrei Jikh, and make a decision based upon how much risk you’re willing to take.

Related stories recommended by this writer:

• How to buy Dogecoin in the UK: A step by step guide for beginners

• Dogecoin: What is it, how do I buy it and can Dogecoin make me rich?

• The unexpectedly wholesome backstory of the Doge meme