Ethereum has a number of benefits beyond Bitcoin, and no, we’re not talking about the price per coin. Ethereum forms the basis of smart contracts and asset management systems, creating a business case for its adoption by businesses, bolstering its value and long-term outlook. Here are some tips for when you want to know how to buy, sell and trade Ethereum in Australia.
Understand Your Objective
Are you planning on buying Ethereum as an investment in the technology, since many businesses will want to buy Ether so they can integrate smart contracts into their operations? Then you’ll want to buy Ethereum on an exchange or some other platform where the future business buyers will be. Or are you buying the cryptocurrency in the hope that it will go up in value? You’ll want to use a platform that lets you buy and sell quickly.
Another factor to research is how easily you can liquidate your profits and move it to your bank account. The ability to convert Ethereum into an alternative currency of your choice and a long term reliable storage medium is critical.
Create an Account with an Exchange Service or Brokerage
One of the simplest solutions to acquiring Ethereum is to buy it through a brokerage or an exchange. These brokerages and exchanges let you pay for the cryptocurrency in several different ways. They often let you trade a different cryptocurrency you already have for Ethereum. They’re sometimes available worldwide, giving you the immediate ability to trade and sell cryptocurrency to people all over the world. If you want to learn how to trade Ethereum, these instructions on investing in Ethereum network are some of the easiest to follow.
There are people who manage to be paid in Ethereum for their services or receive it as donations to run their blog; a few receive Ethereum as part of an affiliate program. These individuals should consider setting up an account with an exchange service or brokerage so that they can convert it into money to pay the rent or any other currency they require.
Understand the Laws Involved
If you profit on the sale of Ethereum, know that you will need to pay taxes on it. You can avoid most capital gains taxes if you use the Ethereum to buy something instead of withdrawing its value as cash. But understand what taxes you’ll need to pay and when in order to avoid problems. If you’re buying equipment and paying a hefty electric bill while mining cryptocurrencies, you may need to set yourself up as a business so that you can deduct those business expenses from your business income, minimizing your tax bill. If in doubt, consult with a tax expert familiar with cryptocurrencies.
Trading Ethereum isn’t that complicated of a process. You first need to access your objectives and select a trading platform that offers the features you need. You can then create an account so that you can buy, sell or trade Ethereum as needed. But make sure that you understand the tax laws and regulations in your area before you start trading.