How to Buy and Trade Monero in 2017

The Beginners Guide to Buying, Trading and Selling Monero

What is Monero?

Monero again sits in the shadow and the mould of Bitcoin, the original king of cryptocurrencies. It has the forms in terms of it being a digital currency, based on a blockchain network that can be used as a payment system in a peer-to-peer network.

Walkthrough Video that Explains How to Buy Monero Online

Anonymity of Monero Explained

However, where Monero differs from Bitcoin mainly is in its anonymity. Bitcoin is anonymous, but it is also transparent, so even though there is no name attached to accounts, rather just a line of numbers and letters, the transactions coming and going from accounts can be seen by anyone.

This transparency has its benefits, but it also detracts a little for those who are using cryptocurrencies for their pure value to keep things secret. Anyone can view the blockchain and monitor transactions, including law enforcement, and although they will not be able to put a name to the transfers, they can keep track of transactions on this anonymous account.

Monero has a number of ways in which it keeps even the transactions from these anonymous accounts private. It is through ring signatures that Monero is able to mask the transactions and keep addresses stealth in their movement of the coins.

A ring signature combines, or mixes, a user's account keys with public keys obtained from Monero blockchain to create a 'ring' of possible signers, meaning outside observers cannot link a signature to a specific user.

It is not a new concept, as it was first described by MIT academics in a paper published in 2001, and it is not even new in the cryptocurrency space as a number of coins have the option of mixing addresses.

The difference is that it is not optional for users of Monero to use the mixing service, all transactions are mixed, and therefore they are all anonymous. Where there is a choice in terms of this secrecy for Monero users is that they have the option to share the information that has been made secret with persons they elect to. Every Monero account has a view key, which permits anyone holding it to look at the account's transactions.

It is clear where the benefit of Monero lies. Cryptocurrencies came into being through their use on the dark web with the need for anonymous transactions, however, as their popularity has grown, so has the interest from regulators and lawmakers. It is still difficult for an unwitting party to know who is behind a public key, but they can keep tabs on the transaction which could be illegal.

On Monero, there is none of that. All the transactions are private, as well as the accounts too. If there are any transactions that need to be kept totally hidden and off the radar. Monero provides that possibility.

Should I Buy or Trade Moreno?

The first place to look when deciding if Monero is indeed a good buy or a good coin to trade in is its power in the digital currency market. Monero usually finds itself in the top 10 of available cryptocurrency coins with a strong market cap that is sitting around $550 mln.

Monero has all the right attributes when it comes to looking for a healthy and strong digital currency. It is based on the blockchain and has the normal functions expected from a cryptocurrency, but it also has the added incentive of being the market leader in anonymity - something that's very important in the cryptocurrency game.

When it comes to the trading of Monero, there is room to profit, but also big room to lose, as Monero has been one of the more volatile digital currencies in times gone by.

In just over two years it has gone from being worth $.25 a coin to up to $60 - From January 2015 to May 2017. However, in that time of massive gains, it has also experienced huge swings and drops. It is these drops that make many think that Monero is too volatile and a dangerous for it to be considered a credible digital coin, but it offers plenty of opportunity for traders.

Traders buy Monero using cryptocurrencies, which is a motivating factor for them to buy and sell it in an attempt to make a profit. Traders also use the currency as a hedge for other cryptocurrencies.

Of course, beyond just trading Monero, it has a big use and acceptance on the dark web, more so than Bitcoin and even other seemingly anonymous digital currencies like Dash.

How to Buy Moreno Online - Step-by-Step Guide:

Despite being in the top 10 cryptocurrencies in the market share, Monero Is not available on all of the major exchanges, there are a few where you can buy it directly, but it is often worth taking the extra steps through more familiar institutions

This extra step involved is still not too difficult. Buying Monero essentially involves buying the cryptocurrency with another one rather than with fiat currency. From there you will make an exchange, much like a foreign currency exchange.

You will also need to create a Monero wallet, which is an account for you to send and store your Monero Once they have been bought with Bitcoin.

To create a Monero account, simply go to MyMonero.com and set up an account by providing basic information. It is created by a lead developer at Monero and is one of the easiest wallets to use for this Cryptocurrency.

1 - In order to get Monero, you will have to first get Bitcoin, and the easiest way to do this is still through Coinbase. Visit Coinbase and set up an account with the basic information, such as name, last name, email and password.

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2 - Once you are set up on Coinbase, you can begin to add payment methods. This is the beauty of places like Coinbase, it is as simple a linking your bank account, making a direct deposit into your new Coinbase wallet, and getting on with buying your Bitcoin.

Click on add a payment method and select the most appropriate one - in this instance a bank account. Because of the banking laws, there will be a period of verification as Coinbase confirms your account, it could take some time because of the upswing in popularity of Bitcoin and their exchanges.

 

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4 - Once verification is complete, you will be able to fund your exchange account with USD and from there you can make your first purchase of Bitcoin. At first, there will be little other verification needed, but as you get more vested and involved, spending and buying more, Coinbase will need more and more verification, asking you to verify your Identity and proof of residence.

5 - Next, go to Changelly, a cryptocurrency exchange, and set up an account. Once there you will have the opportunity to change your Bitcoin into Monero.

6 -  Exchange your BTC for Monero. Choose BTC for what YOU HAVE. Choose XMR for what YOU GET. Enter the amount of BTC that you bought on Coinbase that you want to exchange for XMR. The application will automatically calculate your exchange rate and fee. Select Next.

 

7 - Enter your Monero wallet address obtained from your wallet and account formed on  MyMonero.com. Select Next.

8 - Confirm your details. Select Confirm and Make Payment.

9 - Finally, in Coinbase, make a payment for the amount of BTC you entered in Step 6 to the address provided.

How to Buy Monero with Credit Card

Because you cannot, in a straightforward manner, buy Monero with fiat currency in the same way that you would buy Bitcoin, it is very hard to buy Monero directly with a credit card. It is really only safe to buy Monero with something like Bitcoin, thus if you are wanting to use a credit card to eventually end up with Monero, it will take buying Bitcoin first with your credit card.

It is quite simple to buy Bitcoin with a credit card through Coinbase, and from there, the steps to get Monero are the same as above.

Buying Bitcoin on Coinbase is simple, but a little restrictive. There is only a smaller amount that can be bought, and there is also a charge for each transaction made on the card.

How to Buy Monero with Paypal

PayPal once embraced digital currencies and made it possible to buy things like Bitcoin through its payment platform, but recently it has withdrawn somewhat and only offers users of cryptocurrency the option of depositing money from the sale of Bitcoin into their PayPal accounts. This is again done through Coinbase, and because of that, only works with Bitcoin, Ethereum and Litecoin.

To use PayPal with Monero, there is not much opportunity, but it once again has to be linked back to Bitcoin, and only be useful when depositing money. A Monero holder could sell their Monero for Bitcoin, send it to Coinbase, and then withdraw that money into PayPal for fiat currency such as Dollars.

How to Trade Moreno

Monero is hugely popular with traders, as well as darknet users, but because of its volatile nature, and huge room to grow, there is a lot of interest in trading Monero. Money is easily made by good traders on the currency and made quickly as well.

A popular trading platform that goes beyond what Coinbase can offer is AVATRADE, and just like setting yourself up with Coinbase, it is just as easy to get started on AVATRADE.

1 - Firstly, go to the website: www.avatrade.com and sign up by again providing basic personal information. In fact, AVATRADE makes it even easier offering you a choice to sign up with Facebook or even Google+.

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Once you are into your profile, you will need to fill in further personal information from your date of birth to your preferred choice of trading platform - something we will get to later.

AVATRADE is more focused on being an efficient tool for actively trading digital currencies, and other assets, so it will ask your level of experience when it comes to trading. This will help you with the level of support you need from the site.

When it comes to selecting your trading platform, if you are looking to trade Bitcoin, it is best to select Floating Spread Account with MetaTrader 4. This will give you the option to work with Bitcoin, as well as other Cryptocurrencies.

From here, you can fund your account, and much like with Coinbase, it is about linking a bank account to AVATRADE and making a direct deposit. Once there are funds present, you can buy your Bitcoin and start trading by clicking ‘Web Trading’.

From here, you can fund your account, and much like with Coinbase, it is about linking a bank account to AVATRADE and making a direct deposit. Once there are funds present, you can buy your Bitcoin and start trading by clicking ‘Web Trading’.

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The Future of Monero Trading

Monero has been going since 2014 when the first boom in Cryptocurrencies saw a number of coins come into existence. It was of course created to rival Bitcoin, and to improve upon parts of Bitcoin that many of its users were sceptical about.

Mostly Monero has addressed the transparent nature of the blockchain and the transaction that go onto it, and for that reason, it has found a niche with the warning to keep their transactions private.

However, more impressive is that Monero is the leader in this aspect ahead of other coins that are also high up on the market cap with similar processes. ZCash and Dash are also aimed at being totally secretive, yet Monero still holds them off and is a strong coin in a volatile market.

As more and more regulation comes in, and thus more law enforcement and cyber policing becomes a reality for those using digital currencies, the coins that offer totally secrecy will become more valuable. Monero has a niche market that it is dominating, and one that will attract more users as the need for pure secrecy grows in a market that is looking for pure decentralisation.

Guide list

Enjoyed this Monero guide? Then see our other cryptocurrency guides:

 

Disclaimer: None of this is intended as advice, these are merely my thoughts

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