Are you interested in buying IoTeX, but not too sure where to begin? You’re not alone. The IOTX coin is a hugely popular cryptocurrency to buy. But, for beginners, this can be quite intimidating.
IoTeX (IOTX) is a decentralized protocol developing numerous in-house technologies, pushing the boundaries of existing blockchains. This self-scaling, privacy-centric network has experienced an upward trajectory in 2021.
If you are thinking of adding this cryptocurrency to your portfolio, then we are here to offer you some clarity on the subject.
Our How to Buy IoTeX Guide will discuss the best ways for you to conveniently purchase this digital token. We will also go through what you need to bear in mind when investing your money into this asset in order to maximize your profits and limit your risks.
How To Buy IoTeX (IOTX) In 5 Steps
To buy IOTX, you will need to find a cryptocurrency trading platform that gives you access to this digital asset.
Contrary to what many beginners might believe, investing in IoTeX is a simple and easy process. Here's how to get started in just five steps:
In short, here is how you can proceed:
1. Find a cryptocurrency provider that supports the IoTeX token.
2. Create an account with your chosen crypto platform.
3. Add money to your brokerage account to buy IoTeX.
4. Find IoTeX from the list of supported cryptocurrencies on the platform.
5. Specify how many IoTeX coins you want to buy.
You can then confirm your order to complete your purchase of IoTeX tokens.
Step 1: Choose An Online IoTeX (IOTX) Broker Or Exchange
Buying IoTeX is not entirely different from purchasing other assets such as stocks or commodities. However, the process and the convenience can vary widely depending on the specific crypto platform you choose.
As with other financial assets, cryptocurrencies like IoTeX are also available on several brokerage sites. If you have some prior experience with investing or trading, you might find it easier to go for this method.
Alternatively, you can also find a cryptocurrency exchange that supports IoTeX purchases. Regardless of which platform you choose, there are a number of variables that you should analyze first - which we explore in the sections below.
The internet is home to dozens of cryptocurrency platforms. That said, as you can imagine - not every provider offers you the same level of security and transparency. If you want to separate the wheat from the chaff, the first thing you need to look for is the regulation.
So, why is this important? If your crypto platform is regulated by a respected governing body, it means that you will be treated fairly as an investor. In the UK, US, and several other countries across the world, all brokers are licensed by proper authorities.
- In order to acquire such a license, a broker has to meet certain criteria.
- For instance, the platform should keep your money in a segregated client account and submit reports regarding its operations.
- Additionally, such sites are also required to verify the identity of each and every registered user.
- These steps can go a long way in ensuring that you are buying IoTeX in a safe and trustworthy environment.
Considering these factors, when looking for an IoTeX broker - you will want to keep an eye out for its regulatory status. To give you an idea, some of the most reputable licensing bodies include the FCA, SEC, FSA, CySEC, and ASIC. If you live in the US, you might also be able to find platforms that are registered with FINRA.
Furthermore, there are also crypto brokers that are regulated by more than one financial authority - which is certainly a good indicator of their credibility and legitimacy.
Having said that, you will find that a majority of prominent crypto exchanges dominating this space are actually unregulated. Although they might provide a top-notch service and easy access to IoTeX, the lack of a proper financial license will only add to your risk exposure.
No matter which crypto provider you use for buying IoTeX, you will want to keep regulation in mind as the top priority in your filtering process.
When thinking of how to buy IoTeX, you will be presented with multiple payment methods. As usual, this will vary depending on the broker you choose, as each platform supports different deposit and withdrawal options.
It goes without saying that if you have a preference when it comes to your payment method, you will want to ensure that your chosen broker supports that. All options have their own merits and drawbacks, related to fees, processing times, and transfer limits.
- For instance, debit and credit cards continue to be among the most popular payment methods.
- The advantage is that these are swift and instantaneous options that will allow you to buy IoTeX right away.
- However, using these might require you to pay additional fees to your brokerage platform and your service provider.
Similarly, global payment methods such as PayPal, Neteller, and Skrill are sometimes accepted by brokers, but you should always make it a point to check the fees included.
Alternatively, if you prefer a traditional bank or wire transfer, you might have to wait a few days to complete the transaction and gain access to IoTeX.
Additionally, bear in mind that most brokers operate in USD. If you have funds in a different currency, you will also want to account for the exchange rates that can occur during the transaction.
Fees and Commissions
If you are a complete newcomer to the investment space, you will need to educate yourself about the different fees and commissions associated with buying IoTeX. As with any other business, availing of the services of a broker will also incur some charges.
However, you need to know that the fee structure can be quite different from one platform to another - not only in terms of the amount but also the types of charges. For instance, when buying IoTeX, you are most likely to pay a commission:
- Let's suppose you want to buy $1,000 worth of IoTeX.
- If your broker charges you a commission of 2% - this translates to a fee of $20 (2% of $1,000).
- Now, if your investment in IoTeX increases to $2,000 - this will cost you a commission of $40 (2% of $2,000).
Commissions are also calculated differently across multiple brokerage sites. While some might charge you a flat rate, others will compute it as a percentage of your investment in IoTeX - as per the example above.
Now, what most beginners do not realize is that you are liable to pay the commissions not only when buying, but also when you sell your IoTeX coins.
- Suppose that your $1,000 investment in IoTeX is worth $3,000 at the time of selling.
- Meaning, you will yet again have to pay a 2% commission to your broker.
- This will cost you $60 (2% of $3,000).
- In total, the commission on this IoTeX trade comes to $80 ($20 + $60).
At the other end of the scale, you might also come across brokers that allow you to buy IoTeX at a commission rate of 0%. If your chosen platform falls into this category, you need to carefully look into the other types of fees applicable.
While on the subject of fees, we want to reiterate the importance of checking the charges associated with your preferred payment methods. As we mentioned in the previous section, the transactional costs can eat into your potential IoTeX profits.
Other Important Factors
Choosing your IoTeX broker is not only about finding one that offers low fees and is regulated. In fact, there are a few other aspects that will play a bigger role in dictating your experience with the platform.
- User-Friendliness: Trading sites and cryptocurrency exchanges often appear to be sophisticated and challenging for beginners. But that is not the case anymore. Today's brokers focus on providing a user-friendly interface, which is intuitive enough to adapt to the requirements of investors across all levels. Before you start making IoTeX investments, you might have the option to try out the interface in demo mode using paper money so that you can familiarize yourself with the different tools and features.
- Minimum Investment: For those unaware, the minimum amount you can invest in IoTeX is often determined by your chosen broker. Different platforms will have distinct requirements based on the asset class you choose. As IoTeX is a cryptocurrency, you will want to make sure that you can afford the investment conditions set by your trading site.
- Storage: Another factor often overlooked by first-time crypto buyers is the storage of their IoTeX tokens. Once you purchase IoTeX, you will need to move it to a secure digital wallet. This process will be much simpler if you choose a broker that allows you to store IoTeX within the platform. Otherwise, you will need to take full responsibility for your private keys.
When you have carefully considered the factors that we have discussed here, you will be able to find a reputable and regulated crypto broker that can cater to all your needs related to buying IoTeX.
Step 2: Come Up With An IoTeX (IOTX) Investment Plan
Before you rush to find out how to buy IoTeX, you will want to make sure that you know what you are going to do with your IOTX coins. This is where an investment plan comes into play - meaning you will need to develop a strategy that will help you achieve your goals.
In order to arrive at an investment plan, you will need to consider aspects such as risk tolerance and how much you can afford to put into IoTeX. That said, designing a strategy does not have to be a complicated step.
Let us tell you how you can make this simple by keeping your objectives in mind.
Long-Term or Short-Term
The first and perhaps the easiest way to map out your investment strategy is to consider how long you want to hold on to your IoTeX tokens. If you have long-term goals in prospect, then the best option for you is to store your IoTeX coins in a crypto wallet.
Now, the duration of your investment will, yet again, depend on your preferences. Typically, long-term investors elect to store their IoTeX assets for three years or more. Behind such a 'buy and hold' strategy is the belief that the IoTeX project will perform significantly better in the future.
However, in this strategy, you should be prepared to look past the short-term price fluctuations of IoTeX and focus on the wider market trends. This can take a lot of discipline and can be profitable in the long run, given that the value of IoTeX increases over the years.
That being said, it is also possible for you to profit from the small price movements of IoTeX. In this approach, you will be trading IoTeX for short durations - meaning, you will be buying and selling this digital coin within a few days, hours, or minutes.
The main difference here is that you will be targeting smaller profits but placing multiple IoTeX trades. Over time, these gains can add up, leading to substantial returns. However, this investment plan demands an in-depth awareness of how the crypto markets function, alongside several tools and indicators.
In other terms, you should have sufficient expertise to not only predict a trend but also take advantage of an opportunity without any delay. This can be challenging for many investors, especially in the early stages.
Target IoTeX Price
Deploying a strategy for IoTeX based on the time frame is only one of the possible approaches for your investment. If you are unsure about the duration, you can also buy IoTeX with a clear profit target in mind.
- For instance, let's suppose that you are keen to make a profit of 40% on your IoTeX coins.
- Meaning, if your investment in this digital coin is $100, you want its value to rise to $140.
- Upon reaching your target, you will cash out your IoTeX tokens.
This way, you are not tying yourself to any specific duration. Instead, whenever IoTeX hits your profit mark, you will sell your assets. Considering the volatility of IoTeX, it could take you a few days, months, or even years to achieve your target.
Consider Regular Investments
Those who want to adopt a more risk-averse strategy can consider making regular investments. This 'dollar-cost averaging' method is best used when you have a lump sum amount to put into IoTeX.
In this strategy, instead of staking all your money at once, you will be splitting it into equal amounts and buying IoTeX at regular intervals. So, if you have $5,000 available, you can make five $1,000 investments into IoTeX, or four different purchases of IoTeX worth $1,250 each - and so forth.
By doing this, you will be able to ride out market downturns and take a more disciplined approach to your IoTeX investment. This can be highly beneficial, especially for beginners, in order to prevent your emotions from influencing your investment decisions.
Step 3: Open An IoTeX (IOTX) Broker Account
With a clear investment strategy, you can proceed to create an account with an online IoTeX broker that best fits your desired needs. This step is easier than you think and can be completed in a few minutes.
You can begin signing up on the platform by providing your email address and setting a password. You will then need to fill out a form with your basic personal details - such as your name, date of birth, address, and contact information.
For those who have chosen a regulated broker, creating your account also involves completing a KYC verification process. This only means that you will be required to authenticate your identity, which you can do by providing a copy of your national ID card like a passport or driver's license.
Additionally, you will also be needed to submit a utility bill or bank statement that clearly states your home address.
Step 4: Deposit Some Funds
On most crypto platforms, buying IoTeX can be done only after funding your trading account. This means that you will first have to move your money to the brokerage site.
Depending on your chosen broker, you might be able to choose from a bank transfer, debit/credit card, or direct funding via an e-wallet like PayPal.
As we mentioned before, while card payments and e-wallets make way for speedy transactions, a bank transfer could take a few days for the IoTeX broker to process.
Step 5: Set Up An IoTeX (IOTX) Order
Since the emergence of online crypto platforms, you can now buy and sell assets like IoTeX simply by placing a trading order. When your conditions are fulfilled, your broker will execute them automatically.
To be able to successfully buy and sell IoTeX, it is important to understand the different types of orders you can use and when they are appropriate.
With this in mind, this section of our How to Buy IoTeX Guide will cover the basic types of crypto orders and how they can complement your investing style.
The first thing you need to convey to your broker is whether you are going to buy or sell IoTeX. If you expect the price of IoTeX to increase in the future, you will be opening your position with a buy order.
At the time you want to cash out your IoTeX investment, you can use a sell order to close your trade. For those unaware, some brokers also give you the option to benefit from falling market prices.
This 'shorting' strategy is usually used in short-term positions - where you open your trade with a sell order and close it with buy order. This will allow you to repurchase your IoTeX at a lower value - thus making a profit from its temporary decline.
Limit or Market Order
Depending on your investing style, you also have the option to decide at what price you want to buy or sell IoTeX.
You can choose a market order, which will allow you to open an IoTeX position at the prevailing market price. Meaning, your broker will fulfil your order immediately.
One crucial aspect to remember is that the quoted value is not necessarily the one you will receive upon execution of your order.
In the fast-moving crypto market, it is common for 'slippage' to occur, leaving you with a slightly different price. However, a minute variation is not likely to affect your profitability from an IoTeX investment.
The other option you have is to use a limit order, which will offer you more control over how you enter the market. This allows you to buy and sell an asset at a specific price in the future.
Your broker will execute your IoTeX coins only if the price reaches the predefined level you have set. If not, the position remains pending.
- For instance, if you want to buy IoTeX at $0.09, you could place a limit order for this amount.
- When IoTeX hits this price, the order will be filled.
- Otherwise, you will have to cancel it manually if you do not want to proceed.
When deciding between a market or limit order, you need to consider your investment strategy and the goal you are hoping to achieve.
If you want to grab the advantage of a sudden opportunity, a market order will be the best fit for this purpose. On the other hand, if you have a target entry price, then a limit order will be the right way to go.
After specifying whether you want to buy or sell IoTeX and at what price, you should mention the exact amount you want to invest in this token. This will be referred to as your 'stake' by the brokerage site.
There are several aspects to consider when determining your stake - such as your financial standing, your risk tolerance, and your investment strategy.
For instance, if you are going with a long-term method, you might be putting a large amount of capital into IoTeX. Whereas short-term investors tend to risk only small amounts as they will be placing multiple trades.
Needless to say, when you are investing your hard-earned money, you should always make sure that there are no mistakes that could have been avoided.
With this in mind, you should make it a point to double-check everything you have entered - from how much money you are putting into IoTeX, the right trading orders, and at what price you want them to be executed.
Finally, you can confirm your purchase - upon which your broker will take the right action based on your instructions. If you have set up a market order, you will be able to get your hands on IoTeX right away.
Step 6: Storing Your IoTeX (IOTX)
Although we keep our cash and cards in a physical wallet, IoTeX, being a cryptocurrency, is stored digitally. This can be hardware-based, a mobile app, or an online platform.
However, the private key (password) associated with your wallet should always be kept safely. Should you lose it, you will not be able to access your IoTeX coins.
One way to avoid this snag is to choose a regulated broker that offers an in-built wallet. Your assets will not only be safe, but you will be able to access them directly from your trading account.
Step 7: Selling Your IoTeX (IOTX)
When you are considering how to buy IoTeX, presumably, you are looking at it as an investment. In other words, at some point - you will be selling your IoTeX tokens for profit.
The process of cashing out your IoTeX investment will vary slightly, depending on where you are storing your coins.
For instance, if you have kept them within the in-built wallet of your chosen brokerage platform, you will be able to sell them directly from your account. You only have to head over to your portfolio to do this.
Once your IoTeX sell order is executed by your broker, the proceeds from the sale will be available for you to withdraw.
On the other hand, if you have stored your IoTeX tokens elsewhere, the coins have to be transferred to your chosen brokerage first. After this, the process is the same as above.
Other Ways To Buy IoTeX (IOTX) In 2022
As we noted earlier, the majority of brokerage sites will require you to transfer money into your trading account in order to facilitate your IoTeX purchases. However, some platforms also allow you to buy IoTeX directly using the following payment methods.
Buy IoTeX Debit Card
It is not surprising that brokers these days also allow you to buy IoTeX directly via debit card. After all, it is the most common payment method across all online platforms.
Much like any other product purchase, you will simply need to enter the card information to buy IoTeX, and your order will be filled right away.
Buy IoTeX Credit Card
You will also be able to buy IoTeX instantly by paying via a credit card. While many brokerage sites support this method, you might have to pay additional fees to your provider.
For instance, it is not uncommon for credit card providers to charge a 'cash advance fee' for online payments to crypto brokers.
Buy IoTeX PayPal
Among e-wallets, buying IoTeX via PayPal is also emerging as a popular option among crypto investors. This is another way to complete your purchase of IoTeX instantly from anywhere across the world.
Although cryptocurrency ATMs are another viable option, these aren't available everywhere. The benefit of using these machines is that you often do not have to register or verify your identity. You only have to find a crypto ATM, deposit your cash and purchase digital coins.
However, since IoTeX is a relatively new token, crypto ATMs that offer this asset are virtually non-existent at this point. In the future, even if IoTeX is added to crypto ATMs, you will find yourself paying a hefty fee of over 10% on each purchase.
Understandably, it is much easier to use a broker that can offer you commission-free access to IoTeX right from the comfort of your home.
Moreover, as we covered earlier, identity verification will only add more security to your investments.
How To Buy IoTeX (IOTX) 2022 - The Verdict
IoTeX has been garnering a lot of attention in the crypto market recently. Its role in the blockchain era is likely to help build a promising future for the coin. Our How to Buy IoTeX guide has covered all aspects that you need to know when purchasing this digital currency online.
Buying and selling IoTeX can be an easy process, given that you choose the right online regulated broker for the purpose. And as always, you will also need to be cautious and consider the risks involved when investing in cryptocurrencies like IoTeX.
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What is IoTeX?
IoTeX (IOTX) is the native digital token of the IoTeX blockchain network, which is a decentralized system focusing on collaboration and connectivity between different devices, apps, and people.
How do I invest in IoTeX?
You can invest in IoTeX by finding a regulated crypto broker that supports this digital coin. You can then create an account with the chosen platform and purchase IoTeX tokens directly.
Is IoTeX worth investing in?
The price of IoTeX has increased over the course of 2021. However, before investing in IoTeX, you need to study past performance and the project itself in order to be fully aware of the risks you are taking.
How much IoTeX should I buy?
Your stake in IoTeX is determined by your strategy, financial standing, and risk appetite. In addition, you will also need to consider the minimum investment amount set by your chosen broker.
How can I store my IoTeX?
You can keep your IoTeX tokens in a secure crypto wallet or opt for a regulated broker that offers built-in storage services.