How to buy Maker in Australia
A Beginner’s Guide to Buying and Selling Maker Cryptocurrency in Australia
Based in Australia and looking to buy Maker? If so, All you need to do is find a regulated exchange, deposit some funds, and decide how many Maker tokens you want to buy.
Maker is an Ethereum based decentralized autonomous organization (DAO). The coin allows anyone to lend and borrow cryptocurrency without credit checks.
The Maker exchange has its native token known as MKR. It describes a protocol that enables you to redeem Dai in return for depositing Ethereum-based tokens as collateral. Maker (MKR) stands as the main utility and governance token for Maker's decentralized lending platform.
What is this guide?
This guide focuses on educating beginners about Maker and how one can buy or sell the token. The guide has been well detailed to ensure that even the freshest minds in the crypto space can understand the token and derive value from it.
Before reading this guide, you need to understand that cryptocurrencies are very risky and volatile. This means that you can lose all your investment by trading with cryptocurrencies. On the other hand, investing in crypto can also be very lucrative. The best way to understand this market as a beginner is to consult with a professional and follow renowned investors on Twitter to gain trading insights.
- QUICK GUIDE: HOW TO BUY MAKER IN AUSTRALIA
- A step-by-step guide to buying Maker in Australia
- How to Sell MKR tokens
- Which wallets can I use to hold MKR tokens?
- How does Maker work?
- Key things to consider before buying MKR tokens in Australia
QUICK GUIDE: HOW TO BUY MAKER IN AUSTRALIA
- Open an account with a cryptocurrency exchange
- Verify your account
- Go to the deposit section
- Go to the platform and select Maker
- Enter how many Maker tokens you want to buy
- Check the details and confirm your purchase
A step-by-step guide to buying Maker in Australia
Buying Maker is a very easy process that will only take you a few minutes. Maker is only offered on select exchanges to research some of the exchanges in Australia that support the token. Once you have found your ideal exchange, the process of purchasing Maker MKR tokens entails:
Step 1: Open an account on a crypto exchange
You can only buy Maker MKR tokens if you have an account on a crypto exchange. Opening an account is an easy process. All you need to provide is your name and contact information. However, you will also be asked to verify your identity for exchanges to comply with the set regulations. The exchange can ask for your government-issued ID, proof of address, or both.
You also need to follow safe internet practices when opening your exchange account. This involves setting a two-factor authentication process to protect your account and prevent chances of someone else impersonating you.
Step 2: Fund your exchange account
After setting up your account, you will need to add funds to it. You can use either your debit card or credit card to fund your account. You can add any amount of funds to your account and buy your tokens depending on MKR’s market value.
Step 3: Buy Maker MKR tokens
Once your exchange has funds, you can buy MKR tokens. The number of MKR tokens that you buy will be displayed on your exchange account.
If you do not want to buy the tokens using fiat currencies, you can also buy them using cryptocurrencies. You can exchange MKR tokens for other well-performing cryptocurrencies such as Bitcoin and Ethereum. To do this, you can select the pair that you want to trade for. A pair can be written as MKR/BTC or MKR/ETH.
As soon as you have bought your crypto tokens, you can either hold them in the exchange or transfer them to another wallet.
How to Sell Maker MKR tokens
Selling MKR tokens is also quite easy. All you have to do is go to your exchange and select the number of tokens you want to sell. You do not have to sell all your tokens at once. You can select a proportion of the tokens and have some left for further speculation.
Besides, you also do not have to sell your tokens for fiat currencies. You can sell them to receive Bitcoin or other digital currencies in return. Most of the time, people sell cryptocurrencies to receive returns. However, one may incur losses if they sold their crypto at a lower value than they purchased because of market volatility.
Which wallets can I use to hold MKR tokens?
There are two broad categories of wallets, cold wallets and hot wallets. Institutional investors who buy large amounts of MKR tokens use a cold wallet. The ideal feature of a cold wallet is that it stores your cryptocurrencies offline. They are hence less susceptible to loss and hacking.
The other category of wallets is a hot wallet. A hot wallet is like the one where you hold your crypto at an exchange. With a hot wallet, your MKR tokens will be stored online. However, hot wallets are not recommended if you hold large amounts of crypto for a long time. They are suitable for regular trading.
How does Maker work?
MKR tokens were launched in 2015. They allow holders to have governance rights that enable them to be part of the decision-making process for the company. By the year 2020, Maker had developed 1 million MKR tokens, which was worth more than $500 million.
The MKR tokens are different from the normal currencies. The tokens are decentralized as central banks and governments do not monitor them. They are also convenient because foreign exchange rates do not disrupt them. MKR tokens can be easily exchanged for any cryptocurrency.
Key things to consider before buying MKR tokens in Australia
Some factors that you need to consider before buying MKR tokens include the following:
You also need to check the volatility of the MKR token before making a purchase decision. While volatility is unavoidable in the crypto sector, you can use the token’s price history to find its lowest values, highest values, and price fluctuations.
You also need to assess whether MKR tokens are usable. You can gauge usability by checking whether the token can be used in developing DeFi projects and not just be used for speculation.
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Where can I buy Maker?
You can buy Maker from a crypto exchange. There are several crypto exchanges in Australia, so look for the ones that support MKR tokens.
Can I buy Maker using a credit card?
Yes, it is possible to buy MKR tokens using a credit card. Just link your credit card details to your exchange account.
Is investing in Maker risky?
Just like with other cryptocurrencies, investing in Maker is highly risky because of price volatility.