A Beginner’s Guide to Buying and Selling NEO Cryptocurrency in the USA
Thinking about buying NEO?
NEO creates financial products on a blockchain and was developed to offer lesser fees and a more scalable network than Ethereum.
The platform is known as the “Chinese Ethereum” since the NEO Foundation is based in China and shares some resemblance with the Ethereum network.
The upsurge of the cryptocurrency market in the last few months has led to the popularity of the NEO exchange. Now, there are more exchanges offering trades and transactions for the crypto asset. If you want to invest in NEO, buying the cryptocurrency is no longer as difficult as it used to be.
This guide provides the steps you should take when purchasing NEO from a crypto exchange in the USA.
What's in This Guide?
- QUICK GUIDE: HOW TO BUY NEO IN THE USA
- Where To Buy NEO In The USA
- A Step-by-Step Guide to Buying NEO in the USA
- How To Sell Your NEO Token
- Things To Consider When Buying NEO In The USA
QUICK GUIDE: HOW TO BUY NEO IN THE USA
- Open an account with a cryptocurrency exchange.
- Verify your account.
- Go to the deposit section
- Go to the platform and select NEO.
- Enter how many NEO coins you want to buy.
- Check the details and confirm your purchase.
Where To Buy NEO In The USA
Are you searching for how to buy NEO in the USA? Well, there are hundreds of crypto exchanges and brokers in the USA. This can make it hard to know which platform is right for you.
List of the best Exchanges to buy NEO in the USA:
Looking where to buy NEO in the USA right now? Below you will find 4 of the best brokers that allow you to buy NEO in the USA.
- Binance - Best exchange to buy NEO USA for asset diversity
- Coinbase - Best exchange to buy NEO for beginners
- OKEx - Best broker to buy NEO USA for low-cost
A Step-by-Step Guide To Buying NEO In The USA
Step 1: Open an online account with an exchange
Set up an account with an exchange that supports NEO in three steps:
To buy NEO tokens, you need to one an account with a crypto trading platform that allows its users to trade in the token. There are several crypto exchanges in the USA that support the NEO cryptocurrency.
While choosing an exchange, you need to select one with a large user base. This means it will be easier and faster to buy or sell the NEO cryptocurrency since it will be more liquid.
Also, it’s important to provide the exchange information about yourself, including your name, email address, and your employment details. You will also need to provide your residential address, birthday, and Social Security Number. All these are required for the Know Your Customer (KYC) policies all exchanges in the USA are required to keep.
Step 2: Buy a wallet
The second step is an optional one because you can own NEO tokens without having a wallet.
Crypto wallets are used to safely store your tokens. But many crypto exchanges now offer their users the chance to keep their tokens with them. However, you will need a crypto wallet if you intend to hold your NEO cryptocurrency for a long time.
If you plan to buy and store it until it appreciates after some time, you will need a crypto wallet. You can manage without it if you plan on trading your assets regularly on the exchange. In this case, your registered exchange will provide the custody service for you.
There are two main types of wallets you can get to store your NEO tokens: software and hardware wallets.
The software wallets are safer than keeping our tokens with an exchange because it gives you full control of your tokens. They are also generally free to use, unlike in exchanges where you need to pay some fees for the custody service.
Software wallets are computer programs that are available online that you can access anytime.
On the other hand, hardware wallets are more secure than software wallets because they offer a physical means of keeping your NEO tokens. With a hardware wallet, you can keep your NEO tokens offline and away from hackers who can pounce on vulnerabilities in exchanges and online wallets.
Step 3: Buy NEO
If you have ever bought stocks before, buying NEO also has a similar process. There are two main order types when buying NEO in an exchange: a market order and a limit order. The former is the actual price of NEO at the moment while the latter allows you to buy the token when its price dropped to your predetermined expectations.
If the market price drops to the level you have specified, the order will be automatically filled and the number of tokens you requested will be credited to your crypto account.
But before ordering or purchasing NEO, you need to link your bank account to your crypto account to facilitate transactions.
As a newbie, you are required to buy the token using your fiat bank balance. Many exchanges accept either credit cards, debit cards, or direct bank deposits. These options come with their respective fees, so it’s important to select which one is more convenient for you.
Check Out: Will NEO Make Me Rich in 10 Years?
How To Sell Your NEO Token
If you are looking to trade with your NEO token daily, there is no need to keep your tokens in a wallet. The exchange will hold your crypto as you trade on its platform.
As a day trader, it will be inconvenient to transfer your NEO tokens from a wallet anytime you want to sell them. Once your NEO token is in your exchange’s account, you can proceed to the page where the right NEO/USD pair is listed.
Fill in the sell order and review it afterward before sending. The dollar equivalent of the sold NEO crypto will be credited to your exchange account. You can proceed to withdraw the amount to your account or use it to purchase more tokens.
Things To Consider When Buying NEO In The USA
The NEO cryptocurrency is no doubt a popular token among hundreds of crypto assets available today.
But before buying the token, it’s important to consider certain things so you know you are making the right investment decision.
Consider the project behind the token
Just like stocks, cryptocurrency prices can be impacted by the companies backing them. If the project behind the token is doing well, there is a high chance the price of the token will surge in the market. The NEO Foundation has a strong team behind the NEO token, but it’s still necessary to carry out more detailed research to find out whether it will be a viable investment for the long term.
Protect your crypto wallet
If you are going to store your NEO token in a wallet, you need to preserve your wallet key properly. If it is lost or compromised, your crypto funds could go forever. Unlike in a traditional fiat currency market, crypto holders who lose access to their accounts are highly unlikely to recover them. If possible, you can store your NEO token in a hardware wallet where hackers will be unable to reach it.
Understand that the crypto market is very volatile
One of the mistakes many new investors make is to jump into the industry thinking they will make massive returns within a short time. While that is possible, many of them have lost a lot due to frustrating prices.
The cryptocurrency industry is one of the most volatile industries in the world, so you should tread carefully when investing in the market.
Check Out: Neo Price Predictions
The NEO token has increased in price in recent months, and both retail and institutional investors are rushing to enter the market. The token is still on an upward trajectory. That means there is a high chance of making a good fortune for those who are going to invest now.
If you’re looking for the best way to buy NEO tokens in the USA, the above guide will help you a lot. You can choose the right exchange, get a crypto wallet, and trade your NEO cryptocurrency with ease on the selected exchange.
eToro USA LLC; Investments are subject to market risk, including the possible loss of principal. This is not meant to be tax advice or financial advice of any kind. The above information we compiled from online tax forums. Please, consult a CPA or lawyer if you have questions about filing your tax return, forms to use, or what is/is not taxable. eToro is not a tax advisor.