How to Buy Ethereum (ETH) on Binance

Ethereum (ETH) is the second-largest cryptocurrency after Bitcoin, and the first coin many people want to buy when they enter the crypto space is ETH. Buying ETH on Binance is very convenient, and there are several methods you can choose from. First, register an account on the official Binance website, and then download the official Binance App for easy operation anytime. Apple users should read the iOS installation guide to complete the App installation first.

Preparations Before Buying ETH

Complete Registration and Identity Verification

If you don't have a Binance account yet, go ahead and register one first. After registration, you need to complete KYC identity verification by uploading your ID document and completing facial recognition. Once verified, you will be able to use all of Binance's trading features.

Prepare to Deposit Funds

To buy ETH, you need to trade with USDT or BTC. The most common route is: Fiat Currency → USDT → ETH.

First, use your local fiat currency to buy USDT through P2P trading. Open the App → Buy Crypto → P2P → Select USDT → Choose a merchant to place an order → Pay with your bank card or preferred method → Wait for the merchant to release the crypto.

After buying USDT, remember to transfer it from your Funding Account to your Spot Account. Path: Wallets → Funding → Transfer → From Funding to Spot.

Method 1: Buy ETH via Express Buy

This is the simplest and most direct method, suitable for beginners.

Operation Steps

1. Open the Binance App homepage
2. Find the "Buy Crypto" entrance and click "Express Buy"
3. Choose the crypto you want to buy as "ETH"
4. Choose the currency you want to pay with as "USDT" (or pay directly with fiat)
5. Enter how much USDT you want to spend
6. The system automatically displays how much ETH you can get and the current exchange rate
7. Click "Buy ETH"
8. Confirm and complete security verification
9. Purchase successful

Express Buy will automatically execute your trade immediately at the current market price, which is very convenient. However, the price might not be the absolute best, as Express Buy usually involves a small spread.

Method 2: Buy ETH via Spot Trading

Through spot trading, you can more precisely control your buying price and quantity.

Find the ETH/USDT Trading Pair

Open the Binance App → Click "Trade" at the bottom → Select "Spot" → Enter "ETH" in the search box → Select "ETH/USDT".

Buy with Market Order

A market order means buying immediately at the current market price:

1. Select the "Buy" tab at the bottom of the trading page
2. Choose "Market" for the order type
3. Enter how much USDT you want to spend on ETH (or enter how many ETH you want to buy)
4. Click "Buy ETH"
5. Confirm the order
6. Trade completed instantly

Buy with Limit Order

A limit order allows you to set a target buying price:

1. Choose "Limit" for the order type
2. In the "Price" field, enter your desired buying price
3. In the "Amount" field, enter how much ETH you want to buy
4. Click "Buy ETH"
5. The order is placed and will automatically execute when the price reaches your set level

For example, if the current ETH price is 3500 USDT, but you think 3300 USDT is more appropriate, you can place a limit buy order at 3300. If ETH drops to 3300, your order will automatically execute.

Stop-Limit Order

This is a conditional order that can help you automatically buy or sell under specific conditions:

1. Choose "Stop-Limit" for the order type
2. Set the trigger price and the execution price
3. Enter the amount
4. Submit the order

For example, if you want to chase a rally and buy when ETH breaks above 4000 USDT, you can set a Stop-Limit buy order with a trigger price of 4000 and an execution price of 4010.

Method 3: Buy ETH Directly via P2P

Besides buying USDT first and then exchanging it for ETH, you can also buy ETH directly with fiat currency in the P2P market.

Operation path: Buy Crypto → P2P → Select "ETH" in the crypto options → Choose a merchant → Place an order to buy.

However, there are far fewer merchants selling ETH directly in the P2P market compared to those selling USDT, and the quotes might not be as cost-effective as going through USDT. Therefore, most people still choose to buy USDT first and then exchange it for ETH in the spot market.

What is the Difference Between ETH and BTC, Which One to Buy?

Bitcoin (BTC)

• The first cryptocurrency, known as "digital gold"
• Primarily positioned as a store of value and digital currency
• Has a fixed total supply of 21 million coins
• Ranked first in market capitalization

Ethereum (ETH)

• A smart contract platform where various decentralized applications can be built
• Positioned not just as a currency, but as a "world computer"
• Supports the entire ecosystem including DeFi, NFTs, Layer 2, etc.
• Ranked second in market capitalization

Which One to Buy

There is no standard answer. Many investors choose to buy both and allocate them in a certain proportion. Common allocation methods:

• Conservative: 70% BTC + 30% ETH
• Balanced: 50% BTC + 50% ETH
• Aggressive: 30% BTC + 70% ETH

ETH's volatility is usually slightly higher than BTC's; its gains might be larger during a bull market, but its drops could also be steeper during a bear market.

What Can You Do After Buying ETH

Hold Long-Term

If you are optimistic about Ethereum's long-term development prospects, you can buy and hold it long-term. As the largest smart contract platform, Ethereum's ecosystem is constantly growing.

Participate in Staking

Ethereum has transitioned to a Proof of Stake (PoS) consensus mechanism. You can stake your ETH in Binance's ETH staking products to earn annualized yields. Staking is like "depositing" your ETH to help secure the Ethereum network, and in return, you earn ETH interest.

Binance offers flexible staking and locked staking options; flexible staking can be withdrawn at any time, while locked staking offers higher yields but comes with a lock-up period.

Transfer to Wallet to Participate in DeFi

If you are interested in Decentralized Finance (DeFi), you can transfer your ETH to a wallet like MetaMask and participate in liquidity mining, lending, and other activities on various DeFi protocols. However, DeFi operations carry higher risks and are not recommended for beginners to try blindly.

Trade Other Tokens

Many new tokens require ETH to purchase them (especially on decentralized exchanges). Holding ETH is equivalent to having a "ticket" to participate in various projects within the Ethereum ecosystem.

Important Things to Note When Buying ETH

Pay Attention to Gas Fees

If you plan to transfer ETH from Binance to a wallet for use in the future, you will need to pay Gas fees (network transaction fees). Ethereum's Gas fees fluctuate wildly, and during peak times, a single transaction could cost tens or even over a hundred dollars. So if the amount is not large, it's better to leave it on Binance and not rush to withdraw it.

Follow Major Ethereum Upgrades

Ethereum frequently undergoes technical upgrades, and there can be significant price volatility before and after each major upgrade. Paying attention to Ethereum's technical development dynamics can help you make better investment decisions.

Buy in Batches

Do not invest all your funds into ETH in a single lump sum. The market is highly volatile, and buying in batches can lower your average cost. For example, if you have 3000 USDT to buy ETH, you can divide it into 3 purchases of 1000 USDT each.

Frequently Asked Questions (FAQ)

Q1: What is the minimum amount required to buy ETH on Binance?

The minimum trading amount for the ETH/USDT spot trading pair on Binance is usually just a few dollars. The minimum amount for Express Buy might be slightly higher, depending on what the App displays. You don't need to buy a whole ETH; you can buy 0.01 or even less.

Q2: Should I use USDT or BTC to buy ETH?

Most people use USDT to buy ETH because USDT is a stablecoin; spending 1 USDT is equivalent to spending 1 USD, making it easier to calculate costs. Buying ETH with BTC is like exchanging between two volatile assets, making profit and loss calculations more complicated.

Q3: How do I sell my ETH after buying it?

On the spot trading page, select the "Sell" tab, enter the amount of ETH you want to sell, choose either a market order or a limit order, and submit. After selling, you will receive USDT, which you can then convert into fiat currency via P2P trading.

Q4: Is ETH worth buying right now?

This is an investment advice question, and no one can give you a certain answer. As the largest smart contract platform, Ethereum has a strong technical foundation and ecosystem advantages. However, the cryptocurrency market is highly volatile, so invest with caution. It is recommended that you do your own research and only invest funds you can afford to lose.

Q5: Is it safe to hold ETH on Binance?

Binance is the world's largest cryptocurrency exchange and has a robust security system, including the SAFU fund (used to compensate users for losses in extreme situations). Holding ETH on Binance is relatively safe, but it is highly recommended to enable all security settings (two-factor authentication, fund password, etc.) to protect your account.