Discover how to buy Ether (ETH) and MATIC, which are key for transactions on Ethereum and Polygon networks, and crucial for purchasing Silver Tokens.
There are three main ways you can buy Ether (ETH)/MATIC. You can buy ETH and MATIC using a centralized exchange, a decentralized exchange, or directly from your wallet using your debit via a third party.
We’ll explain more about these, how you buy ETH, and what it has to do with Silver Token.
What is ETH?
First and foremost, what is ETH, and why should you care? ETH is Ethereum’s native cryptocurrency, which is used to pay transaction fees and computational services on the Ethereum network.
What is MATIC?
Matic is used to pay for transaction fees on the Polygon network. The polygon network is as secure and stable as the Ethereum network as it is built on top of it, but it has lower fees and faster transactions. This is why it;s our preferred network to purchase Silver Tokens and Silver Dollars.
As we said earlier, there are three main ways to purchase ETH or MATIC. You can choose the easiest and most comfortable way that suits you the best. Let’s take a look at your options:
Most wallets let you buy crypto directly using a debit card, wire transfer, or even Apple Pay, like MetaMask. Using a debit card is the fastest and most convenient method, but it usually has more fees associated with the purchase. Essentially, you get ETH in your wallet faster but pay a premium for the service.
However, depending on which method you use, this could be the cheapest, as you buy the ETH directly into your wallet. You could save on transaction fees from the two or three transactions you’d need to execute when using the CEX method.
So, how do you buy ETH/MATIC directly from your wallet, like MetaMask using your debit card?
Step 1: Login into your wallet
Step 2: Click on ETH/MATIC
Step 3: Click on buy
Step 4: Choose the amount you want to buy
Step 5: Choose the provider with the best rate
Step 6: Follow the provider’s instructions and pay
Step 7: You now have ETH/MATIC in your wallet.
There are plenty of third-party providers, known as ‘on ramps’, which we’ve used to successfully add USDC, ETH, MATIC, and other tokens to our wallets. Here’s a list of the ones we’ve used:
A centralized exchange (CEX) like Coinbase, Cryptodotcom, or Binance are great ways to use as an onramp to buying crypto assets, including ETH and MATIC. However there are downsides to holding your funds in a CEX wallet as they are the custodians of your funds, and if the company fails, you lose your funds – these aren’t insured. That’s why self-custody of your assets is the best method.
Using a CEX just as an onramp to purchase ETH, MATIC, or USDC and then transfer it to your MetaMask wallet is completely fine.
So, how do you buy ETH or MATIC using a centralized exchange?
Step1: Create an account on your chosen CEX
Step 2: Add 2FA and double-check password security
Step 3: Deposit fiat currency to your CEX account
Step 4: Purchase a 1:1 USDC (stablecoin)
Step 5: Limit order purchase ETH/MATIC using USDC
Step 6: Transfer ETH/MATIC to your MetaMask wallet
Note: In Step 4, you could purchase ETH/MATIC using your deposit, but the spread would be so high that you’ll waste money and get a worse exchange rate.
What is spread? Spread refers to the difference between the bid price (the highest price a buyer is willing to pay for an asset) and the asking price (the lowest price a seller is willing to accept for the same asset).
Usually, when you implement a market buy rather than a limit order, your order gets filled up at different prices, making it more expensive. Compared to a limit order where you explicitly say, only buy the asset at x price, no more, no less.
A decentralized exchange (DEX) is a peer-to-peer (P2P) marketplace that operates without intermediaries, such as centralized exchanges or third-party custodians like Uniswap, Pancake Swap, or DexGuru.
In a DEX, you always remain in control of your funds as you hold the private keys to your wallet. This results in trading in a trustless and transparent manner. Another bonus is that anyone with an internet connection can access DEXs without needing KYC/AML (Know Your Customer/Anti-Money Laundering) procedures.
However, it’s good to know that DEXs can have low liquidity pools with some low-volume traded tokens.
So, how do you buy ETH/MATIC using a decentralized exchange?
Note: This only works if you already own crypto assets and you’d like to trade to ETH/MATIC.
Step 1: Go to the DEX wesbite/dApp
Step 2: Connect your wallet using the ‘Connect’ button
Step 3: Choose the token that you want to swap for ETH/MATIC
Step 4: Enter the amount and double check you’re happy with the exchange rate and fees
Step 5: Hit ‘Swap’ and confirm the transaction
Step 6: You now have ETH/MATIC in your wallet.
SilverToken is an ERC-20 (Ethereum-based token) operating on the Ethereum and Polygon network. To use and transact on the Ethereum network, you need ETH, which is used to pay the transaction fees. Similarly, to use and transact on the polygon network you need MATIC.
You only need to keep a small amount of ETH or MATIC in your wallet to cover any transactions you wish to do.