Ethereum is an open source project built for smart contracts and decentralized applications. There has been a growing demand for Ethereum and PayPal is one of the most trusted payment options in the world. It would, therefore, be convenient to buy Ethereum with PayPal.
Today at BlockchainBiome, in this tutorial, you will learn how to buy Ethereum with PayPal and where to buy.
There are lots of people asking,
Can I buy Ethereum with PayPal?
Yes, You can Easily. Just follow the steps given in this guide below.
Ethereum is fast growing and some blockchain enthusiasts even predict that its value is going to skyrocket so much so that it would one day overtake even Bitcoin. Ethereum is an open source blockchain network that has splendidly risen to prominence.
Before we get to the various ways of buying Ethereum, let’s look at what Ethereum really is.
What is Ethereum?
Ethereum is built to run smart contracts and decentralized applications.
Smart contracts can be thought of as protocols that ensure the execution of a digital contract. A smart contract runs on top of the blockchain and contains rules that all nodes in the network agree to and abide by.
Decentralized applications are those that have no central authorities or central servers that take care of the process. The entire application is run on the blockchain and the nodes are responsible for maintaining the network.
Origin and features of Ethereum
Ethereum was built with the intent of developing an alternate protocol to develop blockchain dependent decentralized applications.
The Ethereum protocol was built to be as simple as possible. Any operation that tries to add complexity without being absolutely necessary were omitted from Ethereum.
Another standout feature of Ethereum is its universality. Ethereum offers a solid base for programmers to build upon to develop smart contracts and decentralized applications.
If a programmer intends to create a new cryptocurrency with Ethereum, he can very easily do so. All he would have to do is set the new currency as a smart contract. The smart contract feature has enabled many new cryptocurrency tokens to enter the crypto market.
Ethereum was designed to be as separable as possible. The entire system can be broken down into modules. This modularity has ensured that the application would continue to run even when changes or modifications are done to certain smaller aspects of the application.
The development of smart contracts and various decentralized applications can be done rather conveniently and quickly. The Ethereum team is open to modifications and are not unnecessarily rigid. The development of Ethereum, therefore, is extremely flexible.
The non-censorship property of Ethereum also has contributed a fair deal to its success. Ethereum is built in such a way that there is no discrimination to any user or group of users.
Ethereum is run by Ether, which, serves as the fuel for the entire network. Objects called accounts exist in the Ethereum network. The account in the Ethereum network consists of four fields: nonce, ether balance, contract code, and storage.
Gas Model in Ethereum
Ethereum runs on the gas model where a certain amount of gas has to be spent to carry out transactions. Each transaction in the network requires a specific amount of gas to execute. If the amount of gas available exceeds the amount required for the transaction, then the transaction is executed.
During the execution of a transaction, if the gas runs out, then, all the operations are reverted, and the sender receives all the gas spent on the transaction back. Miners in the network are paid with a certain amount of gas for validating the transactions in the network.
To publish a transaction in the network, a miner would need to download it and verify it. This results in a significant cost to the miner. Ethereum network proposed to remove the uncertainty over the rewards received by specifying the reward beforehand. The mining reward could be set and based on cost estimations, a miner can determine whether verifying the transaction is beneficial to him or not.
Ethereum has seen large positive responses from the development and business communities alike. It has enabled businesses, new cryptocurrencies, and applications, and has set a standard for developing on the open source blockchain.
I’m sure you must be seeking for the ways to buy Ethereum, so let’s directly come to our point.
How to Buy Ethereum with Paypal Account Instantly?
Buying Ethereum using PayPal directly is not easy.
It would be much more convenient to buy Bitcoin using PayPal and then trade Bitcoin for Ethereum on one of the currency exchanges.
Steps to buy Ethereum via Paypal:
1. Buy Bitcoin using Paypal.
The following cryptocurrency platforms or exchanges allow you to buy Bitcoin using Paypal.
2. Exchange the bought Bitcoin for Ethereum.
The following cryptocurrency exchanges allow trading of Bitcoin with Ethereum.
Buying Bitcoin using PayPal
xCoins is not exactly the most appropriate Bitcoin exchange and is considered to be fraudulent by many.
xCoins connects lenders to buyers, instead of connecting sellers to buyers. Lenders have Bitcoin in their accounts and select the interest rate at which they wish to lend the Bitcoin.
Buyers select from a wide variety of loans that are presented to them and can choose the one that they desire. The payment can then be carried out through PayPal. This loaning process certainly is fishy, and many users have reported that they have had their PayPal accounts deactivated as a result of using xCoins and PayPal.
The buyers can pay back the loan in Bitcoin and receive the cash they invested after a deduction. The buyers lose interest on the money they spent. However, this model could prove to be beneficial if the price of Bitcoin shot up during their loan period.
Once you buy Bitcoin using xCoins then you are one step closer to buy Ethereum with PayPal.
PayPal account suspension
PayPal accounts have been reportedly frozen due to xCoins. Users have reported that their PayPal accounts had been frozen for 180 days due to ‘fraudulent activities’. The lenders in xCoins are paid through PayPal regardless of how buyers have bought the currency. If the number of loans you lend increases drastically, it results in a high volume of activity in the account. PayPal deems the activity as fraudulent and this could land the lender in trouble.
Buying on xCoins:
Lending on xCoins:
LocalBitcoins is a platform that allows users from all around the world to trade Bitcoins.
It has been around for a considerably fair amount of time. It has no transaction fees for the buyer when he/she intends on buying Bitcoin.
The seller incurs a transaction fee of 1% for every transaction. Bitcoin can be bought using PayPal and LocalBitcoins is free to use.
If you have successfully bought Bitcoin then you can skip the below steps and directly jump to buy Ethereum with PayPal section.
Virwox is a currency trading platform that was initially set up for trading gaming currency. It is a virtual trading platform. There is a certain amount of delay in receiving the Bitcoins once the payment through PayPal is made. It generally takes around 2 days for your account to be credited with Bitcoin.
VirWox uses a currency called Second Life Linden Dollars (SLL). To buy Bitcoin, you would have to buy SLL through PayPal and then trade SLL for Bitcoin.
Wirex is a service that issues either a virtual or a physical debit card for Bitcoins. Wirex can be used with PayPal account to buy Bitcoin.
Trading Bitcoin with Ethereum
Once you have bought Bitcoin through the above methods, you can exchange it with Ethereum using any of the exchanges that support Bitcoin and Ethereum trading.
And this is the only solution to buy Ethereum with PayPal in 2019.
Use Changelly to buy Ethereum with PayPal
Changelly is a currency exchange platform that has an easy to use interface.
It supports over 80 currencies and is a trusted platform for carrying out trades.
The exchange fees for exchanging Bitcoin for Ethereum is 0.5%
To use Changelly:
Finally, you have got the answer to buy Ethereum with PayPal account.
Binance is a Chinese based exchange started after a successful ICO of BNB. With the help of it, you can buy Ethereum with PayPal instantly. It is one of the most trusted exchange platforms online and offers a low transaction fee of 0.1%.
To use Binance:
Shapeshift is widely regarded as an instant cryptocurrency exchange that allows for quick trading. The transaction fee depends on the currency. For Ethereum, the fee is 0.003 ETH.
To use Shapeshift:
CEX.io has been around for quite a while now. It is also one of the most trusted exchanges in the world for trading cryptocurrencies. The transaction fee is based on the volume of transactions carried out. The fee reaches a maximum of 0.25%. CEX is one of the best option to buy Ethereum with PayPal.
There is no clear-cut way of buying Ethereum using PayPal. The only reliable and dependable way to buy Ethereum is to buy Bitcoin using PayPal first and then trade the bought Bitcoin for Ethereum.
This article has hopefully provided a comprehensive list of steps for you that will help you buy Ethereum with PayPal.