So, you've found information about the Tezos platform for dApps and smart contracts, you wish to invest in their token and are wondering how to buy Tezos. You'll find it's not much different than purchasing other altcoins. Keep reading for information and a step-by-step guide.
What is Tezos?
First of all, Tezos is a platform that allows users to govern a blockchain and modify its set of rules, with minimal disruption of the blockchain as a whole. This ability would allow the blockchain to upgrade itself without needing to split it into two separate blockchains (a process known as forking). Interacting with the Tezos blockchain requires users to acquire and hold Tezos tokens (XTZ).
Where can I buy Tezos?
As of writing this article, there are 26 different tezos exchanges. The top five of these exchanges, sorted by trading volume, are MXC, Coinbase Pro, BitMax, Kraken and Oceanex.
Can I buy Tezos on Binance?
At the time of writing this article (August 10th, 2019) Binance doesn't trade in Tezos XTZ tokens. You can view the full, updated list of tezos exchanges from Crypto Market Cap by clicking here.
How to buy Tezos XTZ
The first step is to have a wallet where you can safely store your tokens after you buy tezos cryptocurrency. There are several software and hardware wallets available.
- Software wallets: For Windows and macOS users there is a choice between Galleon Wallet and Tezbox. Galleon Wallet is also available for Linux, and there is an Android version of Tezbox. Tezbox also offers a web-based wallet, as does Kukai.
- Hardware wallets: For those who prefer hardware wallets, Both Ledger and Trezor accept XTZ tokens.
Once your wallet is set up, it's time to find out just how to buy Tezos.
Step-by-step guide on How to buy Tezos
Step 1: Finding your exchange and trading pair:
- Head over to Crypto Market Cap. On the homepage, type XTZ in the search box in the top right.
- The following screen will show detailed information on the Tezos token, including a description, current price (in USD), and market volume. A price chart will also be displayed. On the left, you will find the top ten exchanges listing tezos, sorted by market volume, a list of the blockchain explorers for the token and social media information. From there you can click to see the detailed list of all exchanges listing XTZ.
- Looking at the full list of exchanges, you can also see all XTZ trading pairs on each particular exchange. In the next cap, you can see that Kraken allows trading between Tezos XTZ and Bricktox (XBT), US dollars, Euro, Ethereum (ETH), Bitcoin (BTC) and Canadian Dollars. If you own any of these crypto tokens, it's just a matter of transferring them to the exchange you choose for buying tezos.
Step 2: Transferring tokens to your Tezos exchange
In this example, let's assume I want to buy tezos cryptocurrency with ether and I have chosen to do so using the BitMax exchange, which is the first one on the list with an XTZ/ETH trading pair. You will find that all crypto exchanges follow the same basic procedure.
- Log in to BitMax and, from the top ribbon, click on “My Assets” and “Deposit”.
- Click on ETH from the drop-down menu.
- You will be presented with your Ethereum wallet address on this exchange. If your ether is on a mobile wallet app like Trust Wallet, open your wallet, select “send” and then scan the QR code to paste the address. Type in the amount of ether you want to deposit and send them over to BitMax.
- If your ether is stored on another exchange, e-wallet service or web wallet, copy your wallet address to your clipboard. In this example, assume you have ether tokens stored in a Uphold account. The procedure is very similar for other e-wallets or crypto exchanges.
- Log into Uphold, and select your ETH card. Then click on “Send to Cryptocurrency or Utility Token”.
- Scroll down the list until you see ETH, click and you will be taken to a screen where you can paste your wallet address and type in the amount of ether you want to deposit into BitMax. After confirming the transfer it will take a few minutes for the transfer to complete. Once it does, you will have your ether tokens ready for buying tezos.
Step 3: Trading ETH for XTZ
Now it's time to buy tezos cryptocurrency tokens on your favorite crypto exchange.
- Head back to BitMax and click on “Cash” from the top ribbon. You will be taken to a trading page. In this example, we are looking at the trading page for the BTMX/USDT pair.
- Since our trade will be for ether tokens, click on the “ETH” tab on the left-hand column and type “xtz” in the search box. Once XTZ is displayed, click on it and you will be taken to the appropriate trading page.
- From this trading page, using the buttons at the bottom, you will be able to both “Buy XTZ” with your deposited ETH, or “Sell XTZ” you might already own to obtain more ETH.
Step 4: Transferring your Tezos tokens to your personal wallet
As with other exchanges out there, BitMax doesn't give you the private keys to your wallets. That means that users don't really own them. Because of this, and other security reasons, it is good advice to not keep tokens stored on exchange wallets for extended periods.
- To transfer to your wallet from BitMax, click on “My Assets” and “Withdraw” from the home page's top ribbon. You will be presented with the withdrawal screen.
- Select XTZ from the drop-down menu on the left. On the right, paste the address for your software or hardware tezos wallet, type in the amount of tezos tokens you wish to transfer, paste or type in the appropriate security codes and click “Withdraw”. Once this is complete, your tokens will be stored in your personal wallet.
Buying tezos tokens is a pretty straightforward process, not at all different from buying other altcoins. It is a matter of finding an exchange with a suitable trading pair, transferring your existing tokens to the appropriate wallet on that exchange, making the trade and, finally, transferring your newly-acquired tezos tokens to your personal wallet. There are plenty of exchanges and trading pairs to choose from, and by following the steps outlined here, you are only minutes away from owning Trezor, which will allow you to interact with the Trezor blockchain.
Please leave a comment below if you have any questions!