IOTA is a cryptocurrency that enables transactional and seamless confirmation processes while function through an additional “data” layer. The cryptocurrency came to the forefront of the mainstream when it garnered the attention of millions around the globe through the introduction of its framework take on a blockchain alternative called “The Tangle”.
IOTA was developed by an experienced and well-vetted team that sought to develop a cryptocurrency that sought to improve upon many of the inefficiencies that blockchain technology encountered. Many things such as scalability, and having the ability to expand as more users join the network, were targeted with IOTA, and it is subsequently the main advantage that is held over other cryptocurrencies.
Compare Platforms to Buy IOTA (MIOTA)
IOTA is an alternative cryptocurrency, many times referred to as an altcoin, that relies independently on Bitcoin or any other cryptocurrency for that matter. IOTA is also one of the only cryptocurrencies that don’t run on a blockchain framework, but rather its own modified rendition of a blockchain, called “The Tangle”. IOTA has stated an intention of providing an additional data layer to the financial atmosphere, specifically in the world for the “Internet of Things” (IoT), hence the title, “IOTA”.
While Bitcoin serves mainly as a global currency used for settlements and payments for virtually anything, IOTA is targeted and tailored more specifically for the IoT market, in that it has a goal of reaching billions of devices, programs, and much more, creating a virtual environment where transactions can be sent amongst one another. IOTA is the native “currency” of the IOTA Network, almost parallel to how Ether is the native currency of the Ethereum Network.
IOTA was founded in 2015 and raised money for project funding via Bitcoin worth a total of about $500,000 at the time. IOTA stands today as one of the most profitable inceptions to current day standards in assets, as the native currency netted initial investors tens of billions of dollars worth of profit.
How to Create An IOTA Wallet
Best Platforms to Buy IOTA
Before you can start trading IOTA on CryptoRocket, you will have to create an account. To do that, you will have to fill in a short form with your email address, full name and password. Once you’ve done that, you will have to open a trading account before you can get to the deposit stage. It is here that you can choose to set up a demo account before getting a real one. Our advice is to try trading in demo mode before you make your deposit. That will help you gain familiarity with how the exchange works.
You can now make your deposit. CryptoRocket requires a minimum deposit of $10, which is much lower than the vast majority of cryptocurrency exchanges out there. You can make your deposit via credit or debit cards and they can have either MasterCard or VISA circuits. Alternatively, you can deposit your funds via Bitcoin. To make the payment, you have to click on the “deposit” button on the left side menu on your trading profile. You can then choose your payment method, insert your deposit amount, type in your bank details and complete the transaction.
Open a Trade for IOTA
As soon as you’ve made your deposit you can switch from a demo account to a normal one. You will be given some login details to access the trading platform at any time, so make sure you store them in a safe place. The trading platform will have an asset list on the left side of the screen, the trading chart linked to the asset you select on the right side and there will be your trading history at the bottom of the screen. To trade IOTA, you will have to find the currency pair you are interested in on the asset list, then select it and decide whether to sell or buy.
In order to purchase IOTA on Binance, you’re going to need a setup a Binance account which requires an email, ID verification (If you plan to surpass certain limitations or plan to open a fairly large account), and a 2-factor authorization application/method (Phone number or Google Authenticator). If you’ve done so, you can then move on to the next steps. Ensure you’ve setup as much security as possible, as Binance is one of the most commonly replicated cryptocurrency exchanges out there meaning scammers try to lure users through Binance because of its online and internet-heavy presence in comparison to other more institution-like companies such as Gemini.
Deposit Funds via Cryptocurrency
Binance, at the time of this writing, doesn’t enable processing of other types of fiat deposits such as bank accounts, however, that can definitely change within the next year or two. For now, you’ll have to deposit funds to Binance via a base cryptocurrency, which is traditionally either Bitcoin or Ethereum. Then, on your Binance account, find the “Deposit” section of each subsequent cryptocurrency, set up a deposit address (This may require verification from your 2FA app), and confirm its addition.
A further Binance deposit tutorial is available on their site, found here.
Open a Trade for IOTA Based On Your Deposited Cryptocurrency
Dependent on which cryptocurrency you deposited in the previous step, you’ll then have to open a trade for IOTA that is based on that deposit. So let’s say you deposited Bitcoin to Binance, you’ll need to find the IOTA/BTC trading pair, as such:
In the above example, we’re buying IOTA at the market price, or the best available price that is out there. In the “Amount” section, you’ll just indicate how much of IOTA you’d like to purchase in exchange for the market price. Upon purchase, you can then go to the top right of the exchange at “Funds” and navigate to your holdings under “IOTA” to see your newly purchased IOTA. You can then withdraw/sell as you wish.
Trading of IOTA is available on Plus500 in the form of tradeable CFDs, or contracts for differences, as well as various other cryptocurrencies. IOTA CFD trading is available on Plus500 under the following requirements in terms of margin, maintenance, and regulation:
As a regulated and legally acknowledged broker, Plus500 offers trading of IOTA in the form of CFDs in accordance with a level of security that not many other platforms can enable.
In order to start with IOTA trading on Plus500, you’ll need to register your account by clicking here and provide proper credentials for investor verification as well as bank accounts/methods of funding.
As a regulated broker, Plus500 requires verification of investors. As such, you’re required to provide some provisional information about yourself as an investor.
Trade and Purchase
Once verified, you’re then able to trade IOTA CFDs on the Plus500 platform in accordance with the broker’s rules and regulations.
80.6% of retail CFD accounts lose money
Buying IOTA in Your Country
Buying IOTA is extremely easy if you’re a resident from the United Kingdom; you can use Binance to purchase IOTA after completing the sign up process and verifying your account on the site. As Binance is a licensed platform that’s regulated by the FCA, you can hold a sense of confidence over the safety of your cryptocurrency that may not be available with other platforms or websites. IOTA is also available on other third party platforms that welcome UK traders and customers.
Purchasing IOTA in the U.S. and in Canada is a fairly simple process that can be done quickly through the Binance exchange. Binance currently processes the highest volume and most liquidity for IOTA trading pairs; primarily, the highest level of liquidity for any IOTA trading pair in the United States is IOTA/USDT, meaning IOTA paired with the “Tether” (USDT) stable coin. The pair can be found and traded via 24/7 markets.
IOTA can also be traded on Binance if you’re in the U.S. or Canada attached to the multiple other, what Binance calls, “alternative” trading pairs. This includes Bitcoin, Ethereum, Ripple, and a few other stable coins.
IOTA can be purchased in Australia through Binance. The platform offers compliance and supported trading in Australia, however, it should likely be noted that Binance is registered and overseen in Malta.
Differences Between Buying and Trading IOTA
- You own the IOTA, you have the right to move it, sell it, and transfer it as you wish.
- Traditionally associated with longer-term (Multiple months to years)
- Assets can be used just as fiat currencies are; for purchases, or for payments
- Somewhat safer than trading directly using margin or with borrowed funds
- MIOTA trades use contracts for difference (CFDs)
- You don’t actually own Bitcoin, you own a representation of IOTA which is in the form of a contract
- Traditionally associated with shorter-term positions or ideologies about IOTA because using margin accrues fees very quickly.
- Higher risk is implied because you’re buying contracts on margin (Borrowed money from the broker)
Alternative Methods to Buy IOTA (MIOTA)
Purchasing IOTA using a credit card works the same as with other payment methods; preferably used on Binance, a credit card can be immediately linked to the platform which is subsequently used to deposit funds, which are then used to purchase IOTA.
IOTA is currently not directly available for purchase with PayPal; however, if your only option is to use PayPal, you can use direct connections to other crypto exchanges that support PayPal in order to facilitate an exchange to Bitcoin, which is then exchangeable for IOTA. The best and most reliable option is Binance, arguably because it’s regulated, overseen, and only requires a quick link to your existing PayPal account to deposit funds that can be exchanged for IOTA.
In order to do this, you’d simply need to deposit funds and add PayPal as a viable deposit method on your existing Binance account, similar to the following:
The largest volume trading pairs for IOTA are paired to Bitcoin, which means buying IOTA on virtually any platform requires you to structurally purchase IOTA using Bitcoin prior. This means you’ll have to convert your fiat funds to Bitcoin, and then use that Bitcoin to exchange it for IOTA. We’d recommend utilizing Binance for this.
To buy IOTA with Bitcoin, the process would look as follows: Buy Bitcoin –> Use the Bitcoin to exchange for IOTA at relevant pricing –> Execute trade, and monitor new IOTA wallet with funds.
IOTA is a revolutionary asset, and can potentially be the gateway for a globally decentralized payment platform for the Internet of Things. The underlying IOTA structure also offers hope for blockchain development, as “The Tangle” shows that blockchain frameworks are not static and can be expanded towards other forms of potentially more efficient technology.
While purchasing cryptocurrency can at first seem sometimes challenging because of the underlying intricacy, Binance, and platforms that offer legacy system streamlining make the process much more feasible. IOTA is an opportunistic and potentially revolutionary technology that, if accessible, should be researched for its unique capabilities.