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How to Buy Bancor (BNT) in 3 Simple Steps

By Alice Leetham - Updated 05 April 2023
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Bancor makes it quick and easy to exchange tokens, without any need to sign up. Users also earn by staking their tokens in Bancor’s pools. At the heart of the protocol is the Bancor Network Token (BNT). Keep reading to find out how to buy BNT and what Bancor has to offer.

How to Buy Bancor

The easiest way to buy Bancor is to purchase it online from a crypto exchange. Exchanges make it easy to buy and sell Bancor and other cryptocurrencies directly from your smartphone, tablet or computer. Check out our recommended platforms below and follow the steps to safely buy Bancor.

1. Choose a platform

Signing up with a broker or exchange is the necessary first step toward buying BNT. Different platforms offer different features, so if you want a specific feature, like a demo account or a derivatives trading account, check for it before signing up. See the next section on platforms or sign up with one of our top choices now.

1
Min Deposit
$ 10
User Score
4.95
Up to $240 bonus!
Build a diversified portfolio with crypto, stocks, and ETFs — all in one place.
Trade on the world's leading social trading and investing platform
Open Account
Description:
eToro offers a wide range of cryptos, such as Bitcoin, XRP and others, alongside crypto/fiat and crypto/crypto pairs. eToro users can connect with, learn from, and copy or get copied by other users.
Payment Methods:
Bank Transfer, Credit Card, Debit Card, PayPal, Wire Transfer
Full Regulations:
CySEC, FCA
2
Min Deposit
$ 1
Promotion
User Score
4.8
Offers trading for over 180 cryptocurrencies, making it one of the exchanges with the broadest selection of tradable assets
Binance provides a cost-efficient trading experience, with a maximum fee of 0.1% for makers and takers
Supports advanced trading features, including futures trading with up to 125x leverage and margin trading with up to 3x leverage
Visit Site
Description:
Binance is a prominent global cryptocurrency exchange platform that provides a venue for buying, selling, and trading a vast array of digital currencies. Founded in 2017, it has quickly risen to become one of the largest platforms in terms of trading volume. Binance offers a variety of services including a crypto wallet, margin trading, and futures trading, catering to a diverse user base from casual traders to institutional investors.
Payment Methods:
Banxa, Credit Card, Cryptocurrencies, Debit Card, Mastercard, Simplex, Visa
Full Regulations:
3
Min Deposit
$ 1
Promotion
User Score
4.35
FCA regulated crypto exchange with 4500+ digital assets available for trading
Supports users from over 100 countries including the US and Canada
Withdraw your funds using PayPal or other payment methods
Visit Site
Description:
Coinbase is one of the first places that made it easy to buy bitcoin and has since become a widely trusted exchange in the market.
Payment Methods:
Apple Pay, Bank Transfer, Debit Card, Google Pay, SEPA, Wire Transfer,
Full Regulations:
Cryptocurrency is not regulated by the UK Financial Conduct Authority and is not subject to protection under the UK Financial Services Compensation Scheme or within the scope of jurisdiction of the UK Financial Ombudsman Service. Investing in cryptocurrency comes with risk and cryptocurrency may gain in value, or lose some or all value. Capital gains tax may be applicable to profits from cryptocurrency sales.

2. Create and fund your account 

Fill in the registration form with your name and contact information to create an account. You may also have to complete the KYC process by providing a photo ID before your account can be verified. Then you can deposit funds into your account by choosing one of the payment options available in your country.

3. Buy Bancor

If you just deposited British pounds, the next stage will be to search your platform for the BNT/GBP trading pair and fill in a buy order with how much you want and the type of order. A market order will execute immediately at the current price, while a limit order will execute in the future once BNT reaches your chosen price.

Table of Contents

What Is Bancor?

Bancor is a decentralised finance (DeFi) protocol where people can use their tokens to trade and earn returns. The decentralised exchange (DEX) lets users make fast and secure token swaps, and unlike with centralised exchanges (CEXs), there is no need to register or provide any personal information.

Swaps are facilitated through pools of tokens and users who stake their tokens in these liquidity pools earn fees and rewards. The network currently runs on Ethereum but it is designed to be interoperable with other blockchains.

BNT is the network’s utility token and is paired with every other asset in the liquidity pools. This vastly reduces the number of pools required as each token doesn’t need to be paired with every other token. Instead, a token is swapped for BNT, which can then be swapped for any other token, ensuring there is plenty of liquidity for trades.

Ways to Invest in Bancor

Investors often have different levels of experience and goals, which affect whether they choose to buy for the short term or the long term. BNT can lend itself to both options and we’ll look at each in more detail below.

Buy and hold Bancor

Buying and holding BNT is as simple as it sounds. The benefit of this strategy is that there is no need to spend hours monitoring and analysing the market as you have the potential to make a profit with minimal commitment in terms of time and effort.

Another advantage is that while you are holding your BNT, you can stake it in Bancor’s liquidity pools to generate a passive income through fees and rewards.

Best Bancor wallets

Taking custody of your tokens yourself means you don’t have to rely on a centralised service for access and can provide some extra security. This is why many long-term holders choose to set up a private wallet.

The most secure type is a hardware wallet such as Trezor, BitBox, or Ledger, though they can be a bit technical and expensive. Software wallets provide a free and easy-to-use alternative that can be downloaded to your desktop or mobile.

Trade Bancor

The price of BNT can be fairly volatile, like the rest of the crypto market. This is something traders can benefit from by buying and selling tokens much more frequently to generate returns more often. Trading requires more time and skill, however.

As traders need to access their tokens on an exchange more often, it can be less convenient to move them to a private wallet. Web wallets are less secure but are free and may be better suited to traders’ purposes.

Should I Buy Bancor Now?

This is up to you, but it helps to be well informed before making any investment decisions. The supply of BNT is elastic as new tokens can be emitted if the fees from swaps aren’t enough to compensate liquidity providers and protect them against impermanent loss.

Growth in the supply of BNT could put downward pressure on the token’s price. However, as this growth is paid to liquidity providers, it incentivises more people to buy BNT and stake it in the pools, thereby reducing the supply available on the market, which could ultimately prove positive for BNT price.

BNT could therefore become more valuable as the number of Bancor users and liquidity providers increases. Bancor was an early entrant to the DeFi space, which has already seen it attract a strong following. The impermanent loss protection Bancor offers and its interoperability with other blockchains could see the project achieve even greater success in the future.

Frequently Asked Questions

What is impermanent loss?
Impermanent loss happens when the tokens you deposit in a liquidity pool change in price, so that when you withdraw them, their value is less than it would have been if you had just held them.
How does Bancor protect against impermanent loss?
The protocol earns fees by co-investing BNT in the Bancor pools as well as liquidity providers. If these fees aren’t enough to cover the cost of impermanent loss, Bancor emits more BNT to pay liquidity providers.
What is BancorX?
BancorX is a cross-chain bridge that enables swaps to be made across different blockchains with BNT as the link. Currently, BancorX provides interoperability between Ethereum and EOS but it can be extended to support other blockchains.
How do I stake in the Bancor pools?
You will need to connect a Web 3.0 wallet such as MetaMask, then you can click “Earn”, press the plus button next to your chosen pool, and enter how much you want to stake.
Can I create a new pool?
Yes. You can click “Create Pool” above the pools in the Earn section. Then choose the token, set the fee, and hit the “Create a Pool” button.

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