How to Buy Chainlink - Ways to Purchase LINK

5 Things to Consider If You Want to Buy Chainlink

If you are looking to buy Chainlink for the first time, there are a number of factors that you must take into account. Complying with the following instructions will prepare you for Chainlink trading and will allow you to execute transactions quickly and conveniently.

1. Choose Your Preferred Secure Payment Method Carefully

Although top crypto traders facilitate users to pay using dozens of payment methods, all of them are not supported everywhere around the world. Based on your region or country, you will need to check out what modes are available to you from different platforms. Then you need to take the deposit and withdrawal fee along with the payment processing time into consideration. Choose your payment method carefully and ensure it's a secure method even if it takes a bit of time.

2. Set Up Your Own Chainlink Wallet

While cryptocurrency trading platforms have built-in web wallets, it is always risky to keep your funds there for a long time. Instead, it is better to get a software or hardware wallet that's more convenient and secure. If you want to avoid the hassle of dealing with the wallet altogether, you can instead trade Chainlink CFDs which are contracts for differences. Here, instead of buying the coin itself, you invest in a contract and at the time of sale, you're simply paid the price difference.

3. Compare the Trading Costs

If you are purchasing Chainlink directly, you have to bear in mind that there is a blockchain network cost that you have to pay for using the network. However, in the case of Chainlink that cost is negligible. In fact, it would be more affordable for you to send the money as LINK tokens than relying on conventional fiat money which takes a lot of time and deducts 2 to 3% of the sum being transferred.

4. Safety & Security

It should be noted that cryptocurrency is designed to be highly secure as it relies on blockchain technology which is immutable. It means that once a transaction has been made, it cannot be altered or removed from the blockchain. Moreover, the top platforms offer support for two-factor authentication and top trading software like MT4 and MT5 which increase the safety cushion.

5. User-Friendliness of the Trading Platform

Before you put your money on the line, make sure that you completely understand the platform you are using and its different features. Many of these offer demo accounts which you can use to your benefit to familiarize yourself with the platform itself and the basics of trading.

Ultimate Beginner's Guide to Trading Chainlink

What is a Chainlink Broker?

A Cryptocurrency broker is an online service or platform that offers people to buy, sell, and trade a wide range of cryptocurrencies including the most popular ones like Bitcoin and Ethereum. You can make an account with them to start trading cryptocurrencies.

Chainlink brokers are crypto trading platforms where you can buy LINK tokens or CFDs for LINK. These brokers provide you with a platform to sell, buy, store, and trade LINK.

What is a Chainlink CFD?

A contract for Difference (CFD) is a financial instrument where you speculate on the price movement of a certain asset. This asset can be digital or conventional such as forex. If you believe that the price of a certain asset is going to go up, you buy its CFD and at a later date, you sell it to receive the price difference. It can either be a loss or a profit. It is important to note that no actual exchange of assets takes place.

Similarly, there are crypto platforms that offer Chainlink CFDs. If you think that Chainlink's price is going to increase, you can buy its CFD and when you believe the price has peaked or it's too risky to continue to hold the CFD, you can sell it and pocket the profit.

What is the Benefit of Regulation?

It is not unusual to see resentment for regulations around cryptocurrency trading, however, taking all things into account, it is beneficial for the consumer. Most investors don't want to deal with the security issues and regulations that force brokers to maintain a certain level of safety through Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations. Similarly, many global authorities have specified guidelines in terms of safe trading so investors' funds and personal information remain secure. 

Regulatory bodies have been more active after Mt. Gox, the world's largest crypto exchange at the time, was hacked in 2013 and the hackers got away with 850,000 bitcoins which are worth more than $7.5 billion at today's price.

What is the Best Payment Method for Buying Chainlink?

Buying Chainlink through a crypto broker is not a complicated process at all. All you have to do is follow the instructions provided by your trading platform. You can use multiple payment modes to pay for the LINK coin.

Buy Chainlink with PayPal

Being one of the most preferred online payment methods, most users would love to buy Chainlink with PayPal. Unfortunately, there are not many brokers who offer this option due to regulatory issues since PayPal is highly regulated itself. So while it's convenient and transaction charges are affordable, buying Chainlink with PayPal may not be an option as of now.

Buy Chainlink with Credit/Debit Cards

You can use your bank's credit or debit card to deposit funds into your trading account. Then you have to go to the buying section of the platform to make a purchase or if you are trading, you can initiate your order by setting your preferences. Before you use this method, take a look at the processing time and transaction charges for bank card payments.

Buy Chainlink with Cryptocurrencies

One of your best options is to trade LINK tokens for any other cryptocurrency. Instead of trying to directly buy LINK, you can buy a popular currency like Bitcoin, Ethereum, or other altcoin and then trade it for LINK. This adds another step to the process, however, it is more convenient at times when you are trying to find the best payment method for purchasing LINK.

Purchasing with Cash

It might be possible to buy Chainlink with cash but you will need to jump through so many hoops that it's the least desirable and least recommended option. Currently, there are no brokers who offer Chainlink for direct cash.

The Verification Process for Trading Chainlink

When you sign up on any broker or crypto trading platform to make your account, you will have to go through a personal identity verification process. Don't worry, the process isn't that long and takes less than half an hour. This is done to protect users' funds and interest by ensuring they are signing up for the right reasons.

Long vs Short Term Investment

The short term strategy is simply about making as much as possible in the shortest amount of time. You purchase Chainlink at a low price and then attempt to sell it when it's high. The short term investment is usually called trading rather than investing. The downside here is that you may lose the opportunity to earn big by selling too quickly.

On the other hand, long term strategy is usually about developing a diverse investment portfolio, profiting big in the long run, and it requires a certain level of faith in the crypto project. Purchasing LINK and holding onto it means that you believe in the project's success which will eventually translate into price increase in the coming months.

Why Buy, Rather Than Trade?

When it comes to investment, buying Chainlink may be a more appealing option as compared to trading. Both strategies have different intents and goals. Holding Chainlink is usually about making money strategically so you look for the cheapest way to buy Chainlink. When you buy LINK cheap, you can sell it when the price surges. For holding to be successful, you need to purchase Chainlink instantly as the fastest Chainlink purchase will ensure there is no price difference when you initiate your order.

What Fees Are Involved?

Since you are using a service to purchase Chainlink, it is difficult to get it completely free. You have to pay certain fees, charges, and commissions to trade Chainlink on broker platforms. These fees and charges depend on numerous factors including your country of residence, your selected payment mode, the broker platform, and the way you are buying Chainlink (directly or CFD). Some of the expenses include the following:

Blockchain Network Fee

When you directly purchase the coin, it means the blockchain network has to be used to transfer the ownership. This is why the network fee is incurred to accommodate the people who are verifying transactions. On the Chainlink network, currently, the fee is quite negligible.

Transaction Fee

This is incurred when you buy, sell or trade LINK coins and it is usually a certain percentage of the order value. However, some brokers take a flat rate regardless of how small or big your purchase or trade order is. Due to a lot of competition, these charges have become increasingly affordable in recent times and you can buy LINK for as little as 0.1 to 0.2% fee.

Deposit/Withdrawal Fee

When you make a deposit or withdraw your funds, you might have to pay a certain percentage of the amount. Once again, this will depend on the broker you have selected, payment mode, and your region.

Sometimes these charges and fees may seem like a burden but you have to keep in mind that these platforms provide a wide range of services for such a low price. Apart from developing the entire website, building in a wallet for storage, and creating a trading platform, they also have to keep the services running flawlessly and ensure security at all times for thousands of transactions happening every day.

Safely Storing Your Chainlink

To safely store your LINK tokens, you have to use a cryptocurrency wallet. A crypto wallet is either a software or hardware storage device that can store cryptocurrencies with a higher level of security as compared to built-in exchange accounts. There are different types of wallets including the following.

Web Wallet

These are the wallets that are either built into the trading platforms or are browser-based so you can access them through credentials. They are convenient to use but pose more risks compared to other types of wallets. MyEtherWallet is a good example.

Mobile Wallet

These are those wallets that have been specially designed for smartphone traders. They offer a lot of convenience and security features like 2FA but ensure that nobody gains unauthorized access to your device. Some of the top mobile wallets include Atomic Wallet, Coinomi, and Trust.

Desktop Wallet

These wallets are less convenient to use but offer a greater amount of security since the currency is present on your computer and not online. Atomic Wallet is one the best desktop wallets for storing Chainlink.

Hardware Wallet

If you want top-level security, nothing beats a hardware wallet. It is completely disconnected from any network and offers a high level of security through 2FA and passphrase. Top hardware wallets for storing Chainlink include Ledger Nano S, Ledger Nano X, and Trezor.

What Other Coins Can I Trade or Use to Buy Chainlink

If you are looking to buy Chainlink with Bitcoin or other altcoins, it is definitely possible. In fact, it is one of the highly recommended ways to buy emerging cryptocurrencies since not many brokers support all the payment methods in all the regions. All you need to do is open an account with the selected trader, buy the coin you want to trade in for Chainlink, and then simply execute the trade. Just ensure that you compare the trading costs before you buy LINK with ETH or any other coin.

What's the Smallest and Largest Amount of Chainlink I Can Buy?

If you are wondering what's the minimum purchase for Chainlink or can you buy Chainlink without a limit, you don't have to worry. You can buy a small amount of Chainlink and if you are thinking can I buy less than one Chainlink? Yes. You can even buy 0.0001 LINK if you want although the cost of the transaction would probably be higher than what you would own.

On the other hand, if you want to know the Chainlink buy limit, you have to keep in mind that the total supply is 1 billion LINK tokens out of which only 350 million are in circulation.

Can I Buy Chainlink Anonymously with no ID? Is it Safe and Legal?

If you want to buy Chainlink anonymously or with no verification process, unfortunately, that's not possible as of now. Being a newcomer in the digital asset sphere, LINK is only offered by the top brokers who comply with the regulatory processes to ensure their users buy LINK safely. Another question is whether is it safe to purchase Chainlink anonymously? The answer is it depends on how great you are at keeping your tokens safe. If you are just a beginner then a secure Chainlink purchase is through a reputed broker where you have to verify your identity.

Will Buying Chainlink Make Me Money?

Does buying Chainlink make you money? You are not alone in thinking along the lines of 'buy Chainlink, get rich' as its price has continued to surge in recent months. However, nobody can give you a guarantee that you will definitely make money by buying Chainlink or any other cryptocurrency. You have to keep multiple factors in mind. See who is buying Chainlink? What is the best price to buy LINK? How much does it cost to purchase Chainlink?

Having answers to those questions will give you the likelihood of making money with Chainlink. Ensure you have a diverse portfolio and are investing in different assets to minimize your risks.

How to Spend Your Chainlink?

Chainlink is currently not a viable currency to make purchases, however, you can trade it for other cryptocurrencies that are accepted by retail outlets and e-commerce stores. You can also continue to hold it if you believe that currency's price will witness an increase in the long run.

How to Sell Your Chainlink?

If you are looking to sell your LINK coins, you can do so through your broker or trading exchange platform. If you hold LINK, you must already have made an account on a trading platform so you can use it to sell it as well. If you are frequently buying and selling Chainlink, it is better to consider CFDs as they simplify the whole process. The trader buys the currency on your behalf and holds it until you have made the decision to sell. You just have to pocket the price difference. It's that easy.