How & Where to Buy NEO in 2024 - Beginner's Guide

How to Buy NEO

If you are one of those brokers or investors who have trust in the NEO foundation project or believe that the price of the NEO coin will keep on improving in the near future, purchasing NEO tokens and owning them through a crypto exchange is a superior option for you.

That said, you can’t simply pick any exchange, and you need to gauge the advantages and disadvantages of each to discover which service serves your requirements the best.

Some of the features to search for include an excellent reputation, regulated, simple to learn interface, customer service, and reasonable charges.

Note that the trades that don’t keep regulatory adherence may give off an impression of being enticing, yet they represent a more serious risk to your trading.

1. Set up a NEO Wallet

When new traders think about using a cryptocurrency wallet, they usually believe that it’s going to be a long drawn and complicated process.

It is simple to utilise your wallet for storing NEO tokens. Depending on your investment technique and security prerequisites, you can pick any wallet. Some of the wallet options are described below:

• Exchange/Web Wallets – Browser-based wallets, browser extensions, and the wallets that accompany the trading platform account are alluded to as web wallets since they are available through the web.
• Software Wallets – These are software or apps for your desktop and mobile devices that can be used to store NEO tokens. These applications offer good security features to store NEO coins.
• Hardware Wallets – When your main concern is security, there is no preferred choice over a hardware wallet. They incorporate devoted hardware to keep your assets safe and are not connected to a network. They are portable and more secure.

2. Choose and Join an Exchange That Sells NEO

Since NEO is one of the most sought after altcoins, it is commonly accessible on all exchanges, including the best ones like Binance, Coinbase, and CEX.io. Before you select any service, evaluate each of them for their strengths and weaknesses, so you can choose the one which is more adequate for your investment strategy.

For example, numerous exchanges require little personal data, while some will confirm your identity before activating the account. It is a much safer and smarter idea to use a crypto exchange that complies with regulatory laws for security reasons.

3. Choose Your Payment Methods to Buy NEO

After you have joined an exchange, you have to assess all the payment modes they offer. Bear in mind that every payment method has its upsides and downsides, and you have to deal with your transaction expenses to keep your profit margin at a maximum level.

For instance, a credit card is an advantageous method of payment; however, it is somewhat expensive. Wire transfer is quite affordable, but your money can take days to appear in your account.

4. Place an Order to Buy NEO

On numerous exchanges, you won’t have the option to purchase NEO directly, and you will initially need to get a mainstream token, for example, Ethereum or Bitcoin.

Afterwards, you can trade it for an altcoin including NEO. A couple of exchanges may sell you NEO tokens directly; however, you have to keep in mind that the expense of such trades could be high.

To put in your buy request, select the fiat money and the amount you need to use to pay for the investment, and it will give you the number of NEO coins that you can get. Include the sum and send your buy demand through. It will take a couple of moments for the coins to appear in your exchange wallet.

If 2FA is enabled on your account, you will get a one-time password (OTP) which you should type in to confirm your transaction.

5. Safely Storing Your NEO in a Wallet

If you don’t want to hold NEO tokens for a long period, it is totally alright to hold your coins in the web wallet. This way, you won’t need to stress over safety and withdrawal charges.

On the other hand, if you need to hold your NEO coins for a longer period (weeks or months), it is best to move your NEO tokens to a crypto wallet.

To do that, you should enter the public key before the NEO coins can be transferred. If 2FA is enabled, you should also enter the One Time Password (OTP) for confirmation of the transfer.

Should You Buy or Trade NEO?

It is a smart idea to purchase NEO tokens for those financial investors who have faith in the NEO foundation or feel that the price of the coin will keep on ascending in the near future.

However, for those investors who simply need to utilise the market instability for their potential financial benefit, trading NEO through financial instruments, including CFDs, is a better approach. This way, you won’t have to hold or store coins.

Long Vs Short Term Investment

Long haul investment ventures are undertaken by those traders who really put their faith in the NEO project and want to support it or believe that the price of the coin will keep on ascending over the long term.

They are in it for a long stretch and are typically quiet traders. For such financial experts, exchanges are the correct choice.

Short term investment ventures are undertaken by those traders who need to utilise the volatility of the NEO price for their potential profits. They depend on quick fluctuations in price to make their move and are, for the most part, profit-driven.

For this kind of traders, trading platforms and brokerage websites are a superior fit since they offer monetary instruments or digital forms of money.

5 Things to Consider If You Want to Buy NEO

Before identifying a place to purchase NEO, there are several other factors to consider that will ultimately affect your decision. Follow this guide step-by-step to ensure you are ready before risking funds.

Carefully choose your preferred secure payment method

In determining the payment method you need to think about what your priorities are in relation to speed, convenience, and cost. You also need to be aware that different locations have varying payment methods available.

Some of the more popular methods globally are bank transfer, PayPal, and credit and debit cards. We will help you identify which of these options suits you best.

Will you need to set up your own wallet?

If you want to buy and become a NEO holder, you’ll have to find a safe place to store your new digital assets. Generally speaking, the more convenient the storage method, the riskier it is. Leaving your coins on an exchange, for instance, has proven to be a slightly precarious option.

In the past exchanges have been hacked, gone bankrupt, and in worst-case scenarios, exit scammed with client’s coins.

It is widely accepted that a far safer option is to store your coins in a dedicated cryptocurrency wallet. There are several different types of these, which we will discuss in a moment.

If you prefer to purchase NEO for the purpose of trading and you are happy to merely gain exposure to NEO price movements, without the stress of managing your coins, buying NEO through a recommended broker is a great option.

When you purchase with a broker, you are not actually buying NEO the cryptocurrency, you are entering into a ‘Contract for Difference’ or CFD, which gives you hassle-free exposure to NEO price movements.

Comparing costs

The base asset of the NEO blockchain is the non-divisible NEO token, which generates a second token known as GAS. These GAS tokens are separate assets on the network and can be used to pay your transaction fees.

Network fees vary but you will rarely if ever, pay NEO to send NEO. Most user interactions with the NEO network and smart contracts are free as there is a system fee discount of 10 GAS tokens for each transaction.

NEO has designed the network to be affordable to use to encourage users. For businesses, Neo smart contracts cost certain system fees and these are collected and distributed to all NEO holders.

Safety and security

NEO uses an improved version of the Proof-of-Stake (PoS) mechanism called a delegated Byzantine Fault Tolerant (dBFT) consensus mechanism. It’s a mouthful, but it basically means NEO is a network that is secure by design. Sending and receiving are encrypted within the network.

Most traders and investors are more concerned with the level of security of the trading platform or exchange where they intend to buy NEO.

If you choose an exchange make sure to research it thoroughly. If you prefer to acquire NEO for trading purposes only, it is a good idea to choose ones that use market-leading trading platforms like MetaTrader 4 (MT4) and MetaTrader 5(MT5).

These platforms have the latest security systems; professional assistance and flexible automated trading systems.

Two-factor authentication (2FA) – is another system designed to keep you safe. 2FA demands you submit two pieces of digital information before you can verify your identity.

Can you understand and navigate the platform?

One important aspect that is often overlooked by those not familiar with buying cryptocurrency is how comfortable you are navigating a cryptocurrency exchange.

Failure to understand how to set buy and sell orders can result in lost funds and heartbreak.

You’ll need to research the exchange in question thoroughly to learn how to deposit funds, place a buy order, place a sell order, and move your coins from the exchange. Brokers are typically easier to use than exchanges.

What Fees are Involved when you buy NEO?

There are generally different types of fees to consider when you set out to buy a cryptocurrency.

These include the fees charged by the blockchain itself and the fees charged by the exchanges or brokers where you choose to buy your NEO.

Transaction Fees

Fortunately, the NEO blockchain is designed to incentivize users to make use of the platform, and as a result network fees – the fees charged when you send a cryptocurrency from one address to another – are negligible or non-existent for most users’ transactions.

Deposit Fees

For exchanges and brokers to stay in business they need to charge fees, as maintaining a high degree of security comes with a cost.

Most cryptocurrency exchanges will charge you a small fee when you deposit regardless of whether you are depositing coins or fiat currency. Brokers often don’t have deposit fees in a bid to encourage clients to join.

Withdrawal Fees

When you want to take your cryptocurrency or fiat currency off an exchange or brokerage platform you may be charged a fixed or variable fee. The amount of fees you will be charged also depends on your payment method.

Safely Storing Your purchased NEO

When you purchase cryptocurrency from an exchange you will need to think about how to store it securely depending on your requirements. There are several different types of NEO wallets for you to do this.

Web Wallet

Web wallets are the wallets located on the servers of the exchange you are using. The main benefit of leaving your coins in this wallet is convenience.

It is not safe practice however as you need to ‘trust’ the exchange to keep your digital assets safe. In some instances, exchanges have been hacked, gone bankrupt, or worse. As a result, it is generally a good idea to get your coins off the exchange as soon as possible.

Mobile Wallet

Mobile wallets are a type of digital wallet and are a far better option than leaving your coins and private keys with an exchange. The main advantage of mobile NEO wallets is that your coins will be fairly secure and readily accessible.

The downside is that being a ‘hot wallet’, connected to the Internet and therefore vulnerable to hacks. Your mobile wallet is only as good as the security system and encryption employed. Make sure you employ added measures like pin codes or fingerprint identification if possible. Some popular NEO wallets include Atomic Wallet, Guarda Wallet, and Coinomi.

Desktop Wallet

Desktop wallets are another type of ‘hot wallet’ that lives on the desktop of your computer. In some ways, these are more secure than mobile wallets, which can be subject to unique attacks like SIM swaps.

However, your desktop wallet is only as secure as the security features you have installed on your desktop. It’s a good idea to utilize best-practice security measures like 2FA to further safeguard your digital assets if choosing this wallet. Some popular desktop wallets for storing your NEO include Electrum Wallet, Jaxx Liberty, and Exodus Wallet.

Hardware Wallet

Hardware wallets are the most secure method of storing your cryptocurrency. These are often referred to as a ‘cold wallet’ as they are not connected to the Internet and therefore nearly impossible for hackers to penetrate.

The main drawback with hardware wallets is accessibility, as you will have to connect to the Internet, often through a USB port, to move your assets. The most established hardware wallets for storing NEO are the Ledger Nano X and Trezor.

Wallet Combinations

Sometimes the best approach is to spread your investment over several different wallets to remove a central point of failure.

An example of this would be to store your long-term investment in a hardware wallet, mid-short term investment in a hot wallet and if you are short-term trading, it makes sense to leave the coins on an exchange or trade NEO via a broker.

What Other Coins Can I Trade or Use to Buy NEO?

If you wish to buy NEO with Bitcoin, you only have to visit a Bitcoin exchange that offers the BTC/NEO trading pairs. These market pairs are increasing as the crypto market matures and there are more and more coin-to-coin markets appearing on exchanges.

Buying NEO with Ethereum is also sometimes available but for other market pairs, you may need to shop around.

What’s the Smallest and Largest Amount of NEO I Can Buy?

What’s the minimum purchase? NEO is unlike Bitcoin, Ethereum, and other cryptocurrencies as its token is non-divisible, meaning in order to own it you have to buy a whole NEO.

Fortunately, due to supply, the price of NEO is generally accessible for most people when compared to a whole Bitcoin or others. You can purchase NEO without limit and the maximum amount is only limited to your budget and the supply available on the exchange.

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

Unfortunately, it is currently quite difficult to buy anonymously and safely at the same time. With regulations becoming clearer and more effective, fewer exchanges and brokers will allow you to purchase NEO with no ID verification.

With Bitcoin, it is still possible to use a peer-to-peer marketplace and arrange to meet someone to transfer Bitcoin for cash anonymously or you can purchase through a dedicated ATM.

These methods aren’t typically offered with NEO. It is generally not a good idea to do this anyway and we recommend using an exchange or broker where ID verification is required.

So, is buying NEO illegal? Different locations in the world have varying regulatory stances on cryptocurrency.

For most countries, it is legal and safe to buy NEO coins. Just make sure to choose a NEO exchange or broker that enables additional levels of security like 2FA.

Will Buying NEO tokens Make Me Money?

So is it as simple as ‘buy NEO get rich?’ Not quite. NEO has a bold vision to become the foundation for the next-generation Internet. With increasing partners and projects, it is no doubt growing in influence and network usage.

When you look at the smart money and who is buying NEO it may seem that it is certain to rise in value but anything can happen and it is not without competition from other digital currencies.

What is certain is that NEO will continue to attract investor interest and if you identify the best price to purchase NEO and execute effectively, you can make money.

You may be asking yourself “how much does it cost to buy NEO”? Check out our NEO price page for more information on this exciting coin’s price history and important news events.

Pros and Cons of Buying NEO

Pros

• Future proof: NEO’s technical approach makes it a currency that answers to the future needs of the market. It may not do well at meeting the current market demands, but its smart economy solution sets it up as leading crypto in the future.
• Market potential: Even though China banned cryptocurrencies, the country may open up the doors to its coin, as it did to WeChat. NEO will take the cryptocurrency world with a storm when this happens.
• Partnerships: NEO has support from several leading companies, including Microsoft China. It is also the first Chinese cryptocurrency network to join Hyperledger. Hyperledger works on projects that aim to integrate blockchain systems to businesses.

Cons

• No mining: The biggest downside is that NEO is not minable, so crypto miners cannot invest in them. According to the developers, 100 million coins were pre-mined before launching. Developers and the rest who use their computers to maintain the network, however, receive rewards in the form of a token called GAS. It is another coin that the NEO foundation uses to distribute its NEO coins.

What Is the Best Payment Method for Buying NEO?

• Buy NEO with Cash – First, you are required to purchase Bitcoin with cash through an ATM, and afterwards, you can exchange it for NEO. An inconvenient way to buy NEO.
• Buy NEO with Credit/Debit Card – One of the most well-known payment modes to purchase NEO; however, it is more costly than other payment methods.
• Buy NEO with Bank Transfer – User-accommodating and affordable as far as cost is concerned, however, generally delayed as deposit reflects in days.
• Buy NEO with Bitcoin – Just exchange your Bitcoin for NEO.
• Buy NEO with PayPal – Very fast and cost-proficient but isn’t accessible all around the globe.

How to Spend Your NEO tokens?

While NEO is a cryptocurrency, it isn’t expressly trying to be used for everyday payments like buying your coffee. Rather, it is the base asset of the NEO blockchain and the place to spend the tokens is on the blockchain itself and within decentralized applications (DApps).

With NEO 3.0 arriving later this year, expect more businesses and commercial DApps on the NEO blockchain, where you can use your NEO tokens.

NEO is an open-source blockchain and anyone can build DApps. Check out the NEO Dapp List for a list of current DApps built by the community.

How to Sell NEO tokens?

Selling NEO on a cryptocurrency exchange can be daunting for the uninitiated. It is very important you can read the chart and understand the way to set orders. You will also need to understand the difference between market and limit orders and how to place them.

If you hold NEO for trading purposes through an exchange, the process to sell NEO for fiat is far more straightforward. CFDs simplify the process of trading NEO and provide a level of flexibility and security exchanges cannot. This is because you are trading a contract rather than NEO tokens themselves.

If you’re selling directly to another person then you will need their NEO wallet Address.

3 Tips to Buy NEO

Hopefully, you have built up an essential comprehension of how you can use your capital to invest in NEO and different tokens. We are sharing the three most significant pointers related to crypto trading that you should never disregard.

Choose the Right Time and Do Your Own Research

Numerous new financial traders wind up purchasing at an excessive price and lose cash on their trades.

It is essential that you pick your purchasing and selling opportunities with accuracy and you can possibly do so if you have investigated the coins, read the entirety of our guidance material, and have watched out for the news related to the coin.

Comparing Costs to Buy NEO

New investors additionally overlook the effect of transaction expenses which can pile on and cut down your net revenue. Pick your payment method and withdrawal times carefully so you can limit the transaction expenses and expand your profit margin.

Safety and Security

You are responsible for storing your NEO tokens safely. Make sure that you have enabled 2FA authentication, have strong passwords and are using strong passphrases.

Other Ways to Buy NEO

The methods which we have discussed for buying NEO above are probably the most well-known, economical, and convenient methods. However, there are some lesser-known and undervalued approaches to purchase NEO which you can use if you like.

• Peer-to-Peer (P2P) Exchanges – These are sites or services that play the role of a middle man between crypto purchasers and sellers. You can pick your own buying terms here and your own favoured payment mode. There are hundreds, even thousands of dealers, so the probability of finding the right match is quite high.
• Since NEO tokens have been pre-mined, you can’t get them through a mining process.

We are devoted to providing the best and the most recent information to our readers about cryptocurrencies and how to purchase and trade those currencies. This is the reason we will keep on updating this guide as increasingly more data, updates, news, improvements, and developments occur.